2016 Green Car China Annual Report

2016 GREEN CAR CHINA ANNUAL REPORT

Innovation Center for Energy and Transportation (iCET)

August 2016

Acknowledgements We wish to thank the Energy Foundation for providing us with the financial support required for the execution of this report and subsequent research work. We would also like to express our sincere thanks for the valuable advice and recommendations provided by distinguished industry experts and colleagues.

Authors

Lanzhi Qin, Maya Ben Dror, Liping Kang, Feng An

Disclosure This report is funded by the Energy Foundation and supported by the Vehicle Emissions Control Center of China’s Ministry of Environmental Protection. The report does not represent the views of its funders nor supporters.

Innovation Center for Energy and Transportation Beijing Fortune Plaza Tower A, Suite 27H, No.7 DongSanHuan Middle Rd., Chaoyang District, Beijing, 100020, P.R. China Tel: 010 -65857324 Email: [email protected] Website: www.icet.org.cn

Green Car China Ranking Website: www.greencarchina.org

Content

Content ...... 1 Executive summary ...... 6 Background ...... 14 1. Green Car China Methodology Introduction ...... 18 2. 2015 Green Car China Ranking ...... 22 2.1 China’s 2016 Top 100 selling Cars GCC Ranking ...... 23 2.2 By-segment 2015 Green Car China (GCC) Performance Rankings ...... 26 2.2.1 Hybrid Car 2016 GCC Ranking ...... 26 2.2.2 Small Cars 2016 GCC Ranking ...... 28 2.2.3 Compact Cars Green Performance Ranking ...... 30 2.2.4 Midsize Cars Green Performance Ranking ...... 32 2.2.5 Large Cars Green Performance Ranking ...... 34 2.2.6 SUV Green Performance Ranking ...... 36 2.2.7 MPV Green Performance Ranking ...... 38 2.2.8 Luxury Cars Green Performance Ranking ...... 40 2.2.9 Sports Cars Green Performance Ranking ...... 42 2.2.10 Plug-in Hybrid Performance Ranking ...... 45 3. Overview of Global Green Car Ranking Systems ...... 46 4. Conclusion of 2016 Green Car China Ranking………………...…………………….47 References ...... 52 Appendix I: China's Top Selling 100 Cars 2016 GCC performance ...... 54

List of Tables Table 1: Average by-Segment 2016 Top 10 Green, Blue and Cost Scores ...... 7 Table 2: China’s 2016 Top Green Performing Models of Each Segment ...... 10 Table 3: Model Average 2016 Scores by Manufacturer ...... 11 Table 4: By-Manufacturer 2016 Average GCC Scores ...... 12 Table 5: Top 10 Green Score Models of China’s 2016 Top 100 Selling Models ...... 12 Table 6: Top 10 Blue Score Models of China’s 2016 Top 100 Selling Models...... 14 Table 7: Consumer-based Vehicle Classification Criteria ...... 20 Table 8: iCET’s 2016 Green Car China Ranking Indicators Introduction ...... 22 Table 9: Top 10 Green Score Models of China’s 2016 Top 100 Selling Models ...... 23 Table 10: Top 10 Blue Score Models of China’s 2016 Top 100 Selling Models ...... 24 Table 11: China’s 2016 Top 10 Green Performing Hybrid Cars ...... 26 Table 12: China’s 2016 Top 10 Green Performing Small Cars ...... 28 Table 13: China’s 2016 Top 10 Green Performing Compact Cars ...... 30 Table 14: China’s 2016 Top 10 Green Performing Midsize Cars ...... 32 Table 15: China’s 2016 Top 10 Green Performing Large-size Cars ...... 34 Table 16: China’s 2016 Top 10 Green Performing SUVs ...... 36 Table 17: China’s 2016 Top 10 Green Performing MPVs ...... 38 Table 18: China’s 2016 Top 10 Green Performing Luxury Cars ...... 40 Table 19: China’s 2016 Top 10 Green Performing Sports Cars ...... 42 Table 20: China’s 2016 Top 10 Green Performing Plug-in Hybrids ...... 45

List of Figures Figure 1: GCC 2014-2016 by-Segment Top10 Green Scores ...... 8 Figure 2: GCC 2014-2016 by-Segment Top10 Blue Scores ...... 9 Figure 3: The Green Car China Methodology and Rating Process in a Nutshell ...... 18 Figure 4: An illustration of currently available data and possible resulted discrepancies ...... 19 Figure 5: GCC 2016 Top 100 Selling Cars Green and Blue Scores ...... 25 Figure 6: 2016 GCC Green vs. Blue Scores of Best Selling Hybrid Cars ...... 27 Figure 7: 2014-2016 Top Selling Hybrids’ Green Scores Range ...... 28 Figure 8: 2016 GCC Green vs. Blue Scores of Best Selling Small Cars ...... 29 Figure 9: 2014-2016 Top Selling Small cars’ Green Scores Range ...... 29 Figure 10: 2016 GCC Green vs. Blue Scores of Best Selling Compact Cars ...... 31 Figure 11: 2014-2016 Top Selling Compact Cars’ Green Scores Range ...... 31 Figure 12: 2016 GCC Green vs. Blue Scores of Best Selling Midsize Cars ...... 33 Figure 13: 2014-2016 Top Selling Midsize Cars’ Green Scores Range ...... 33 Figure 14: 2016 GCC Green vs. Blue Scores of Best Selling Large-size Cars ...... 35 Figure 15: 2014-2016 Top Selling Large-size Cars’ Green Scores Range ...... 35 Figure 16: 2016 GCC Green vs. Blue Scores of Best Selling SUVs ...... 37 Figure 17: 2014-2016 Top Selling SUVs’ Green Scores Range ...... 37

Figure 18: 2016 GCC Green vs. Blue Scores of Best Selling MPVs ...... 39 Figure 19: 2014-2016 Top Selling MPVs’ Green Scores Range ...... 40 Figure 20: 2016 GCC Green vs. Blue Scores of Best Selling Luxury Cars ...... 41 Figure 21: 2014-2016 Top Selling Luxury Cars’ Green Scores Range ...... 41 Figure 22: 2016 GCC Green vs. Blue Scores of Best Selling Sports Cars ...... 43 Figure 23: 2012-2016 Top Selling Sports Cars’ Green Scores Range ...... 43 Figure 24: 2016 GCC Green Scores of Best Selling Plug-in Hybrids ...... 45

Executive summary

In June 2015, China submitted its Intended Nationally Determined Contribution (INDC) to the United Nations Framework Convention on Climate Change committing to post-2020 carbon mitigation and adaptation goals aiming at the peaking of carbon emissions by 2030. As of 2015, China's auto production and sales were ranked world largest for the 7th consecutive year, making the shift to cleaner cars of strategic importance for achieving its climate goals and addressing it urban air quality challenges. In addition, the Ministry of Environmental Protection determined the pivotal role transportation plays in urban air quality deterioration. Auto manufacturers are required to meet increasingly stringent fuel consumption and emissions standards, while consumers are encouraged to vote for cleaner less polluting vehicles in their purchase decisions in order to ultimately decrease vehicles’ carbon and pollutants footprint in China’s fast urbanizing economy.

The Green Car China (GCC) system, jointly initiated with the Vehicle Emissions Control Center of the MEP (MEP-VECC) in 2006, was established and managed by the Innovation Center for Energy and Transportation (iCET). The Green Car China system includes a website, WeChat, annual report, test driving events and methodology. During the last six years, the GCC ranking demonstrated to intrigue auto manufactures’ and official interests, and is gradually being accounted for in consumer purchase choices. iCET strives to maintain the scientific excellence of the GCC methodology and its transparency for guarding and accelerating the smooth transition to cleaner cars. GCC has been supported by the Energy Foundation China since 2006 and in 2015 also supported by the Rockefeller Brothers Fund (RBF) and the SEE foundation. Since 2014 the GCC has been endorsed by the UNEP China as part of its sustainable consumption and consumption program.

The GCC employs global scientific methods and China-specific accountable resources aimed at arriving at an annually updated green performance car ranking for informing consumer purchase choices and urging manufactures to improve vehicle performance. Since 2014, iCET has collaborated with MEP-VECC to incorporate vehicle’s actual emissions impact into its GCC ranking, replacing the previously used emission standard limits. VECC is overseeing China’s Type-Approval tests and therefore strengthens iCET’s voluntary and independent GCC analysis results. Following a GCC methodology upgrade in 2015,1 GCC is comprised of thee rankings:

1. Green Score (GS) – a life-cycle health and environmental impact measurement; based on the traditional GCC methodology which was developed in collaboration with China’s MEP-VECC and US life cycle emission methodology

1 iCET (2015), Green China Car Methodology Upgrade Report. http://www.icet.org.cn/english/reports.asp?fid=20&mid=21 6

developed by ACEEE (American Council for Energy-Efficient Economy). The GS provides each car model with a relative value that ranges from 10 (best performing) to 0 (least performing).

2. Blue Score (BS, previously termed ‘smog score’) – tailpipe induced health and environmental impact, a use-phase focused emissions score ranking. Developed in collaboration with MEP-VECC in 2014, this ranking is the fruit of stakeholders’ discussions over increased urban air quality issues and a national call for combating air quality in 2013. The BS provides each car model with a relative value that ranges from 0 (best performing) to 10 (least performing).

3. Cost Index – fuel consumption induced costs at the pump, based on average annual driving distance.

This year’s report presents the top green performing models out of China’s Top 100 selling cars of 20152, as a whole and by the 9 typically used car segments: hybrids, small, compact, mid-size, large, luxury, SUV, MPV, and sports cars (segmentation according to China’s largest Auto portal SINA). This year, a Plug-in Hybrid (PHEV) segment was added, however its life-cycle analysis for calculating its Green Score excludes electricity manufacturing and consumption impacts, making the score incomparable to other segment models’ scores. For the same reason, PHEVs Blue Score and Fuel Cost score are not available. Finally, this year the analysis was further adjusted to fit current car manufacturing requirements by replacing the average against which vehicles are evaluated from lab emissions tested for GuoIV to those tested for GuoV vehicles.

Table 1 lists by-segment 2016 Annual Green Car China performance based on the Top 10 performing of each segment according to their Green Score, Blue Score (tailpipe smog index) and Cost Score (annual fuel costs). Small, compact and hybrid cars remain at the top of the list, while luxury, sports and large cars least performing. Compact cars, with a large market share, capture the best Blue Score. Hybrids, with their advanced power technology, reached the second in terms of Blue Score, while low fuel consumption enabled them to score third on the fuel costs, after small and compact cars. Naturally, sports and luxury cars were least performing in all ranking categories.

Table 1: Average by-Segment 2016 Top 10 Green, Blue and Cost Scores Sports Hybrid Small Compact Midsize Large SUV MPV Luxury PHEV*** car Green 6.58 6.88 6.79 6.13 5.64 6.41 5.97 4.49 5.03 6.71 Score* Blue 7.08 6.53 7.22 5.50 5.92 6.47 5.73 4.33 4.42 N/A Score** Fuel Cost 5727 5596 5650 6581 7588 6406 7161 9658 8858 N/A （yuan）

2 In 2014 the GCC analyzed the Top 50 selling cars. 7

* Green score reflects the life cycle health and environmental impacts of a car; the higher the score the better its performance. ** The Blue Score represents the health and environmental impacts derived from the use-phase (tailpipe) of cars. *** PHEV Green Score is based on health and environmental impacts along life-cycle excluding the fuel source (electricity); making the score incomparable to other segment models’ scores. For the same reason, PHEVs Blue Score and fuel cost is not available.

