Source: Economic Daily
In order to further stabilize and expand automobile consumption, since February, many places have introduced measures such as promoting new energy vehicle consumption, carrying out old-for-new automobiles, and relaxing or canceling purchase restrictions. With the implementation of these measures, it will help inject vitality into the sluggish automobile market and will also help partially offset the adverse effects of the epidemic. However, the temporary characteristics of most subsidy policies are relatively obvious, and there are various restrictions on subsidies. To what extent it can drive long-term consumption remains to be seen.
Since February, many places in China have successively introduced policies to stimulate automobile consumption. At the State Council Executive Meeting held on March 31, measures were also determined to extend the purchase subsidies for new energy vehicles and the exemption from purchase tax and the policy of exemption for 2 years. Why is
like this? As Xin Guobin, Vice Minister of Industry and Information Technology, said at the State Information Office press conference a few days ago, the automobile industry is still facing great difficulties and problems, especially the problem of sluggish consumer demand. Even if the current rate of resumption of work and production of enterprises is relatively high, due to insufficient market demand and increasing inventory of enterprises, it is possible that the yield rate of some enterprises will be further reduced in the subsequent period. The automobile industry plays an important role in the national economy, and it is imperative to help the automobile industry.
Many places issued subsidy policies
As early as February 17, Foshan, Guangdong introduced several measures to promote the upgrading of consumption in the automobile market. Foshan City will give a subsidy of 2,000 yuan per vehicle to encourage consumers to purchase new cars; if the owner of Foshan licensed car licensed cars purchases a new car with an invoice for the sales of old cars or a car scrap cancellation certificate, each car will be given a subsidy of 3,000 yuan per vehicle; if the same consumer purchases 5 or more large, medium and heavy passenger and trucks at one time (the unit price of the vehicle is no less than 500,000 yuan), each car will be given a subsidy of 5,000 yuan, and the above situation will not be repeated.
Subsequently, Shenzhen and Guangzhou also issued new policies on automobile subsidies. On February 21, Guangdong Province proposed to promote the introduction of subsidy policies for scrapping and renewal of old cars in places with conditions, and encourage Guangzhou and Shenzhen to further relax car lottery and bidding indicators. On February 28, Shenzhen issued policies to stabilize bulk consumption such as automobiles, accelerate the release of new automobile indicators, and give priority to ensuring the first purchase needs of families.
In addition to Guangdong, Hangzhou, Zhuhai , Nanjing, Ningbo , Nanchang , Xiangtan and other places have also issued relevant policies. The central ministries and commissions have also determined various measures such as extending the purchase subsidy for new energy vehicles and exemption from purchase tax.
Zhou Yi, assistant researcher at the Industrial Research Department of the Development Research Center of the State Council, said that looking at the automobile subsidy policies in these places, there are various methods such as subsidy for purchasing new cars, subsidies for new energy vehicles, subsidies for used cars in the countryside, subsidies for purchasing purchases, and relaxing car modifications. They can effectively promote local automobile consumption and help partially offset the adverse effects of the epidemic.
"At present, the policies issued by various places to promote automobile consumption, and the focus is on upgrading the purchase and purchase." Cui Dongshu, Secretary-General of the National Passenger Car Market Information Joint Conference, analyzed that local governments currently mainly hope to increase replacement and updates. The reason is that replacement and updates are encouraged to improve the grade of vehicles in urban areas. If the number of vehicles is not increased, it will not have much impact on traffic congestion.
What is the effect of subsidy
The subsidy policy to promote automobile consumption is being implemented. What are the effects that can be expected? Experts made predictions with new energy vehicles as an example.
National New Energy Vehicle Innovation Engineering Expert Group leader Wang Binggang said at this year's China Electric Vehicle Hundred People's Association Forum that subsidies have played a key role in the development of new energy vehicles, promoted technological progress and breakthroughs, driven the enthusiasm of enterprises and social capital investment, promoted the formation of the industrial chain, and built an infrastructure and market environment that initially met the needs, and formed a large-scale market.
