Journal reporter: Duan Siyao Editor: Pei Jian At the end of May this year, the automobile industry, which was under pressure and was declining, received a "boost in the arm." The executive meeting of the State Council decided to implement 33 measures in six aspects, including fis

Every reporter: Duan Siyao Every editor: Pei Jianru

At the end of May this year, the automobile industry, which was under pressure and was declining, received a "boost in the arm." The executive meeting of the State Council decided to implement 33 measures in 6 aspects, including fiscal and related policies, financial policies, stabilizing the industry chainHTML supply chain, promoting consumption and effective investment, ensuring energy security, providing unemployment protection, subsistence allowances, and assistance to the needy. Among them, in terms of promoting consumption and effective investment, it is proposed to reduce the purchase tax on some passenger cars by 60 billion yuan in stages.

In May 2022, in Ganzhou, Jiangxi, employees were welding in the automobile production workshop Visual China picture

Immediately afterwards, the Ministry of Finance and the State Administration of Taxation issued the "Announcement on Reducing the Vehicle Purchase Tax on Some Passenger Cars", which stipulates that the vehicle purchase tax will be halved for passenger cars with a displacement of 2.0 liters and below whose purchase date is between June 1, 2022 and December 31, 2022, and whose single vehicle price (excluding value-added tax) does not exceed 300,000 yuan.

Compared with the previous two rounds of purchase tax reduction and exemption policies, this policy has increased the displacement of vehicles (from the previous 1.6L to 2.0L). At the same time, the price of vehicles has also been restricted. Vehicles with more than 300,000 yuan cannot enjoy this reduction and exemption policy. It can be seen that the policy stimulus mainly focuses on mass passenger cars for ordinary consumers, but the coverage of models has been greatly expanded, including many luxury brand models.

is calculated based on the 10% car purchase tax , which is halved, that is, the purchase tax is reduced to 5%. Taking a car with a unit price of 300,000 yuan (excluding value-added tax) as an example, the purchase tax is reduced from 30,000 yuan to 15,000 yuan, saving 15,000 yuan. Even for a car with a unit price of 100,000 yuan (excluding value-added tax), the purchase tax can be saved by 5,000 yuan.

This is not only a great discount for consumers, but also plays a significant role in stabilizing the growth of the domestic auto market. In the month after the policy was implemented, the automobile market stopped the downward curve for several consecutive months. In June, the domestic passenger car market sales reached 222,000 units, with a year-on-year increase of 341.2%. At the same time, according to unified invoice data for motor vehicle sales, from June 1 to November 10, the sales volume of passenger vehicles with a displacement of 2.0L and below was approximately 6.523 million units. Compared with the five months before the implementation of the policy, the sales volume increased by 320.6% month-on-month.

Thanks to this, from January to November this year, the cumulative retail sales of the domestic passenger car market were 18.367 million units, a year-on-year increase of 1.8%, and had a net increase of 317,000 units compared with the same period last year. Among them, from June to November, domestic passenger car retail sales increased by 1.39 million units year-on-year, a huge incremental contribution. The Passenger Car Association predicts that my country's cumulative wholesale sales of passenger cars in 2022 is expected to be 23.1 million units, and retail sales are expected to be 21 million units.

The policy of reducing the purchase tax on some passenger cars by RMB 60 billion in phases has also obviously boosted the luxury car market. From January to November, the sales volume of domestically produced high-end brand passenger cars was 3.511 million units, a year-on-year increase of 12.7%, which has exceeded the 3.391 million units last year. Cui Dongshu, secretary-general of the National Passenger Car Market Information Joint Association, believes that this is mainly due to the policy of halving the passenger car purchase tax to stimulate high-end consumption.

Now, as the exit point of the halving policy of purchase tax is approaching, more and more voices are calling, "The policy of halving passenger car purchase tax can be extended to June 2023 or the end of the year."

Cui Dongshu believes: "If there is no policy of halving passenger car purchase tax, If the sales volume remains unchanged, it is expected that the wholesale sales of passenger cars will increase by 1% year-on-year in 2023. The cumulative wholesale sales of conventional fuel vehicles in 2023 are expected to be 15.1 million units, a year-on-year decrease of 10%. If the passenger car purchase tax halving policy can be extended to June 2023 or the end of the year, a gradient promotion of passenger cars can be achieved. Maximize the effectiveness of the tax policy, thereby driving the auto market to achieve better positive growth.

Chen Shihua, deputy secretary-general of the China Association of Automobile Manufacturers , also said: "This year's passenger car purchase tax halving policy has played a significant role in stabilizing the growth of the domestic auto market. Therefore, it is recommended that the policy be continued in 2023, and will be levied at 7.5% in 2024, and then withdraw in 2025." "

Previously, Changan Automobile Party Committee Secretary and Chairman Zhu Huarong also called on relevant departments to pay attention to the smooth transition of the halving policy of fuel passenger vehicle purchase tax. He judged that if the policy cannot be extended, the sales volume of the automobile industry in the first quarter of next year will most likely decline sharply by 30% to 40%.

Although there is currently no clear news on whether the policy of halving the purchase tax on passenger cars will be extended, the "Notice on Consolidating the Upward Trend and Stimulating the Revitalization of the Industrial Economy" jointly issued by the Ministry of Industry and Information Technology and other three departments mentioned that it is necessary to further expand automobile consumption and implement preferential policies such as phased halving of the purchase tax for passenger cars with an engine capacity of 2.0 liters and below.

According to data recently released by the State Council Information Office at the State Council’s regular policy briefing, from June to November 10 this year, a total of 39.75 billion yuan in vehicle purchase taxes were reduced for eligible passenger vehicles.

Daily Economic News