Oregon Gears-Up For Chinese Imports

Last week, Oregon Governor Ted Kulongoski clinched a deal to bring Nissan’s pure-electric cars to his state. Then, he went on to Shenzen, China. “At BYD Auto Co., China’s fast-growing automotive star, a plug-in electric hybrid sedan is just weeks from meeting millions of Chinese consumers” writes the Oregonian. “The F3DM, which runs up to 80 miles on a single charge and packs a 7-gallon tank, will probably launch in the United States by 2010.” The Governor wants it to be built in Oregon. On Friday, he met with BYD President Wang Chuanfu. On a 10-day business trip through Asia, Kulongoski had laid out his vision to automakers in Japan and China: Electric charging stations every 60 miles along interstates. Tax incentives for Oregonians to buy electric cars. Tax bonuses for drivers to build car chargers in their garages. And, unspoken, but you can bet on it: generous incentives for those who bring their factories to Oregon. Then, Kulongoski has guanxi, connections, indispensable for a successful Chinese deal…

The Governor has a powerful ally: Patrick Reiten, president of Pacific Power, one of Oregon’s main electricity providers. His company is owned by Warren Buffett’s MidAmerican Energy Holdings Company. It just so happened that this company bought a 10 percent stake in BYD for about $230m.

Another Oregonian ready for the Chinese: Bill Wyatt, executive director of the Port of Portland. His port is a major entry point for Japanese and South Korean cars. Wyatt had intensive talks with BYD, along with all other Chinese carmakers in preparation for the coming onslaught of Chinese cars. “Eventually, one of these Chinese car manufacturers is going to begin large-scale exports to the United States,” the Oregonian quotes Wyatt. “Whoever it is, we’ve gotten to know them at this point.” Glad to hear that someone is ready for the inevitable.