China’s State Council announced the Energy Conservation and New Energy Vehicle Industry Development plan (2012-2020) on June 28, 2012, which aims to develop energy-efficient vehicles and new energy vehicles, which can effectively alleviate energy and environmental pressures.

According to the plan:

1.The Chinese government will develop the new energy automobile industry, so as to realize the development of automobile power system to electrification.

2.The Chinese government will use pure electric drive as the main strategic orientation for the development of new energy vehicles and the transformation of the automobile industry. At present, the Chinese government will focus on promoting the industrialization of pure electric vehicles and plug-in hybrid vehicles, and promote the popularization of non-plug-in hybrid vehicles and energy-saving internal combustion engine vehicles.

3.The Chinese government hopes that by 2015, the cumulative production and sales of pure electric vehicles and plug-in hybrid electric vehicles will reach 500,000; by 2020, the production capacity of pure electric vehicles and plug-in hybrid electric vehicles will reach 2 million, and the cumulative production and sales volume from 2015 to 2020 exceeds 5 million.