Chongqing takes measures to bolster auto consumption

Shanghai (Gasgoo)- Chongqing has drawn up a slew of measures for the purpose of stabilizing and bolstering local automobile consumption that was hard hit by the coronavirus spread.

(Haval H6, photo source: Great Wall Motor)

According to the draft guidelines issued by Chongqing Municipal Development and Reform Commission earlier this month, the city shall implement the national requirements on adjusting the execution of China Ⅵ emission standards set for light-duty vehicles. The expiry date of the PN (particle number) limit value at 6.0×1012 units/km has been postponed by half a year to December 31, 2020. Besides, the China Ⅴlight-duty vehicles produced or imported before July 1, 2020 (excluding those that have been put into China Ⅵ practice before July 1, 2019) are allowed to be sold and registered in Chongqing before January 1, 2021.

To stimulate the NEV promotion and application, local government said it will thoroughly apply the policies on the exemption of vehicle purchase tax and the extension of NEV subsidies issued by China's state government.

Chongqing's authority also stresses a faster move on constructing EV charging piles. The operators who build qualified DC charging facilities for public or dedicated uses will be afforded with a subsidy of 400 yuan ($57) per kilowatt. Those who construct dedicated AC charging facilities at the eligible parking lots in party and government bodies or their affiliated public agencies will be given 100 yuan ($14) per kilowatt worth of subsidy.

Taking stronger steps to prevent and control air pollutants, Chongqing plans to scrap over 10,000 old and used diesel vehicles within 2020.

Facilitating the transaction of pre-owned vehicles is adopted as one of means to drive new car sales. From May 1, 2020 to December 31, 2023, where a taxpayer engaging in the dealing of used vehicles sells a used vehicle it purchases, the VAT thereon shall be levied at a reduced rate of 0.5% instead of being levied previously at a reduced rate of 2% from 3% under the simple method, according to the draft guidelines.

What's more, Chongqing shall further implement the policy of comprehensively canceling the restriction on the movement of used cars. Except yellow-labels cars, the secondhand vehicles, which are within their validity periods of the regular inspection of environmental protection and the safety inspection, and meet the national emission and safety standards, are permitted to be registered.