The country will move faster to develop its energy-saving and new-energy vehicle industry to ease pressure on resources and the environment.
Subsidies for new-energy car buyers in 2014 and 2015 will be raised from previous levels set by a standard released in September 2013.According to the standard, subsidies for new-energy passenger cars ranged from 35,000 yuan (about 5,730 U.S. dollars) to 60,000 yuan per vehicle in 2013, while buyers of new-energy coaches received subsidies of up to 500,000 yuan in 2013.
China will continue to subsidize new-energy cars through 2020 but plans to cut the subsidy gradually to foster market competition.The new policy is basically an extension of a subsidy program that will expire at the end of 2015. The country is promoting eco-friendly vehicles amid worsening air pollution that exhaust from conventional vehicles is partly to blame.
To enhance government support for new-energy vehicles, the subsidy policy, which was scheduled to be phased out at the end of 2015, will be extended.
It is hoped that China's accumulative output of pure electric and plug-in hybrid electric vehicles will be 500,000 by 2015 and 5 million by 2020, it said.The country will try to lower average fuel consumption of automobiles produced in 2015 to 0.069 liters per km and those produced in 2020 will see average consumption drop to 0.05 liters per km.
