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China is the world’s largest emitter of carbon emissions. With a total of 1.040 billion tons of CO2 in 2018[1], the transport sector in China accounts for about 10 percent of the country’s carbon emissions. Annual total CO2 emission, by world region, Source: Carbon Dioxide Analysis Center (CDIAC), Global Carbon Project (GCP) Even though, freight and logistics vehicles account for only about 8 percent of the total vehicle fleet in China, they account for a significant share of approximately 70 percent of transport related CO2-emissions. This makes the freight transport and logistics sector an important key element of the country’s roadmap to decarbonise transport – as part of China’s plan to reach carbon neutrality by 2060 and peak carbon emissions around 2030 while making best efforts to peak earlier. In recent years, freight volume in China has been increasing on average by almost 15 percent annually. The total freight volume…

Power-to-X (PtX) also Power-to-Anything) is the general term for processes that convert electrical power into fuels (Power-to-Gas, Power-to-Liquid), raw materials for industry (Power-to-Chem) or other energy forms. To make PtX products, pure hydrogen is first obtained from the source products – power and water – by electrolysis. As the first PtX product, hydrogen is the basis for all other products. By adding CO2 or other carbon compounds, it is possible to produce further synthetic energy sources and chemical base materials such as methanol and kerosene. This process is only carbon neutral if the electricity is generated from renewable energy sources and the CO2 is removed from the atmosphere (Direct Air Capture) or if it is based on non-food crops. If this is the case, the PtX products are considered ‘green’. Key Findings Background China, with a total of 10.5 Gt of CO2 in 2018, is the world’s biggest emitter of…

China Transport Sector Policy Briefing – 2019, Issue 2 The newest issue of our China Transport Sector Policy Briefing is here! The Sustainable Mobility Team at GIZ in China provides you with regular summaries of important policies in China’s transport sector. Please click here to download: China Transport Sector Policy Briefing Issue 2 2019 World’s first  EV energy consumption standards, stricter emissions standards, pollution control of diesel trucks, shift from road to rail China has unveiled the world’s first technical standards on energy consumption of electric vehicles (EV). The national standards specify the energy consumption limits for different types of EVs, according to the State Administration for Market Regulation (SAMR) and the Standardization Administration of China (SAC). This standard is aiming to accelerate the process of implementing energy-saving technologies as well as to facilitate the reduction of energy consumption, in order to achieve energy-saving targets and to encourage a sustainable…

China Transport Sector Policy Briefing – 2019, Issue 1 The newest issue of our China Transport Sector Policy Briefing is here! The Sustainable Mobility Team at GIZ in China provides you with regular summaries of new important policies in China’s transport sector. Please click here to download: China Transport Sector Policy Briefing Issue 1 2019 In the beginning of 2019, the Chinese government is planning to strengthen China’s automotive industry, with a focus on ICV and NEV industries, while curbing pollution caused by diesel trucks. Strengthening the automotive industries, restrictions over diesel trucks Based on the “Implementation Plan on Improving and Promoting the Consumption System (2018-2020)”, NDRC on 29 January 2019 released an “Implementation Scheme on Supply-Side Measures for Further Promoting Steady Growth of Consumption and Forming a Robust Domestic Market (2019)”. The scheme sets forth a series of measures to stimulate consumption and to upgrade the industry structure in…

China has been struggling to meet the growing demands of urban delivery. With urban population continuously growing at about 15 million people per year, 58.52% of Chinese citizens now live in cities (up from 36.22% in 2000). At the same time, consumption spending per capita in China has grown by 25% in just 3 years from RMB 18,487 (about EUR 2,370) in 2013 to 23,079RMB (about EUR 2,960) in 2016. A lot of this increased consumption spending has been driving the fast growth of e-commerce, which saw a 60% annual growth (CAGR) for the past 7 years. These developments have provided a boom for logistics companies in China, which saw their express deliveries rise from 9 billion shipments in 2013 to an estimated 40 billion in 2018. However, this development also provides many challenges to both the traffic in the cities as well as the environment. With numbers of both…