The average score of the Top 10 models in every segment over the past three years by Green Score and Blue Score is listed in Figure 1 and Figure 2. Interestingly, the hybrid segment shows a concave curve over the last three years in terms of both the Green and Blue Score, indicating a reduction in performance before regaining some further improvement yet an overall decrease in performance (-2.1% and -0.6% in Green Score and Blue Score respectively). This inconsistent improvement is also shown in lower performing segments: the large vehicle, MPVs, luxury and sports cars segments. However, the first three segments have seen a significant overall improvement in Green Score performance over the past three years (14.4%, 10.4%, 5.2%, respectively).

The Blue Score performance of compact cars was the most significant over the past three years, nearly doubling. Although not showing an improvement, hybrids still nearly top the by-segment Blue Score. Although compact cars’ market share fell from 44.6% in 2013 to 37.3% in 2015, it is still one of the top selling segments in China and luckily it continues to show improved Green Score and Blue Score performance.

Small and compact car sales have increased over the past three years,3 partially because car replacement rate is relatively higher, and partially because the central government abolished small cars’ purchase tax.4 The relative fast adoption of vehicle fuel consumption reduction technologies and body weight are conducive to the reduction of environmental health impacts of small cars and the enhancement of their Blue Score performance.

Figure 1: GCC 2014-2016 by-Segment Top10 Green Scores

3 紧凑型车市场为何衰退？ http://auto.163.com/16/0307/10/BHI30PRA00084TV6.html 4 关于减征 1.6 升及以下排量乘用车车辆购置税的通知 http://www.chinatax.gov.cn/n810341/n810755/c1827947/content.html 8

8.0 -2.1% 1.3% 7.8% 7.0 6.5% 5.1% 10.4% 6.0 14.4% -4.9% 5.0 5.2% 4.0 3.0

GreenScore (10=best) 2.0 1.0 0.0 Compac Mid- Hybrid Small Large SUV MPV Luxury Sports t size 2014 6.72 6.79 6.30 5.83 4.93 6.02 5.41 4.27 5.29 2015 6.15 6.82 6.57 6.01 4.29 6.13 5.28 3.77 4.01 2016 6.58 6.88 6.79 6.13 5.64 6.41 5.97 4.49 5.03

Note: The GCC Green Score range is 0-10, 10 marking the best performing; the marked % states a three-year change (2016 from 2014).

Figure 2: GCC 2014-2016 by-Segment Top10 Blue Scores

9.0 98.3% 8.0 -0.6% 7.0 79.6% 52.5% 13.4% -9.1% 57.5% 6.0 -13.3% 5.0 -0.3% 4.0 3.0 2.0 Blue Score (10=best) 1.0 0.0 Hybrid Small Compact Mid-size Large SUV MPV Luxury Sports 2014 7.12 3.64 3.64 4.85 6.52 4.24 3.64 5.00 4.39 2015 6.21 6.47 5.79 5.79 5.24 4.58 4.80 4.42 3.92 2016 7.08 6.53 7.21 5.50 5.92 6.47 5.73 4.33 4.38

Note: The GCC Blue Score range is 0-10, 10 marking the best performing; the marked % states a three-year change (2016 from 2014).

Table 2 presents the top performing model of each of car segment. Only five of the top performing per segment have achieved a five star. Besides the luxury car segment (Cadillac CT6), all other top performing models received a four-star environmental ranking. Corolla replaced the Lexus CT200h in the hybrid section, once again

9 demonstrating Toyota’s dominant position in hybrid technology. Baojun Aveo and Mercedes-Benz E200L won the small car and large car categories, respectively. The popular S500 replaced the King Plaza at the MPV category indicating the relative strength of Dongfeng Motors in MPV clean technology and materials. All nine segments’ best performing cars have a displacement lower than 2.0L and fuel consumption levels below 8.0L/100km.

Table 2: China’s 2016 Top Green Performing Models of Each Segment Type Company Model Displacement FC Green Blue Green L L/100km Score* Score** Level****

Corolla Hybrid FAW-Toyota 1.8 4.2 7.3 8.1 ★★★★★ Hybrid

Small SAIC-GM-Wuling Lechi 1.2 5.1 7.1 8.5 ★★★★★

Compact Dongfeng Honda GREIZ 1.5 5.4 6.9 9.4 ★★★★★

Midsize SVW SUPERB 1.4 5.6 6.3 4.1 ★★★★

Benz E200L Large Beijing-Benz 2.0 6.7 5.9 7.6 ★★★★ 2014/0

SUV Dongfeng Honda XR-V 1.5 5.9 6.5 8.6 ★★★★★

Dongfeng Fengxing MPV 1.6 6.2 6.2 7.2 ★★★★★ Liuzhou S500

Luxury SAIC-GM Cadillac CT6 2.0 7.9 5.1 4.0 ★★ Cars Sports BMW 218i 1.5 5.6 6.4 5.4 ★★★★ Cars

I3 (extended PHEV**** BMW 0.6 0.7 7.3 N/A N/A range)

* The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 is the best performing. ** The Blue Score is based on health and environmental impacts analysis of a vehicle; a score of 10 is the best performing. *** The Green Car Rank is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and among the top 33% in terms of the Blue Score. **** Electricity upstream health and environmental impacts are excluded, making the Green Score incomparable with other segments.

Table 3 lists the by-segment finalists of the 2016 annual Blue Score (among by-segment 10 best performing). With a Blue Score of 9.6, the small car New Fit of GAC-Honda tops the list, demonstrating excellent exhaust emissions control technology.

The average Blue Score of the finalists is 8.9 points, marking a 7.2% improvement from last year. Seven of the finalists are Japanese JVs, indicating the important role Japanese technology plays in improved vehicle efficiency.

Table 3: Model Average 2016 Scores by Manufacturer Rank Type Company Model Displace FC Green Blue Green ment L/100km Score* Score Level*** L ** 1 Small GAC New Fit 1.5 5.3 7.0 9.6 ★★★★★ Honda 2 Compa Dongfeng GREIZ 1.5 5.4 6.9 9.4 ★★★★★ ct Honda 3 Hybrid Nissan Infiniti 2.5 8.0 5.2 9.2 ★★★ QX60 4 MPV Kia CARENS 2.0 7.7 5.6 9.1 ★★★★ 5 Compa Dongfeng TIIDA 1.6 5.2 6.9 8.7 ★★★★★ ct 6 Hybrid Totoya LEXUS 3.5 6.7 5.8 8.7 ★★★★ RX450h 7 Hybrid Kia K5 2.0 5.4 6.6 8.6 ★★★★★ Hybrid 8 SUV Dongfeng XR-V 1.5 5.9 6.5 8.6 ★★★★★ Honda 9 Compa GAC Levin 1.6 5.9 6.5 8.5 ★★★★★ ct Toyota 10 SUV BYD BYD S7 2.0 7.8 5.4 8.5 ★★★ * The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 is the best performing. ** The Blue Score is based on health and environmental impacts analysis of a vehicle; a score of 10 is the best performing. *** The Green Car Rank is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and among the top 33% in terms of the Blue Score.

Only 213 cars of the vehicles evaluated had an actual exhaust durability certification this year, among which 63 are imported models (29.6%), 76 are joint ventures (35.7%), and 74 are domestic independent manufacturers (34.7%). The certification data was used for making more accurate calculation than that conducted using the emissions standard not only for the vehicles to which it was enabled but also a normalized correction error was used for models without actual certification.

Table 4 lists this year’s analysis results by manufacturer type. Because imported models are typically luxury and sports cars, characterized with large engines and relatively high fuel consumption, their overall Green and Blue Scores are low while their fuel costs are high. Domestic independent brands seem to progress rapidly, with Green and Blue scores reaching these of Joint Ventures (JVs), which usually have better access to car technologies. Among JVs and imported cars, Japanese and Korean cars achieved the best Green Scores, Blue Score and Cost Scores. Overall, this year’s average Green Score improved by 2% from last year.

Table 4: By-Manufacturer 2016 Average GCC Scores GS*（10=BEST） BS**（10=BEST） Fuel Cost（yuan）

Yearly Yearly Yearly Score Score Cost increase increase increase

Imported 4.45 -1% 3.03 -32% 9665 -2%

JV 6.12 +4% 5.33 +27% 6712 -4%

Independent 6.07 +3% 4.73 -2% 6844 -5%

EU-（JV only） 6.11 +3% 4.92 +34% 6608 -20%

JK-（JV only） 6.21 +4% 6.09 +18% 6690 -16%

US-（JV only） 5.96 +7% 4.61 +39% 6944 -14%

2016 Average 5.61 +2% 4.44 0 7632 -3%

* This term is based on a relative-ranking, where a vehicle is rated five stars if it is among the top 5% performing of all vehicles of model year 2013 while a vehicle rated one star is among the lowest rated groups which accounts for 51%-100%. ** The Blue Score (smog index) is represented by figures provided by MEP-VECC (for 94% of the rated vehicles, for others an average of VECC’s provided figure per segment is used). The figure encounters CO, HC, NOx, and PM (weighted 0.006, 0.075, 1, 8.03 respectively, following ACEEE).

Demonstrated in Table 5, among China’s best-selling 100 cars, small and compact cars fill in the Top 10 Green Score list with a Green Score of above 5 points (apart from Emgran EC7), and a general rating of 4 stars and above. The cars leading in Green Score are the GAC-Honda New Fit and the SAIC-GM New Sail with sales of over 96k and 210k cars respectively, while the Dongfeng-Nissan Sylphy, which reached third on the green ranking, enjoyed the most car sales last year among the top 10 green cars. Half of the best green performing of the best selling cars are Japanese brands, while the Emgran EC7 is the only domestic independent brand on the list.

Table 5: Top 10 Green Score Models of China’s 2016 Top 100 Selling Models 12

Displac Green Blue Sales FC Green Rank Company Model Type ement Sales Score Score* Rank L/100km Rank*** L * *

1 69 GAC-Honda New Fit Small 1.5 5.3 95,963 7.0 9.6 ★★★★★

New Sail 2 16 SAIC-GM Small 1.3 5.0 213,457 7.0 8.4 ★★★★★ sedan

Dongfeng- 3 4 Sylphy Compact 1.6 5.2 334,087 6.8 7.7 ★★★★★ Nissan

4 57 FAW-Toyota Vios Small 1.3 5.3 114,467 6.8 7.3 ★★★★★

Emgrand 5 17 Geely Compact 1.8 4.7 206,226 6.8 5.1 ★★★★ EC7

Dongfeng-Niss New 6 75 Compact 1.5 5.6 90,582 6.7 7.9 ★★★★★ an SUNNY

7 98 GAC-Toyota YARiS L Small 1.3 5.5 64,724 6.6 5.8 ★★★★

7 19 FAW-VW New Bora Compact 1.4 5.3 204,280 6.6 5.8 ★★★★

New Focus 9 71 Changan Ford Compact 1.0 5.2 94,364 6.6 5.4 ★★★★ hatchbac k New 9 60 Changan Ford Focus Compact 1.0 5.2 111,498 6.6 5.4 ★★★★ sedan * The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 is the best performing. ** The Blue Score is based on health and environmental impacts analysis of a vehicle; a score of 10 is the best performing. *** The Green Car Rank is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and among the top 33% in terms of the Blue Score.

Demonstrated in Table 6, among China’s best-selling 100 cars, three SUVs and seven small and compact cars fill in the Top 10 Blue Score list. Leading the list is the GAC-Honda New Fit with a score of 9.4 (out of 10), while two SUVs capture the second and fifth spots, the XR V and the S7 of Dongfeng-Honda and BYD respectively. Nine out of the 10 most performing achieved a Blue Score of over 8 points. Not surprisingly, Japanese manufacturers have contributed to the performance of the listed cars. One US manufacturer entered the list (GM, with the New Sail sedan), as well as one domestic manufacturer (BYD, with the S7 SUV).

