On April 27, Guangdong issued the "Several Measures for Further Promoting Consumption in Guangdong Province" (hereinafter referred to as the "Measures"), proposing to encourage automobile consumption. Among them, the maximum subsidy for new energy vehicles is 10,000 yuan / vehicle, and the maximum subsidy for fuel vehicles is 5,000 yuan / vehicle.
A number of measures pointed out that Guangdong will continue to implement the special action of replacing old cars with new ones, and subsidize the scrapping or transfer out of old cars with Guangdong number plates under the name of individuals, and at the same time buying new models of old-for-new models in the province and listing them in the province. Among them: scrapped old cars, the subsidy for the purchase of new energy vehicles is 10,000 yuan / vehicle, the subsidy for the purchase of fuel vehicles is 5,000 yuan / vehicle; the subsidy for the purchase of new energy vehicles is 8,000 yuan / vehicle for transferring out of the old car, and the subsidy for the purchase of fuel vehicles is 3,000 yuan / vehicle.
In fact, in 2021, Guangdong Province has promoted the trade-in for-new in order to release consumption potential, and the subsidy standard is the same as the above standard. The list of trade-in models lists 59 fuel models and 45 new energy models, including popular models such as BYD Dynasty Series, GAC Aeon, Xiaopeng Automobile P7, G3, P5, etc., all of which are local car companies in Guangdong Province.
In contrast, the new highlight of the "Measures" is the subsidy for the purchase of new cars. The measures propose that between May 1 and June 30, individual consumers will be given a subsidy of 8,000 yuan per vehicle for the purchase of new energy vehicles within the range of trade-in promotion models in the province. The subsidy is not repeated with the trade-in special action subsidy.
At the moment of the spread of the epidemic, in addition to Guangdong Province, many places have introduced relevant policies to encourage mass consumption and issue automobile subsidies.
Many places have introduced policies to stimulate the car market
On March 30, the Department of Industry and Information Technology of Hainan Province issued the "Several Measures to Encourage the Use of New Energy Vehicles in Hainan Province in 2022". Encourage individuals and other areas to use new energy vehicles. From January 1, 2022 to December 31, 2022, in the process of automobile use, for individuals and other fields in Hainan Province (excluding those who have applied for the first three articles of this measure) to purchase new energy vehicles and register in the province, in the case that the charging amount can be provided to calculate the charging capacity, within one year from the time of vehicle registration and registration, each vehicle with a charging capacity of more than 2000 degrees (inclusive) can apply for a charging fee subsidy of 2000 yuan, and each vehicle less than 2000 degrees can apply for a charging fee subsidy of 1500 yuan.
On April 19, Jiaozuo City, Henan Province, issued the latest notice to boost the vitality of the automobile consumption market in Jiaozuo City, safeguard the rights and interests of car buyers, and purchase 1,000 yuan per new car (including new energy vehicles) of less than 50,000 yuan (excluding) for the automobile consumption subsidy activities launched on March 10, 2022, with a subsidy of 1,000 yuan per vehicle, and 3,000 yuan per new car (including new energy vehicles) from 50,000 yuan (inclusive) to 100,000 yuan (exclusive). For the purchase of new cars (including new energy vehicles) of more than 100,000 yuan (inclusive), each subsidy is 4500 yuan. Appropriate extensions were made and the campaign was extended to 30 April.
In addition, other places such as Beijing, Shanghai, Zhejiang, Sichuan, Hubei, Hunan, Jilin and other parts of the country have successively introduced subsidy policies for car purchases in their respective regions, ranging from 0.1-20,000 yuan, according to the different financial and economic strength of each region, the subsidy for car purchases is also different.
It can be seen that in order to further stimulate the domestic automobile consumption market, not only the local government has issued preferential policies, but also the national level has begun to intervene. In March this year, the Ministry of Industry and Information Technology revealed that this year it will continue to implement policies such as subsidies for the purchase of new energy vehicles, incentives for charging facilities, and preferential tax reductions and exemptions for vehicles and ships, and at the same time carry out activities for new energy vehicles to go to the countryside.
