LINE

Text:AAAPrint
Business

China extends tax rebate for electric cars, hybrids, with strict quotas on horizon

1
2017-12-28 09:53:27Global Times/Agencies Li Yan ECNS App Download

China will extend a tax rebate on purchase of new-energy vehicles (NEV) until the end of 2020, in a continuation of policy support for the shift away from the internal combustion engine.

The Ministry of Finance said in a statement on Wednesday the the tax exemption, which was set to expire at the end of this year, will now run until December 31, 2020 for electric, plug-in petrol-electric hybrid and fuel-cell powered vehicles.

The extension comes as automakers in China prepare to meet strict NEV quotas from 2019 that have already produced a number of electric car deals and launches of electric and hybrid models.

Overseas auto makers have called on China to maintain financial support for the market, citing concerns that consumer demand is not sufficient to drive sales without State-backed incentive schemes.

The finance ministry said the extension would "increase support for innovation and development in new-energy vehicles," an area where China is hoping to catch up - and even overtake - more established global rivals.

Local firms like NEV specialist BYD are now jostling with global names such as Ford and Nissan in the race to develop new vehicles specifically for the Chinese market.

Growth of China's auto market, the world's largest, has slowed sharply this year, but new-energy vehicles have been a bright spot.

NEV sales in January-November period jumped 51.4 percent and are on track to hit the target of 700,000 NEV sales this year.

  

Related news

MorePhoto

Most popular in 24h

MoreTop news

MoreVideo

News
Politics
Business
Society
Culture
Military
Sci-tech
Entertainment
Sports
Odd
Features
Biz
Economy
Travel
Travel News
Travel Types
Events
Food
Hotel
Bar & Club
Architecture
Gallery
Photo
CNS Photo
Video
Video
Learning Chinese
Learn About China
Social Chinese
Business Chinese
Buzz Words
Bilingual
Resources
ECNS Wire
Special Coverage
Infographics
Voices
LINE
Back to top Links | About Us | Jobs | Contact Us | Privacy Policy
Copyright ©1999-2018 Chinanews.com. All rights reserved.
Reproduction in whole or in part without permission is prohibited.