Table 6: Top 10 Blue Score Models of China’s 2016 Top 100 Selling Models Displace FC Green Blue Sales Green Rank Company Model Type ment L/100k Sales Score Score Rank Level*** L m * **

1 69 GAC-Honda New Fit Small 1.5 5.3 95,963 6.9 9.6 ★★★★★

2 53 Dongfeng Honda XR-V SUV 1.5 5.9 118,749 6.5 8.6 ★★★★★

3 11 FAW-Toyota Corolla Compact 1.6 5.9 254,301 6.5 8.5 ★★★★★

3 48 GAC-Toyota Levin Compact 1.6 5.9 125,699 6.5 8.5 ★★★★★

5 62 BYD S7 SUV 2.0 7.8 110,074 5.4 8.5 ★★★

New

6 16 SAIC-GM Sail Small 1.3 5.0 213,457 7.0 8.4 ★★★★★

sedan

7 54 GAC-Honda CRIDER Compact 1.8 6.2 116,759 6.3 8.4 ★★★★★

Mazda 8 72 Changan-Mazda Compact 1.5 5.8 94,108 6.5 8.2 ★★★★★ 3 Axela

9 46 GAC-Honda VEZEL SUV 1.5 5.9 126,838 6.5 8.1 ★★★★★

New 10 75 Dongfeng-Nissan Compact 1.5 5.6 90,582 6.7 7.9 ★★★★★ SUNNY

Background

In 2015, China's auto market showed steady growth with an average monthly production and sales exceeding 2 million and total annual sales surpassing 24 million, marking an increase of 3.25% and 4.68% respectively. This is the first time passenger car sales went above 20 million, continuing to lead the world auto market. New Energy Vehicle (NEV) production was about 379,000, an outstanding growth of 4 folds from the previous year, positioning China and the largest EV market.

While China’s automobile industry growth continues to perform as an important national economic engine, air quality deteriorates as a result of the increase in vehicle ownership and total kilometers traveled. Vehicle emissions continue to pose a major threat to China’s sustainable development, explaining the national acceleration of New Energy Vehicles supply and demand side subsidies. Not surprisingly, motor vehicle emissions are one of seven major targeted emissions sources addressed in China’s national "Atmospheric Pollution Prevention Action Plan" announced in September 2013.5

According to China’s Ministry of Environmental Protection (MEP) 2015 urban air quality report, out of the 74 major Chinese cities covered, 11 cities reported air quality measurements as opposed to 8 in the previous year. The air quality in the Beijing-Tianjin-Hebei corridor, the Yellow River Delta, and the Pearl River Delta all met the national air quality criteria (GB 3095-1996) by 52.4%, 72.1% and 89.2% respectively. The level of PM2.5 at these three corridors was reduced by 14.4% from last year reaching an average of 55 particulates per cubic meter.6

According to a subsequent announcement of MEP from January 2016, the Beijing-Tianjin-Hebei corridor, the Yellow River Delta, and the Pearl River Delta (including 11 provinces and municipalities: Beijing, Tianjin, Hebei, Liaoning, Shanghai, Jiangsu, Zhejiang, Fujian, Shandong, Guangdong and Hainan) are required to adopt vehicle emissions standards Guo5 (EU5) by April 1, 2016 for gasoline and diesel passenger vehicles, and diesel heavy-duty vehicles (all sales, production, import and registration), with heavy-duty gasoline to follow by July 2017.7 This requirement is projected to increase the availability of cleaner vehicles and accelerate the development of vehicle efficiency technologies.

China also keeps advancing its fuel consumption standards. The fourth set of fuel consumption standards, "Passenger Vehicle Fuel Consumption Limits" (GB 19578-2014) and "Passenger Vehicle Fuel Consumption Evaluation Methods and Indicators" (GB

5 http://www.gov.cn/zwgk/2013-09/12/content_2486773.htm(国务院办公厅, 2013) 6 环境保护部发布 2015 年全国城市空气质量报告 http://www.zhb.gov.cn/gkml/hbb/qt/201602/t20160204_329886.htm 7 关于实施第五阶段机动车排放标准的公告 http://www.mep.gov.cn/gkml/hbb/bgg/201601/t20160118_326596.htm 15

27999-2014), were resealed on December 2014, aimed at a more stringent decrease in fuel consumption starting January 2016 towards the achievement of 5.0L/100km target by 2020. All of these regulatory efforts are meant to reduce national fuel demand and increase fuel efficiency.

Consumer attention to sustainable consumption is gaining traction. From Xi Jinping’s national call for public participation in the effort to combat air pollution to the grass-route viral documentaries (most notably “Under the Dome” by Chai Jing), consumers are provided with evidence and encouragement to consume more sustainably. Sustainable production is the other side of the same coin. In 2015, to some level inspired by the 2006 established GCC system, China Automotive Technology and Research Center (CATARC) launched the "China eco-car Evaluation" (C-ECAP) periodic life-cycle analysis commencing from the comparative evaluation of 4-5 models.8

With the support of the US energy efficiency council (American Council for an Energy Efficient Economy, ACEEE), iCET developed the Green Car China evaluation method that utilizes a China-tailored vehicle’s full life cycle analysis based on global best practices. The system’s methodology includes vehicle production and end-life use environmental impacts, as well as usage stage exhaust emissions based on fuel type, fuel consumption and vehicle quality.

Emission data used in this report is acquired through collaboration with the Vehicle Emissions Control Center (VECC) of the Ministry of Environmental Protection (MEP). Selected data is used to benchmark emission levels of China’s entire vehicle fleet. “Green Score” as well as a stand-alone ranking representative of tailpipe emissions health impacts titled “Blue Score” (previously titled “Smog Index”) are therefore providing credible comparative assessment of car models available on the Chinese market. This information is targeted at consumers, auto manufacturers, and policy-makers for informing more sustainable decision-making.

This report makes use of vehicle classifications provided by SINA, one of China’s largest consumer portals.9 Ranking is therefore provided by a more consumer-driven vehicle segmentation (which is somewhat different from the official segmentation) based on the size of each vehicle. Vehicles ranked are those that have reached significant annual sales. Top 100 sales vehicle ratings are also provided, aiming at further influencing consumers by evaluating their vehicles’ preferences. To facilitate a comprehensive and informative vehicle rating, the brand, model and score related factors, as well as fuel consumption and reported emissions (based on standards error from the emissions standards based on 231 cars’ verified emissions), will be provided for each vehicle and segmentation.

iCET acknowledges the right for personal mobility in developing countries, and although it supports the indirect reduction of private vehicle use, it simultaneously and

8 中国生态汽车评价规程 http://www.c-ecap.info/fileupload/C-ECAP.pdf http://auto.163.com/15/0626/11/AT1KN43100084TV1.html 9 http://auto.sina.com.cn/car_new/total.html(新浪汽车, 2014) 16 more rigorously strives to create mechanisms for providing the Chinese market with cleaner fuels and vehicles. China environmentally friendly cars assessment reporting and online system is meant to provide consumers with credible evaluations to encourage more environmentally-aware vehicle purchase choices. 10

iCET’s vehicle life-cycle assessment methodology and its subsequent vehicle rating are aimed at providing China’s decision-makers and vehicle manufacturers with a practical reporting tool to inform more sustainable vehicle policies. iCET hopes this report is useful and inspires all stakeholders to work together towards clearer skies and cleaner transport.

10 http://www.greencarchina.org/(环境友好汽车在线评估系统, 2014) 17

1. Green Car China Methodology Introduction

The Green Car China system, comprised of a dedicated website, reports, booklets, WeChat channel, and consumer-educating videos, is based on iCET’s Green Car China assessment methodology aimed at capturing different vehicles’ life cycle and tailpipe environmental and health impact (titled environmentally friendly vehicle prior to 2014). The ranking of vehicles is presented in vehicle segments assuming consumers tend to search by specific vehicle segments.

Green Car China production methodology is comprised of a lifecycle impact assessment that includes vehicle manufacturing, fuel production, and usage stage emissions. The methodology’s impact assessment is focused on well-to-wheel (WTW) GHG and health indicators; each representing 45% of the environmental impact score, as well as an environmental indicator resulting from manufacturing, which represents 10% of a vehicle’s total environmental impact score, as illustrated in Figure 3.

Figure 3: The Green Car China Methodology and Rating Process in a Nutshell

Vehicle Production Fuel Production, Distribution and Storage Vehicle Use Phase

Health GHG Effects Health GHG Effects Health GHG Effects

Fuel Type& Tailpipe Vehicle Curb Fuel Type & Consumption Consumption Emissions

Productive Process Impact Life-Cycle GHG Impact Life-Cycle Health Impact

Environmental Impact Worst（ 0（ Best（ 10（ Green Score

Worst（ 0（ Exhausts Impact Best（ 10（ Blue Score

The Green Car China analysis impact assessment is based on the following officially approved data: vehicle curb weight, fuel type, and fuel consumption figures retrieved from the MIIT’s Automobile Fuel Consumption of China Portal (within each model series the highest fuel consumption score is chosen as a representative fuel consumption value of the whole series);11 vehicle emissions are based on vehicle type emission standards

11 China Vehicle Fuel Consumption (MIIT website), 2014: http://chinaafc.miit.gov.cn/ 18 provided by the Vehicle Emission Control Center (VECC) using Guo5 as a standard emissions value and selected vehicle emissions health impact data provided by VECC;12 domestic vehicle sales are derived from the China Association of Automobile Manufacturers (CAAM)13.

As in any analysis, the Green Car China system’s credibility lay first and foremost on the quality of its underlying data. iCET recognizes the potential gap between reported FC values and actual real-world FC values. In its new annual FC Gap analysis report iCET found that the average gap between reported and actual FC values in China is 27%14. The gap can reach as high as 50%, as reported FC is not only determined based on an EU test-cycle (NEDC), which may not be representative of the typical driving pattern in China, but also actual FC values are sensitive to driving habits and driving conditions (temperature, altitude, congestion, traffic planning). Figure 4 is illustrative of the gap in current versus real-world data acquisition.

Figure 4: An illustration of currently available data and possible resulted discrepancies

FC Gap

NEDC test well represent China’s Driving situation? Good driving habits?

“Real-world” Fuel “Official” Consumption Fuel Consumption

Any issues on FC How are the actual test method? road conditions? Any difference between the real-world and test fuel quality?

The Green Car China database covers about 10,000 domestic and imported passenger vehicle models from 98 brands (with an increase of some 2,500 new models annually). In 2015, the methodology was updated on three fronts: (i) emissions standards and factors were updated to align with China’s most advanced standards (in this report’s analysis, Guo5 is being used an average reference), (ii) an electric vehicle evaluation method was developed (in this years’ report, PHEV Green Score has been added, however since it excludes health and environmental impacts from the fuel source,

12 Vehicle Emissions Control Center (website affiliated with MEP): 2014 http://www.vecc-mep.org.cn/ 13 China Association of Automobile Manufacturers, 2014: http://www.caam.org.cn/ 14 iCET, “China Real World and Certified Fuel Consumption Gap Analysis” (2015): http://www.icet.org.cn/english/reports.asp?fid=20&mid=21 19

i.e. electricity, it is incomparable to other segments’ models), (iii) a car cost ranking was developed based on fuel cost (similar to the US EPA fuel cost calculation method).

The GCC Green Score (GS) and the Blue Score (BS, previously titled Smog Index) are meant to evaluate the relative impact of vehicle emissions on health and the environment against other vehicle models. The Green Score evaluates automobile GHG and other pollutants’ impacts throughout the vehicle life-cycle, and therefore it uses vehicle fuel consumption, pollutants emissions, curb weight and other parameters to arrive at a normalized quantitative assessment. The Blue Score is formed through quantifying the relative use-phase health impact of vehicles.

In order to address the public’s concerns over vehicle usage costs, this year’s GCC analysis goes beyond GS and BS to include the Cost Index (CI). The Cost Index calculates the average annual fuel costs based on each models’ official fuel consumption level. There may, of course, be variations in fuel consumption related to both driving conditions (geography, external to the driver) and driving habits dictated by the driver.

