BYD offers subsidy to buyers as response to China’s “bring autos to countryside” policy

Shanghai (Gasgoo)- Consumers who buy BYD cars from March 1 to March 31 can enjoy subsidy offered by the automaker with no restriction on household registration. This move is launched to respond to the governmental incentives for China's rural areas, which is known as “bringing autos to the countryside” policy.

BYD’s car buyers reportedly can enjoy subsidy of up to RMB10,000 per car and the service of automotive configurator upgrading.

BYD sold a total of 520,687 vehicles in 2018, achieving a year-on-year jump of 25%. Of that, 247,811 NEVs were delivered last year. The automaker announced earlier this year that its annual sales goal for 2019 is 650,000 units.

As to the company’s 2018 financial performance, its full-year revenues jumped 22.79% year on year to RMB130.055 billion, the sixth consecutive yearly increase. However, the net profits attributable to shareholders of listed company only reached RMB2.791 billion, significantly dropping 31.37% from a year ago.

On January 28, ten China’s governmental agencies jointly issued the Notice on Issuing the Implementation Plan for Further Optimizing Supply to Promote the Stable Consumption Growth and Facilitating the Formation of a Strong Domestic Market (2019), which is the latest so-called “bringing autos to the countryside” policy.

In accordance with the Plan, to better satisfy residents’ travelling needs, various measures should be taken to boost automobile consumption, such as orderly promoting the scrapping and updating of old and used motor vehicles, continuously optimizing the subsidy structure of new-energy vehicles, promoting the upgrading and replacement of rural vehicles, steadily advancing the relaxation of the restrictions on pickup trucks entering the city, accelerating the prosperity of the used car market and further optimizing the motor vehicle management measures of local governments.