China may bring back subsidies on electric cars in April

Article by Anita Panait, on March 29, 2013

The Chinese government may resume giving subsidies to buyers of electric vehicles as early as April, the chairman of BYD Co Ltd. told Reuters. BYD has an existing partnership with Daimler AG to produce battery-powered cars. Chuan-Fu Wang said that China is establishing standards that may be announced in April or May.

China terminated the previous subsidy on Dec. 31, 2012, providing it from 2010 until last year. Buyers of electric cars received incentives of CHY60,000 ($9,700) from the government as China sought to fight pollution and reduce its dependence on oil.

However, electric cars remain uncommon in the country due to lack of charging facilities as well as high battery costs. A resumption of the subsidy program, which has been expected by industry insiders and experts, would be in line with China’s so-called new energy policy that targets to have around 500,000 “new energy cars” ply Chinese roads by 2015 and around 5 million by 2020.

China announced the new energy policy in July 2012.The Chinese government defines new energy cars as all electric battery cars and plug-in hybrids. It does not include conventional gasoline-electric hybrids like the Toyota Prius.

China has made commitments to those goals to jump-start demand for electric cars, industry executives say. Beijing is also unlikely to waver on those goals since not a year has passed since it formalized the 2015 and 2020 objectives. Industry executives remarked that for China reach these goals, it needs to widen the definition of new energy cars to include conventional gasoline-electric hybrids.

Topics: china, electric car

If you liked the article, share on:

Comments

Recommended

The Nurburgring is the one track that many automakers want to hold a record of, because only the best of the best do. This time, a group of extraordinary passionate...
by - July 25, 2017
Would you like your convertible to be inspired by a yacht? Well, you do not have to imagine it anymore - thanks to the Bentley Continental GT Convertible and Mulliner...
by - July 25, 2017
The 2018 Jaguar E-Pace is the leaping cat’s first venture into the compact SUV segment, and sure enough, it didn’t take long before an artist rendered a wilder version of...
by - July 25, 2017
Good news for Audi EU5 and EU6 diesel car owners in Europe. They can now update their cars to fit six-cylinder or eight-cylinder TDI engines through a retrofit program, and...
by - July 25, 2017
Recently, Autocar revealed that a Ferrari SUV is on the way, after the company continuously denied that they will not build one. And unlike the usual crossover styling, Ferrari will...
by - July 25, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries