EVs in China are expected to number around 2 million by 2020, with more optimistic forecasts placing that figure at closer to 3 million, Jia told attendees of the inaugural Industrial Minerals and Metal Bulletin Battery Materials Conference in Shanghai on April 18-19.
The Chinese government has made the development of the EV industry part of its national economic development strategy, and its policies will lead to an acceleration in demand for these vehicles, Jia said.
Supportive policies include the EV subsidy policy (an incentive scheme that promotes production and sales of EVs), the recently introduced dual credits policy and a policy to widen foreign investment in the Chinese EV industry.
The EV subsidy policy was introduced in 2009 to encourage the adoption of EVs. After nearly a decade of offering the subsidies to vehicle manufacturers and consumers, market participants believe the Chinese government will cancel the subsidy in the near future.