China’s Fastest Growing Automaker – GAC To Sell 200,000 EVs Annually By 2020

6 days ago by Mark Kane 6

GAC Motor’s self-driving car

GAC Motor, the fastest growing automaker in China (and likely the world) today, has set a target of 1 million automotive sales annually by 2020…a target which we normally would not care at all about; however of those vehicles,  20% (or a massive 200,000 units) are to be plug-in vehicles.

Given that is roughly how many plug-ins will be sold in the US this year (we figure ~220k), GAC has our attention.

GAC Motor

GAC’s progress has been unparalleled of late, achieving a ~85% compound annual growth rate for the last six years!

Entering 2017, the Chinese manufacturer had plans to sell 500,000 units – and some 207,000 have already been sold in the first 5 months.

For 2017 GAC Motor will introduce seven new NEV models (all-electric or plug-in hybrid) and invests a lot more into plug-in technology and R&D.

No later than 2019, the company also says it will enter U.S. market (where already a R&D center has been established in Silicon Valley).

On this count we are a little skeptical (look around and count the number of original Chinese light vehicle brands in America today).   And we are also unsure if the company is intending to introduce any of its plug-in offerings, should it manage to penetrate the US market in 2 years time.

As it turns out, Yu Jun, president of GAC Motor is pragmatic towards the question of electrification:

“In the area of new energy, the best practice is not to prescribe one certain formula. Enterprises should experiment and explore different pathways. The coexistence of many pathways might be the best choice now. It shall be up to the market.

Future transportation modes will be essentially be electric. However, will such a mode be BEV or FCV or both? It is difficult and unnecessary for us to give an answer now. Moreover, the transition period from conventional power to full electric power may be quite long.

One one hand, for both FCV and BEV, popularity is much lower than expected. I can still recall when some car manufacturer predicted the world would enter the age of hydrogen fuel. But how large are the sales of FCVs even in 2017? The situation for BEV seems better. But in China, without the supporting measures to limit the purchase and use of conventional vehicles and the high subsidies to purchase NEVs, consumers are still reluctant to buy electric cars. A market that survives on compulsory government policies will not be a sustainable one.”

source: Green Car Congress

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6 responses to "China’s Fastest Growing Automaker – GAC To Sell 200,000 EVs Annually By 2020"

  1. Nada says:

    “And we are also unsure if the company is intending to introduce any of its plug-in offerings, should it manage to penetrate the US market in 2 years time.”

    Any China auto company coming to the US should only sell EVs for several reasons…
    No EPA to deal with…
    No real questions of realibility with EV powertrains so quality is perceoved better…
    No highly complex ICE and their accompaning transmissions from China which are behind the rest of the world in terms of effiency and smoothness if not alo realibity…
    Limited dealerships or direct sales model and limited locations so EVs have a much less need for waranty repairs at facalities you dont have…

  2. Fool Cells says:

    Is there going to be a 25% tariff on their cars like China puts on all cars made in the USA and shipped to China?

    1. Nada says:

      NAFTA!!

      I beleive they have just started a plant in Mexico…
      But if they are not BEVs I really dont care…

  3. PHEVfan says:

    If all goes as planned, Tesla will be selling more than that in the US in 2018, 2 years ahead of GAC. We’re still leading the pack.

  4. speculawyer says:

    Ugh. It pains me to watch China moving ahead while Trump wants us digging up coal. He’s an international embarrassment.

  5. Peter says:

    Coal is soon dead, no buyers. Because price for solarpanels and windmills are still dropping due to scale.

    Almost everything today is electrified so the natural next step is BEVs.

    Coa,l oil and gas game over soon. Mainly due to price, cheaper is better.

    Autopilot is another question. A cheap $15.000 BEV will not have AP unless governments subsidize and demand this feature.

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