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Changan is the first Chinese automaker to state its intention to stop sales of petroleum and diesel cars.
Changan is the first Chinese automaker to state its intention to stop sales of petroleum and diesel cars.

On October 19, Changan Automobile Group (长安汽车)announced the Shangri-La Plan – its new energy vehicle strategy, stating its intention to stop selling traditional petroleum-powered vehicles by 2025.

The company is the first Chinese automaker that comes up with a concrete timetable to ban petroleum and diesel cars after the Minister of Industry and Information Technology revealed plans to accelerate electric vehicles (EV) development and to phase out traditional cars in September.

Although the Chinese government has yet to publish a formal time frame, Christoph Frei, the World Energy Council's Secretary General, revealed at an energy conference in Austria that China will prohibit the production of petroleum and diesel cars in 2040, and the decision will likely be announced "in a few months".

According to Changan's plan, it aims to establish three major new energy vehicle (NEV) platform by 2020, and rolls out 21 different NEV models and 12 hybrid vehicles in 2025.

To achieve its goals, the company will be investing US$1,000 billion in R&D, with US$200 billion allocated in charging facilities, US$500 billion in vehicle models, and US$300 billion in battery.

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