China plans to ban new vehicles powered by gasoline and diesel engines. The implications for the global auto industry run deep.
The move is spun as an environmental story. But it’s a major economic story as well.
No date was given, but earlier this year Great Britain and France each vowed to implement such a ban by 2040. Several other European countries and India have announced their own versions, pressured in part to reduce greenhouse gases under the international Paris accord on climate.
China has similar goals but another aim, too. In 2010, it made clear its long-term intent to become the No. 1 nation in electric vehicle sales.
