SHANGHAI/BERLIN : Automakers including Volkswagen and General Motors could have considerable unused production capacity for conventionally powered vehicles in China by 2030 if they do not speed up their transition to electric vehicles , Greenpeace said on Thursday.
Over-capacity in China's combustion engine car industry is a long-standing issue, with a ban in place by regulators since 2017 on the construction of new capacity. Greenpeace estimated that if NEVs make up 40 per cent of sales by 2030 - a conservative forecast considering 30 per cent of sales this year so far were of NEVs - a third of ICE production capacity at 10 major automakers including Volkswagen AG, Toyota Motor Corp and General Motors Co could end up unused.
GM and Volkswagen will face the largest pressure with over 3 million units of idled capacity for ICE cars in China, presenting a major risk for those automakers, Greenpeace said.