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Tianjin will adjust NEV subsidy 20% down

Echo From Gasgoo| November 28 , 2017

China NEV subsidy, China NEV sales

Shanghai (Gasgoo)- According to Tianjin Interim Subsidy Provisions for the Promotion of New Energy Vehicles (NEV), the subsidy of 2017 to 2018 will be adjusted 20% down compared with 2016, which means, future buyers will need to pay more for NEV from next year.

Influenced by unrestricted travelling and purchasing, the sales of NEV have been promising in Tianjin, and some residents have already been used to charging electric vehicles every day. "Taking Chery eQ as an example, the total subsidy last year was RMB 90 thousand, and this year is RMB 63 thousand, while the subsidy will be RMB 10 thousand less given the 20% decrease of next year." A NEV sales representative said that, but he mentioned that now that the subsidy decreases, the dealers may bear partial cost, at most RMB 5 thousand, yet the cost for consumers will still obviously climb. However, the policy has driven the recent sales rapidly up. "The sales of this month have been up about 50%, and this situation may continue to the end of the year." The sales representative added.

A few days ago, Central Bank of China and China Banking Regulatory Commission (CBBC) jointly issued new Administration of Automotive Loans Procedures, stipulating that the maximum loan percentage for NEV purchase is 85% of the car value, the highest among all auto loans.

Tianjin plans to promote 160 thousand NEVs from 2016 to 2020. NEV shall account no less than 35% of additional or upgraded city buses, taxis, and urban logistics distribution cars, and no less than 30% of additional or upgraded sanitation trucks, while the quota of 1 thousand NEVs is designated to government and public institutions, 2.5 thousand passenger cars to enterprises, 6 thousand cars for promotion through renting business, and 140 thousand to enterprises and individual owners. In a summary, the total promotion of NEV in Tianjin is expected to exceed 170 thousand cars by 2020.

Moreover, based on the experiences from piloting projects, Ministry of Public Security of the PRC is planning to promote the application of NEV special license plate step by step. In the first half year of 2018, all the cities across our country will use new plates, and by then the Tianjin NEVs can also have their own "ID cards".


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