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The decline continues: 30% reduction in subsidy policies for new energy vehicles in 2022

[News-Oxcart Network]

Recently, the Ministry of Finance, the Ministry of Industry and Information, the Ministry of Science and Technology, and the Development and Reform Commission issued the "Notice on the Financial Subsidy Policy for the Promotion and Application of New Energy Vehicles in 2022" (hereinafter referred to as the "Notice"), showing that in 2022, the subsidy standard for new energy vehicles will decline by 30% on the basis of 2021; urban buses, road passenger transport, rental (including online car-hailing), sanitation, urban logistics and distribution, postal express, civil aviation airports and vehicles in the field of party and government organs that meet the requirements. The subsidy standard will be reduced by 20% compared with 2021.

The decline continues: 30% reduction in subsidy policies for new energy vehicles in 2022

In addition, the Notice clarifies that new energy vehicles licensed after December 31, 2022 will no longer enjoy purchase subsidies.

The decline continues: 30% reduction in subsidy policies for new energy vehicles in 2022

Specifically, pure electric models with a pure electric mileage of 300-400 kilometers are subsidized by 9100 yuan, while the equivalent range subsidy in 2021 is 13000 yuan; pure electric models with a pure electric mileage greater than or equal to 400 kilometers enjoy a subsidy of 12600 yuan, and the same range subsidy in 2021 is 18000 yuan. The subsidy for plug-in hybrid models was reduced from 6800 yuan to 4800 yuan.

From January to November this year, the market penetration rate of new energy vehicles has reached 12.7%, and the growth trend far exceeds the market. Subsidy policies do not necessarily promote these strong growths.

As early as April 2020, the four ministries and commissions jointly issued the "Notice on Improving the Financial Subsidy Policy for the Promotion and Application of New Energy Vehicles", which made it clear that "in principle, the subsidy standards from 2020 to 2022 will be reduced by 10%, 20% and 30% respectively on the basis of the previous year", so the subsidy will eventually withdraw from the market stage, and the new energy vehicle market also needs to usher in more comprehensive and full competition.

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