China’s big lead in electric cars

China’s big lead in electric cars

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Islam News – China is building factories for electric cars almost as fast as the rest of the world combined, with plans for eight million cars a year.

There are risks, but if China succeeds in positioning itself, it will have a leg up in a world that is increasingly focused on combating climate change. Manufacturers are using billions of dollars they have raised from local and international investors to beat established carmakers to the market.

The country already has the electric-car infrastructure, and global automakers including Volkswagen are building more factories in China. The e-commerce giant Alibaba and two state-backed firms has set up an electric car joint venture, IM Motors, which plans to roll out its cars next year.

China will be making over eight million electric cars a year by 2028, according to some estimates. Europe is on track to make 5.7 million fully electric cars by then while North American automakers lag behind with only 1.4 million electric cars a year by 2028.

Many new Chinese companies are betting consumers will spend $40,000 or more on cars from new companies they have not heard of, even as more popular brands like Buicks, Volkswagens and Mercedes-Benzes fill the roads already.

Source: The New York Times