Electric cars, China thinks about new incentive cuts – Auto World

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Despite the Chinese market of electric cars numerically the most important remains in the world, it should be recorded as in recent months this has suffered a decline in sales of no small account. And this trend is destined to continue even in the near future, since, as reported by Autonews, the Asian country would have in mind to cut incentives again for the purchase of zero-emission vehicles starting in 2020.

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Consumer subsidies for the purchase of this type of vehicle were applied for the first time in 2009. Since then, the electric car market in China has registered a constant growth, until such time as these incentives were cut for the first time. And now the script is likely to repeat itself. Yes, at the moment it is only a risk, as the discussions on this are still in one preliminary phase, and therefore the guarantee that the subsidies will be cut does not exist. China, in fact, considers the electric vehicle market as a strategically important sector, and is setting itself a target to be reached by 2035: 60% of all cars sold in the country will have to be equipped with an electric motor.

It was 2015 when the Chinese government announced that it wanted to gradually decrease subsidies for the purchase of electric cars, plug-in hybrids and fuel cells within a few years, but since then the cuts have always been random and disrespectful of the established strategic plan. The last dates back to last June, when the incentives were halved for a figure of around $ 7,000 per vehicle. And the feedback it brought in terms of market sales has caused the Chinese government to reflect more than once before deciding whether to make another one. A decision that is still being defined today.



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