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Home > auto industry, China > China Versus Detroit: Who Will Win?

China Versus Detroit: Who Will Win?

April 2nd, 2009

Today’s lead article in The New York Times is titled, “China Vies to be World’s Leader in Electric Cars.” It describes China’s plan to become the world’s leader in all-electric vehicles, and some of its accomplishments and barriers in doing so.

This was a very interesting article. China’s goal to reduce pollution and global warming will be hindered because it gets three-quarters of its electricity from coal, the worst possible source. Also, replacing a gasoline car with an electric one only reduces greenhouse emissions by 19 percent.

There are economic barriers as well. The cost of an electric vehicle will be almost twice a gasoline vehicle, $30,000 versus $14,600, despite the Chinese government’s subsidy of $8,800 per vehicle.

There are some benefits. Most Chinese have a short commute so the 120-mile range of electric vehicles between charges is okay. And many are purchasing vehicles for the first time, so they won’t notice the comparative differences.

The most hopeful part of the article, in my opinion, involves raising the consciousness of U.S. citizens about the strides other countries are making regarding alternative transportation. Maybe, just as Sputnik helped us win the race to the moon, China’s program will spur research by U.S. carmakers, and American ingenuity will win in the end.

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