The auto maker will unveil its Chevrolet New Sail electric vehicle prototype this year. In 2011, the new Buick LaCrosse Hybrid, which will have 20 percent better fuel economy than the standard model, will be available.

Its foreign parent, General Motors, will also start exporting its first electric car, the Chevrolet Volt, to China, making the country among the first recipients of the vehicles outside the United States. The Volt will be able to run solely on electricity for up to 60 kilometers. Its 1.4-liter on-board engine will give the Volt a maximum driving range of more than 480 kilometers.

Last week, GM also announced it would team up with SAIC to jointly develop other fuel-efficient technologies, including small-displacement gasoline engines and new front-wheel-drive transmissions.

Sino-German venture Shanghai Volkswagen has introduced turbo technologies and double clutch gearboxes in domestic production, which could also help reduce fuel consumption and carbon emissions significantly.

The car maker said it would invest more in research of new-energy vehicles in future to meet rising market demand.

The car makers' ambitions are underpinned by auto parts suppliers, such as Delphi, Vistoen and Magna, also retooling to address the green revolution.

Still, the auto makers face some marketing challenges in selling green cars to the public. For one thing, the prices are higher. For another, the infrastructure needed to recharge hybrid and electric cars remains underdeveloped.

Liu from the new-energy promotion department confirmed that no pure electric cars or plug-in hybrids have been sold since the national subsidy took effect in June.

"Sales of the cars subject to the highest subsidies have not started yet," he said.

BYD's F3DM plug-in hybrid is now sold only within its home market in Shenzhen. Company officials said marketing in Shanghai is expected to begin next month. Delivery waiting periods may be as long as four months.

Liu cited the need for uniform standards on car-charging equipment in order to promote sales of hybrid and electric cars. He estimated it may take up to another three years to develop preliminary industry standards, and until then, many consumers will be wary about buying green vehicles.

Still, the concept of new-energy vehicles is beginning to sweep across the globe, and Chinese consumers are showing more interest in the new technologies than their counterparts in many other countries.

A survey of 606 auto buyers in Shanghai found that 75 percent of respondents said they intend to buy a green car within three years, according to a report from research firm Ipsos.

In another poll of 1,478 vehicle owners and potential buyers nationwide, the same proportion expressed buying interest. They cited low operational costs and environmental benefits as their reasons, according to Nielsen Co.

"The electric vehicle is only in its infancy, but Chinese customers are already highly aware of it," said Jia Zhuang, director of consumer research at the Nielsen Co China.