In an interview with the Wall Street Journal, Guidehouse Insights discusses how the pandemic helped accelerate China’s automated vehicle market
Automated vehicles (AVs) are gaining popularity as testing and technology continue to advance. Due to the pandemic, in March 2020, US AV companies suspended road testing and development, while at the same time, China emerged from its lockdown.
In an interview with the Wall Street Journal, Sam Abuelsamid, principal research analyst at Guidehouse Insights, said Chinese companies are taking advantage of the lull in US AV testing to advanced their own research and development efforts.
“Having a few months of additional time to do that testing will probably benefit the Chinese companies,” Abuelsamid said, adding that the country has the largest addressable market for the technology as well as policies that encourage development.
While Chinese AV startups are increasing, the US remains the industry leader. Abuelsamid said demand for AVs is likely to increase as the use of e-commerce accelerates and more people rely on deliveries that could be performed by the vehicles.