As listed above, fuel consumption and emissions data are representative of a single vehicle that was chosen by each manufacturer to be tested for Type Approval. It may be that once approved, mass production line vehicle test results could be different, or if a China-tailored test cycle replaces the existing EU-based test cycle (the NEDC), the test results could differ. Furthermore, real-world results are known to be dependent on driving behavior and road conditions and not only on the vehicle itself, and that the gap between lab-tests and real-driving could reach 27%. These issues of concern over the credibility of official data are illustrated in Figure 4.

This report makes use of vehicle classification provided by Sina,15 under the assumption that as one of China’s largest consumer portals, a more consumer oriented vehicle segmentation will be available rather than using the MIIT’s official segmentation (illustrated in Table 7). GCC results are available online through www.GreenCarChina.org, this annual report, consumer booklets, WeChat posts and events.16

Table 7: Consumer-based Vehicle Classification Criteria Category Description Refers to vehicles that make use of electricity in the drive train of the Conventional vehicle, but that do not receive electricity from a source external to the Hybrid vehicle. A0/A00-class car, wheelbase between 2 and 2.5 meters; engine generally Small Car between 0.8 and 1.6 liters. A-class car, wheelbase between 2.5 and 2.7 meters; engine between 1.6 and Compact Car 2.0 liters. Medium Car B-class car, wheelbase between 2.6 and 2.8 meters; engine between 2.0 and

15 http://auto.sina.com.cn/car_new/total.html 16 E.g. China Clean Vehicle Summit Sep 23-24 2015, Changzhou: http://www.globalcleanvehicle.org/index_en.html 20

2.4 liters. Executive, C-class car; wheelbase normally over 2.8 meters; engine between Medium Large Car 2.5 and 3.0 liters. D-class car; wheelbase roughly 3 meters, perhaps longer; engine generally 3 Luxury Car liters and above. Multi-Purpose Vehicle; usually has a one compartment structure with the MPV ability to function as a passenger car, travelling car, and transport vehicle; engine usually 2 liters and above. Sport Utility Vehicle; to a certain extent can serve as a comfortable SUV passenger car and an off-road vehicle; normally has an engine of 2.0 liters and above; has four-wheel drive. Usually only has two doors with a hard or soft retractable roof; engine is Sports Car usually larger than normal passenger vehicles with superior acceleration and faster top speed. PHEV Green Score is based on health and environmental impacts along Plug-in Hybrid life-cycle excluding the fuel source (electricity), making the score (PHEV) incomparable to other segment models’ scores. For the same reason, PHEVs Blue Score and fuel cost are not available.

2. 2015 Green Car China Ranking

iCET has been rating China’s commercially available passenger vehicles since 2010 with data dating back to model year 2006. iCET is collaborating with the Vehicle Emissions Control Center under the Ministry of Environmental Protection (MEP-VECC) to introduce actual tailpipe emissions (based on Type-Approval test results) for China’s Top 100 selling models, and Top 10 performing of each vehicle segment. This data is normalized for achieving accountable emission estimations of China’s various vehicle models available on the market. This section will introduce the ranking results of iCET’s Top selling vehicles analysis, commencing from a general Top 10 green rated models and advancing with per-segment model rating. Table 8 details Green Car China (GCC) ranking indicators.

Table 8: iCET’s 2016 Green Car China Ranking Indicators Introduction 2015 Green Introduction Rating Table Indicators Brand Vehicle Manufacturer Model Vehicle Model (as commercially marketed) Engine (L) Vehicle’s engine size naturally influences vehicle’s weight and resulted emissions Fuel Consumption Fuel consumption is greatly influenced by driving conditions and habits; The best (L/100km) fuel consumption level of each model series was represents the entire vehicle model series Sales As provided by China Association of Automobile Manufacturers (CAAM)17 Green Score (GS) Green Score ranking calculation method is briefly explained in chapter 2, while a detailed elaboration is provided in Appendix I. Blue Score (BS) Unlike the more comprehensive Green Ranking, the smog index encounters for solely use-stage emissions for indicating city-smog impacts. The smog index is represented by figures provided by MEP-VECC (for 94% of the rated vehicles, for others the emissions standard limit are used). The smog index score encounters CO, HC, NOx, and PM (weighted 0.006, 0.075, 1, 8.027 respectively, following ACEEE selection detailed in Appendix I), and the smallest the value the smog index receives – the lower are its negative health impacts. Green Car Ranking This term is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and 33% in terms of its Blue Score; a vehicle rated one star is among the lowest rated groups which accounts for 51%-100%, as illustrated in the below table:

Green ★★★★★ ★★★★ ★★★ ★★ ★

Rating

17http://www.caam.org.cn/(China Association of Automobile Manufacturers, 2014) 22

Relative 5% 6%-15% 16%-30% 31%-50% 51%-100%

Range

Cost Index The cost index is simply calculating comparative expected fuel expenses over a (Cost Score, CS) period of a year, based on the following assumptions: annual average mileage of 12,000 km calculated, annual average fuel price of 7.3Yuan/liters (last yea’s price used).

2.1 China’s 2016 Top 100 selling Cars GCC Ranking

China’s 100 best selling cars had an average Green and Blue Scores of 5.75 and 4.40 respectively, while the Top 50 selling models reached an average Green and Blue Scores of 5.86 and 4.24 respectively. Compared with last year, the average of the Green Score improved slightly while the Blue Score declined. Among China’s best-selling 100 cars, small and compact cars fill in the Top 10 Green Score list. The leading in Green Score is GAC-Honda New Fit and SAIC-GM New Sail with a Green Score of 7.0 sales of over 95k and 210k cars respectively, while Nissan Sylphy which reached third on the green ranking enjoyed the most car sales last year among the top 10 green cars. Half of the best green performing of the best selling cars are Japanese brands, while Emgran EC7 of the list is the only domestic independent brand.

Table 9: Top 10 Green Score Models of China’s 2016 Top 100 Selling Models Displac Green Blue Sales FC Green Rank Company Model Type ement Sales Score Score* Rank L/100km Level*** L * *

1 69 GAC-Honda New Fit Small 1.5 5.3 95,963 7.0 9.6 ★★★★★

New Sail 2 16 SAIC-GM Small 1.3 5.0 213,457 7.0 8.4 ★★★★★ sedan

Dongfeng-N 3 4 Sylphy Compact 1.6 5.2 334,087 6.8 7.7 ★★★★★ issan

4 57 FAW-Toyota Vios Small 1.3 5.3 114,467 6.8 7.3 ★★★★★

Emgrand 5 17 Geely Compact 1.8 4.7 206,226 6.8 5.1 ★★★★ EC7

Dongfeng-N New 6 75 Compact 1.5 5.6 90,582 6.7 7.9 ★★★★★ issan SUNNY

7 98 GAC-Toyota YARiS L Small 1.3 5.5 64,724 6.6 5.8 ★★★★

7 19 FAW-VW New Bora Compact 1.4 5.3 204,280 6.6 5.8 ★★★★

Changan New Focus 9 71 Compact 1.0 5.2 94,364 6.6 5.4 ★★★★ Ford hatchback

Changan New Focus 9 60 Compact 1.0 5.2 111,498 6.6 5.4 ★★★★ Ford sedan

China’s Top 100 selling cars achieved an average Blue Score of 4.69, while Top 50 achieved an average of 4.59 (an increase from last years’ Top 50 average of 4.35). This year’s Top 10 achieved an average of 8.47, an increase from last year’s 7.62. Demonstrated in Table 10, among China’s best-selling 100 cars, three SUVs and seven small and compact cars fill in the Top 10 Blue Score list. The Top 10 models achieved an average Blue Score of 8.47, much higher than last year’s 7.62 score. Leading the list is the GAC-Honda New Fit with a score of 9.6 (out of 10), while two SUVs capture the second and fifth spots, the XR V and the S7 of Dongfeng-Honda and BYD respectively. Nine out of the 10 most performing achieved a Blue Score of over 8 points. Not surprisingly, Japanese manufacturers have contributed to the performance of the listed cars. One US manufacturer entered the list (GM), as well as one domestic manufacturer (BYD).

Table 10: Top 10 Blue Score Models of China’s 2016 Top 100 Selling Models Displace Green Blue FC Rank Sales Rank Company Model Type ment Sales Score Score Rank*** L/100km L * **

1 69 GAC-Honda New Fit Small 1.5 5.3 95,963 6.9 9.6 ★★★★★

Dongfeng 118,74 2 53 XR-V SUV 1.5 5.9 6.5 8.6 ★★★★★ Honda 9

FAW-Toyot 254,30 3 11 Corolla Compact 1.6 5.9 6.5 8.5 ★★★★★ a 1

125,69 3 48 GAC-Toyota Levin Compact 1.6 5.9 6.5 8.5 ★★★★★ 9

110,07 4 62 BYD S7 SUV 2.0 7.8 5.4 8.5 ★★★ 4

New 213,45 6 16 SAIC-GM Sail Small 1.3 5.0 7.0 8.4 ★★★★★ 7 sedan

116,75 7 54 GAC-Honda CRIDER Compact 1.8 6.2 6.3 8.4 ★★★★★ 9

Changan-M Mazda 8 72 Compact 1.5 5.8 94,108 6.5 8.2 ★★★★★ azda 3 Axela

126,83 9 46 GAC-Honda VEZEL SUV 1.5 5.9 6.5 8.1 ★★★★★ 8

Dongfeng-N New 10 75 Compact 1.5 5.6 90,582 6.7 7.9 ★★★★★ issan SUNNY

Figure 5 shows the Green and Blue Score of China’s Top 100 selling cars. Apart from the Buick GL8, Haval H6 and Fengguang 330 (models that fail to meet GuoIV), all models have Green and Blue Score around the average of 5.86 and 6.88, respectively, with a Green Score deteriorating alongside a deterioration of Blue Score. About 30 models reached Green and Blue Scores above the average. The worse the environmental and health performance of best-selling models (demonstrated by the Green and Blue Scores), the larger the impact is.

Figure 5: GCC 2016 Top 100 Selling Cars Green and Blue Scores

7.0

6.0 Lingzhi

Kuga 5.0

-1.0 4.0 1.0 3.0 5.0 7.0 9.0 Blue Score

3.0 GL8 Green Green Score

2.0 HAVAL H6

1.0 Fengguang 330

0.0

2.2 By-segment 2015 Green Car China (GCC) Performance Rankings

iCET’s green car rating analysis provides by-segment ranking in order to overcome weight biases in vehicle’s relative Green, Blue, and Cost Scores. Following China’s leading Auto portal, Sina Auto, car models are classified according to nine major categories (small cars and mini cars are merged into one class, namely “small car segment”), and a newly added plug-in hybrid (PHEV) segment added with a unique incomparable Green Score (see Table 7).

2.2.1 Hybrid Car 2016 GCC Ranking

Since it is difficult to assess the proportion of fuel and electricity use plug-in hybrid, this ranking includes only conventional hybrid vehicle. This year the top 10 performing hybrids achieved an average Green and Blue scores of 6.58 and 7.08 respectively, marking a notable increase of 7% and 14% from last year’s scores. Five of the Top10 listed models achieved 5 stars rank. Four Toyota hybrid cars are leading the list this year, again, with the new Corolla achieving remarkable results. Only two models from the Top10 preforming hybrids are not Toyota related; BMW Active hybrid 3 and Kia K5 fell three ranks from last years’ results. No domestic independent brand produced a hybrid that entered this list.

