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New energy subsidies extended for 2 years, used car VAT cut, the domestic automobile market in the spring still far away?

With the new crown virus gradually been effectively controlled in the country, all walks of life also return to work methodically to enter the state. After the return to work, the industry quickly restore the original vitality is the current priority. At this juncture, the State Department also used stimulus injected a “tonic” for the auto market. Recalling the automobile market two months before the cold scene, Ash said in April for the ice-breaking trip begins.

According to the Chinese government news report, Premier Li Keqiang March 31 chaired a State Council executive meeting, the meeting identified the promotion of auto consumption the three policies: one that will expire at the end of subsidies for the purchase of new energy vehicles and exempt from vehicle purchase tax policy extended for 2 years. Second, the central government adopted Yijiangdaibu, to support Beijing, Tianjin and other key areas out of the country, three emission standards for diesel trucks and below. Third, sales of used cars used car distribution business, from May 1 to the end of 2023 a reduced rate of VAT levied as a percentage of sales 0.5 (previously 2 percent).

car as consumer staples, and has close links with the industry, the rapid recovery of consumers to buy cars, the car market back to the blood play a crucial role. Automobile market is also an important part of the national economic recovery, indeed affect the whole body.

reported that the new energy car allowance policy currently in force is the Ministry of Finance, the Ministry of Industry and Information Technology, Ministry of Science and Development and Reform Commission four ministries on March 26, 2019 officially announced, compared to the previous policy, 2019 new energy vehicle subsidies subsidies mileage requirements, improve the energy density threshold again, and cancel the fill, the overall rate of about 75 retired slope percentage.

According to China Association of Automobile Manufacturers show that in 2019, produced China’s new energy market, sales were 124.2 and 1.206 million units, were down 2.3 and 4 percentage percentage, the first decline in a decade, in addition to new energy car outside the drawbacks of low life, Tuibu direct cause of declining sales. This time, the State Council promulgated the policy, then directly to the removal of subsidies, the abolition of tax-free purchase of worries solved, until 2022 years.

To be sure, subsidies and will not return once the “one hundred billion yuan” era, now mainly in order to maintain the same level of new energy vehicles, compared to fuel cars have a certain policy, price advantage, maintain fuel car market to the smooth transition of the electric car market. The positive is, survive the current market prices of new energy vehicles, the accumulation of technology cars, electric cars integrated product strength, compared to a few years ago has developed by leaps and bounds. Today, the domestic electric car battery life is also progressing towards 500-600 km mark.

“! I believe this is certainly the biggest recent positive policy, thanks to government” as a struggle most frontline workers in the new energy market, Xiaopeng Motors Chairman – He Xiaopeng , issue such a feeling in personal social platform.

will be issued on Monday, the Beijing Municipal People’s Government Office “Beijing to further promote high-emission vehicles out of updating old notification scheme (2020-2021) “the. April 2020 period from 1 July to 31 December 2021, the implementation and roll-out of subsidies for scrapping in the city registered in the country Ⅲ emission standards for gasoline passenger cars and gasoline truck.

in which the amount of subsidy scrapped passenger cars of 4,000 yuan to 22,000 yuan, 14,000 yuan subsidy truck. Scrap subsidy amount transferred out of the passenger cars of 2,000 yuan to 11,000 yuan, 7000 yuan subsidy truck. Meanwhile, scrap or out of press time, the subsidy will be divided into two tranches, the second speed reduction gear 20 than the first percentage. Some analysts pointed out that this can promote the increment of at least 300,000 vehicles. By the end of 2020, in Beijing, Tianjin and the surrounding areas, will be phased out over the plains Fenwei China III emission standards and the operation of medium and heavy-duty diesel trucks 1 million.

