China's electric vehicle industry taking off, but bubble could burst

Despite market's huge potential, challenges include sustainability of the economic model

Published Sun, Jan 3, 2021 · 09:50 PM

    Beijing

    CHINA's electric vehicle (EV) industry is taking off on the back of a healthy car market and strong government support, but many challenges remain for the market to fully mature and consolidations are expected, analysts said.

    The EV market grew 8 per cent last year, according to figures published by China Association of Automobile Manufacturers, and it is expected to soar by 40 per cent in 2021 as China's economy stabilises.