Integrating the YRD region into a future mobility hub

With Shanghai as its core, supported by the neighboring provinces of Jiangsu, Zhejiang and Anhui, the Yangtze River Delta (YRD) has arguably the most robust economy, greatest openness and strongest innovation capability of any region in China.

It offers a natural base for collaboration, with a shared culture, a talented and educated workforce, established companies in many key industries and a growing R&D capability. These factors have helped the Yangtze River Delta region become one of China’s automotive industry bases.

The region is now in a position to become a leader in the global transformation of personal mobility through the development of intelligent connected vehicles (ICVs).

ICVs represent the future direction of the global automotive industry and mobility. They will make roads more efficient and safer. Traffic management authorities will be able to maximize the number of vehicles on roads based on big data transferred by vehicles themselves to avoid traffic jams and accidents caused by human error.

The deployment of ICVs could take a well-established transportation network to the next level of coordination and collaboration. That is intrinsically linked to a region’s synergistic development.

A good example

Urban regional hubs have become a driving force for the growth of the global economy and new industries. One of the world’s foremost regional hubs, the San Francisco Bay area, offers a template for the Yangtze River Delta region.

It has a complete innovation value chain that is supporting the development, financing and execution of ideas. This has made it a magnet for talent and investment from across the U.S. and around the world.

The San Francisco Bay area in recent years has become a prominent area for the testing of autonomous vehicles, as many traditional IT companies have become engaged in the automotive industry.

As of June 2019, there were 61 autonomous vehicle testing permit holders in San Francisco. They include GM’s Cruise, which is testing about 200 cars in the city.

This is enabling vehicles to experience real-world interactions in one of the most challenging urban environments. They are adapting and evolving, moving closer to commercialization.

A robust foundation

Led by its strength in vehicle manufacturing, the Yangtze River Delta region has a complete automotive industry supply chain, a large vehicle market and a growing base of industry talent.

It is home to several leading Chinese and foreign automakers, including GM and our partner SAIC. Our domestic joint ventures, most of which are based in the Yangtze River Delta region, are being transformed into transportation service providers.

We are now moving forward to offer a connected and intelligent experience. We are benefiting from a growing digital economy valued in the trillions of yuan.

The digital ecosystem is an important sector driving integrated regional development. Shanghai, for example, is taking the lead in targeting full 5G coverage by 2020.

As a result, we are confident that the Yangtze River Delta region has the potential to become a global driving force of future mobility by leading and integrating ICV development, testing and deployment.

A promising future

Transforming personal mobility requires the support of governments as well as companies with a shared stake in the future. GM has three recommendations for Shanghai to lead the development of a vibrant ICV industry across the Yangtze River Delta region.

First, we advocate the creation of a clear and coordinated regional process to address uncertain regulatory interpretation and enforcement of ICV features and functionality, such as partial automation enabled by GM’s Super Cruise, the industry’s first true hands-free driver assistance technology for the highway.

With 94% of traffic crashes caused by human error, it is critical to leverage the benefits of safe, intelligent driving technologies as quickly as possible.

Many new technologies already offer benefits in terms of safer and easier driving despite disrupting traditional driving modes. Yet the uncertainties of regulation and enforcement are keeping them out of consumers’ hands.

Devising appropriate solutions through an official mechanism to enable mature intelligent driving systems to be applied on the road is critical for the commercialization of new intelligent driving technologies and for the Yangtze River Delta region to continue enjoying its first-mover advantage in future mobility.

Just as Shanghai is leading new energy vehicle (NEV) market growth by issuing green license plates for vehicles powered by electricity, issuing dedicated ICV license plates will get ICVs in the market and drive technology evolution through market forces.

Second, for more advanced ICV features, such as fully autonomous driving and vehicle-to-everything (V2X) communications, the region could unify its protocols and standards to enable testing and potential deployment at scale.

The highway system connecting the region, as well as its well-developed road system, could be leveraged to increase the real-world exposure of Shanghai-based autonomous vehicles and V2X pilot testing programs and speed up learning. Again, the more real-life scenarios the technology is exposed to, the faster it will become mature and commercially applicable.

Third, safety is GM’s overriding priority. It applies to data as well as vehicles. For the development of ICVs, it is essential to develop a framework for creating an open regional data-sharing environment that protects individuals’ privacy.

Big data will benefit companies in product development, technology upgrade and other key areas. It can boost economic growth, deliver new business opportunities and increase industrial efficiency.

Shanghai is off to a great start in sharing public data to improve inter-agency governance. For region-wide data sharing, a designated regional not-for-profit entity in charge of collection, storage and distribution will ensure that data is shared fairly and equitably.

An opportunity to benefit the entire world

The Yangtze River Delta Region is in a strong position to lead ICV development in China and fulfill GM’s global vision of zero crashes, zero emissions and zero congestion.

By combining resources and maintaining an open and collaborative environment, regional governments and key industry players can turn the Yangtze River Delta region into a future mobility hub that will benefit Shanghai, its neighboring provinces, China and the world.