In February of this year, car sales in China only 31 million, down 79.1 percentage year on year, Beijing, Tianjin and use Yijiangdaibu way to accelerate the iterative update the country, three vehicles, the automotive market sales stabilized since to the growth effect. Compared to the long-term subsidy mechanism for the new energy market, Beijing, Tianjin and accelerate the country, three out of the vehicle, to solve the domestic automobile market sales decline of immediate need.

used car VAT reduced to 0.5 percentage, second-hand car dealers waiting for two decades, and enough surprises to come. Example 2 percentage of the used car industry value-added tax has been almost 20 years. According to reports, the current used car VAT policy formulated by 2002, the percentage of second-hand cars were halved 4, is performed until now.

Dealers Association, Luo Lei, deputy secretary-general told the media at the time, used car VAT is a turnover tax, are generally not fully relief, but they are recommended to minimize, to stimulate the second-hand car market. He also said the association has made some estimates, the used car business for the company, value-added tax of 2 percentage, most of the profits tax, and now the VAT reduced to 0.5 percentage, is to give dealers more profit margins.

used car dealer profit margins, then used car buyers can get a certain degree of price concessions, improve into a single rate of second-hand cars. After the used car sales increase will accelerate the elimination speed of a handcart, and then expect the formation of such a situation, a car to buy new cars, there is no car drove. This is also to indirectly enhance the vitality of the new car buying market.

a difficult one, P Plus support. Whether it is the beginning of Vulcan Mountain, Raytheon Hill Hospital construction, or later provincial medical workers designated medical support Hubei, which embodies the cohesion of people in front of a large disaster, a 5,000-year history of the nation’s rich heritage. Now restored automobile market development, speed up national economic construction, provincial and municipal governments is still a positive response.

In fact, as early as before the stimulus released, provinces and municipalities have opened a self-help automotive market. March 24, according to People’s Government Information Office official micro Zhejiang Province, issued “Zhejiang Provincial People’s Government Office on boosting consumption to promote stable economic growth of opinions”, which refers to the relaxation will encourage the orderly Hangzhou car restriction measures, the development of car trade and agricultural policies to the countryside and root out the rural auto consumption potential. Great Wall, SAIC MAXUS other brands also added to the car to the countryside preferential agricultural policies.

simple and efficient subsidies become popular ways to promote the consumer to buy a car, for example, the first launch of Foshan, car allowance up to promote policies to 5000 yuan / vehicle; Changsha, Zhuzhou, Xiangtan three places made up to 3000 yuan / vehicle subsidies to qualified models; Guangzhou is also the purchase of new energy vehicles to give consumers a comprehensive 10,000 yuan per vehicle subsidy.

For Beijing, Shanghai, Tianjin, Guangzhou, Shenzhen, Hangzhou, Chengdu, Guiyang eight cities and Hainan, the subsidy is secondary, increase car market indicators in order to stimulate vitality. Whether or not the provinces will increase the purchase of indicators to be decided.

arouse consumer desire to buy, Wake vitality of the market, is the top priority of each car prices. Government borrowing positive stimulus policy can often achieve a multiplier effect.

At present, the table is only partially involved in car prices or a 4S shop preferential policies, but also to the specific details of the discount brands or 4S shop prevail. As can be seen, whether or 4S shop car prices actually gives the car a lot of preferential policies for these policies to stimulate the automotive market will have some role in promoting.

In addition, China is currently the most effective national outbreak control, and all factories overseas has become the hardest hit by the epidemic, a public luxury brand car companies have stopped overseas. China as the world’s largest single auto market, this time they will become the last straw, the Chinese market sales steadily climb to make up for their overseas market stagnation caused by high losses. Adopt preferential policies to guarantee sales, it is the most effective marketing strategies.

at this stage consumers want to buy a car, can be said to be a good window period, brought together climate, geography, and not only national policy support, but also car prices “for purchasing” marketing strategy support, for consumers, is a great time to purchase a car.

No living, how rainbow. The outbreak for China’s auto market and even the domestic economy had a serious impact, but this is only stage, not long-lasting. With the industry completely return to work, social resume normal operation, coupled with the strong support for the policy now automobile consumption, I believe that the automotive market will return to the original vibrant look.

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