Auto makers could face hefty losses meeting China’s mandate that electric vehicles constitute roughly 3-4% of their output in 2019 and 2020
SHANGHAI—Auto makers struggling to meet government targets for electric-vehicle production are facing the prospect of heavy losses—whether or not they satisfy the mandate.
Pressure to build electric vehicles in China was evident at Tuesday’s opening of the Shanghai auto show, as launches of EVs supplanted gasoline-powered cars on center stage. Global players such as General Motors Co. and Volkswagen AG are promising dozens of new models while plowing billions of dollars into EV development.
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