International Electric Car Manufacturers is about to Face Challenges in China

This is an article about international electric vehicle manufacturers in China facing serious challenge.if you care about car industry and international trade, you should take a patience to read this article.

With the worsening environmental situation in China, the government has stepped up support for the electric automobile sector, with international producers also trying to tap into the the world's largest potential auto market for electric vehicles.

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Volkswagen plans to produce electric automobiles starting from 2016 and supply the Chinese auto market with 10 different models by 2020. In the meantime, Volkswagen's luxury brand Audi also plans to launch a hybrid model, reports Tencent's finance portal.

One of Toyota's hybrid automobiles targeting the Chinese auto market is set to go into mass production next year, while Honda is working with Dongfeng Motor and the Guangzhou Automobile Group to begin producing hybrid automobiles in China in 2016.

Tesla Motors opened its first directly operated store in Beijing and its Model S sports automobile is set to go on sale in March. The US-based company also plans to open at least 10 new stores in China this year.

China is the world's largest automobile auto market with total sales touching about 22 million vehicles in 2013. However, sales for electric automobiles are less than 20,000 units.

Given the new pressure for environmental protection efforts in the country, demand for electric automobiles is expected to increase rapidly. However, overseas electric automobile producers will have a number of challenges ahead. As most domestic electric automobile companies rely heavily on subsidies provided by local governments, competitors from overseas may find themselves struggling against protectionism at the local level.

Shenzhen-based BYD enjoys subsidies of 70,000 yuan (US$11.350) from the city government for its Qin model electric automobile but it can only get half that from the central government in Beijing.

Shanghai Automotive Industry Corporation, FAW Group Corporation, Dongfeng Motor and Chang'an Automobile Group have also introduced hybrid automobiles in China.

No matter what will happen after the severe situation, in my opinion, China has always been a high-end consumer market, foreign cars,especially automobiles and motorcycles makers  would have been very popular in China.Therefore, high-end car makers don't need to worry about.