China Automobile Association: Subsidies for new energy vehicles will be adjusted in many aspects next year

China Automobile Association: Subsidies for new energy vehicles will be adjusted in many aspects next year

On November 10, the China Association of Automobile Manufacturers (hereinafter referred to as "CAAM") held a monthly production and sales information release conference. CAAM Deputy Secretary-General Ye Shengji revealed at the conference that the details of new energy vehicle subsidies will be adjusted in many aspects next year, and this year's new energy vehicle market production and sales performance will undoubtedly be affected.


According to data, the production and sales of new energy vehicles in October reached 49,000 and 44,000 respectively, up 15.1% and 0.9% month-on-month respectively. At present, the automobile market has entered the fourth quarter. According to the data released by the China Automobile Association, although the sales volume in October was the best result of the year, it did not achieve a breakthrough.
Subsidy adjustment policy may be introduced within this year
Until now, there is still no specific statement on the adjustment policy of new energy vehicle subsidies in 2016. As the year-end approaches, the industry is looking forward to the introduction of the policy. Earlier, Yang Yusheng, an academician of the Chinese Academy of Engineering, revealed that the Ministry of Finance will make a public speech in the near future. Some industry insiders analyzed that the speech may announce the subsidy reduction method for new energy vehicles. "Even though the industry has been calling for it, the subsidy adjustment method has not been introduced yet." Ye Shengji, deputy secretary-general of the China Automobile Association, said, "It is foreseeable that the failure to introduce the policy will affect the production and sales performance of the new energy vehicle market this year." According to Ye Shengji, the country has been studying relevant subsidy policies. Among them, how to scientifically and rationally promote the industrialization process of new energy vehicles has become the focus of debate.
"The subsidy adjustment policy should be released this year," said Ye Shengji, "but the specific implementation of the policy may not be possible until next year." He believes that although the policy was released relatively late, once released it will greatly promote the industrialization development of new energy vehicles, which will force many adjustments to the subsidy details.
The policy of halving the purchase tax is expected to continue
In addition to the new energy subsidy policy, whether the policy of halving the purchase tax for small-displacement cars can be continued has also become a focus of attention in the industry.
According to statistics from the China Association of Automobile Manufacturers, in October, sales of passenger cars with a displacement of 1.6 liters or less reached 1.713 million, up 28.1% year-on-year, 7.8 percentage points higher than the overall growth rate of passenger cars, and passenger cars with a displacement of 1.6 liters or less accounted for 73.1% of passenger car sales. From January to October, sales of passenger cars with a displacement of 1.6 liters or less reached 13.748 million, up 22.8% year-on-year, accounting for 72% of passenger car sales, 4.1 percentage points higher than the same period last year. The data shows that small-displacement cars occupy a large market share. "If the policy is no longer implemented next year, it will inevitably have a certain impact on the automobile market," said Ye Shengji. (Proportion of passenger cars with a displacement of 1.6 liters or less in passenger car sales)
He revealed that relevant departments are currently studying the necessity of the policy of halving the purchase tax for vehicles with a displacement of less than 1.6 liters. And they are conducting a systematic evaluation of the implementation effect of the policy. "The China Association of Automobile Manufacturers hopes that the policy can continue. On the one hand, it can promote the optimization of the product structure of the automobile industry, and on the other hand, it can further promote energy conservation and emission reduction in the automobile industry. In addition, it can also enhance the market economy and guide consumers to low-carbon consumption." He said. "The final result will be decided by the State Council, but the possibility of continuation is very high."
The market growth rate may reach 8% this year
"This year, the auto market has been affected by policies such as the purchase tax on small-displacement cars, and its market growth rate has clearly exceeded expectations," said Yao Jie, deputy secretary-general of the China Association of Automobile Manufacturers. Previously, the China Association of Automobile Manufacturers had predicted that the auto market growth rate this year might be 7%, but later adjusted the forecast to 6%. "However, with the rapid development of the auto market this year, the market growth rate this year is expected to reach more than 8%."

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.

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