Home » Business » The Rise and Challenges of the Chinese Car-Sharing Program: Exploring the Abandoned Car Cemeteries

The Rise and Challenges of the Chinese Car-Sharing Program: Exploring the Abandoned Car Cemeteries

Photos of thousands of forgotten cars in pictures from China have been all over the world and only recently it became known that these are not warehouse stocks of unsold cars.

In fact, all the photos show not new electric vehicles, but already worn out and outdated for today in terms of their characteristics. This is a cemetery of abandoned cars, which will eventually be recycled.

There are similar car cemeteries in almost all megacities, their filling began in 2019. The origin of such landfills is prosaic – it is the consequences of a rather impressive and turbulent market for electric car sharing. Something similar happened when China rolled out bike-sharing schemes. Did the mountains remember the greats? Here it is similar.

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Thousands of companies have been set up under the trip-sharing project in the PRC using generous government incentives. However, support was cut in 2019 and the program gradually began to be phased out. First, the refusal of local authorities to provide free parking spaces put a spoke in the wheels of this initiative. Secondly, outdated technologies have been replaced by new generation electric vehicles.

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These factors almost ended the car-sharing program, leading most ambitious startups to bankruptcy. Economists felt that the ride-sharing model was unsuccessful on the one hand, but on the other hand, it accelerated the development of more modern electric vehicles and encouraged the Chinese people to buy electric traction vehicles for their own use.

Now in megacities they are puzzled over how to dispose of used cars, the number of which is growing daily. Photo: italiador.com

At present, China has become the largest market in the world, accounting for 60% of the world’s state-of-the-art electric vehicle fleet. The 2017 all-electric BJEV EC3 city cars pictured are considered obsolete and will rest in car cemeteries, giving up streets and highways to newer electric vehicles.

Partly in landfills there are brand new electric cars of bankrupt companies, emergency and unsold cars. Experts photographed a bunch of Toyota bZ4x crossovers and VW ID.3 hatchbacks without license plates parked next to piles of used taxi sedans from Geely and BAIC.

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There are also unsold electric cars from Changan that have not survived the price war with Tesla, but they, unlike used cars from fleets, have every chance of finding new owners.

Currently, local authorities are looking for a solution to recycling cars and especially the reuse of precious materials after recycling batteries, since it is not very reasonable to waste so many resources.

2023-08-22 16:50:00
#Chinese #phasing #electric #car #sharing

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