Expect more foreign companies to jump onto the Chinese EV bandwagon.
According to a recent SAE report that discussed China's initiatives on new energy vehicles, Zhixin Wu, vice president of the China Automotive Technology and Research Center, was quoted:
China, under the government's 2012-2015 plan, began concentrating on an R&D framework with three powertrain verticals: fuel cell vehicles, plug-in hybrid vehicles and hybrid electric vehicles, and three component technology verticals: batteries, motor drive systems, and energy management systems.
Samsung SDI's joint venture will focus on the development and production of EV battery technologies.
The joint venture consists of Chinese parts maker Anqing Ring New Group and a company owned by the government of Shaanxi province, according to Samsung SDI.
The EV battery factory, scheduled to open next year, reportedly will be catering to Samsung SDI's current customer BMW and car makers such as Volkswagen AG, who are rushing into electric cars in China, according to the Reuters' report. Samsung SDI currently supplies batteries for BMW's i3 and Chrysler's F500e electric cars.
Beyond its target of 5 million "new energy vehicles" on the road by 2020, the Chinese government is also establishing some specific technology and cost targets. They include: "batteries are to offer 150 Wh/kg and cost 2 RMB/Watt (US$0.33/W) by 2015, with an increase in density to 300 Wh/kg and concomitant reduction in cost to 1.5 RMB/Watt (US$0.25/Watt) by 2020," according to the SAE report.
— Junko Yoshida, Chief International Correspondent, EE Times