Reports that China has suspended car trade in subsidies in multiple regions, but scrap renewal incentives remain in place. I am not sure how widely spread the suspension is.
China’s auto trade-in subsidy program offers up to CNY20,000 for new energy vehicles (NEVs) and ¥15,000 for traditional fuel-powered cars. Essentially China’s version of “cash for clunkers,” but with a broader scope and a bigger push toward NEVs.
The incentives—part of a consumer goods trade-in scheme—have already generated over 10 million applications and are expected to support a jump of some 3 million units in vehicle demand this year, with NEVs projected to exceed 60% of new sales thanks in large part to these targeted subsidies.
This article was written by Eamonn Sheridan at investinglive.com.