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Adoption and Growth of Fuel Cell Vehicles in China: The Case of BYD

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  • Hassan Qudrat-Ullah

    (School of Administrative Studies, York University, Toronto, ON M9V 3K7, Canada)

Abstract

Compared to battery electric vehicles (BEVs), fuel cell vehicles (FCVs) have been developing since the early 2000s due to their efficiency and environmental advantages. However, unlike the battery industry which has already achieved economies of scale, the scale of fuel cell manufacturing is still in its early stage in China. In this exploratory study, using the case of BYD, we identify and analyze the key economic and environmental factors that might facilitate and propel the adoption of FCVs in China. Utilizing quantitative (i.e., the statistically descriptive method) and qualitative (i.e., a semi-structured interview and Porter’s model) reasoning, this study finds that by systematically addressing two factors, (i) customers’ misperceptions about the safety and environmental friendliness of FCVs and (ii) lack of technical competencies in the upstream and downstream of the FCV industry’s value chain in general and for BYD in particular, the sustainable development and adoption of FCVs in China can be achieved.

Suggested Citation

  • Hassan Qudrat-Ullah, 2022. "Adoption and Growth of Fuel Cell Vehicles in China: The Case of BYD," Sustainability, MDPI, vol. 14(19), pages 1-18, October.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:19:p:12695-:d:934526
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    References listed on IDEAS

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    Cited by:

    1. Wang, Xuanwen & Zhu, Lei & Zheng, Haitao, 2025. "The relationship between technical innovation and market value: Evidence from the China's new energy vehicles industry," Energy Policy, Elsevier, vol. 202(C).

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