Integration and Coordination in theDevelopment of China’s Electric VehicleIndustry: Mechanisms and PolicyImplications

Wang Yong, Xu Wan*, Hu Qiyuan

Institute of New Structural Economics at Peking University (INSE), Beijing, China

Abstract: China’s electric vehicle industry has undergone a rapid development over thepast decade, boasting cutting-edge technology and a mature domestic market. The growthof China’s electric vehicle (EV) industry is prominently characterized by integration andcoordination along the industrial supply chain. This paper provides a systematic analyze onChina’s EV industrial integration and develops a framework to investigate its mechanisms inpromoting industrial development. In particular, we explored the crucial role of coordinatedintegration along the industrial supply chain in leveraging the comparative advantages ofeach segment and building overall international competitiveness. Finally, pathways andpolicy recommendations are proposed for promoting the high-quality development of otherstrategic emerging industries through industrial integration and coordination.

Keywords: Electric vehicle industry ,industrial integration and coordination, strategic

JEL Classification Codes: O14, E65

DOI: 10.19602/j.chinaeconomist.2024.11.01