Developments in the field of New Energy Vehicles (NEVs) in China have exceeded all expectations. The Middle Kingdom is by far the largest market for NEVs, with 50 % of global passenger cars being sold here (International Energy Agency (IEA), 2018). The numbers for NEVs are ever increasing: in the first half of 2018, NEV sales already reached 412,000, up from 195,000 vehicles sold in the first half of the previous year (Center for Automotive Management (CAM), 2018). Overall, China has taken a pioneering role in the e-mobility sector, with numerous Chinese cities on their way to having a fully electrified bus fleet by 2020, if not sooner. China’ s quick progress in the electro-mobility field is as much a result of industrial policy considerations as environmental concerns. A comprehensive electro-mobility ecosystem is a foundational aspect of what China regards as a strategic industry in the coming decades, supported by…

The new China Transport Sector Policy Briefing is here! In our new China Transport Sector Policy Briefing, the Sustainable Transport Team at GIZ in China provides you with a monthly summary of new important policies in China’s transport sector. Please click here to download: Transport Sector Policy Briefing – June 2018 This month, it is all about Intelligent and Connected Vehicles (ICVs), regulations for road safety, car-hailing, the fight against air and environmental pollution, and the future of electro-mobility. ICVs, road safety, car-hailing, pollution, and the future of electro-mobility Since Chinese Premier Li Keqiang visited Toyota in Japan, Chinese ministries have started to take a closer look at hydrogen. Numerous events on the topic have been held and the Provincial Government of Guangdong already suggested more support for innovations in the New Energy Vehicle (NEV) industry. But not only hydrogen, batteries have also received a lot of attention. After Shenzhen’s…

The electric vehicle (EV) industry is one of the priority areas identified in the “Made in China 2025” strategy and the targets are ambitious: by 2025, China aims to achieve a 20% share of EVs in new vehicles sold, up from 3% in 2017. China’s success in the EV industry is tied to several factors, one of the most important being the development of the (lithium) battery industry. Currently, the battery accounts for up to half of the production cost of an EV and with the global push for electro-mobility, analysts predict that the battery market is set to grow at a rapid pace in the coming years. It is thus not surprising that fierce global competition in this industry is already under way. Chinese champions such as Build Your Dreams (BYD) and Contemporary Amperex Technology Co. Limited (CATL) are benefiting from the rapid development of electro-mobility in China and…

The 4th Annual Conference of the China EV100 was held from 20th to 21st January 2018 in Beijing. This year’s theme was “Achieving global high-quality development”, focusing on electrification and digitalization of the automotive industry. Government bodies from China and abroad, including a delegation from the German Federal Ministry for Economic Affairs and Energy (BMWi) lead by Director General Dr. Wolfgang Scheremet, and several other stakeholders discussed future development strategies and corresponding measures regarding the market development of New Energy Vehicles (NEVs) in China. The “China EV100” is an association with more than 100 high-ranking members from politics, industry, academia and industry associations. Furthermore, in 2014, an international advisory board has been established. GIZ is one of the advisors and like in previous years, Sandra Retzer, Head of Sustainable Transport, Energy and Urbanisation of GIZ China, participated in the closed-door meeting of the EV100 members. The goal of this exclusive…

On June 26th, 2017, the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, together with the Royal Norwegian Embassy to China and the China Carbon Forum co-organised an event titled “Mitigating transport emissions: European and Chinese perspectives”. The event was part of the China Low Carbon Leadership Network (LCLN), an event series jointly organized by GIZ and the China Carbon Forum since 2010, aiming to encourage communication among leading local and international experts in China’s climate change sector. The event was opened with a keynote speech by Mr. Vidar Helgesen, the Norwegian Minister for Climate and Environment. Mr. Helgesen began with pointing out that decarbonisation of the transport sector in Norway is a very pressing issue, given the fact that it accounts for about a quarter of Norway’s energy-related greenhouse gas emissions. The transport sector also contributes to local air quality problems, while road traffic poses as a major source of micro-plastic…