Otonomo – China Electric Cars – What’s New

Building on domestic success  

With this huge domestic market for electric cars in China, the Chinese government actively promotes the EV industry in the country with high subsidies for electric vehicles, a 380 million USD investment in charging stations, and tight integration with the smart grid roadmap called “Ubiquitous Power Internet of Things.” This included a managed EV charging pilot where EV drivers were prompted to charge whenever the utilities company needed it, meaning the grid could make better use of over-produced available renewable energy, which might otherwise be wasted. The Chinese government is also introducing new policies to promote mini/small EVs to be part of rural microgrids. 

This move is not limited to China, Great Wall Motor launched its 100%-electric vehicle Ora Good Cat in Thailand and received 4,296 orders within 24 hours. This is in part a result of the ASEAN-China Free Trade Agreement, which has made the Chinese car cheaper than even the locally made Japanese EVs2. 

With the rise of car markets in developing countries like India, it’s possible that Chinese EVs could achieve global success even without making much headway into markets in the West.  

However, Europe and the US are where the real challenge to Chinese OEMs are. Putting to the test their ability to compete against established brands, navigate complex regulations (including GDPR), provide quality service, and compete on more than price alone. Some OEMs are already trying to jump-start their approach to these markets with partners that can bridge these gaps, with smaller players like Aiways selling their cars in Germany through a local electronics retailer EURONICS Deutschland.