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GM will meet EV quotas by 2019, China chief says
source: automotive news
General Motors and its partners will produce enough electric vehicles to meet China¡¯s EV quotas in 2019 without having to buy carbon credits to meet the standards, GM China chief Matt Tsien said on Monday.
China has set stringent EV production quotas that automakers must meet by 2019, a move that is prompting a flurry of EV deals as companies race to meet the deadline.

GM produces vehicles in China through a joint venture with SAIC, the country¡¯s largest automaker, as well as a three-way tie-up with SAIC and Guangxi Automobile Group, formerly known as Wuling Motors.

Tsien, GM¡¯s China chief since 2014, said SAIC-GM Corp. and the three-way tie-up ¡°are working to at least meet, if not exceed, those credit mandate requirements.¡±

Tsien told reporters Monday that both joint ventures will try to meet those requirements without having to buy carbon credits from other automakers with excess credits.

¡°We intend to be able to produce enough products for those joint ventures to be able to meet the EV quotas on their own,¡± Tsien said.

¡°I can¡¯t give you any specific [EV production and sales volume] numbers other than to say that through the complicated formula we will either meet or exceed.¡±

China unveiled EV requirements for automakers in late September.

When the quotas take effect in 2019, automakers will need to accumulate enough credits by producing and selling enough battery-electric vehicles and plug-in hybrids to hit a threshold equivalent to 10 percent of annual sales.

That level would rise to 12 percent for 2020.

Tsien said GM is off to a good start with an electric car that it launched in July.

The car, the Baojun E100, is available only in the south China city of Liuzhou where GM¡¯s three-way joint venture produces them.

In October, GM sold 1,724 E100s, with cumulative volume hitting nearly 4,000 since July. The E100 starts at 93,900 yuan ($14,100) but sells for 35,800 yuan after government purchase subsidies.

¡°Sales so far have largely met our expectations, perhaps even slightly above our expectations,¡± Tsien said. The car is one of the three battery-electric car models GM has available in China. GM plans to launch at least seven more electric models in China by 2020.