Better Place, Chery Sign Collaboration MOU for Prototype Switchable Battery Electric Vehicles in China
Better Place and Chery Automobile Co.—China’s largest independent auto producer and exporter&mash;signed a memorandum of understanding (MOU) to collaborate on electric vehicle technology in the world’s largest auto market. As part of the collaboration agreement, the Chery exhibit at Auto China 2010 features elements of the Better Place EV solution, including EV charge spots and battery-switch technology displayed with a Riich G5 sedan.
Under the terms of the MOU, Better Place and Chery will jointly develop switchable-battery EV prototypes with the goal of securing regional Chinese government EV pilot projects.
With only 2% of China’s population owning cars and 80% of sales in 2009 to first-time car buyers, China has the opportunity to create and lead an entirely new category around clean transportation. With the scale of Chery’s design and manufacturing capability and an industrial policy that favors EV over ICE, we believe China represents an unprecedented opportunity for Better Place. Our collaboration with Chery is just the beginning for Better Place in China.—Dan Cohen, Vice President of Strategic Initiatives for Better Place
China has set an industrial policy with the objective of becoming the largest EV developer and manufacturer in the world. China is the world’s second largest consumer of oil behind the US. By 2020, China is expected to rely on 65% of foreign oil imports.
HSBC research predicts that China’s share of the global EV market will grow from 2.7% this year to 35% by 2020. During this time period, China will overtake Japan by 2016 and the US by 2019 in dominating the global EV market.