Why does electric vehicle deployment vary so much within a nation? Comparing Chinese provinces by policy, economics, and socio-demographics

Abstract

Despite the global growth of the electric vehicle (EV) market, disparities in EV distribution within countries remain apparent. To shed light on the issue, this study investigates the spatial dimension of China's EV sector. Using five EV-related indicators and the c-means clustering method (FCM), this study conducts a cluster analysis to examine the spatial distribution of the EV sector across 25 provinces in Mainland China. By selecting one representative province from each cluster, a comparative case study was subsequently performed to uncover the factors contributing to variations in EV development among provinces. Our findings reveal the presence of regional imbalances and identify four distinct clusters: producers (five provinces), retailers (two provinces), green transport (seven provinces), and laggards (eleven provinces). The study reveals that provincial economic and socio-demographic factors, along with policy mixes, play significant roles in shaping this heterogeneity. A robust economy drives EV demand and support the establishment of charging infrastructure and new technologies. Additionally, a thriving automotive sector can facilitate the EV development. However, protective tendencies exhibited by provincial governments towards existing production hinder the adoption of new technologies and impede EV sector growth. The proactive approach of governments and the integration of policies into the local context are vital for fostering the growth of the EV sector.