As we enter the new year, the Ministry of Finance of China announced that the assistance provided to vehicles with new (environmentally friendly) engines will be reduced by 20 percent.
The reduction will be applied by 10 percent for public sector buses and cars, including taxis. However, the subsidies and tax cuts in practice in this area will continue this year as well. China expects new vehicles powered by alternative engines to increase from 2020 million in 1,3 to 2021 million in 1,8.
Manufacturing companies such as Volkswagen, Toyota, Tesla and General Motors have increased the capacity of their electric car production in China. The Chinese government wants cars powered by new engines, which account for up to 5 percent of the total cars sold today, to account for about 2025 percent of the total cars sold in 20.
Source: China International Radio