BANGKOK, May 23 (Xinhua) -- As a global leader in new energy vehicle (NEV) manufacturing, China is making a major contribution to the fight against climate change and the country's production capacity in this burgeoning green development industry is far from reaching its peak, said a Thai auto industry expert.
Suroj Sangsnit, vice president for industry and business development of the EV Association of Thailand, dismissed the notion of "overcapacity" in the new energy sectors in his recent interview with Xinhua, saying efforts to limit the increase in global temperature are still falling short.
Suroj added that the adoption of zero-emission transport, like the NEVs, could be a cost-effective and practical approach to tackling climate change compared to other developing technologies.
Last year, China saw a significant increase in the adoption of the NEVs, with about 30 percent of all car sales being the NEVs. This surge is attributed to the country's fast-paced green development and a booming auto market.
As China eyes the NEVs to make up 45 percent of new car sales by 2027 while gradually phasing out older internal combustion engine vehicles, Suroj noted that the production capacity of the NEVs is still trailing behind the demand for a shift from fossil fuel to electric-based transportation.
The International Energy Agency projects that by 2030, the global demand for the NEVs will hit 45 million, a figure 4.5 times higher than that of 2022.
Suroj views Chinese automakers, who are leveraging their technological expertise to set up production plants and form joint ventures abroad, as key contributors, bringing competition, technological advancements, and affordability to the Thai market. This collaboration also creates jobs and fosters technology transfer to local firms in Thailand.
"Countries should prioritize cooperation over protectionism when it comes to industrial development. By working together, we can share knowledge and technology, enabling each nation to achieve similar levels of advancement," he added.
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