Sales data from the China Association of Automobile Manufacturers (CAAM)

China Doubles April Subsidies for NEVs to 20K Yuan

Jul 25, 2024, 12:34 PM

China has announced a significant increase in subsidies aimed at encouraging consumers to replace old cars with new energy vehicles (NEVs) or fuel-efficient models. The subsidies, initially introduced in April, have been doubled from 10K Yuan to 20K Yuan (approximately $2,770), with consumers now eligible for a RMB 20,000 subsidy for scrapping an old car and purchasing a NEV, and a RMB 15,000 subsidy for a fuel car with a 2.0 L engine. This move, announced by China's top economic planner, is part of new measures to promote the trade-in program. Deutsche Bank has indicated that low-priced NEVs are expected to benefit the most from these higher trade-in subsidies. $tsla is also expected to be impacted.