Accelerate the promotion of new energy vehicles, and a new round of automobile consumption promotion policies will arrive

On April 29, the Guangdong Development and Reform Commission announced the "Announcement of Subsidy Activities for the Purchase of New Energy Vehicles in Guangdong Province", which subsidizes individual consumers who purchase new energy vehicles within the scope of promoted models in the province and complete the registration of motor vehicles in the province, and subsidize 8,000 yuan per vehicle. On the eve of "May Day", the relevant departments of Shenyang City also issued the "Implementation Opinions on Promoting Automobile Consumption", and launched nine specific service measures, including car purchase subsidies.

According to data from the National Bureau of Statistics, in the first quarter, the retail sales of automotive consumer goods were 1,073.9 billion yuan, down 0.3% year-on-year, and the capacity utilization rate of the automobile manufacturing industry was 72.1%, down 6.4% year-on-year. Under the background of pressure on both ends of supply and demand, driving automobile consumption has become an urgent need to stabilize the basic disk of the automobile industry.

"Steadily increase bulk consumption such as automobiles, and all regions must not add new car purchase restriction measures" and "promote the transformation of consumer goods such as automobiles from purchase management to use management". On April 25, the State Council issued the "Opinions on Further Releasing Consumption Potential to Promote the Sustained Recovery of Consumption", which made the latest deployment to promote automobile consumption, and the provinces and cities responded positively, and a new round of automobile consumption boom was about to come out.

Nanfang Daily reporter Lu Li photographed

The automobile market is under pressure and urgently needs consumption pull

According to data from the National Bureau of Statistics, in the first quarter of 2022, the total retail sales of consumer goods in society totaled 10. 87 trillion yuan, an increase of 3.5% year-on-year. 3％。 Among them, the retail sales of consumer goods other than automobiles 9. 79 trillion yuan, an increase of 3. 6% - The growth rate of automobile consumption is inferior to that of the market.

The auto market also shows that the automotive industry is under obvious pressure. According to the data of the China Automobile Association, the cumulative production and sales of automobiles in January and February this year increased by up to 8.5% respectively. 8% and 7. 5%, and the cumulative production and sales of automobiles in the first quarter were 648. 40,000 vehicles and 650. 90,000 units, an increase of 2.5% year-on-year. 0% and 0. 2%, the growth rate in March fell significantly. According to the Association of Passenger Vehicles, passenger car retail sales in the second week of April were 18. 70,000 units, down 39% from the same period last year, and in the first and second weeks of April, the average daily sales volume of the automotive retail market was 2. 50,000 vehicles, down 35% from the same period last year.

While the market shows that demand is shrinking, the supply side of the automobile is also facing huge challenges. Since the end of March, auto and parts enterprises in some parts of the Yangtze River Delta have been seriously affected by the epidemic, and the supply chain, logistics and production of the whole industry have been affected to a certain extent. It can be seen from the delivery results of the head enterprises of the new car-making forces. Ideal Auto's April deliveries fell by more than 60% month-on-month, and Nio's auto fell nearly 50% month-on-month.

At present, measures related to maintaining production and promoting consumption are gradually advancing. Xin Guobin, vice minister of the Ministry of Industry and Information Technology, said that from April 22 to 28, the average daily output of 15 key automobile enterprise groups in the country reached 4. 50,000 vehicles, an increase of 70% from the previous statistical cycle (April 15 to 22), and the production situation is gradually improving. With the strong resilience of the mainland automobile industry, large market space and deep gradient, with the effectiveness of epidemic prevention and control, the loss of production and sales in the second quarter is expected to be made up in the second half of the year, and stable growth is expected to be achieved throughout the year.

In the next step, the Ministry of Industry and Information Technology will continue to strengthen coordination and improve policy measures, including actively promoting consumption, encouraging qualified localities to introduce policies to promote consumption with high gold content, carrying out a new round of new energy vehicles going to the countryside, organizing the implementation of pilot projects for the application of comprehensive electrification and power exchange modes in the public domain, and further increasing the promotion of new energy vehicles.

