China has a policy switch, dumps the diesel!
Published December 26, 2007
According to a new policy that was passed down from the National Development and Reform Commission (NDRC), diesel powered cars will no longer enjoy the preferential policies that were previously given. Instead, the NDRC will award hybrid manufacturers with preferential policies to aid in the development of electric powered engines.
PSA and Volkswagen were recently touting their diesel powered motors in China, but it seems that Toyota, and Honda, who have been recently lobbying the PRC government for preferential treatment of hybrid motors.
China seems cautious on the future of diesel, could recent fuel shortages be a reason, (why have most of the nations cars running off a fuel that is running scarce) or perhaps that Chinese diesel quality is as good as foreign countries?
Many Chinese auto manufacturers are currently developing hybrid technology, both Changan and Chery have working models, BYD and Haima are going down the 100% electric route and other makes are using foreign diesel engines in a bid to cut down on emissions.