China which is now the world's biggest auto market has made plans to ban the production and sale of diesel and petrol vehicles.
The official Xinhua news agency reported on Sunday that Xin Guobin, vice minister of the Ministry of Industry and Information Technology, said his department was conducting "relevant research" was looking into possible timeframes for a ban. "Those measures will certainly bring profound changes for our auto industry's development", he said.
Liu Zhijia, assistant general manager at China's largest passenger vehicle exporter Chery Automobile Company, said, "The implementation of the ban for such a big market like China can be later than 2040".
Several Chinese cities, including Beijing and Shanghai, have already imposed severe restrictions on sale of new cars to contain air pollution and to restrict traffic congestion.
"This will ask everyone, from energy and technology sectors as well as traditional automakers, to change to the lane to develop new powertrains", Zhang Yang, a vice president at electric vehicle company Nio, told Bloomberg.
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It was only during the 2017 PSL final that people in this cricket-starved country saw such euphoria. It will be after a gap of eight years that a top flight worldwide game will be held in Pakistan .
In the near-term, China will gradually move from New Energy Vehicle (plug-in vehicle) subsidies to simply requiring a certain quota of plug-in auto sales - which is the ultimate way to ensure compliance.
The China announcement is another step in the country's continuous plans for renewable energy. The ministry will work out the timetable, Xin said.
China is considering dialling back or delaying the proposed measures after industry feedback that the targets are overly ambitious.
China plans ban of petrol cars.
The most sensitive to market trends, leading industrial players have been quick to respond.
The Japanese carmaker is developing the vehicle with Chinese joint ventures of Guangqi Honda Automobile and Dongfeng Honda Automobile, and will create a new brand with them, he said. State media estimated that automakers will sell over 800,000 electric cars in China in 2017, an increase of about 58 percent over the previous year.
Global cooperation on NEV production is also gearing up.