(Picture Source: https://kr-asia.com/e-bikes-are-cruising-into-chinas-small-towns-after-nationwide-standardization)
Guigang City, located in south China’s Guangxi Province has been focusing on developing an industrial cluster of new energy vehicles (NEVs) and electric bikes (e-bikes). The city is currently promoting their use to new markets across the Belt and Road Initiative. Closest to Vietnam and the ASEAN markets expected to an ease exports destinations in South Asia, Europe, and Russia.
The construction has already begun, and expected an annual NEV output value of 100 billion yuan (US$14.1 billion). It has incorporated over 100 businesses, related with the NEV industry, including e-bike producers such as Aima, TAILG, and OPAI, as well as components and parts manufacturers. There are more than 50 brands are now in operation. Gangbei, the regional district in Guigang earmarked for this, already has an annual production capability of 5 million e-bikers, 500,000 electric tricylces and 5 million sets of e-bike parts, forming a relatively complete industrial chain.
In a way to serving the domestic market, Guigang is also looking to explore the global markets, given the opportunities brought about by the Belt and Road Initiative, the Regional Comprehensive Economic Partnership (RCEP) the INSTC and other trade corridors.
On September 16, the first 75 of a total order of 450 e-bikers were shipped to Thailand from Guigang Port. Valued at US$243,000. This export marks an important step for Guigang-made e-bikers to enter ASEAN markets. China has a Free Trade Agreement with ASEAN.
The NEV market in China is supported by subsidies as well as long standing tax breaks. Interested foreign investors in the NEV industry should refer to China’s policies in the industry.
This article in retrieved from: https://www.silkroadbriefing.com/news/2022/09/27/chinas-guigang-city-the-new-south-asian-hub-for-nev-manufacturing/ October 12th, 2022