China Extends EV Trade-In Subsidy for 2024, Maintaining Incentive Amount

Economy

1 year ago

News sources:

Credited from: SCMP

China has renewed a trade-in subsidy to promote electric vehicle sales, keeping the incentive at 20,000 yuan (US$2,728) for buyers of replacement electric cars.
The subsidy also includes 15,000 yuan for petrol cars with engines under 2 liters, aimed at driving sales during a typically low-interest period.
In 2024, 3.7 million buyers participated in the trade-in program, with a projected 38% increase in total EV sales to approximately 10.68 million units.
Local governments supplement the national subsidy, with discounts and incentives applied by carmakers due to rising competition.
Despite the growth, only three major manufacturers in the sector have reported profits so far, contributing to a challenging economic landscape.