21st Century Business Herald reporter Li Deshangyu and Southern Finance all media reporter Lu Taoran report from Beijing
Recently, during the 29th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP29), 21st Century Business Herald reporters saw multiple NIO cars driving on the streets, indirectly delivering heads of state and VIPs to various venues. The black car bodies were printed with words such as "COP29".
According to further information from 21st Century Business Herald reporters, NIO became the designated car brand for VIPs at COP29, contributing 140 work vehicles to the conference, including NIO ES8, ET7, and ES6 models.
"Although Azerbaijan's automobile market is small, with an annual sales volume of only 20000 to 30000 vehicles, the country is geographically located at the crossroads of the Eurasian continent, which is of great strategic significance, and is a key node in the joint construction of the" the Belt and Road ". Recently, Qin Lihong, the co-founder and president of Weilai, told the 21st Century Business Herald reporter at the above sideline meeting that Weilai signed a strategic cooperation agreement with Green Car, announcing that it will officially launch business in Azerbaijan and provide smart electric vehicle products and services to local users.
Azerbaijan, the host country of COP29, meaning "country of fire", is one of the world's most important energy exporting countries. Azerbaijan borders Russia to the north, the Middle East to the south, Europe to the west, and Central Asia and China to the east. In recent years, it has introduced multiple sustainable green development policies.
According to 21st Century Business Herald reporters, Azerbaijan released the "2030: National Socio Economic Development Focus" in 2021, which clearly set goals to reduce greenhouse gas emissions and increase the proportion of renewable energy generation, and plans to increase the proportion of renewable energy generation to 30% by 2030.
Ilham Nasirov, advisor to the Minister of Ecology and Natural Resources of Azerbaijan, stated at another meeting that China has taken action on renewable energy projects, and Azerbaijan will launch more new energy projects after 2030, with an expected decrease in the proportion of non renewable energy in the national energy structure.
Nasirov introduced that the Azerbaijani government has promoted the popularization of electric vehicles by reducing import taxes and encouraging the construction of charging stations. In recent years, Azerbaijan has been rapidly growing in the electric vehicle field, especially in 2023, where the number of electric vehicles has increased nearly 20 times compared to 2021. Azerbaijan will launch more new energy projects after 2030, and it is expected that the proportion of non renewable energy in the national energy structure will decrease
Ayan Najaf, a member of the COP29 organizing committee and spokesperson, stated at a side event that Azerbaijan's goal is to reduce carbon dioxide emissions by 40% by the middle of this century and achieve net zero emissions by 2035. Najaf emphasized that Azerbaijan is vigorously developing its new energy industry, especially in the field of electric vehicles, and actively seeking international cooperation, especially in think tank exchanges, knowledge transfer, and technology cooperation. China plays an important role in the global green transformation, and Azerbaijan hopes to achieve more green energy projects in Asia and join hands with Chinese companies to address climate change.
At present, compared with large Western automobile companies, China's new energy industry has considerable advantages in technology, products, and service concepts. Qin Lihong said that priority should be given to developing cooperation with the world, especially countries that have good interaction with China. Meanwhile, for developed countries, patience is needed.
He further explained that trade barriers have been encountered in the development of the European Union, and suggested adopting a long-term and patient strategy. "We believe that trade barriers will eventually disappear, and the direction of human development is towards new energy and globalization
In recent years, there have been frequent trade frictions between China and overseas, especially in the field of electric vehicles. According to 21st Century Business Herald reporters, the European Union has launched a countervailing investigation into Chinese electric vehicles and decided in October 2024 to impose tariffs of up to 45.3% on electric vehicles imported from China; The EU has set strict carbon footprint requirements for power batteries through the Battery and Waste Battery Act; The EU has also introduced the Carbon Border Adjustment Mechanism (CBAM), also known as the "carbon tariff," which further raises the threshold for Chinese electric vehicles to enter the European market.
Qin Lihong frankly stated that the current discussion on new energy vehicles is different from the past, mainly focusing on China's leadership in products and technology.
The latest data shows that as of the end of July 2024, the total installed capacity of wind and solar power in China has reached 1.2 billion kilowatts, 2.25 times that of the end of 2020, achieving the promised installed capacity to the international community more than 6 years ahead of schedule. In the field of transportation, China's production and sales of new energy vehicles account for over 60% of the global total, ranking first in the world for nine consecutive years. This year alone, the production of new energy vehicles has exceeded 10 million units.
Qin Lihong introduced that in the past six quarters, NIO's average R&D investment per quarter was 440 million US dollars, accounting for 24% of the same period's revenue; As of now, NIO has delivered over 600000 high-end intelligent electric vehicles. In China, NIO has a market share of nearly 70% in the high-end intelligent electric vehicle market worth over 300000 yuan.
The future of the automotive industry lies in new energy vehicles. Chinese companies have achieved significant advantages in the field of new energy and continue to expand their leading positions. Faced with trade barriers and diversified discussions, Chinese companies should focus on improving product quality and services, investing in cutting-edge technology and concepts, "said Qin Lihong.
(Intern Lu Rongsheng contributed to this article)