The policy of purchasing subsidies for new energy vehicles and exemption from purchase tax for two years will be extended. This policy will bring a lot of vitality to the new energy vehicle market in a downturn.
Cui Dongshu said that this policy will have a significant promoting effect on the development of new energy vehicles. The most prominent thing is that it will stabilize market expectations in the next two years.The continued subsidies have enabled new energy vehicles and traditional fuel vehicles to maintain a cost-price advantage of more than 20%, which will have a good guiding effect on corporate product planning in the next few years.
Cui Dongshu did some calculations: In 2019, the amount of subsidy for new energy vehicles is estimated to be around 30 billion yuan. Even if it gradually shrinks in the future, it will be around 50 billion yuan in two years. In addition, the purchase tax subsidy is estimated to be exempted from 4.5 million products worth more than 700 billion yuan in the next two years. The purchase tax exemption amount will be nearly 70 billion yuan, and the total subsidy and purchase tax exemption exceed 100 billion yuan.
In addition, Cui Dongshu said that the extension of subsidies is conducive to the stable development of plug-in hybrid vehicle , and also conducive to the accelerated development of joint venture brand new energy vehicle companies. First, subsidies are conducive to the stable development of new energy vehicle lines, and plug-in hybrid vehicles with high policy dividend costs will also reflect their price advantages. Second, if the subsidy is delayed, joint venture brand models with higher prices will gain a greater tax-free advantage. The development of joint venture brand new energy vehicles has a good promoting effect on the domestic new energy vehicle industry chain and ultimately is conducive to the development of independent brands.
policy also needs to be strengthened layer by layer
After analyzing the detailed rules of the measures and regulations of various places, it is not difficult to find that while encouraging consumers to consume automobiles, there are also various restrictions.
Subsidy policies in some places require consumers to purchase passenger cars produced and sold locally and license locally, only if they are given a one-time concession of 5,000 yuan for each car, and each company can sell 6,000 units for concession.
Many netizens have expressed their opinions on these news. Some people believe that this subsidy is too weak, which is equivalent to giving a 50 yuan coupon to buy a Lamborghini, giving more pressure on the car sales point, and not only getting these discounts. Some netizens also left messages and suggested that it would be more affordable to directly reduce the purchase tax or reduce the purchase tax by half.
Zhou Yi said that in general, the current policies have three characteristics: First, the temporary nature is more prominent, and most of them are temporary policies to deal with the epidemic. Second, it accounts for a large proportion in the form of direct fiscal subsidies. Third, policies are beneficial to new energy vehicles. The purchase subsidy for new energy vehicles has been extended for two years, giving new energy vehicles an important period of opportunity for the continued development of new energy vehicles. However, the ultimate effect of these policies to promote consumption depends on the degree of economic recovery after the epidemic. Judging from the current situation, it can partially offset the adverse effects of the epidemic.
Cui Dongshu believes that some policies that promote automobile consumption need to meet restrictions before they can receive subsidies. Although it is reasonable, it greatly weakens the attractiveness of subsidy measures to consumers. In addition, due to local financial pressure, the subsidy for purchasing new cars is generally around 2,000 yuan or 3%. Compared with 5% of the purchase tax discount, the level of 5,000 yuan is reduced by about 100,000 yuan. The discount is relatively small, and the method of discount is not clear yet, so the possibility of policy discounts is relatively high.
"At present, policies to promote automobile consumption rarely start from the perspective of taxes and fees. In fact, policies such as encouraging car purchases to deduct taxes have huge potential." Cui Dongshu said that, based on considering the economic development level and fiscal affordability of various places, more normalized policies should be adopted in the future to promote consumers to increase the frequency of changing cars, so that the consumption in the auto market can develop faster, and drive long-term and stable consumption. (Economic Daily·China Economic Network reporter Liu Jin)
