Tag Archives: Cars

Cars in China

Elysium, China and the Electric Car Question

China Elysium
China Elysium

 

On the long flight back from China to New Zealand recently, one of the films I watched was Elysium.  The sci-fi thriller probably won’t make my top-10 list, but some of the content felt disturbingly close to home.

 

Although earth in Elysium was depicted as a polluted and overpopulated Los Angeles in 2154, it had elements of the way China is going right now, as the air and water pollution seem to be getting worse every year.  The luxurious space habitat that the earthlings wanted to escape to, reminded me a little bit of New Zealand – although with slightly better looking inhabitants and a far superior health system.

 

A recent McKinsey poll in China, found air and water pollution to be Chinese consumers’ fastest growing concerns – 11% and 7% up on last year – and the forth and fifth biggest concerns overall.  Interestingly, the concerns were confirmed by a recent report by the Shanghai Academy of Social Sciences, claiming that Beijing was almost uninhabitable for human beings due to the pollution. Whether or not these claims are ‘exaggerated‘, as reported by Chinese state media, the pollution appears to be getting even worse, not better, based on both official reports and my personal experiences, particularly in Shanghai.

 

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China’s One-Child Policy Shaping the Cars of the Future

While most of the world’s major economies splutter along, China’s blistering economic growth has businesses everywhere salivating for a piece of China’s increasingly wealthy middle class.

 

Everyone peddling something from adventures down the Nile River to skin-whitening face cream are redefining their strategies to get a piece of the Chinese pie. Even Porsche chose Shanghai for their world debut of the 4-door family wagon Porsche Panamera – its biggest launch in years.

 

Launch of the Porsche Panamera in Shanghai
Launch of the Porsche Panamera in Shanghai

 

But it seems ads with backdrops of Chinese skylines are for beginners, when you see the lengths the world’s biggest auto manufacturer is going to get their cars on Chinese roads…

 

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Who Wants to be a Billionaire in China? Early Death and Lack of Sex

Their mansion cellars are chock-full of the finest burgundies. Their gift cupboards, packed with luxury European goods. As they play real-life monopoly with central London property, their offspring purr around the cities in orange Lamborghinis. In this land of China, where the authorities have traditionally strived for a classless society with common property ownership, the number of US$ billionaires are growing like Jack’s beanstalk.

 

Billionaires in Beijing, China with their toys
Chinese Billionaire’s toys : the Lamborghini and Rolls in Beijing

 

As much of the world suffers through their financial crises, China’s rampant economic growth continues to pump out billionaires. Between 2009 and 2010, the number of Chinese billionaires grew 45% from 130 to 189, from 2010 to 2011, 43% to 271.  China’s tally is now second only to the United State’s 413 mega-wealthy.

 

But China’s actual Billionaire count could be more than double the official figures. Rupert Hoogewerf, chairman and chief researcher from Hurun Rich List 2011, estimates there are a further 300 ‘hidden billionaires’ lurking amongst China’s financial underworld.
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Bicycles and other traffic in China

In days gone by, talk of China would conjure up sepia images of streets crowded with men on bicycles. Times have changed.

 

During the swinging 60’s and 70’s, the must-have items for a marriage in China were a wrist watch, sewing machine and bicycle. Now there are cheap rip-off watches everywhere, someone else does the sewing and almost everyone wants an automobile. Yes, the monarchy of the ‘Kingdom of Bicycles’ has been overthrown.

 

 

chinese-bike-lane-street
Push bikes are gathering dust in China as the locals opt for cars.

 

Back in 1949 when The People’s Republic of China was formed, the party in Beijing opted for the bicycle as the people’s vehicle and started a massive production drive, making two wheels and a chain a big part of their first Five-Year plan. Pedal power took off.

 

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Here’s to the Year of the Rabbit!

Every year it comes with blasts of gunpowder, steamed dumplings and red envelopes. Chinese New Year or Chūn Jié (Spring Festival) as it is known in China is The celebration on the Chinese calendar. Think Christmas, New Years Eve and Thanks Giving all mashed into 15 days of festivities. Fireworks bang, red oval lanterns hang and red cut-outs are plastered everywhere; symbolic of happiness, longevity and wealth.

 

 

During the Chinese New Year Festival it’s obligatory to be with your nearest and dearest, so every year sees hundreds of millions of Chinese return to their hometowns and villages. It’s when the city folk really appreciate the migrant workers doing menial jobs to keep the cities ticking over, because things slow right down once they’re gone. They’ll leave by train, bus, car, motorbike, boat, bike, horse, plane, whatever. It is the largest human migration on the planet, by far.

 

Over the festival, around 2.6 billion trips are made. That stretches China’s extensive transport networks to breaking point. For most Chinese, train travel is the mode of choice – it’s safer than planes and the roads are congested and less comfortable. But the finite capacity means only about 12% of trips during the festival period are on tracks.

 

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Who said China was a-changing?

When I was a youngster, China really scared me. I’d been told if everyone in China all jumped at the same time, the whole world would wobble. Although there hasn’t been a coordinated hop, China is without doubt, shaking up the balance of the world.

 

Curiosity has drawn Ellen and me to get in amongst China during this fascinating time in history. I was lucky enough to be working for an Internet company in North America during the dot-com boom, Ireland when the Celtic Tiger was roaring and New Zealand when microwave ovens were introduced, but nowhere has the rate of change been more apparent than in the Middle Kingdom.  This is the biggest boom in history.

 

The rate of change for almost everything in China is staggering; incomes (almost 300% since 2000), car sales (32% last year), the market for art (25% last year), number of billionaires (57% last year).  Even more impressive is the scale of it all – the rates are measured across 1.3 billion people!  And although developing countries have a low starting point to measure growth from, significant tracts of China are long past the ‘developing’ stage.  Shanghai, for example, now has a higher average GDP than parts of southern Europe.

 

suburban_beijing
View northwest to the suburbs of Beijing. This is not downtown, but the burbs, where shiny towers are popping up everywhere



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