China is expected to extend its subsidy on purchases of new energy cars for another three years. Lawmakers say the Ministries of Finance; Industry and Information Technology; and Science and Technology; and the National Development and Reform Commission have reached an agreement.
The subsidy was first adopted in 2010. Buyers of plug-in hybrid cars could get a subsidy of up to 50,000 yuan. Electric vehicle buyers could get up to 60,000 yuan.
In the past two years, more than 2,500 new energy vehicles were sold in the 25 pilot cities, mostly to the public service sector. In the coming three years, it’s expected that more cities will be included in the subsidy plan, and more favorable policies will be offered to private car buyers.