Auto Sector in Asia Looks Promising with China and Japan working on Power Generation Technology in Electric Cars


Published Date : Oct 29, 2015

China and Japan, the two largest automobile powerhouses in Asia, are competing to gain technological knowhow to generate power in electric cars – from batteries to hydrogen-powered fuel-cells. This potential clash will be similar to the Beta-VHS video war between Sony and Panasonic in 1980s. The winner will dominate the electric cars market with their technology being adopted as a global standard by other car manufacturers. The future automobile market is open to both electric battery and hydrogen-fuel cell cars. The important question is which technology will power the mainstream cars manufactured by top car manufacturers such as General Motors, Toyota, and Volkswagen.

According to analysts, it is difficult to point out the significance of choice between hydrogen and batteries. China, being a major oil importer, is stressing for electric cars. Owing to increased pollution in the country, the government is offering incentives to electric car buyers and opening its market to technology firms and others to produce such vehicles. This has compelled the global car manufacturers to share their technology. Further, Chinese President Xi Jinping has stated that the country’s auto sector’s growth lies in developing new energy vehicles. 

Japan, on the other hand, is putting its money in fuel-cell technology and infrastructure. This initiative is a part of the country’s nation policy to create a ‘hydrogen society’ where hydrogen would be used to power homes and automobiles. Japan and China are not the only contestants in the electric cars market. Hyundai Motor in South Korea and Daimler in Europe are working on developing a hydrogen car. General Motors is partnering with Honda on hydrogen cars while BMW has become fuel cell partner for Toyota. It will be interesting to see how China and Japan face the stiff competition from European car manufacturers and dominate the global electric vehicles market