Table 11: China’s 2016 Top 10 Green Performing Hybrid Cars Displacem Blue FC Green Fuel Rank Company Model ent Score Green Level*** L/100km Score* Cost(yuan) L **

1 FAW-Toyota Corolla Hybrid 1.8 4.2 7.3 8.1 4599 ★★★★★

2 GAC-Toyota Levin Hybrid 1.8 4.2 7.2 7.6 4599 ★★★★★

3 Toyota Lexus CT200h 1.8 4.5 7.1 7.8 4928 ★★★★★

4 FAW-Toyota Prius 1.8 4.3 7.1 5.9 4709 ★★★★

5 Kia K5 Hybrid 2.0 5.4 6.6 8.6 5913 ★★★★★

6 GAC-Toyota Camry Hybrid 2.5 5.3 6.5 6.9 5804 ★★★★★

7 Toyota LEXUS ES300h 2.5 5.4 6.4 5.8 5913 ★★★★

8 BMW Active Hybrid 3 3.0 6.2 6.0 5.8 6789 ★★★★

9 Toyota LEXUS NX300h 2.5 6.1 6.0 5.5 6680 ★★★★

10 Toyota LEXUS RX450h 3.5 6.7 5.7 8.7 7337 ★★★★

Figure 6: 2016 GCC Green vs. Blue Scores of Best Selling Hybrid Cars

）

0→10 （

Levin

Prius Green Score Green Corolla

LEXUS CT200h

LEXUS Camry Blue Score（0→10） ES300h K5 Hybrid

BMW LEXUS Active Hybrid3 LEXUS NX300h RX450h

Note: Green box on the upper right represents a GS and BS score above the annual average, orange box on the lower left represent the below average performance.

Figure 7 shows the trend in hybrids’ average, best and least Green Scores in the past

three years. While overall increasing over time, the Green Score of hybrids has reduced in 2015 and the average highest remains in 2014. That said, the best performing has not seen a significant reduction over time. Best performing over the years are the Toyota Prius (2014), Lexus CT200h (2015), and Toyota Corolla (2016), highlighting the role Toyota plays in leading hybrid Green Car performance in China.

Figure 7: 2014-2016 Top Selling Hybrids’ Green Scores Range

7.5 Prius Corolla LEXUS CT200h

7.0

6.5 Average Worst 6.0 Green Score Green Best

5.5

5.0 2014 2015 2016 Year

2.2.2 Small Cars 2016 GCC Ranking

The average Green Score and Blue Score of China’s 2016 Top10 performing small cars was 6.88 and 6.53 respectively. Apart from four models (two FAW Xiali, Suzuki Wagon R and Zotye Z100), six of the remaining best performing small cars achieved five stars for their relatively high score. Domestic independent manufacturers produced eight of the ten best performing small cars.

Table 12: China’s 2016 Top 10 Green Performing Small Cars Displacement FC Green Blue Fuel Green Rank Company Model L L/100km Score* Score** Cost(yuan) Level***

1 SAIC-GM-Wuling Lechi 1.2 5.1 7.0 8.5 5585 ★★★★★

2 SAIC-GM Sail 1.3 5.0 7.0 8.4 5475 ★★★★★

Benben 3 Hefei Changan 1.0 5.0 7.0 7.8 5475 ★★★★★ mini Wagon R 4 Changhe Suzuki 1.4 5.1 6.9 5.8 5585 ★★★★ e+

5 FAW-Toyota Vios 1.3 5.3 6.8 7.3 5804 ★★★★★

6 FAW-Xiali VIZHI V5 1.5 5.2 6.8 6.9 5694 ★★★★★

7 Lifan Lifan 1.3 5.3 6.8 6.3 5804 ★★★★★

320 Zotye 8 ZOTYE Auto 1.0 5.3 6.8 5.9 5804 ★★★★ Z100

9 FAW-Xiali Xiali N7 1.3 4.9 6.8 4.2 5366 ★★★★

9 FAW-Xiali Xiali N5 1.3 4.9 6.8 4.2 5366 ★★★★

Figure 8: 2016 GCC Green vs. Blue Scores of Best Selling Small Cars

）

0→10 （

Benben mini Lechi Green Score Green

Wagon R e+ Sail Xiali N5 VIZHI V5

Blue Score（0→10） Vios

Xiali N7

Zotye Z100 Lifan 320

Note: Green box on the upper right represents a GS and BS score above the annual average, while the orange box on the lower left represent the below average performance; Red frame marks models that enjoys annual sales of over 10,000 cars.

As shown in Figure 9, although small cars have shown steady increase in their average Green Score performance in the past three years, from 6.79 to 6.88, the best score only grew from 7.0 to 7.05 while the worst score occurred in the middle of that period (6.76).

Figure 9: 2014-2016 Top Selling Small cars’ Green Scores Range

Lechi Lechi

7.1 Smart

6.9 Average Worst

Green Score Green Best 6.7

6.5 2014 2015 2016 Year

2.2.3 Compact Cars Green Performance Ranking

The average Green Score and Blue Score of China’s 2016 Top10 performing compact cars was 6.79 and 7.22 respectively, an increase of 3.3% and 24.7% from last year’s scores. Dongfeng-Honda GREIZ is leading the chart with a Blue Score of 9.4. The top 5 performing cars are Japanese JVs, and the chart includes only one domestic independent manufacturer (EC7 of Geely). The 308S fall 6 spots from last year, as well as another one model that is still on the list but not positioned as well as it was last year – the Nissan Sunny.

Table 13: China’s 2016 Top 10 Green Performing Compact Cars Displacement FC Green Blue Fuel Rank Company Model Rank*** L L/100km Score* Score** Cost(yuan)

1 Dongfeng-Honda GREIZ 1.5 5.4 6.9 9.4 5913 ★★★★★

2 Dongfeng Auto Tiida 1.6 5.2 6.9 8.7 5694 ★★★★★

3 GAC-Honda CITY 1.5 5.3 6.8 8.2 5804 ★★★★★

4 Dongfeng Auto Bluebird 1.6 5.2 6.8 7.9 5694 ★★★★★

5 Dongfeng Auto Sylphy 1.6 5.2 6.8 7.7 5694 ★★★★★

6 DPCA Citroen C4 1.2 5.0 6.8 6.6 5475 ★★★★★

7 DPCA 308S 1.2 4.9 6.8 5.5 5366 ★★★★

Emgrand 8 Geely 1.8 4.7 6.8 5.1 5147 ★★★★ EC7

9 Dongfeng Auto SUNNY 1.5 5.6 6.7 7.9 6132 ★★★★★

10 SVW LAVIDA 1.2 5.1 6.7 5.3 5585 ★★★★

* The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 30 is the best performing. ** The Blue Score is based on health and environmental impacts analysis of a vehicle; a score of 10 is the best performing. *** The Green Car Rank is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and among the top 33% in terms of the Blue Score.

Figure 10: 2016 GCC Green vs. Blue Scores of Best Selling Compact Cars

）

0→10 （

TIIDA GREIZ CITY

Emgrand EC7 Citroen C4 Score Green Bluebird

Blue Score（0→10） 308S Sylphy

Sunny Lavida

As shown in Figure 11, compact cars experiences a steep and steady improvement in their Green Score performance over the past three years, from 6.69 to 6.88. The lowest score of 2016 was as high as 6.66, demonstrating the improvement in the segment.

Figure 11: 2014-2016 Top Selling Compact Cars’ Green Scores Range

7.0 GREIZ Peugeot 308S

6.8 Sunny

6.6 Average Worst 6.4 Green Score Green Best

6.2

6.0 2014 2015 2016 Year

2.2.4 Midsize Cars Green Performance Ranking

The average Green Score and Blue Score of China’s 2016 Top 10 performing mid-size cars was 6.13 and 5.5 respectively. Interestingly, while all cars of the list achieving a Green Score higher than 6, Blue Score performance decreased from last year among the top performing, reaching a low score as 3.8. German JVs occupied 8 spots in the top 10 preforming mid-size green car list.

Table 14: China’s 2016 Top 10 Green Performing Midsize Cars Displacement FC Green Blue Fuel Green Rank Company Model L L/100km Score* Score** Cost(yuan) Level***

1 SVW SUPERB 1.4 5.6 6.3 4.1 6132 ★★★★

2 Beijing-Benz C180L 1.6 6.1 6.2 7.3 6680 ★★★★★

3 SAIC-GM LaCrosse 1.5 6.2 6.2 7.0 6789 ★★★★★

Audi A4L 4 FAW-VW 2.0 5.8 6.2 4.9 6351 ★★★★ 2.0T AT

5 Beijing-Benz C200L 2.0 6.3 6.1 7.5 6899 ★★★★★

Audi A4 6 FAW-VW 2.0 6.2 6.1 6.8 6789 ★★★★★ 2.0T AT

7 SVW PASSAT 1.4 5.8 6.1 3.7 6351 ★★★★

8 SVW OCTAVIA 1.4 5.9 6.1 3.3 6461 ★★★★

9 Beijing-Benz C200 2.0 6.3 6.0 6.6 6899 ★★★★

Zhejiang Volvo 10 Haoqing 1.5 5.9 6.0 3.8 6461 ★★★★ S60L T3 Auto * The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 is the best performing. 32

** The Blue Score is based on health and environmental impacts analysis of a vehicle; a score of 10 is the best performing. *** The Green Car Rank is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and among the top 33% in terms of the Blue Score.

Figure 12: 2016 GCC Green vs. Blue Scores of Best Selling Midsize Cars

）

0→10 （

SUPERB

Audi A4L 2.0T Score Green BENZ C180L Octavia LaCrosse

Passat Audi A4 2.0T Blue Score（0→10）

Volvo S60L T3 BENZ C200L BENZ C200

As shown in Figure 13, mid-size cars experienced a sharp increase in Green Score performance from last year after a decrease in performance in 2015. From a 2014 average of 5.57, mid-size cars dropped below 4 in 2015 and climbed to 6.04 this year. The annual average of 2016 surpassed 6.0 and the least performing was not much below that figure either.

Figure 13: 2014-2016 Top Selling Midsize Cars’ Green Scores Range

SUPERB

6.3 BENZ C200L

BMW 316i

6.1

5.9 Average Worst

Green Score Green 5.7 Best

5.5

5.3 2014 2015 2016 Year

2.2.5 Large Cars Green Performance Ranking

The average Green Score and Blue Score of China’s 2016 Top 10 performing large-size cars was 5.64 and 5.92, representing an increase of 31.5% and 13% from last year’s scores respectively. The list includes three stars and above, with 80% of models achieving 4 starts. Worth noting are Daimler’s Benz CLS260 with a Blue Score of 8.5, and the two domestic independent manufacturers that managed to produce a model that qualified for entering the list – Zotye with its Z700 and Dongfeng with the A9.

Table 15: China’s 2016 Top 10 Green Performing Large-size Cars Displace Green FC Blue Fuel Green Rank Company Model ment Score L/100km Score** Cost(yuan) Level*** L *

1 Beijing-Benz E200L 2.0 6.7 5.9 7.6 7337 ★★★★

2 Daimler Benz CLS 260 2.0 6.9 5.8 8.5 7556 ★★★★

3 Toyota LEXUS ES200 2.0 6.9 5.8 6.8 7556 ★★★★

Dongfeng 4 Dongfeng A9 1.8 6.6 5.8 5.1 7227 ★★★★ Auto

Audi A6L 1.8T 5 FAW-VW 1.8 6.5 5.7 4.4 7118 ★★★★ AT

6 ZOTYE Auto Zotye Z700 1.5 7.4 5.6 7.6 8103 ★★★★

7 BMW 525Li 2.0 7.1 5.5 5.1 7775 ★★★★

8 BMW 520Li 2.0 6.9 5.5 4.7 7556 ★★★★

9 BMW 528Li 2.0 7.2 5.4 5.4 7884 ★★★

Changan 10 Taurus 1.5 7.1 5.4 4.0 7775 ★★★ Ford

Figure 14: 2016 GCC Green vs. Blue Scores of Best Selling Large-size Cars

） 0→10

（ BENZ E200L

Dongfeng A9

BENZ CLS260 Green Score Green Audi A6L 1.8T LEXUS ES200

Blue Score（0→10） ZOTYE Z700 BMW 520Li BMW 525Li

TAURUS BMW 528Li

As shown in Figure 15, large-size cars experienced a steady increase in Green Score performance during the last three years on average, yet a decrease in best performing model scores. While Chery achieved a score of 6.6 in 2014, this years’ XR-V achieved a Green Score of 5.9.

