Sales of NEV vehicles are increasing and global OEMs are trying to conquer the largest automotive market in the world
A new partnership with a Chinese company for technological development. Toyota has announced that it will work with BYD to jointly develop fully electric vehicles and on-board batteries, following an agreement with the Chinese car manufacturer.
Toyota’s decision to rely on the experience and knowledge of BYD also stems from the need to establish itself in an expanding market. Indeed, sales of NEV vehicles are increasing. June sales, for example, increased 80% year-on-year to 152,000, while the central Chinese government continues to promote the mass adoption of electric vehicles to combat climate change.
China’s commitment to electric vehicles is impressive. To help the market, the National Development and Reform Commission, China’s most important economic planner, has also issued a statement prohibiting municipal governments from imposing limits on new energy vehicles in the form of license fee shares.
Toyota was the first company in the world to launch mass production of hybrid vehicles
Under the stipulated agreement, Toyota and BYD will jointly develop battery electric vehicles (BEVs), including low-floor sedans and SUVs, as well as on-board batteries for BEVs and other vehicles. The vehicles should arrive on the Chinese market with the Toyota brand from 2020 to 2025.
Toyota, moreover, was the first company in the world to launch mass production of electrified hybrid vehicles in 1997, while BYD was the world’s best-selling fully electric vehicle since 2015. The deal is the latest in a series of recent partnerships between global car manufacturers and Chinese OEMs.
Many other car brands are exploring the electricity industry
European brands are very interested in China. The French company Renault SA has recently declared that it has undertaken a second joint venture for electric vehicles (JV) in China with a $ 145 million investment to form a JV with JMEV, an electric car of the Chinese group Jiangling Motors Corporation (JMCG). He also collaborated with Dongfeng Motors in 2017 for the development and production of EV.
Volkswagen, for its part, has expanded its presence in the sector of electric charges in collaboration with the Chinese car manufacturers FAW and JAC, and Star Charge, the third EV recharging operator in China, to install fast recharging systems in its 30,000 stations charging.
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