Treasury said the new energy vehicles subsidy reorientation? Abandon GSP

Posted on 8/23/2016 10:18:36 AM

New energy vehicles subsidies GSP cancellation might come a little earlier than expected, but the pace of construction of new energy vehicles, car prices are still growing fast.
On August 21 organized by the Chinese electric vehicle Hundred, summer forum, Deputy Director of the Ministry of Economic Construction Department Songqiu Ling said that Pratt & Whitney's fiscal policy on the cultivation of new energy vehicles the primary market is effective, but also easy to make enterprises suffer addiction in urgent need of fiscal policy adjustment.
Song Qiuling further pointed out that maintaining 2016-- raise the threshold for entering the recommended models directory of companies and products under the subsidy program in 2020 overall is stable, so that advanced technology, high degree of market acceptance of products to obtain financial subsidies, the opposite will not get subsidy. Subsidy standard tuning guidelines is "to achieve a basic balance to make up the difference in cost and promote technology innovation on."
This means that the new energy vehicles, "policy against eating" of the day will end early, inefficient technology, however car prices or will not enjoy subsidies, Pratt & Whitney will cancel subsidies Forced improve the technical level of car prices.
By 2015, the Ministry of Finance, the Ministry of Industry and other four ministries jointly issued a document, to carry out promotion and application of new energy vehicles in the country, the central government decided to subsidize the purchase of new energy vehicles, the implementation of the GSP. But the Treasury has since made it clear that subsidies will exit after 2020. Ministry of Finance pointed out that from 2017 to 2018 new energy vehicles subsidy standards will be lowered from 20% in 2016 based on 2019 to 2020, down 40%. 2016 state subsidy standard is: pure electric passenger vehicles according to mileage allowances from 250 yuan / vehicle to 5.5 yuan / vehicle range, plug-in hybrid at $ 30,000 / vehicles. Release provinces corresponding proportion subsidies on this basis.
So car prices are also well prepared to withdraw subsidies. BYD surging on news that the subsidies back slope is an inevitable trend, the most urgent task now is to improve the new energy automobile production technology, improve product strength, with quality rather than low prices to convince consumers. Recently stripped vulgar electric car known series auspicious beans will also put the focus on the high-end new energy vehicles. In terms of cost, BYD said it could offset the subsidy per vehicle of 20% -30% of the cost, with the reduction of subsidies, BYD need to improve the production and sales of new energy vehicles, motorcycles reduce costs in order to compensate for the removal of subsidies to bring the cost pressures.
But is not easy to increase sales in the industry, "pessimists" It seems that the abolition of subsidies would seriously affect the sales of new energy vehicles. BYD to big sales, for example, surging News July 29 reported "government subsidies in half, manufacturers abolition of subsidies, BYD Qin sales in Shanghai in jeopardy? "Just this raised questions.
So did the blessing of policy, whether the new energy vehicles will hit? In this regard the Chairman Choi Dong-tree by the Federation of surging News said the situation does not appear sales plummeted. Policy adjustments will be a transition period, it will not suddenly canceled Pratt & Whitney subsidies.
In addition, Choi Dong-tree also noted that research and Reform Commission this month to develop a "new energy vehicles carbon quota management approach" draft will be "forced" corporate development of new energy vehicles. According to the draft, the State Council department in charge of carbon trading will fuel vehicles scale enterprises set proportion of the annual fuel vehicles and new energy automobile production and sales requirements, and are translated into the enterprise should pay the amount of new energy vehicles carbon quota, quota calculation rules to be determined. This means that the promotion of the development of new energy vehicles from a simple change of government subsidies for the government to develop a mandatory requirement.
Shift from subsidies mandatory, and that California "points system" similar. "California points system" provides corporate vehicles sold in California must have a certain percentage of zero-emission and zero-emission car part, by integrating sales, less than the required number of points to be fine business, or spend money to other points surplus purchase points. This is similar to Tesla so there is no carbon emissions of vehicle enterprises, rely on the sale of credit points can "make a killing."
Perhaps this is the subsidies continue to back slope, new energy vehicles is still "uphill" reasons.

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