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The Central Finance Adds 4 More Billion to the Subsidy for O

Date:2016-08-23 18:38:22   Source:未知   Click:

To further promote the expansion of domestic demand and energy efficiency, China's central finance increases the subsidy for old vehicle disability again. The subsidy fund has changed from the original RMB 1 Billion Yuan to 5 Billion, with an increase of 4 Billion.

On 19th May, an executive meeting of the State Council was chaired by Premier Wen Jiabao, studying and planning to encourage “Old-for-new” policies and measures for vehicles and home appliances. Hereby the above decision has been made.

The meeting has decided that on basis of the existing subsidy policy for old vehicle disability and update, the scope of subsidies will be expanded and the subsidy will be intensified. Additional subsidy will be mainly increased for two types of vehicles.

One type includes medium, light and mini trucks, and some medium buses which are in line with the requirement of service life; the other one includes petrol vehicles not up to the national pollutant discharge standard I, and diesel vehicles not up to the national standard III.

For the above two types of vehicles, subsidies will be given for early disability and purchase on a barter basis, the amount of which should not be higher than the purchase tax for a single vehicle of the same type.

Early on 22ndApril, the announcement on the website of Ministry of Finance and Ministry of Commerce, issued the subsidy scale and standard 2009 for old vehicle disability and update; the subsidy fund 2009 was increased from RMB 0.6 Billion Yuan in 2008 to 1 Billion; the subsidy scale mainly included city buses, large buses and rural buses.

On 14th January, Plan on the Revitalization and Restructuring of Automobile Industry passed by the executive meeting of the State Council also made a decision that since 1st March 2009, the central finance would allocate RMB 5 Billion Yuan for the provision of one-time financial subsidies for farmers who disable three-wheeled and low-speed vehicles, and purchase new light trucks and minibuses of 1.3 liters or below on a barter basis.

Influence by a number of policies including the purchase tax half-cut and above-mentioned policies, in the first four months of 2009, China's automobile sales volume reached 3.82 million, with a year-on-year increase of 9.3%; in April, a new high record in history of 1.15 millionwas created.