Figure 15: 2014-2016 Top Selling Large-size Cars’ Green Scores Range

6.0 BENZ E200L BENZ E200

5.6 BENZ E200L

5.2 Average

Worst

Green Score Green 4.8 Best

4.4

4.0 2014 2015 2016 Year

2.2.6 SUV Green Performance Ranking

The average Green Score and Blue Score of China’s 2016 Top10 performing SUVs was 6.41 and 6.47, representing an annual increase of 4.6% and 39.4% respectively. Not surprisingly, this years’ top of the list are all SUVs with engine displacement smaller than 1.6 L. As SUV sales continue to rise by nearly 60% to over 6.2 million, the increasing role domestic manufacturers’ are playing in this market is not surprising – they are accounting for 7 models of the top performing SUVs.

Table 16: China’s 2016 Top 10 Green Performing SUVs Displac Green FC Blue Fuel Green Rank Company Model ement Score L/100km Score** Cost(yuan) Level*** L *

1 Dongfeng-Honda XR-V 1.5 5.9 6.5 8.6 6461 ★★★★★

2 GAC-Honda VEZEL 1.5 5.9 6.5 8.1 6461 ★★★★★

3 FAW-Xiali Junpai D60 1.5 5.7 6.5 6.9 6242 ★★★★★ 4 Changan-Suzuki Vitara 1.4 5.6 6.5 5.3 6132 ★★★★ Shenbao 5 BAIC MOTOR 1.3 6.1 6.4 7.9 6680 ★★★★★ X25

6 Chery Tiggo 3 1.6 5.9 6.4 6.9 6461 ★★★★★ 7 Changcheng Auto Haval H1 1.5 5.8 6.4 5.2 6351 ★★★★ Chang’an 8 Hefei Changan 1.5 6.1 6.3 6.9 6680 ★★★★★ CS15 Zhonghua 9 Brilliance Auto 1.5 5.9 6.3 6.0 6461 ★★★★ V3

10 Lifan Lifan X50 1.5 5.6 6.3 2.8 6132 ★★★★

* The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 * The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 is the best performing. ** The Blue Score is based on health and environmental impacts analysis of a vehicle; a score of 10 is the best performing. *** The Green Car Rank is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and among the top 33% in terms of the Blue Score.

Figure 16: 2016 GCC Green vs. Blue Scores of Best Selling SUVs

）

0→10 （ Junpai D60 XR-V

VEZEL Vitera Score Green

Shenbao X25

HAVAL H1 Blue Score（0→10） Tiggo 3

Zhonghua V3 Lifan X50 Changan CS15

As shown in Figure 17, SUVs experienced an increase in Green Score performance after experiencing a decrease last year, from an average of 6.02 in 2014, to yet a further decrease in best performing model scores. While Chery achieved a score of 6.6 in 2014, this years’ XR-V achieved a Green Score of 5.9.

Figure 17: 2014-2016 Top Selling SUVs’ Green Scores Range

6.8 Chery X1 Changcheng M4 XR-V

6.4

Average

Worst

Best

6.0 Green Score Green

5.6 2014 2015 2016 Year

2.2.7 MPV Green Performance Ranking

The average Green Score and Blue Score of the Top10 performing MPVs was 5.59 and 5.73, representing an improvement of 13.1% and 17.4% respectively, approaching the performance of medium and large size car segments. Similar to SUVs, the MPV best performing list is dominated by domestic independent manufacturers’ models. As much as 3 Enranger series models entered the list (737, 272, and 737 first-class), continuing precious years’ performance. Dongfeng-Liuzhou tops the list this year too, with Fengxing s500, and demonstrates impressive tailpipe emissions technologies through its high Blue Score.

Table 17: China’s 2016 Top 10 Green Performing MPVs Displace Green Blue Green FC Fuel Rank Company Model ment Score Score Level*** L/100km Cost(yuan) L * **

1 Dongfeng-Liuzhou Fengxing S500 1.6 6.2 6.2 7.2 6789 ★★★★★

2 Dongfeng-Liuzhou Joyear 1.5 5.9 6.2 4.4 6461 ★★★★

3 SVW TOURAN 1.4 5.9 6.1 3.5 6461 ★★★★

4 Chuanjiang Auto Enranger 737 1.5 6.8 6.0 7.0 7446 ★★★★

5 Enranger Enranger 727 1.5 7.0 5.9 7.0 7665 ★★★★

5 Zhengzhou-Nissan NV200 1.6 6.9 5.9 7.0 7556 ★★★★

737 First-class 5 Enranger 1.5 6.8 5.9 7.0 7446 ★★★★ cabin

8 BAIC-Yinxiang Huansu H2 1.5 6.4 5.9 3.8 7008 ★★★★

9 Zhengzhou-Nissan Succe 1.5 6.8 5.8 5.7 7446 ★★★★

Fengguang 10 Dongfeng Xiaokang 1.5 6.7 5.8 4.7 7337 ★★★★ 370

Figure 18: 2016 GCC Green vs. Blue Scores of Best Selling MPVs

）

0→10 （

Joyear Fengxing S500 Green Score Green

TOURAN Enranger 737

737 First-class Blue Score（0→10） Huansu H2 Succe cabin

Enranger 727

Fengguang 370 NV200

As shown in Figure 19, MPVs experienced disruptive changes in their Green Score over the past three years: between 2014 and 2015 the least performing score dropped from 5.06 to 4.13, yet improved in 2016 reaching 5.83. The average score kept increasing, with a significant improvement of 13% between 2015 and 2016, reaching 5.97. The variations in scores demonstrate the wide technological range offered by different manufacturers and in different MPV models.

Figure 19: 2014-2016 Top Selling MPVs’ Green Scores Range

6.5 Joyear Fengxing S500

6.0 Meriva

5.5 Average Worst

5.0 Best Green Score Green

4.5

4.0 2014 2015 2016 Year

2.2.8 Luxury Cars Green Performance Ranking

The average Green Score of the Top 10 performing luxury cars was 4.49, much higher than the 3.77 points achieved in the previous year, and closer to the average top 10 score of 2014. The Blue Score was 4.33, a drop from last year’s average score of 4.42. While two models top the Green Score list with the same score of 5.1, it is BMW’s 740Li that outperforms SAIC-GM Cadillac CT6 on the Blue Score. German importers lead the list with as many as 7 models out of the 10 best performing.

Table 18: China’s 2016 Top 10 Green Performing Luxury Cars Displacement FC Green Blue Fuel Green Rank Company Model L L/100km Score* Score** Cost(yuan) Level***

1 SAIC-GM Cadillac CT6 2.0 7.9 5.1 4.5 8651 ★★

2 BMW 740Li 3.0 7.5 5.1 4.0 8213 ★★

3 Daimler Benz S 320L 3.0 8.0 5.0 5.5 8760 ★★

Jaguar Land 4 Jaguar XJ 2.0 8.4 4.9 6.3 9198 ★★ Rover

5 Audi A8L 2.5 2.5 8.0 4.8 2.5 8760 ★★

Benz S400 6 Daimler 4MATIC 3.0 9.4 4.2 4.9 10293 ★ MAYBACH Benz S400L 7 Daimler 3.0 9.3 4.2 4.3 10184 ★ 4MATIC

8 Kia K9/K9 3.8 10.1 4.0 6.3 11060 ★

9 BMW 750Li 4.4 9.4 3.9 0.9 10293 ★

10 Audi Audi S8 4.0T 4.0 10.2 3.8 4.1 11169 ★

Figure 20: 2016 GCC Green vs. Blue Scores of Best Selling Luxury Cars

）

0→10 （

Cadillac CT6

BMW 740Li Score Green Jaguar XJ Audi A8L BENZ S320L

Blue Score（0→10） BENZ S400L Kia K9 BMW 750Li BENZ S400 Audi S8 4.0T Maybach

As shown in Figure 21, luxury cars’ Green Score performance improved steadily over the past three years, with a slight decrease in the average score yet a recovery in 2016.

Figure 21: 2014-2016 Top Selling Luxury Cars’ Green Scores Range

Cadillac CT6 5.8 Jaguar XJ BENZ S320L 5.2

4.6 Average

4.0 Worst

Green Score Green Best 3.4

2.8

2.2 2014 2015 2016 Year

2.2.9 Sports Cars Green Performance Ranking

The average Green Score and Blue Score of the Top10 performing sports cars was 5.03 and 4.42 respectively, outperforming the average scores of luxury cars, despite their typical large engine size and high fuel consumption levels. On the top of the list is BMW’s 218i with a score of 6.4, while the second and third spots on the Green Score list, Renault’s Negane RS and BMW’s M135i, achieved notable Blue Scores of 6.6 and 6.3, respectively. Toyota entered the list with two sports car models, the Lexus RC200t and Toyota86, however with low overall rank (two stars).

Table 19: China’s 2016 Top 10 Green Performing Sports Cars Displacement FC Green Blue Fuel Green Rank Company Model L L/100km Score* Score** Cost(yuan) Rank***

1 BMW 218i 1.5 5.6 6.4 5.4 6132 ★★★★

2 Renault MEGANE R.S. 2.0 7.5 5.5 6.6 8213 ★★★★

3 BMW M135i 3.0 7.7 5.4 6.3 8432 ★★★

Fuji Heavy 4 BRZ 2.0 7.5 5.3 2.7 8213 ★★★ Ind.

5 Kia SHUMA 1.6 7.8 5.2 4.2 8541 ★★★

LEXUS 6 Toyota 2.0 7.5 5.1 2.3 8213 ★★ RC200t

7 Toyota TOYOTA 86 2.0 7.5 5.1 0 8213 ★★

8 Jaguar Jaguar 3.0 9.4 4.3 4.8 10293 ★ 42

Land F-TYPE Rover

9 BMW M6 4.4 10.2 4.0 5.9 11169 ★

M6 Gran 10 BMW 4.4 10.2 3.9 5.9 11169 ★ Coupe

Figure 22: 2016 GCC Green vs. Blue Scores of Best Selling Sports Cars

）

0→10 （

BMW 218i

BRZ Score Green SHUMA Toyota 86 MEGANE R.S. BMW M135i

LEXUS RC200t Blue Score（0→10）

Jaguar F-Type

BMW M6

BMW M6 Gran Couple

As shown in Figure 23, sports cars’ experienced disruptive performance over the past three years in terms of their Green Score: a sharp decrease in best, least and average score in 2015 and some recovery in 2016. Although the sports car market in dominated by imported cars and is of relative small scale, the national increase in policy stringency towards better environmental and health performance is projected to challenge sports’ cars performance going forward.

Figure 23: 2012-2016 Top Selling Sports Cars’ Green Scores Range

6.4 VW Scirocco BMW 218i

5.9 SHUMA 5.4

4.9

Average 4.4 Worst 3.9 Green Score Green Best

3.4

2.9

2.4 2014 2015 2016 Year

2.2.10 Plug-in Hybrid Performance Ranking

This year’s Green Car China analysis reports includes plug-in hybrids for the first time following the sharp increase in this segments’ car volume: PHEVs production and sales grew 3 folds to 63,600 models in 2015. However, the new Green Score given to PHEVs excludes the environmental and health impact of upstream emissions. While the plug-in hybrid raking provides a Green Score which is incomparable to other car segments, it is useful in demonstrating PHEV’s intrinsic comparative environmental and health impact on the urban level. PHEV models list average Green Score reached 6.71, with the extended range BMW i3 topping the list with a score as high as 7.3. Nine out of the Top 10 performing models reach or exceed a range of 50km, making them eligible for the national NEV subsidy.

