Stimulus package to boost the auto market will be released soon. The policies will encourage low-emission vehicles and self-owned brands, and reduce and exempt taxes on auto purchases.

 

A plan to promote the auto industry has been initially formulated and will gradually be put into full operation. Specifically, the plan outlined a series of favorite policies, namely, encouraging customers to buy low-emission cars, encouraging auto makers to develop self-owned brands, reducing and exempting taxes on auto purchases, carrying out reform on fuel tax, supporting the development of new energy vehicles, and providing subsidies for vehicles that are forced to be discarded one year ahead of time.

 

According to an expert from the China Association of Automobile Manufacturers, it is very rare for China to enact so many preferential policies for a single industry at one time, and that the release and implementation of these policies will bring substantial benefits to auto makers, car dealers as well as to customers.

 

“Obviously, measures to boost the market are not a temporary expedient to stimulate consumption. While, with the measures, the government hopes to improve the policies governing the auto industry, encourage auto makers to carry out energy conservation and green manufacturing as to achieve sustainable development for the auto industry,” said the expert.