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China Daily | Updated: 2015-08-24 07:59

New-energy BAIC car plant opens in Qingdao

Beijing Automotive Industry Corporation, or BAIC, unveiled a new-energy vehicle plant in Qingdao, Shandong province on Aug 20.

The plant, with total investment reaching 5 billion yuan ($783 million), can currently produce 50,000 new-energy vehicles a year.

When it reaches full capacity it will be able to produce 150,000 vehicles a year. Zheng Gang, head of BAIC's new-energy vehicle arm, said new-energy vehicles will become the trend of China's auto industry.

Zheng said BAIC's total output capacity could hit 10,000 vehicles in 2015, four times the volume in 2014.

Safety issues prompt Volvo to recall SUVs

Volvo will recall 1,352 XC90 SUVs made from Jan 27 to July 10, in China due to safety problems, according to the China News Service.

Tests found that the SUVs' side air curtains in the third row might not function as they were designed to.

The media report said Volvo will solve the problem free of charge for recalled vehicles and faulty vehicles in stock will not be sold until they are repaired.

Controversy continues over car-hailing apps

Several ministries including the Ministry of Transportation and the National Development and Reform Commission summoned the car-hailing companies Didi, Uber, CAR and Yidao to a meeting.

What was discussed at the meeting is not known, however, the four companies pledged to abide by Chinese laws.

Meanwhile, the China Insurance Regulatory Commission said insurance companies will not cover accidents involving private cars that offer car-hailing services.

Tax exempt car models released in govt list

The Chinese government issued the latest list of car models eligible for tax reductions and exemptions on Aug 21.

On the list are 565 energy-saving models, of which 301 are passenger cars.

There are also 1,734 new-energy vehicles, of which only 13 are passenger vehicles while commercial ones account for 98 percent of the total. The moves are expected to boost sales in new-energy vehicles.

Motoring

(China Daily 08/24/2015 page18)

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