Taiwan EV Subsidy Program Established to Promote Electric Car Development

By John O'Dell February 5, 2010

panda1.jpgThe government of Taiwan, in an effort to help the country's developing electric car industry, said it will institute a nearly $100 million (U.S.) multi-year subsidy progam initially aimed at supporting nascent EV makers.

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Taiwan's Yulon Motor is working with China's Geely automobile to develop an EV based on the Geely Panda.
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Funds for the first three years - the amounts haven't been specified - will go to subsidize purchase of 3,000 EV by 10 city governments on the island, creating a market for EV makers.

The principal beneficiary, according to analysts at IHS Global Strategies, will be Taiwan's largest automaker, Yulon Motor, which already is developing EVs in partnership with China's Geely Automobile.

The second phase of the Taiwan EV subsidy program announced today will begin in 2013 and will provide consumer incentives  to promote EV purchasing.

China and Taiwan have a cooperative economic development agreement that calls for automakers in the two countries to jointly build up to 45,000 EVs a year in Taiwan by 2015.

Taiwan also wants to be a major devloper and exporter of various electric vehicle components including batteries and electric motors.  The government program is seen as a way to help Taiwanese companies get started in those markets.

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