Foshan offers subsidy of RMB2,000-5,000 per vehicle to new car buyers

Shanghai (Gasgoo)- Foshan, a prefecture-level city in central Guangdong Province, has become China's first city that issued the detailed policy to boost automobile consumption.

The support for promoting the consumption of the vehicles meeting the China Ⅵ emission standard is highlighted by local government in a document signed on Jan. 29.

To promote vehicle upgrading and replacement, a car owner that holds the Foshan auto license plate will be subsidized RMB3,000 per new vehicle by virtue of the invoice of a used car transfer or the certificate that can prove a scraped vehicle has been deregistered, according to the document.

Besides, the government also encourages consumers to buy more China Ⅵ vehicles by offering the subsidy of RMB5,000 per vehicle to a consumer who simultaneously purchases five or more large-sized, medium-/heavy-duty buses or trucks. Each of them should be priced no less than RMB500,000.

To support the new car sale, Foshan's authority will provide a consumer with subsidy of RMB2,000 per vehicle.

On the auto finance side, the government encourages financial institutions like banks to proffer innovative consumption credit products and services, so as to meet the increasingly diversified auto consumption demands.

Moreover, the government also stated the efforts to construct more and greater parking lots will be put forth. The guidance document and relevant incentives will be designed and issued to solve the problems in land supply, approval process and fiscal subsidy, etc.