Policy

Price war has been the most talked about topic in China's auto industry this month, and the imminent implementation of a new emissions standard is seen as a major factor.

Beijing is offering subsidies of up to RMB 10,000 for residents to purchase NEVs, while Xi'an is offering subsidies of up to RMB 6,000 for NEV purchases and RMB 10,000 for the installation of charging piles.

Analysts believe the impact of the transition will not last long and will have less of an impact than the last switch in standards in 2019.

Authorities in Hubei province have joined forces with local automakers this month to offer subsidies for car purchases of up to RMB 90,000 yuan ($13,000) for some models.

Turkey has imposed an additional 40 percent tariff on China-made electric vehicles as the country prepares to launch its first locally produced EV, the Togg.

Beijing introduced a policy to encourage residents to replace their vehicles with NEVs in June 2022, and it expired at the end of last year.

This is the latest measure in China aimed at boosting the EV industry, which previously saw high growth in the private sector.

The policy was first released in Shanghai last May and was valid until the end of 2022.

From January to October 2022, a total of 493,600 new vehicles were sold in Beijing, 34.24 percent of which were NEVs.

This is another major adjustment to the Covid control policy since China began implementing strict Class A infectious disease prevention and control measures on January 20, 2020.