Table 20: China’s 2016 Top 10 Green Performing Plug-in Hybrids Pure electric Displacement FC Rank Model Company range GS* L L/100km km

1 BMW i3 (Extended BMW 0.6 0.7 168 7.3

range)

2 Roewe 550 PHEV SAIC 1.5 1.6 60 6.9

3 Qin BYD 1.5 2.0 70 6.8

3 Arrizo 7 Chery 1.6 2.7 50 6.8

5 Shang BYD 1.5 2.4 50 6.7

5 Song BYD 1.5 2.5 55 6.7

7 BENZ C350eL Beijing BENZ 2.0 2.8 31 6.6

7 Volvo S60L T6 Zhejiang Haoqing 2.0 2.1 53 6.6

9 Trumpchi GA5 REV GAAC 1.0 2.4 50 6.4

9 Tang BYD 2.0 2.4 60 6.4

Figure 24: 2016 GCC Green Scores of Best Selling Plug-in Hybrids

7.6

BMW i3 (Journey

Increasing) 7.2

Roewe 50 Green Score Green ARRIZO 7 6.8 Song 6.71 Qin Volvo S60L T6 Shang BENZ C350eL 6.4 Trumpchi GA5 Tang

6.0

3. Overview of Global Green Car Ranking Systems

The Green Car China system was developed in 2006, employing global scientific methods and China-specific accountable resources aimed at arriving at an annually updated green performance car ranking for informing consumer purchase choices and urging manufactures to improve vehicle performance.

Since 2014, iCET has been collaborating with the Ministry of Environmental Protection affiliated Vehicle Emissions Control Center (MEP-VECC) to incorporate vehicles’ actual emissions impacts into its GCC ranking (replacing the previously used emissions standard limits). VECC is overseeing China’s Type-Approval tests and therefore strengthening iCET’s voluntary and independent GCC analysis results. The methodology employed for arriving at the Green Score was developed in collaboration with VECC in 2006 and is based on the US life cycle assessment of ACEEE (American Council for Energy-Efficient Economy). The Green Score is comprised of the tailpipe impact assessment part of the GS evaluation process. The Cost Index is a nominal value marking the average fuel consumption induced cost for the car user.

A comprehensive comparison with other green car evaluation results for the year 2016 can provide consumers with more diversified choices. Therefore, iCET dedicated this section to providing consumers with a more comprehensive display of various green performance assessments’ results.

There is no single global definition or evaluation method for rating green or environmentally friendly vehicles. Different evaluation criteria and methodological approaches lead to varying green car ranking results. In general, small size conventional internal combustion engine vehicles, vehicles fueled with alternative fuels (e.g. electric

46 powertrain), and vehicles equipped with energy-efficient components and technologies are considered green, or environmentally friendly. To continue the useful comparison between global green rankings, we’ve selected a number of well-known international green car systems in an attempt to enrich and expand the green car concept and season the GCC rankings’ results with a global approaches overview.

The World Car Awards ranking is based on a jury decision.18 Its jury is composed of 75 top-class reporters from around the world. The jury is responsible for a fair and credible yet subjective selection, which typically has an important influence on the global automotive industry. The General Assembly was established in 2003 to rate vehicle performances and was extended to include green ranking in 2006. The 2016 selection resulted in the Toyota Mirai winning the Green Car of the Year Award (out of 10 candidates), followed by the Toyota Prius and Chevrolet Volt plug-in hybrid. And among the top 5 models, two of them are from Toyota, showing its technical advantage in the automotive environmental protection area (the other two models are BMW 330e PHEV and Volkswagen Passat GTE19). In the past two years, this reward was reaped by BMW i3 and i8 separately.

Green Car Journal, founded in 1992, is a well-established environmentally-friendly vehicle, green energy, and environmental technology magazine.20 In its 2016 annual Green Car Award, the new, second-generation Chevy Volt was selected as the greenest car out of 5 finalists. Ron Cogan, editor and publisher of Green Car Journal mentioned that the first-gen car won the title five years ago, making the Volt the first model to be crowned Green Car of The Year more than once.21 The other finalists this year were the Audi A3 E-Tron, the new Toyota Prius, the Hyundai Sonata, and the Honda Civic. Finalists will be selected for their achievements in raising the bar in terms of environmental protection. Many factors are considered including effectiveness, the EPA and emissions CARB certifications, performance characteristics, “novelty” and affordability. In light of these factors the winner is decided by majority of the jury.

Based on fuel economy standards, the US Environmental Protection Agency (EPA) provides an eight-segment based “Most and Least Efficient Cars” rating every year (including electric vehicles). In this selection, vehicles are ranked by their combined fuel economy ratings (weighted by 55% city and 45% highway). It offers consumers auxiliary car-purchasing advice. The most fuel-efficient model in 2016 was the BMW i3 BEV, of which the whole lifecycle MPGe reached 124 (1.90 L/100km).22 Among the other 7 models, 6 BEV and only one PHEV—the Toyota Prius—are included, from which we can see the great environmentally friendly performance of electric vehicles.23 For the traditional ICE vehicles, the most fuel-efficient model is Toyota Prius Eco PHEV, with

18 World Car Awards. http://www.wcoty.com/web/ 19 World Car Awards-2016 Voting Results. http://www.wcoty.com/web/2016_results.asp 20 Green Car Journal. https://en.wikipedia.org/wiki/Green_Car_Journal 21 2016 Chevy Volt wins Green Car of the Year. http://www.autoblog.com/2015/11/19/2016-chevy-volt-green-car-year/ 22 该车型为电动汽车，因而使用美国 MPGE 计算方法将电能转换成油耗。 23 2016 Best and Worst Fuel Economy Vehicles. http://fueleconomy.gov/feg/best-worst.shtml#cars-wo-evs 47

MPG 56(4.2 L/100km).

The Green Car Rating published by the American Council for an Energy-Efficient Economy (ACEEE) is aimed at advancing energy efficiency policies, programs, technologies, investments, and behaviors. Based on official emissions and fuel-economy tests, and other specifications reported by auto manufacturers, ACEEE Green Car Rating calculates a Green Score for each car, minivan, pickup, and SUV on the market. The Green Score falls on a scale of zero to 100, where a higher score implies a greener car. The selection method of ACEEE is also based on the entire life cycle evaluation, making the evaluation process more comprehensive and realistic. Among ACEEE’s detailed class-based lists, top-rated vehicles in each class receive one of five-tier class ranking—Superior, Above Average, Average, Below Average, and Inferior—depending on where a model falls within its class. Top 5 models in 2016 are the Mercedes-Benz Smart ForTwo electric sedan/convertible, Mercedes-Benz Smart ForTwo electric couple, Chevy Spark EV, Mitsubishi i-MiEV and Fiat 500E, with average score of 63. The result is similar to that of 2015. Mercedes-Benz Smart ForTwo electric sedan/convertible cars were selected by ACEEE as "the most environmentally friendly vehicles" for the past three years.24

Table 1 The most environmentally friendly cars elected by different ranking systems

Award World Green Car Green Car of the Best Fuel Greener cars rating

Year Economy Vehicles

Organizer World Car of the Green Car EPA ACEEE

Year Journal

Method Journalists vote Experts vote Fuel Consumption Life-Cycle

Assessment

Prize-winner Toyota Mirai Chevy Volt BMW i3 BEV Smart ForTwo EV

Type Mid-size Compact Compact Small

Power Hydrogen Fuel PHEV BEV BEV

New energy vehicles (Fuel cell, PHEV, BEV) have revealed their excellent environmentally friendly performance, and have taken the majority of awards as shown on Table 1. New energy vehicles have an incomparable environmental advantage using both terminal analysis and lifecycle analysis. Instead of a single power source of gasoline/diesel in traditional ICE cars, the power source of NEVs is more diverse. The

24 Greener Cars Ratings. http://www.greenercars.org/greenercars-ratings?shs_term_node_tid_depth=All&field_class_tid=All&field_year_t id=All&&&&page=0%2C0 48 essence of automobile electrification is to utilize electric power for mechanical mobilization; and the electric power can be generated in multiple ways. Therefore it is beneficial for automobile electrification to ultimately optimize the energy structure.25 Under certain circumstances, technical choke points and safety issues still exist for electric vehicles; however, once these technical aspects undergo breakthroughs, the popularity of electric vehicles will be only an issue of time.

25 四大要素告诉你为什么汽车电动化是必然趋势？http://www.d1ev.com/42961.html 49

4. Conclusion of 2016 Green Car China Ranking

In 2015, production and sales reached 20 million for the first time with a total production of new energy vehicles at more than 379,000 and year-on-year growth of over 300%. Sales volume of electric vehicles was also 1.5% of total vehicle sales volume. After seven years as the largest vehicle market, China has now also become the largest electric vehicle market in the world26.

The staggering and ever-increasing seriousness of environmental deterioration and global greenhouse gases necessitates measures and actions appropriate for mitigating and controlling current and future issues. Alternative clean energy and industry optimization is the inevitable course for China to achieve the goals of energy conservation and emission reduction during its mid to long term development strategy. As demand for cars in China continues to increase with economic development, consumers should be encouraged to choose more eco-friendly vehicles improving the urban air quality, and realizing a sustainable path of development for society, the environment and the economy.

iCET has collaborated with the Ministry of Environmental Protection affiliated Vehicle Emission Control Center (MEP-VECC) to incorporate vehicle’s actual emissions impact into its GCC ranking. GCC methodology is comprised of a lifecycle impact assessment that includes vehicle manufacturing, fuel production, and usage stage emissions. The Green Score and the Blue Score are two key indexes for the GCC ranking. GCC ranking is designed to advocate eco-friendly vehicles, and provide reference for consumers, so as to influence the auto industrial structure adjustment.

Some of 2016 GCC analysis key findings: The 2016 Top 10 models’ average Green Score is higher than that of 2015, indicating an improved overall environmental performance over the last year. The Blue Score has also improved yet with less significance (see Table 2); Four models achieved a Blue Scores higher than 9.0 points: GAC-Honda New Fit, Dongfeng Honda GREIZ, Infiniti QX60 and KIA CARENS (see Table 3); The environmental performance of domestic independent brands has undergone significant improvement, especially in the SUVs and MPVs segments.

Table 2 Average Ratings by-Segment (Top 10 average): FC, Green and Blue Scores

Sports Hybrid Small Compact Mid-size Large SUV MPV Luxury PHEV* car Green Score* 6.58 6.88 6.79 6.13 5.64 6.41 5.97 4.49 5.03 6.71 Blue Score** 7.08 6.53 7.22 5.50 5.92 6.47 5.73 4.33 4.42 N/A Fuel cost 5727 5596 5650 6581 7588 6406 7161 9658 8858 N/A (yuan) Aver FC 5.23 5.11 5.16 6.01 6.93 5.85 6.54 8.82 8.09 N/A

26 2015 年 1~12 月汽车工业经济运行情况 http://www.miit.gov.cn/newweb/n1146285/n1146352/n3054355/n3057585/n3057592/c4622317/content.html 50

L/100km * Green Score (GS) – a life-cycle health and environmental impact measurement based on environmental damage index; The GS provides each car model with a relative value that ranges from 10 (best performance) to 0 (worst performance). ** Blue Score – tailpipe induced health and environmental impact, a use-phase focused emissions score ranking. It is calculated based on smog index. The Blue Score provides each car model with a relative value ranging from 0 (best performance) to 10 (worst performance). *** Plug-in hybrids (PHEV) Green Scores excludes the health and environmental impacts of its electric power upstream.

