China is gearing up to ban the sale of combustion-engine vehicles in a move that would have a huge impact on the global auto industry. Government officials added, though, there was no date yet for such a measure.
A China ban on the sale of gasoline and diesel cars would be a boost to the makers of electric vehicles and shake up the auto industry not only in the world’s second-biggest, but pollution-plagued economy.
The plan would follow decisions by France and Britain to outlaw combustion-engine vehicles from 2040 to clamp down on harmful emissions.
Xin Guabin, vice minister of industry and information technology, told a forum in the northern city of Tianjin that his colleagues had started “relevant research” and were working on a timetable for a ban in China.
While the government did not give a date for such a measure to be enacted, the announcement on Monday drove up the shares of Chinese automakers, with domestic e-car leader BYD seeing its stock soar by over 7 percent.