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China continues tax exemptions on new energy vehicles purchases

Source: Xinhua| 2019-07-01 16:30:40|Editor: ZX
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BEIJING, July 1 (Xinhua) -- Chinese authorities have announced that the tax exemptions on new energy vehicles (NEVs) purchases will continue through 2020 to boost the country's green development and retain a strong domestic market.

From Jan. 1, 2018 to Dec. 31, 2020, the new energy vehicles will enjoy free purchase tax, the Ministry of Finance and the State Taxation Administration said in a joint statement.

China has intensified efforts for years to promote the use of NEVs to ease pressure on the environment, offering tax exemptions and discounts on car purchases. The government also encouraged carmakers to build more NEV factories and improve the technology.

China saw robust sales growth of NEVs in the first four months this year with 360,000 NEVs sold, surging by 59.8 percent from the same period a year earlier.

The government earlier this month announced measures to boost car sales, such as prohibiting local governments from imposing any limit on the consumption and use of NEVs.?

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