Visitors look at a new-energy vehicle on the sidelines of the 2019 World New Energy Vehicles Congress in Bo’ao, South China’s Hainan Province. Photo: VCG

Responsible authorities in China will ensure the supply of power battery resources as the cost for domestic manufacturing of new-energy vehicles (NEVs) remains high, a senior Chinese industry official said on Thursday. 

The cost of NEVs in China is still on the high side, Xin Guobin, vice minister of the Ministry of Industry and Information Technology (MIIT) said through a video presentation on the 2021 World New Energy Vehicles Congress (WNEVC 2021) on Thursday. 
 
Xin added that power battery, a key component of electric vehicles, is facing the pressure in accessing resources including lithium, cobalt and nickel amidst rising prices. MIIT will work with responsible agencies to speed up coordination and improve supply chain security. 

Xiang Libin, vice minister of the Ministry of Science and Technology also said at the WNEVC 2021 on Thursday that the Ministry of Science and Technology will place the development of power batteries at the center of scientific and technological support policies. 

Xiang pointed out that the future potential for the battery storage of pure electric vehicles is growing, and the ministry will support the development of related research projects.

The production and sales of new energy vehicles was recorded at 309,000 and 321,000 respectively in August, up 1.8 times year-on-year, according to data from the China Association of Automobile Manufacturers, with the penetration rate of NEVs increasing to 17.8 percent and the penetration rate of new-energy passenger vehicles reaching close to 20 percent.

From January to August, the production and sales of NEVs reached 1.81million and 1.80 million respectively, with a year-on-year growth of 1.9 times, and a market penetration rate of cumulative sales hitting nearly 11 percent. 

Global Times