Table 3 Models with a Blue Score higher than 9.0 in 2016

Displacement FC Green Blue Green Type Company Model L L/100km Score* Score** Level***

Small GAC-Honda New Fit 1.5 5.3 7.0 9.6 ★★★★★ Compact Dongfeng Honda GREIZ 1.5 5.4 6.9 9.4 ★★★★★ Nissan North Hybrid Infiniti QX60 2.5 8.0 5.2 9.2 ★★★ America MPV KIA CARENS 2.0 7.7 5.6 9.1 ★★★★ * The Green Score is based on health and environmental impacts life-cycle analysis of a vehicle; a score of 10 is the best performing. ** The Blue Score is based on health and environmental impacts analysis of a vehicle; a score of 10 is the best performing. *** The Green Car Rank is based on a relative-rating, where a vehicle is rated with five stars if it is among the top 5% performing of all vehicles in term of its Green Score and among the top 33% in terms of the Blue Score.

References

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Appendix I: China's Top Selling 100 Cars 2016 GCC

performance

Displace Sales FC Green Blue Green Company Model Sales ment Rank L/100km Score* Score** Level*** L

SAIC-GM-Wulin Wuling 1 655,531 1.2 6.6 5.88 3.96 ★★★★ g Hongguang 2 SVW New Lavida 379,068 1.6 6.8 5.86 6.04 ★★★★ Changcheng 3 Haval H6 373,229 2.0 6.5 2.09 0.00 ★ Auto Dongfeng-Nissa 4 Sylphy 334,087 1.6 5.2 6.79 7.71 ★★★★★ n SAIC-GM-Wulin 5 Baojun 730 321,069 1.5 6.9 5.71 4.74 ★★★★ g 6 FAW-VW Sagitar 279,887 1.4 6.2 5.96 3.42 ★★★★ 7 FAW-VW Jetta 274,932 1.6 6.3 5.96 3.40 ★★★★ 8 Beijing Hyundai ELANTRA 267,085 1.6 5.9 5.47 4.51 ★★★ 9 SVW New Santana 255,968 1.4 5.7 6.43 5.67 ★★★★★ 10 SVW Tiguan 255,751 1.4 6.9 5.37 0.48 ★★★ 11 FAW-Toyota Corolla 254,301 1.6 5.9 6.49 8.49 ★★★★★ 12 SAIC-GM Cruze 246,088 1.4 5.7 6.32 4.26 ★★★★ All New 13 SAIC-GM 243,598 1.5 5.6 6.47 5.62 ★★★★★ Excelle 14 Changan Ford ESCORT 1.5L 214,362 1.5 6.5 5.98 5.06 ★★★★ 15 Beijing Hyundai VERVA 213,678 1.4 6.1 6.13 3.32 ★★★★ New Sail 16 SAIC-GM 213,457 1.3 5.0 7.02 8.43 ★★★★★ sedan 17 Geely Emgrand EC7 206,226 1.8 4.7 6.79 5.13 ★★★★ 18 SVW PASSAT 205,538 1.4 5.8 6.12 3.66 ★★★★ 19 FAW-VW New Bora 204,280 1.4 5.3 6.59 5.75 ★★★★★ 20 JAC Refine S3 196,779 1.5 6.5 6.06 5.96 ★★★★★ 21 FAW-VW Golf 192,410 1.2 5.3 6.50 4.97 ★★★★ 22 Changan Auto CS75 186,623 1.8 9.2 4.48 5.47 ★ 23 Changan Auto EADO 182,332 1.6 7.2 5.45 3.20 ★★★

24 SAIC-GM Excelle 176,242 1.5 6.6 5.98 5.55 ★★★★ 25 Changan Auto CS35 169,332 1.5 7.0 5.76 5.95 ★★★★ Changcheng 26 Haval H2 168,517 1.5 6.9 5.66 4.90 ★★★★ Auto Dongfeng-Nissa 27 X-Trail 166,385 2.0 7.1 5.54 4.19 ★★★★ n 28 BAIC Yinxiang Huansu S3 164,436 1.5 7.1 5.44 1.89 ★★★ 29 SVW All New Polo 163,251 1.4 6.0 6.48 7.65 ★★★★★ 30 SAIC-GM Envision 162,941 1.5 6.6 5.77 4.69 ★★★★ Dongfeng-Hond 31 CR-V 156,608 2.0 7.1 5.56 4.84 ★★★★ a 32 DYKMC K3 156,033 1.6 6.1 6.08 3.54 ★★★★ 33 FAW-VW Magotan 155,507 1.8 6.4 5.84 3.77 ★★★★ 34 Beijing Hyundai MISTRA 154,597 1.6 6.7 5.91 6.89 ★★★★ 35 DYKMC K2 sedan 153,596 1.4 5.6 6.37 3.04 ★★★★ 36 BMW 5 Series 150,122 2.0 6.9 5.54 4.65 ★★★★ 37 SVW Octavia 150,028 1.4 5.9 6.33 6.10 ★★★★★ 38 FAW-VW A6 147,997 1.8 6.5 5.73 4.49 ★★★★ SAIC-GM-Wulin 39 Baojun 560 145,007 1.5 6.9 5.25 0.00 ★★★ g 40 BYD F3 sedan 143,453 1.5 5.9 6.38 6.41 ★★★★★ 41 Changan Auto Honor 142,263 1.3 6.9 5.67 3.27 ★★★★ 42 Changan Ford Kuga 135,194 1.5 7.2 5.12 0.00 ★★ 43 GAC-Chuanqi Trumpchi GS4 131,016 1.3 6.3 5.85 3.13 ★★★★ 44 GAC-Honda Accord 128,126 2.0 7.0 5.83 7.83 ★★★★ 45 GAC-Toyota Camry 128,046 2.0 7.0 5.69 5.65 ★★★★ 46 GAC-Honda VEZEL 126,838 1.5 5.9 6.50 8.06 ★★★★★ 47 ZOTYE Auto Zotye T600 126,121 1.5 7.9 4.98 2.11 ★★ 48 GAC-Toyota Levin 125,699 1.6 5.9 6.50 8.47 ★★★★★ 49 BAIC MOTOR Weiwang M20 123,653 1.5 6.8 5.51 0.55 ★★★★ 50 Geely Yuanjing 1.5 121,969 1.5 6.4 5.88 2.58 ★★★★ 51 Chery Tiggo 3 120,357 1.6 5.9 6.36 6.91 ★★★★★ 52 Chang’an Ford New Mondeo 120,202 1.5 6.9 5.45 1.96 ★★★ Dongfeng-Hond 53 XR-V 118,749 1.5 5.9 6.54 8.63 ★★★★★ a 54 GAC-Honda CRIDER 116,759 1.8 6.2 6.34 8.36 ★★★★★ 55 FAW-Toyota RAV4 116,731 2.0 7.3 5.45 4.51 ★★★ 56 FAW-VW A4 115,149 2.0 5.8 6.18 4.90 ★★★★

57 FAW-Toyota Vios 114,467 1.3 5.3 6.82 7.34 ★★★★★ 58 FAW-VW Q5 2.0T 114,000 2.0 8.2 4.82 3.82 ★★ Dongfeng-Nissa 59 New TEANA 111,774 2.0 7.3 5.70 7.77 ★★★★ n New Focus 60 Changan Ford 111,498 1.0 5.2 6.61 5.44 ★★★★★ sedan 61 SAIC-GM New Regal 110,637 2.0 8.2 5.09 6.11 ★★ 62 BYD S7 110,074 2.0 7.8 5.41 8.50 ★★★ 63 DPCA 408 107,008 1.6 7.4 5.51 5.94 ★★★★ 64 Beijing Hyundai ix35 105,872 2.0 7.8 5.32 5.66 ★★★ Dongfeng 65 Lingzhi 105,417 1.5 7.9 4.80 0.00 ★★ Liuzhou 66 Shanghai-VW Lamando 104,214 2.0 6.6 5.69 2.85 ★★★★ 67 Beijing Hyundai ix25 102,755 1.6 6.8 5.80 5.59 ★★★★ Dongfeng Fengguang 68 99,622 1.2 5.2 0.93 0.00 ★ Xiaokang 370 69 GAC-Honda New Fit 95,963 1.5 5.3 6.95 9.56 ★★★★★ 70 BMW 3 Series 95,240 1.6 6.2 5.78 1.55 ★★★★ New Focus 71 Changan Ford 94,364 1.0 5.2 6.61 5.44 ★★★★★ hatchback 72 Chang’an Mazda Mazda 3 Axela 94,108 1.5 5.8 6.52 8.20 ★★★★★ 73 SVW Gran Lavida 93,763 1.4 5.7 6.18 2.56 ★★★★ 74 DPCA New Elysee 93,655 1.6 6.1 6.18 4.78 ★★★★ Dongfeng-Nissa 75 New SUNNY 90,582 1.5 5.6 6.68 7.88 ★★★★★ n 76 DPCA 308 87,359 1.6 7.3 5.52 4.79 ★★★★ 77 Beijing Benz C-Class 85,080 1.6 6.1 6.19 7.34 ★★★★★ 78 SAIC-GM New LaCross 85,005 1.5 6.2 6.16 7.05 ★★★★★ Dongfeng 79 Jingyi SUV 84,124 1.6 6.8 4.97 3.11 ★★ Liuzhou 80 SAIC-GM Encore 82,013 1.4 6.8 5.67 3.65 ★★★★ 81 DYKMC SPORTAGE R 81,522 2.0 7.7 5.45 6.94 ★★★ 82 SAIC-GM Malibu 80,222 2.0 8.0 5.16 5.37 ★★★ 83# SAIC-GM GL8 78,985 2.4 10.0 3.22 0.00 ★ 84 Brilliance Auto Zhonghua V3 75,293 1.5 6.9 5.74 4.95 ★★★★ Changcheng 85 Haval H1 74,571 1.5 5.8 6.39 5.18 ★★★★ Auto 86 GAC-Toyota New 72,505 2.0 8.2 4.56 0.34 ★

Highlander 87 Changan Auto Alsvin 71,787 1.6 5.9 6.06 1.74 ★★★★ 88 FAW-VW Q3 68,519 1.4 6.3 5.86 3.40 ★★★★ 89 Chery Tiggo 5 67,984 2.0 7.6 5.41 6.06 ★★★ 90 DPCA Peugeot 301 67,970 1.6 6.1 6.18 4.78 ★★★★ 91 DPCA 3008 67,501 1.6 6.8 5.56 2.82 ★★★★ 92 DPCA C3-XR 66,487 1.6 6.2 5.94 2.45 ★★★★ 93 DPCA Sega sedan 66,240 1.6 6.7 5.81 4.44 ★★★★ 94 Haima Auto Haima S5 65,226 1.6 7.3 5.38 2.60 ★★★ 95 Changan Ford EDGE 65,152 2.0 8.5 4.52 1.62 ★ Dongfeng-Nissa 96 T70 65,072 2.0 7.9 5.29 5.91 ★★★ n 97 Beijing Hyundai Sonata 64,906 1.6 6.7 5.85 6.09 ★★★★ 98 GAC-Toyota YARiS L 64,724 1.3 5.5 6.61 0.00 ★★★★★ Dongfeng 99 Fengshen AX7 64,073 1.4 7.6 5.20 0.00 ★★★ Fengshen

100# BYD Surui 62,683 1.2 5.9 5.42 0.00 ★★★

* Green Score (GS) – a life-cycle health and environmental impact measurement based on environmental damage index; The GS provides each car model with a relative value that ranges from 10 (best performing) to 0 (least performing). ** Blue Score – tailpipe induced health and environmental impact, a use-phase focused emissions score ranking. It is calculated based on smog index. The Blue Score provides each car model with a relative value that ranges from 0 (best performing) to 10 (least performing). ***Stars indicate the environmental level. There are five levels: “★★★★★” for the models in top 5% of both blue score and green score; “★★★★” means top 6-15% of green score; “★★★” means 16-30% of green star; “★★” means 31-50% of green score; “★” for the rest models. # There is no record of environmental effect for this model. And the green score and blue score are

calculated based on CN5 standard.