In April, the General Office of the State Council issued the Opinions on Further Releasing Consumption Potential and Promoting the Sustained Recovery of Consumption (hereinafter referred to as the Opinions), encouraging and guiding large-scale commercial circulation enterprises, e-commerce platforms and modern service enterprises to extend to rural areas, and promoting brand consumption and quality consumption into rural areas. Focusing on automobiles and home appliances, guide enterprises to carry out promotions for rural areas, encourage qualified areas to carry out new energy vehicles and green smart home appliances to go to the countryside, and promote the construction of supporting facilities such as charging piles (stations). The State Council Office clearly stated that it is necessary to fully tap the consumption potential of counties and townships, establish and improve the county-level commercial system with county-level overall planning, with county-level cities as the center, townships as the focus, and villages as the basis.
In the view of many experts, the activities of new energy vehicles going to the countryside will effectively promote the popularization of the new energy vehicle market. In recent years, electrification products such as low-speed electric vehicles in the mainland have developed rapidly in the rural market, and the national ownership of four-wheeled low-speed electric vehicles has exceeded 6 million, indicating that rural consumers have a huge demand for electric vehicles. Rural consumers accept vehicles powered by pure electricity and are accustomed to using electrified vehicles to travel, which lays a good foundation for the promotion of new energy vehicles.
Will the people pay the bill?
In fact, the earliest way for cars to go to the countryside was a policy of benefiting farmers proposed by the State Council in the "Adjustment and Revitalization Plan for the Automotive Industry" announced by the State Council on January 14, 2009. Relevant data show that in 2009, the domestic mini car market increased by 1 million units. At the beginning of 2010, the implementation of the "car to the countryside" policy was extended for one year, and the overall sales volume of the automobile market increased by 32.37% in this year.
In 2020, the new energy vehicle to the countryside activities also began to start, and then lasted for a whole year in 2021. From the data point of view, the effect is remarkable. According to data from the China Automobile Association, in 2021, a total of 1.068 million new energy vehicles in the countryside were sold, an increase of 169.2% year-on-year, higher than the overall growth rate of the new energy vehicle market.
In the short term, government subsidies have indeed achieved good results, but will the people pay for it for a long time?
From the current situation of the automotive industry, the repeated epidemic situation, chip shortage, raw material rise and other reasons directly led to factory shutdowns, which in turn greatly increased production costs, transmitted to the sales side, the price of new energy vehicles continues to rise, in March more than 20 brands issued price increase announcements.
On the other hand, under the unstable economic situation, the number of people who tend to save is increasing. In addition to the few high-income earners who are more able to fight risks, the general public has begun to prepare for a life of tightening the belt, in addition to the necessary expenses, the rest can be saved, consumption and investment are squeezed.
A few days ago, the central bank's urban depositor questionnaire survey report in the first quarter of 2022 showed that 23.7% of residents tended to "consume more", a decrease of 1.0 percentage points over the previous quarter; residents who preferred "more savings" accounted for 54.7%, an increase of 2.9 percentage points over the previous quarter; and residents who preferred "more investment" accounted for 21.6%, a decrease of 1.9 percentage points over the previous quarter.
Between one long and one close, there is an irreconcilable contradiction between the supply and demand ends. Some analysts said that compared with the "car to the countryside" in the early years, even if the "rural model" itself is not expensive and comes with its own preferential treatment, there is no way to fill the problem of farmers' compressed expenditure.
However, industry experts said that the policy will play a certain role in promoting the market. A few days ago, Cui Dongshu, secretary general of the National Passenger Vehicle Market Information Joint Association, said in the article "Opinions on Further Releasing Consumption Potential to Promote the Sustained Recovery of Consumption" that consumption is the final demand, the key link and important engine of the smooth domestic cycle, which has a lasting pulling force for the economy, and fully taps the consumption potential of small cities and county and township markets, especially in the county and township markets where public travel is relatively inconvenient, encouraging new energy vehicles to go to the countryside and electric vehicle private car electrification will be a better way of development. At present, the trend of promoting automobile consumption in various places has been relatively obvious, and stabilizing automobile consumption should be the consensus of everyone.