China's automobile industry is expected to sell more than 3 million hybrid and electric cars this year. The China Association of Automobile Manufacturers (CAAM) predicted in October that the sale of 3 million hybrid and electric cars would take up half of the global share. However, due to China lacking the necessary charging facilities on motorways, many consumers may decide to opt-out of buying hybrid and electric cars.

Car Charging Remains Difficult

While electric cars are good for short distances, many consumers are concerned about driving long-distance in a fully electric car, thus holding off purchasing such vehicles.

Hundreds of millions of Chinese drivers were on the road during October's National Day Holiday. The current charging stations along the highways are overcrowded, with some drivers having to wait up to four hours to charge their vehicles.

China has an average of one charging station for every three electric cars. It will still be a while before China can get to a one-car to one charge ratio. One of the major challenges is being able to put charging stations within old neighborhoods that aren't equipped to deal with taking huge charge loads.

The Chinese government has since required newly built residential buildings to have charging posts installed. However, drivers of petrol cars have been taking up these charging lots and many residential buildings are not keeping up with the necessary maintenance for the charging posts.

Infrastructure Follows the Money

According to analysts, the infrastructure needed for electric cars usually goes where the money is. Charging stations and charging posts are mainly concentrated within central business districts. The central business districts allow for a higher commercial return for running the plugs.

As an increasing amount of cars crowd the cities, more people will refuse to use charging stations in rural areas. The problem of having the necessary infrastructure for consumers who choose electric cars arises due to the fact that 50% of the Chinese population lives in rural areas. It is therefore important to find a way to incentivize charging stations so that investors will invest in areas where there is low utility.

Moreover, batteries are another issue for consumers. It is predicted that in 2022, there will be a shortage of lithium for batteries. There is also a need to dispose of the toxic chemical once the batteries are no longer operating, which is another issue.

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