The plan always seemed a bit too good — or at least too brilliantly weird — to be true. Last year footage and reports about China’s “straddling bus,” a bizarre vehicle that appeared to glide over traffic on roads, went viral and the vehicle was touted as a solution to the country’s traffic congestion problems.
Now the project has been scrapped and 32 people have been arrested for alleged illegal fundraising in connection with it. Suspicions about the project, which resulted in the creation of some intriguing videos, have grown.
Not everyone will have been surprised by the news. Doubts over the legitimacy of the Transit Elevated Bus (TEB) and Huaying Kailai (華贏凱來), the fundraising platform raising investment for it, were raised by Chinese state media in August last year.
Photo: Reuters
Just before that article ran, the company behind the vehicle, TEB Technologies, performed a test run in Hebei Province that created a huge buzz. When I subsequently asked the firm if I could visit them for insights into TEB, I was rebuffed. Chinese firms failing to help foreign journalists is common, but for a company seemingly eager to attract investment the refusal still seemed a little odd.
There had also been doubts that the bus would be able to manage China’s road system, including corners and footbridges, or if it was even strong enough to bear the weight of passengers.
Now the TEB prototype lies in a rusting state and investors sweat over getting their money back: another example of futuristic transport that makes great headlines, but does not offer a solution to China’s serious traffic problems.
According to Statista, China’s vehicle population last year was 194 million — up from 105 million five years previously. Between 1982 and 2015, China’s urban population shot up from 21 percent to 56 percent and the government’s target for 2020 is 60 percent. The fast growing city population combined with rise of car ownership has led to enormous traffic problems in many cities.
In Beijing, which has about 5.6 million cars, tough driving restrictions have been introduced in an attempt to cut both traffic and air pollution. It is one of many cities in China to cap the amount of number plates issued annually, implementing a monthly “license plate lottery.” Applicants face extremely long odds of being granted plates, forcing many to stay off the road for years.
The ambition for Beijing transport authorities is to keep the number of cars in the city below 6.3 million by 2020.
While the road-straddling bus has proved a failure, other businesses such as bike-sharing companies like Ofo could have more success.
Ofo Inc (共享單車) has made 40,000 to 50,000 of its bikes available to hire in Beijing with a GPS system tracking their location and use. They can be unlocked by users using a combination code sent through the company’s app. These and other bike-sharing startups have attracted major investors, including tech giants Didi Chuxing (滴滴出行) and Tencent Holdings Ltd (騰訊).
Last year, former Chinese Academy of Engineering executive vice president Pan Yunhe (潘雲鶴) predicted a future in which bike-share schemes evolved to offer electric mini-cars. Such cars would “probably be a major transportation vehicle in Chinese cities in the future,” he wrote.
While bike-sharing schemes are having a positive impact, policy changes are the key to tackling congestion in Chinese cities, World Resources Institute China Cities Programme director Liu Daizong (劉岱宗) said.
Liu said transport authorities in cities including Beijing, Shanghai, Nanjing and Shenzhen are considering introducing congestion charge zones, having seen them successfully reduce traffic in London, Singapore and Stockholm.
Measures such as these were vital to encourage drivers to use public transport instead of their cars, he said.
“In China we are focused on technology, but people do not use public transport because of the technology. They use it because of high-quality service and speed,” he said.
TAKING STOCK: A Taiwanese cookware firm in Vietnam urged customers to assess inventory or place orders early so shipments can reach the US while tariffs are paused Taiwanese businesses in Vietnam are exploring alternatives after the White House imposed a 46 percent import duty on Vietnamese goods, following US President Donald Trump’s announcement of “reciprocal” tariffs on the US’ trading partners. Lo Shih-liang (羅世良), chairman of Brico Industry Co (裕茂工業), a Taiwanese company that manufactures cast iron cookware and stove components in Vietnam, said that more than 40 percent of his business was tied to the US market, describing the constant US policy shifts as an emotional roller coaster. “I work during the day and stay up all night watching the news. I’ve been following US news until 3am
UNCERTAINTY: Innolux activated a stringent supply chain management mechanism, as it did during the COVID-19 pandemic, to ensure optimal inventory levels for customers Flat-panel display makers AUO Corp (友達) and Innolux Corp (群創) yesterday said that about 12 to 20 percent of their display business is at risk of potential US tariffs and that they would relocate production or shipment destinations to mitigate the levies’ effects. US tariffs would have a direct impact of US$200 million on AUO’s revenue, company chairman Paul Peng (彭雙浪) told reporters on the sidelines of the Touch Taiwan trade show in Taipei yesterday. That would make up about 12 percent of the company’s overall revenue. To cope with the tariff uncertainty, AUO plans to allocate its production to manufacturing facilities in
COLLABORATION: Given Taiwan’s key position in global supply chains, the US firm is discussing strategies with local partners and clients to deal with global uncertainties Advanced Micro Devices Inc (AMD) yesterday said it is meeting with local ecosystem partners, including Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), to discuss strategies, including long-term manufacturing, to navigate uncertainties such as US tariffs, as Taiwan occupies an important position in global supply chains. AMD chief executive officer Lisa Su (蘇姿丰) told reporters that Taiwan is an important part of the chip designer’s ecosystem and she is discussing with partners and customers in Taiwan to forge strong collaborations on different areas during this critical period. AMD has just become the first artificial-intelligence (AI) server chip customer of TSMC to utilize its advanced
Six years ago, LVMH’s billionaire CEO Bernard Arnault and US President Donald Trump cut the blue ribbon on a factory in rural Texas that would make designer handbags for Louis Vuitton, one of the world’s best-known luxury brands. However, since the high-profile opening, the factory has faced a host of problems limiting production, 11 former Louis Vuitton employees said. The site has consistently ranked among the worst-performing for Louis Vuitton globally, “significantly” underperforming other facilities, said three former Louis Vuitton workers and a senior industry source, who cited internal rankings shared with staff. The plant’s problems — which have not