Technology transfers required for Chinese auto sales
A few weeks ago it was announced that China was planning to make a big bold move into clean technologies through state-owned auto companies, but the plan was released with limited details. More information has now been released, and China's real goal is now clear.
It's all about world domination.
Today, more cars are sold in China than in the US, and yet the Chinese market has barely been tapped. Thus, many automakers see China as the future to success.With Buick sales leading Chinese auto sales, GM for instance, has bet a good chunk of the farm on China.
Unfortunately, the Chinese market could be fool's gold.
China is now working on a plan to completely dominate the market for clean technology by 2020, and they plan to use the best technology secrets from the world's most innovative automakers, for free. Such technology transfers, according to the latest reports from China, indicate that China is developing a plan that would require such technology transfers in order to enter the Chinese market.
Likewise, all market entrants to China might have to partner with Chinese companies as minority shareholders.
Fortunately, kind of, the plan has not been approved, and the plan could be improved to be more equitable to foreign automakers. Nonetheless, there seems little doubt about China's real long term intentions.
Back in July, the US Chamber of Commerce claimed China was building a “blueprint for technology theft on a scale the world has never seen before”.
Even scarier than that blueprint is the fact that China has made this blueprint – which could be enacted as early as next month – publicly available.
I guess when you own the US Treasury Department, you pretty much do whatever you want.