Is China Using The Opportunity of Electrifying Its Transportation Systems To Dominate 5G Market?
Why China is so intense in promoting electric cars over gasoline-guzzled cars? I think there are more than a few incentives for China to promote electric cars over gasoline-guzzled cars! The first incentive is so obvious that I don't even need to talk about but I'm going to anyway.
Firstly, China has a very big pollution problem! Although China is no longer having the most polluted cities in the world since India is now taking over this top spot, nonetheless China is still seeing Chinese big, busied cities being polluted by coal and gasoline heavy usages. The Chinese government has continually battled pollution by shutting down companies' plants that rely on coal. Now, China pushes the pollution war ahead by promoting electric cars over gasoline cars. Meanwhile, China is heavily building more renewable energy sources such as wind farms, nuclear power plants, solar farms, and whatnot.
Secondly, China wants to control the auto industry market better since China got a bigger middle class than anyone else. This means China wants to see homegrown champions in car making and other automobile vehicles. This means China wants to have a stronger foothold in producing automobile vehicles, but the United States and Western countries are experts in making traditional automobile vehicles such as gasoline and diesel ones. Since China cannot compete directly against the West in making traditional vehicles, and so China is promoting electric vehicles to push homegrown automobile vehicle-making companies to leapfrog the Western automobile companies in automobile technology through electric vehicles.
Thirdly, China knows that when there are more electric vehicles on the roads and highways, the transportation system needs to be upgraded to become more futuristic. For example, electric vehicles of the future could be driverless and so each of these vehicles needs to communicate with each other and also to the transportation system itself. This is why China is heavily pushing for 5G. With 5G technology through homegrown companies such as Huawei, China can push for electric, driverless vehicles and smart transportation systems without worrying about the feasibility of vehicle safety since 5G will speed up the data communication between the nodes/vehicles on smart, futuristic transportation systems.
I think China is using the 5G opportunity to push its transportation systems toward electric but also using the electric proliferation opportunity to fight pollution and dominate the telecom industry of tomorrow which is 5G. It's a marriage that pushes the Chinese economy to higher ground in the coming months and years. This is why I think China is so protective of Huawei. Huawei is a leading 5G company in the world, so I don't think China will take it easy at all if anyone is going after this company. After all, China got a goal to meet -- electrified Chinese transportation and telecom industries.