Car makers offer more electric vehicles in China

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SHANGHAI China's electric-car market is already the world's biggest, but a government proposal to introduce "new energy" vehicle quotas for automakers is further charging it up.

With the threat of the measure looming, major manufacturers at the annual auto show in Shanghai are announcing big plans to boost their electric vehicle (EV) offerings in China.

Volvo has confirmed it will introduce its first 100 per cent electric car in China in 2019, while Ford will market its first hybrid vehicle early next year and envisions 70 per cent of all Ford cars available in China will have electric options by 2025.

The push could have a profound impact on the green-car sector, as resulting economies of scale bring down the costs of producing and buying such cars.

Sales of such vehicles jumped 53 per cent last year, fuelled by government incentives. In all, 24.38 million passenger cars were sold in China last year.

China has offered incentives for EV purchases to help fight chronic air pollution, but has begun scaling back those inducements this year, causing sales to stumble.