What’s happening in China this week? (July.8-12,2024)

What’s happening in China this week? (July.8-12,2024)

1. Europe starts to impose car import tariffs

The European Union has imposed additional tariffs on imports of electric vehicles made in China from Friday. There is, however, a four-month window during which the tariffs are provisional, and intensive talks are expected to continue between the EU and China.

The provisional tariffs of up to 37.6 percent on top of the standard 10 percent duty are the result of the EU's anti-subsidy investigation, which started in October.

It has nearly four more months to run, at the end of which, the European Commission, the EU's executive arm, could propose definitive duties on which EU members would vote.

2. China's passenger car exports up 28% in June

China's exports of passenger vehicles hit 378,000 units in June, marking a 28% increase year-on-year and staying flat compared to the previous month, the latest data showed.

With the South American market recovering, exports of Chinese-brand cars hit 325,000 units in June, up 31% year-on-year, while the exports of luxury vehicles and cars made by Chinese and foreign-invested joint ventures reached 54,000 units, up 12% year-on-year, according to data released on Monday by the China Passenger Car Association.

In the same month, exports of new energy vehicles (NEVs) from China stood at 80,000 units, up 12.3% year-on-year. In the first half of this year, NEV exports reached 586,000 units, up 21.2% year-on-year, the data showed.

Data from the association, covering all domestic passenger car manufacturers, also showed that in the first half of this year, retail sales of passenger cars surpassed 9.84 million units, up 3.3% year-on-year.

3. Self-driving taxi sparks discussions on challenges, limitations

A self-driving taxi operated by Chinese tech heavyweight Baidu Inc. recently hit a pedestrian crossing against a traffic light in Wuhan, the capital of Hubei province, sparking heated discussions on the challenges and limitations facing autonomous driving technology, especially in complex scenarios.

Meanwhile, the commercial application of robotaxis in more cities across the country has raised concerns about employment, as taxi drivers are worried about losing their jobs amid intensifying competition from driverless ride-hailing vehicles, industry experts said.

The Beijing-based company has robotaxis currently operating in designated areas of Beijing, Chongqing, Wuhan, and Shenzhen, Guangdong province.

Wuhan is stepping up efforts to promote the development of intelligent connected vehicles and commercialization of driverless driving technology, boasting the largest operational region for Baidu's autonomous ride-hailing platform Apollo Go.

Baidu has more than 500 robotaxis running in Wuhan and expects to increase that number to 1,000 by the end of this year. It also plans to expand the size of its fleet and the operation area nationwide and build the world's largest fully driverless ride-hailing zone.

The Beijing municipal government recently announced plans to support autonomous vehicles for urban public electric bus transportation, ride-hailing services, and car rentals. So far, more than 20 cities nationwide have introduced policies supporting autonomous driving tests, with more than 60 enterprises having obtained self-driving test licenses.

However, there are still some obstacles to integrating self-driving vehicles into the existing road traffic safety management system, as the legal obligations of relevant subjects involving autonomous vehicles have not been clarified under current laws and regulations, said Huang Jinjing, head of the regulation office at the Road Traffic Safety Research Center of the Ministry of Public Security.

Furthermore, the rising prominence of robotaxis in China has drawn complaints from taxi drivers as they fear that their jobs might be replaced by driverless ride-hailing cars, given that the fees for robotaxis are typically cheaper than those of traditional taxis.

According to research company BloombergNEF's "Electric Vehicle Outlook" report, China will operate the world's largest robotaxi fleet of about 12 million self-driving vehicles by 2040, followed by the United States with around 7 million such vehicles.

4. Airbus bullish on biz environment in the nation

European aircraft manufacturer Airbus has delivered its 700th A320 family aircraft assembled at its final assembly line in Tianjin, indicating the plane maker's long-term commitment to China, its largest single-country market.

The aircraft, an A320neo with 180 economy class seats, was handed over to Chengdu Airlines on Monday. By the end of June, Chengdu Airlines operated a fleet of 52 aircraft from the A320 family.

Opened in 2008, the Airbus facility in Tianjin serves as the plane maker's first commercial aircraft assembly line outside of Europe, and the Tianjin center delivered its first A320 in 2009.

Airbus started to expand its A320 fleet's final assembly capacity in Tianjin last year with a second line, and it will contribute to the company's global A320 family ramp-up plan. The new facility is expected to be put into operation and begin delivery in early 2026.

5. Mixed use of fuel, food tankers sparks debate

A report published in the newspaper The Beijing News said that mixed use of tankers for the transportation of food and chemicals has become an "open secret" in the industry, which has sparked food safety concerns nationwide.

On Tuesday, the office of the Food Safety Commission under China's State Council said it has organized the National Development and Reform Commission, the State Administration for Market Regulation, and other authorities to set up a joint team for a thorough investigation into the improper use of tanker trucks in the transportation of edible oil.

Companies and individuals who are found responsible will be severely punished, and violation of the law will not be tolerated, it said.

6.AI conference points to China's large role

The annual World Artificial Intelligence Conference, which wrapped up over the weekend, showcased China's growing significance in promoting global governance of the game-changing technology, industry experts said.

With agreements reached during this year's event exceeding 40 billion yuan ($5.5 billion), WAIC 2024 also witnessed the birth of the Shanghai Declaration on Global AI Governance.

The declaration is committed to promoting the healthy, orderly, and safe development of global AI by initiating joint efforts in its development and security, consultation on governance, mutual benefit, and shared results, and promoting exchanges and dialogue among countries.

7. China building more wind, and solar capacity than the rest of the world combined

China is building almost twice as much wind and solar energy capacity as every other country combined, research published on Thursday showed.

China has committed to bring carbon emissions to a peak by 2030 and to net zero by 2060. It has endured several waves of extreme weather in recent months that scientists say are rendered more severe by climate change.

China currently has a total of 339 gigawatts of capacity under construction, including 159 GW of wind and 180 GW of solar. That is "nearly twice as much as the rest of the world combined," according to the study by Global Energy Monitor, a United States-based NGO.

The figure far exceeds the second-ranked nation, the US, which is building a total of just 40 GW, the report said.



News source recommended to understand what's happening in China:

Government Channel:

1). State Council of the People’s Republic of China

2). National Development and Reform Commission (NDRC)

3). General Administration of Customs of the People’s Republic of China (GACC)

4). National Bureau of Statistics of China (NBS)

Chamber of Commerce:

1). The European Union Chamber of Commerce in China

Media channels:

1). China Internet Information Center, CIIC

2). South China Morning Post

3). China Daily

Kari Hakala

Executive Director (FinnCham China Shanghai)

4 个月

Nice updates.

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