Strategy Analytics: Chinese Car Makers Accelerating Powertrain Developments

BOSTON--At the 2010 Auto China show in Beijing, Strategy Analytics saw first-hand the Chinese concern with energy efficient powertrains, as described in the Insight, “Chinese OEMs Fast Catching Up On Powertrains.�??

“Chinese OEMs Fast Catching Up On Powertrains.”

With an eye toward energy efficiency, almost every model exhibited by the Chinese manufacturers incorporated advanced multipoint fuel injection systems with variable valve timing, many with downsized engine capacities and super- or turbo-charging. Strategy Analytics believes that there will be further deployment of gasoline direct injection systems, more advanced engine management systems, exhaust gas recirculation (EGR), stop-start systems and hybrid and electric powertrains in the longer term. New automated transmission systems will further enhance powertrain efficiency in China.

“What is noticeable is the rapid pace of change,�?? according to the author of this Insight, Kevin Mak, Industry Analyst of the Strategy Analytics Automotive Electronics Service. “The Beijing administration understands the danger of China’s growing reliance on imported oil. It has to encourage powertrain efficiency in order to stabilize oil demand while continuing to grow their automobile industry.�??

Mak continued, “The country has also been criticized for the level of pollution, at home and abroad. As a result, there have been moves to speed up the implementation of tougher emission standards, as well as a new fuel economy mandate. Furthermore, there may be changes planned for tax incentives to be based on carbon dioxide emissions or fuel economy, replacing the current system based on engine capacity and a more generous subsidy program for hybrid and electric vehicles.�??

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