China approves 16 automakers for green-car subsidy

Shanghai, June 30 (Gasgoo.com) China has approved 16 automakers in the country, including local companies and joint ventures, to receive the government's clean-energy subsidy of 3,000 yuan ($441) for each green vehicle, China's top economic planning agency said today.

Energy-saving cars made by BYD, Jianghuai Auto, Changan Ford Mazda and Beijing Hyundai are listed among the 71 models approved for the green-car subsidies, the National Development and Reform Commission said in a statement on its website, without identifying the other carmakers or any of the endorsed models.

The average fuel consumption of the approved models is about 20% below current standards, and the government will choose more models to qualify for the subsidies in the future as automakers in the country are urged to develop energy-efficient, eco-friendly clean vehicles, the statement said.

China, now the world's largest auto market, has more than 37,000 new vehicles take to the roads every day. Its average fuel consumption per vehicle is 2.28 tons a year, and total fuel consumption by automobiles accounted for 75.5% of the country's gasoline usage, according to official statistics.

The Chinese government has started a pilot program in a dozen cities to subsidize buyers of electric and hybrid vehicles. The maximum subsidy for buyers of all-electric cars was set at 60,000 yuan, while plug-in hybrid cars could get up to 50,000 yuan.