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China to penalize automakers that fall behind fuel targets

China's government plans to name and shame substandard manufacturers to improve fuel economy

Hazy daysCleaning up their act Image: Michael Robinson

Part of the initiative, aimed at ensuring all new passenger vehicles meet certain fuel consumption requirements by 2015, will also include production restrictions on the worst offenders.

Both foreign and domestic automakers will be urged to use more advanced technologies and ramp up development and production of hybrid and electric cars.

Under the new rules, which will come into effect on November 1st and are on a par with those enforced in Europe, Japan and the US, will involve a fleetwide corporate average target of 6.9 litres per 100km in 2015 and 5 litres in 2020.

Alongside restricted production and naming and shaming, repeat offenders will also face a ban on expansion plans and producing new models until they were able to prove they could meet the necessary requirements.

The latest plan could have a serious impact on the nation’s carmakers. In 2013, a survey of 85 manufacturers in China showed that around 30% of producers fell below the standards required even in 2013. Adopting even more advanced technologies could be difficult for smaller manufacturers.

Nonetheless, the regulations also cover imported models and last year GM, Nissan, Porsche and Hyundai all brought in models that failed to meet the standards.

Tags: China, China OEM Equipment, CO2 emissions, GM, hybrids, Nissan, OEM Equipment, Porsche

Published 26th October, 2014

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