Intensive "punch" to promote consumption policies

Automobile is a pillar industry of the national economy, with a long industrial chain and a strong driving effect, and is the "big head" for expanding domestic demand and stimulating consumption. Since 2021, the mainland has introduced a number of policies to promote automobile consumption. From March to May 2021, the Ministry of Finance, the Ministry of Industry and Information Technology and other ministries and commissions issued policies to support the development of new energy vehicles for three times, including improving subsidy policies, carrying out activities for cars going to the countryside, and reducing the tax exemption threshold for new energy vehicles. From June 2021, the relaxation of restrictions on off-site transactions of used cars has gradually landed in major cities across the country.

Since the beginning of this year, the consumption of automobiles has been even more frequent. On April 13, the executive meeting of the State Council pointed out that it is necessary to expand consumption in key areas, encourage bulk consumption such as automobiles and home appliances, and all localities must not add new car purchase restriction measures. The meeting also pointed out that it is necessary to support the consumption of new energy vehicles and the construction of charging piles.

On April 21, the Ministry of Commerce also said at a regular press conference that it will encourage bulk consumption of automobiles and home appliances, deepen the reform of the automobile circulation field, expand the circulation of second-hand cars, support the accelerated development of new energy vehicles, and encourage localities to carry out green smart home appliances to the countryside and replace old with new.

On April 25, the State Council issued the Opinions on Further Releasing Consumption Potential to Promote the Sustained Recovery of Consumption, which clearly and steadily increases bulk consumption such as automobiles. Cui Dongshu, secretary general of the National Passenger Vehicle Market Information Joint Association, believes that this has a good guiding significance for stabilizing and promoting automobile consumption, and is conducive to the further introduction of specific measures to promote automobile consumption by local governments, which is a good programmatic document. "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."

Since 2022, including Guangdong Province, Zhejiang Province, Shandong Province, Chongqing Municipality, Shenyang City, etc., many provinces and cities across the country have introduced policies related to automobile consumption promotion, and relaxing purchase restrictions has become a powerful measure for purchase restriction cities. In November 2021, the General Office of the People's Government of Guangdong Province issued a notice on several policy measures to promote urban consumption, proposing that from 2021 to 2022, the incremental indicators of energy-saving vehicles in Guangzhou will increase to 80,000; Shenzhen will further relax the application conditions for new energy car indicators, cancel social security conditions and other restrictions, and promote the sales of new energy cars. In April this year, the "Several Measures for Further Promoting Consumption in Guangdong Province" made it clear that from May to June, Guangzhou will increase 30,000 car purchase indicators and Shenzhen will increase 10,000 car purchase indicators.

Accelerate the promotion of new energy vehicles in various places

According to data from the China Automobile Association, in the first quarter of this year, the production and sales of new energy vehicles in the mainland were 129. 3 million vehicles and 125. 70,000 vehicles, an average year-on-year increase of 1. 4 times, far more than the overall data of the car. As of the end of the first quarter of this year, the cumulative promotion of new energy vehicles in the mainland was 1033. 40,000 units, the global market share increased to a new high of 65%. In addition, the export of new energy vehicles continued the high growth trend, on the basis of exporting 310,000 vehicles in 2021, an increase of 3 times year-on-year, the first quarter of this year exported 120,000 vehicles, an increase of 290. 7％。

Since the beginning of this year, new energy vehicles have maintained a rapid growth trend, becoming a bright spot in the automotive industry and a new driving force for economic growth. The "Opinions on Further Releasing Consumption Potential and Promoting the Sustained Recovery of Consumption" makes it clear that with the focus 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, promote the construction of supporting facilities such as charging piles (stations), and implement the policies of provinces and cities to promote automobile consumption. For example, Guangdong Province will give individual consumers 8,000 yuan / car subsidy to buy new energy vehicles within the range of old-for-new promotion models in the province from May to June. Chongqing municipality will implement subsidies for the purchase of new energy buses in 2022, and implement differentiated subsidies for the construction of charging piles. Shandong Province will subsidize non-public and public new energy vehicles in 2022, etc.

With the rapid growth of the new energy vehicle market, the demand for charging piles has become more prominent. On April 26, the Ministry of Transport revealed at a regular press conference that the construction of charging infrastructure along the highway will be accelerated this year, and the action plan is soliciting opinions from all over the world. By the end of the first quarter, the mainland had built a total of 49.9 charging piles of various types. 20,000, an increase of 3.5% year-on-year. 6 times, of which public piles have 8. 50,000, private pile 40. 70,000, 154 completed substations.

