Original title: Policies play a good "combination punch" to further stimulate the vitality of the automobile consumption market

At the end of May, the new energy vehicle market welcomed favorable policies again. The State Council issued the Action Plan for Energy Conservation and Carbon Reduction from 2024 to 2025 (hereinafter referred to as the Plan), which proposes to gradually eliminate the purchase restrictions on new energy vehicles in various regions and implement support policies such as facilitating the passage of new energy vehicles.

Cui Dongshu, secretary-general of the National Passenger Vehicle Market Information Joint Conference, said that the Program is a major benefit to the new energy vehicle market and is conducive to further promoting the consumption of new energy vehicles.

Since this year, the new energy vehicle market has frequently welcomed the policy of "red envelope".

In April, seven departments, including the Ministry of Commerce and the Ministry of Finance, issued the Detailed Rules for the Implementation of the Subsidy for Trade in of Automobiles. It is mentioned that subsidies will be given to the consumers who buy new cars for scrapped country III and below emission standard fuel passenger cars or new energy passenger cars registered before April 30, 2018; Among them, RMB 10000 will be subsidized for purchasing new energy vehicles, and RMB 7000 will be subsidized for purchasing passenger vehicles with displacement of 2.0L or less.

Recently, the Ministry of Finance issued the Notice on Issuing the Budget of Central Finance's Prepaid Funds for the Subsidy of Automobile Trade in in 2024 (hereinafter referred to as the "Notice"), which assigns the financial discount and subsidy funds of each province (district, city) in 2024 for the central finance's subsidy of automobile trade in in 2024.

According to the Notice, in 2024, the total annual fund of car trade in subsidies will be nearly 11.2 billion yuan. The Notice clearly states that the overall goal of the budget project is to improve technology, energy consumption, emissions and other standards, support the scrapping and updating of old cars that meet the requirements of subsidy policies, and further expand automobile consumption.

In terms of tax support policies, in the tax policy implemented since January 1 of this year, in terms of supporting the development of new energy vehicle industry and promoting automobile consumption, new energy vehicles purchased from January 1, 2024 to December 31, 2025 are exempt from vehicle purchase tax, of which the tax exemption for each new energy passenger vehicle is not more than 30000 yuan; The vehicle purchase tax will be halved for new energy vehicles purchased from January 1, 2026 to December 31, 2027, of which the tax reduction amount for each new energy passenger vehicle will not exceed 15000 yuan.

At the same time, in combination with the technical progress of new energy vehicles, China has adjusted the technical requirements for new energy vehicle products to reduce or exempt vehicle purchase taxes. From January 1, 2024 to December 31, 2023, models that have entered the Catalogue of New Energy Vehicle Models Exempted from Vehicle Purchase Tax and are still valid will be automatically transferred to the Catalogue of New Energy Vehicle Models Exempted from Vehicle Purchase Tax.

In addition, in May this year, the Ministry of Industry and Information Technology and other five departments jointly launched the 2024 New Energy Vehicles to the Countryside. The industry believes that the sales of new energy vehicles will further increase under the favorable dual policies of new energy vehicles to the countryside and trade in the old for the new.

From the market response, with the help of the "old for new" policy, the car market is "not weak in the off-season". In May, the sales of new energy vehicle enterprises grew on a month on month basis: BYD sold 331800 new energy vehicles in May, and from January to May, BYD's new energy vehicle sales totaled 1.2713 million, up 26.80% year on year; The sales volume of Ideals continues to lead in the new force of car building with more than 30000 cars. The company delivered 35020 new cars in May, a year-on-year increase of 23.8%; The delivery volume of Weilai in May hit a record high, reaching 20500 vehicles, an increase of 233.8% year on year and 31.5% month on month; The delivery of polar krypton in May also hit a record high, reaching 18600 vehicles, up 115% year on year and 16% month on month.

Data shows that in the first half of April, the retail penetration rate of new energy vehicles in China exceeded 50% for the first time; In the third week of May, the insurance penetration rate of new energy vehicles also exceeded 50% for the first time... According to the estimation of the Passenger Association, by 2023, the number of domestic passenger vehicles will be about 260 million, and the number of vehicles with China's third and lower emission standards will be 15.83 million, accounting for 6%. There is a strong demand for new replacement vehicles for this part of passenger vehicles. With the support of policies, it is expected to drive the purchase of about one million vehicles, bringing an annual consumption increase of more than 100 billion yuan. (Reporter Che Kemeng)