23/04/2020
BEIJING (Reuters) – China will cut its subsidies on new energy vehicles (NEV) by 10% this year, and will expand government purchases of NEVs, the finance ministry said on Thursday.
China will in principle cut such subsidies by 20% in 2021 and 30% in 2022, the finance ministry said in a statement. However, it will not cut subsidies on qualified new energy commercial vehicles earmarked for public purposes this year.
Under the plan, China would extend subsidies for NEV purchases to 2022, rather than ending them this year, and extend their purchase tax exemption for two years.
China will slightly lift the requirements for the driving range and power efficiency of cars qualified for the subsidies, the statement said, adding authorities will support the sales of cars with swappable batteries, a technology that has been pursued by Chinese electric vehicle makers Nio Inc (NIO.N) and BAIC BluePark (600733.SS).
Only passenger cars cheaper than 300,000 yuan (34,330.23 pounds) will be offered subsidies, it said. The price is higher than starting price of Tesla Inc’s (TSLA.O) China-made Model 3 sedans.
China also said authorities will give priority to purchase new energy vehicles for government use but did not give further details.
The new policy is effective from April 23. NEVs include battery-powered electric, plug-in hybrid and hydrogen fuel-cell vehicles.
China has set an aggressive goal for NEVs to account for a fifth of auto sales by 2025 compared with the current 5%, as it seeks to reduce pollution and cultivate homegrown champions.
Sales of NEVs, however, contracted for a ninth month in a row in March and were down over 50% from a year earlier, according to data from the China Association of Automobile Manufacturers (CAAM).
Source: Reuters
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27/08/2019
Chinese Vice Premier Liu He, also a member of the Political Bureau of the Communist Party of China Central Committee, reads a congratulatory letter to the 2019 Smart China Expo sent by Chinese President Xi Jinping at the expo’s opening ceremony in southwest China’s Chongqing Municipality, Aug. 26, 2019. (Xinhua/Wang Quanchao)
CHONGQING, Aug. 26 (Xinhua) — Chinese Vice Premier Liu He on Monday called for seizing the new opportunities in technological development and promoting the healthy development of the intelligent industry.
Liu, also a member of the Political Bureau of the Communist Party of China Central Committee, made the remarks at the 2019 Smart China Expo that opened Monday in southwest China’s Chongqing Municipality.
At the opening ceremony, he read a congratulatory letter from President Xi Jinping.
The letter fully demonstrated that the president attaches great importance to the development of intelligent industry, and pointed the direction for the sector’s healthy development, Liu said.
Noting that China’s economy is switching from high-speed growth to high-quality development, Liu said the country’s dynamic microfundations and sufficient macro-policy tools can ensure the sound fundamentals of its economic development.
China’s intelligent industry is developing rapidly and emerging as a new economic growth point, Liu said.
To promote the sector’s development, efforts must be centered on promoting the well-being of humanity, maintain a balance between efficiency and job creation, respect and protect individual privacy, and uphold the ethical and moral bottom line, he said.
In underscoring China’s willingness to advance international cooperation in the intelligent sector, Liu said China welcomes enterprises from all over the world, including the United States, to invest and operate in China.
The country will continue to create an appealing investment environment and strengthen protection of property rights and intellectual property rights, he said.
China is willing to resolve problems calmly through consultation and resolutely opposes the escalation of the trade war, Liu said, adding that any escalation will run against the interests of the people of China, the United States and the whole world.
Source: Xinhua
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