At present, the number of charging piles in Guangdong Province ranks first in the country. The "14th Five-Year Plan for Energy Development in Guangdong Province" mentions that by the end of 2025, the province will strive to build 4,500 charging stations and 250,000 public charging piles. "Strengthening infrastructure construction and improving the use environment of new energy vehicles can also achieve the purpose of stimulating the consumption of new energy vehicles, and it is also a must for provinces and cities to develop the new energy vehicle industry." Chen Feng, an associate researcher at the Institute of Modern Industry of Guangzhou Academy of Social Sciences, analyzed.

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【Related】

Timeline of policies to promote automobile consumption since 2021

●January 2021 "Notice on Several Measures to Promote the Release of Rural Consumption Potential by Boosting Key Consumption of Bulk Consumption": Release the potential of automobile consumption, carry out a new round of automobile going to the countryside and replacing old with new, and improve the conditions for automobile use.

●Notice of the General Office of the Ministry of Commerce on Printing and Distributing Guidelines for Promoting Automobile Consumption in the Commercial Sector and Some Local Experiences and Practices in February 2021: From the perspective of the automobile life cycle, it will combine the expansion of automobile consumption with the promotion of long-term development of the industry. Constantly improve the automobile consumption policy, orderly cancel the administrative restrictions on consumption and purchase regulations, promote the transformation of automobiles from purchase management to use management, accelerate the construction of a modern automobile circulation system, help form a strong domestic market, and promote the high-quality development of the automobile market.

●March 2021 "Notice on Carrying Out New Energy Vehicles to the Countryside activities in 2021": The notice encourages enterprises participating in the activities to actively participate in the "Shuangpin Online Shopping Festival", supports enterprises to cooperate with e-commerce, Internet platforms, etc. to hold online car purchase activities, and attracts more consumers to buy through online promotions and other means. Encourage enterprises to increase the preferential treatment of activities and strengthen the guarantee of after-sales operation and maintenance services.

● March 2021 "Report on the Implementation of the 2020 Central and Local Budgets and the Draft Central and Local Budgets for 2021": Improve the subsidy policy for the purchase of new energy vehicles, and support the construction of charging infrastructure and the operation of new energy buses.

● April 2021 "Notice on Organizing and Carrying Out 2021 National Consumption Promotion Month Activities": Fully tap the consumption potential of counties and townships, and carry out activities such as automobiles and home appliances going to the countryside, brand commodity tour collections, and film performances in rural areas.

● September 2021 "Notice on Further Improving the Key Work of Promoting Consumption in the Current Business Field": Accelerate the transformation of automobiles from purchase management to use management, break down the obstacles restricting the purchase and use of automobiles, release the potential of automobile consumption, and work with relevant departments to carry out new energy vehicles to the countryside to promote the accelerated development of new energy vehicles.

● December 2021 "Notice on Improving the Financial Subsidy Policy for the Promotion and Application of New Energy Vehicles": In 2022, the subsidy standard for new energy vehicles will be reduced by 30% compared with 2021. For vehicles that meet the requirements in the field of urban buses, road passenger transport, taxis (including online car-hailing), sanitation, urban logistics and distribution, postal express delivery, civil aviation airports, and party and government organs, the subsidy standard will be reduced by 20% on the basis of 2021.

● April 2022 Executive Meeting of the State Council: Expand consumption in key areas, encourage bulk consumption of automobiles, home appliances, etc., and all localities must not add new car purchase restriction measures, and have implemented the gradual increase in automobile increment indicators. Support the consumption of new energy vehicles and the construction of charging piles.

● In April 2022, the Ministry of Commerce held a regular press conference: encourage bulk consumption of automobiles and home appliances, deepen the reform of the field of automobile circulation, expand the circulation of second-hand cars, support the accelerated development of new energy vehicles, and encourage localities to carry out green smart home appliances to the countryside and replace old with new.

● April 2022 "Opinions on Further Releasing Consumption Potential to Promote the Sustained Recovery of Consumption": Steadily increase bulk consumption such as automobiles, and each region must not add new car purchase restriction measures, and promote the transformation of consumer goods such as automobiles from purchase management to use management. 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). Accelerate the development of the automotive aftermarket, and completely cancel the policy of restricting the relocation of second-hand cars.

【Reporter】 Wei Hongquan Intern Wu Jiatong

【Author】 Wei Hongquan

【Source】 Southern Press Media Group South + client