The New Energy Vehicle Preferential Policy Breeds the Market to Call for Increased Subsidy

According to statistics, in the first half of 2009, the sales volume of imported cars in China reached 153,000, of which imported cars with displacement below 3.0 became the main sales force, while sales of new energy vehicles due to high prices were not satisfactory. For the current dilemma of new energy vehicles, Minister of Commerce Chen Deming disclosed recently that the relevant government departments are studying preferential policies in this area.

New Energy Vehicle Urgently Needs Policy Subsidy

In the “Regulations on the Management of New Energy Vehicle Production Enterprises and Product Access” (applicable before December 31, 2010), which will be implemented on July 1 this year, the hybrid passenger car with nickel-metal hydride batteries and lead-acid batteries will be used. Into mature products; lithium-ion battery-powered hybrid passenger cars, commercial vehicles and pure electric vehicles are included in the development of products.

Previously, the "Interim Measures for the Administration of Energy Saving and New Energy Vehicle Modeling and Promotion Financial Aid Funds" has been issued on new energy vehicles. The "Measures" stipulates that the central government will allocate some funds from the special energy-saving and emission reduction funds to support the national energy conservation and New energy vehicle demonstration and promotion. Among passenger cars and light commercial vehicles, hybrid vehicles are divided into five-speed subsidy standards according to the fuel-saving rate; the maximum subsidy for each vehicle is 50,000 yuan; subsidizes 60,000 yuan for pure electric vehicles; and 25 subsidy for each fuel-cell vehicle. Ten thousand yuan. The new approach will support demonstration sites for energy-saving and new energy vehicles in 13 cities including Beijing, Shanghai and Chongqing.

As a relatively mature technology for new energy vehicles, hybrid electric vehicles are not sought after by consumers in the automotive sales market. The main reason for this is that the production of new energy vehicles has failed to increase production and costs high. Relevant persons pointed out that at present, it is difficult for the state to agree on the amount of subsidies for new energy vehicles. This is the main reason why the encouragement policy has been difficult to introduce.

Market calls for greater subsidies

With regard to the new energy auto policy subsidy measures that have not yet been issued, industry stakeholders have appealed that the new energy subsidy policy should be even more "sharp."

Intensifying the policy on subsidies for new energy vehicles, all provinces and cities have previously issued subsidy measures for the region. For example, if Guangzhou citizens purchase new energy vehicles that meet the requirements, they will be expected to enjoy reductions in annual tickets and purchase tax halving. Subsidies such as halving the tax on vehicles and boats, subsidies for parking and tolls, and electric vehicle new energy vehicles are expected to have “special parking spaces”. However, industry analysts have analyzed that these policies are still far from enough, and it is difficult to stimulate consumers' desire to buy.

Taking an oil-electric hybrid vehicle as an example, if the purchase tax is reduced by half, it will cost less than 7,000 yuan, plus an annual fee of 980 yuan for the annual ticket for the car, 240 yuan for the tax for the vehicle and boat, and a calculation of 10,000 yuan for the rough calculation. About discounts. The market urgently needs a more obvious preferential policy.

View related topics: New energy vehicles: The magic weapon to deal with energy crisis

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