Shaanxi to subsidize NEV shopping for car-free families

Shanghai (Gasgoo)- Shaanxi joins a string of Chinese local governments that roll out incentives to provide a lift on automobile sales.

To boost the consumption of new energy vehicles (NEVs), Shaanxi will appropriately support eligible cities and districts in purchasing new energy buses and fuel cell vehicles, and uphold car-free families in buying their first NEV, according to a document issued by Shaanxi provincial government on May 27.

Eligible cities or districts are encouraged to provide proper incentives for uses or entities who voluntarily scrap and upgrade high-emission obsolete vehicles for family use or public services below emission standards ahead of their due scrapping dates.

To facilitate the used car transaction, Shaanxi will comply with the policy announced by the central government, which has cut the VAT slapped on secondhand-vehicle sales to 0.5% from 2.0%, starting May 1 and running until the end of 2023. Additionally, local authorities will further implement the policy of cancelling the restriction on the movement of pre-owned cars, and build a registration and supervisory system for used car transaction information.

As part of efforts to boost automobile consumption upgrades in rural areas, local governments of cities or districts will be encouraged to study the supportive policies on bringing automobiles to the countryside, and organize sales promotion activities for the same reason. Rural residents who scrap three-wheeled vehicles and purchase trucks with a load of 3.5 tons or below or passenger cars with emissions of 1.6 liters or below shall be given appropriate subsidies in eligible regions so as to drive rural automobile consumption.

After the China Ⅵ emission standards come into effect, the government will gradually ease the traffic restriction on urban vehicles, according to the document.

Furthermore, relatively concentrated new vehicle and secondhand vehicle markets will be constructed, and the deployment of automobile circulation, like franchise dealerships, will be further optimized.