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New energy subsidies fully retreat to slope

Classification:
Industry News
Source:
发表时间:
2020/04/16

According to previous Bloomberg news, China's new energy vehicle subsidy policy may retreat in May, while the range of vehicles enjoying subsidies may also shrink.

Recently, a "Financial Subsidy Standard for New Energy Vehicles in 2020" has also been circulating on the Internet. The online subsidy text shows that this year's new energy vehicle financial subsidy policy will continue to decline. Among them, the pure electric passenger car subsidy is 10%; the plug-in passenger car subsidy is 30%; the new energy truck is 10%; the transition period is 3 months. It is worth noting that the subsidy standards for new energy buses are not adjusted, and there are other plans for subsidies for fuel cell vehicles.

Recall that on March 31, the State Council has announced that the subsidy policy will be extended for two years to July 2022.  This means that the subsidy policy will always exist within 2 years, but the amount of subsidies should decrease.

This is an intriguing message that will not only affect the entire new energy industry, but even consumers ’car purchase decisions will be greatly affected.

This matter has to start from the source. We all know that the original intention and purpose of the new energy subsidy policy is to incubate, protect, and promote the rapid development of the new energy vehicle industry and achieve "overtaking in corners". Therefore, China began to provide purchase subsidies for new energy vehicles in 2009, so as to promote the development of the industry.

But without thinking, many companies have put their minds on the loophole, resulting in the development of technology and industrial chain is far slower than expected, seeing the loss of first-mover advantage. Therefore, after July 2019, the country will make up its waist to further accelerate the development of the industry and force enterprises to develop technology and develop high-quality products.

This is also an important reason why media teachers thought that "catfish is coming" and "Tesla will reshape the industrial chain and promote the development of the industry" after Tesla made its "industry benchmark" domestically last year. Not to mention far, the domestic Tesla Model3 entered the price range of 300,000, which made BBA feel great pressure, and even let the new car-making forces enter the point of life and death.

Then back to the subsidy back slope. For the industry, the subsidy continues but the strength declines, meaning that national protection is still in place, but market competition will be more intense. At the same time, the new coronavirus epidemic in early 2020 has caused a "fatal blow" to new energy vehicle companies that are under huge downward pressure and lack cash flow. Therefore, the next enterprise that cannot provide high-quality products only has a dead end, and the Battle Royale mode is turned on.

Of course, for consumers, this means that now is the best time to buy new energy vehicles. Therefore, it is recommended that small partners who are optimistic about the car place an order as soon as possible and get the highest amount of subsidy before the subsidy retreats, instead of continuing to wait and see the currency and do "wait for the party."