An editorial in Japanese business daily the Nikkei, has urged home-grown car manufacturers to keep pace with China and the US in the changing global market for electric vehicles.
The article outlines that both Toyota and Honda had pinned their hopes on hybrid vehicles even though electric vehicles were gaining in popularity and now they are playing catch up, accelerating their efforts to develop electric cars.
It believes their moves have been pushed by two factors. The first is the introduction of tough new fuel economy rules by the US administration; and the second is the heightened focus on electric cars in China. At the end of 2009, Beijing announced a target of increasing the share of electric cars in overall domestic production to 10 per cent by 2015 with a government subsidy programme also boosting sales.
Effectively China has jumped ahead by skipping the transitional era of hybrid vehicles and focusing on battery electric vehicles – and with China now the world’s largest car market it will have a huge impact on the industry as a whole.
With China determined to establish leadership in the market, the pressure is on Japanese car makers to develop electric vehicles quickly that can compete with China’s offerings.
