- Shanghai is home to Tesla's China factory and Nio's global headquarters.
- From January to November, NEVs accounted for 60.75 percent of all vehicles registered in Shanghai.
Shanghai will extend its policy of providing free license plates for electric vehicles (EVs) registered in the city in 2026, renewing a measure set to expire today for another year.
The Shanghai government website announced the decision in a notice published today, effective until December 31, 2026. The policy applies only to consumers purchasing EVs for non-commercial use.
The eastern Chinese city hosts Tesla's (NASDAQ: TSLA) China factory and serves as the global headquarters for Nio Inc (NYSE: NIO, HKG: 9866). The city also hosts the headquarters of automotive giants including SAIC Motor (SHA: 600104).
Eligible applicants include Shanghai residents with local Hukou and locally registered companies.
For applicants without Shanghai Hukou, they must have 36 months of social insurance or personal income tax payments in Shanghai within the 48 months preceding the application date, consistent with the 2025 requirements.
Holders of a valid Shanghai residence permit with points meeting the standard threshold, as well as foreign nationals, qualify upon demonstrating six consecutive months of social insurance or personal income tax payments in the city.
Shanghai ranks among China's most EV-friendly first-tier cities, having offered free license plates for new energy vehicles (NEVs)-- including plug-in hybrid electric vehicles (PHEVs) and battery electric vehicles (BEVs) -- for years.
Effective January 1, 2023, the city no longer offered free license plates for PHEVs, including extended-range electric vehicles (EREVs).
Shanghai operates an auction system for traditional fuel vehicle license plates, with successful bidders currently paying over RMB 90,000 ($12,330). This price has remained stable for many years.
From January to November, Shanghai registered 454,301 vehicles, including passenger and commercial vehicles, marking a 5.01 percent year-on-year increase, according to data from the China Passenger Car Association (CPCA).
NEV registrations during the same period reached 276,005 units, rising 20.34 percent year-on-year and accounting for 60.75 percent of all registered vehicles.
($1 = RMB 7.2994)
