China Economic Review
Charting China’s changing economic terrain · Since 1990

No technology, no sale

September 19, 2010

The Chinese government has drafted a new plan which, if put into effect, would force foreign companies to share key eco-friendly car technologies in order for them to be permitted to sell their vehicles in China. The news comes while China is already the object of a great deal of grumbling from foreign automakers that it is using its massive market to skew business in its favor. The new requirement would be the most extreme example yet of this type of strong-arming. Eco Auto Ninja said that if the report that came with the proposal is to be believed, enforcing such a technology requirement would catapult China to the forefront of the eco-auto industry, allowing it to produce more affordable and competitive hybrid and electric cars by 2020.

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