BYD e5 Electric Taxicab in Bengbu. Credit: DKMcLaren/ Creative Commons Attribution-Share Alike 4.0 International

By The Business Globalist

China will extend a tax rebate on purchases of so-called new-energy vehicles (NEV) until the end of 2020, said in a statement  on Wednesday the finance ministry. The tax rebate was set to expire at the end of this year, but the government decides to extend the tax refund to incentive automakers to produce more electric vehicles.

“The extension would help increase support for innovation and development in new energy vehicles”, said the Ministry of Finance Xiao Jie. Beijing’s automakers are investing a lot in plug-in electric vehicle and the trend seems unstoppable:  in 2017, the PEV market share of all new car sales crossed 3% for the first time, while the 2017 PEV market share is above 2%, firmly ahead of last year’s average (1.5%), CleanTechnica reported.

China has become the world’s largest automotive market, but local firms still can’t compete worldwide with big brands as General Motors, BMW, Mercedes or Audi, and Beijing’s government  wants to catch up global automaker rivals.


The Business Globalist is an independent source of information founded by Raffaele Del Gatto, former HR manager and World Editor of International Business Times Italy (Newsweek media group).

The Business Globalist doesn't have preferences regard any political party, government, institution or enterprise. Our organization promotes freedom of speech and expression at any level , and strongly believes in open source and freedom as core Internet values.