China to quadruple new energy vehicle production by 2020

New-energy vehicle tax cuts

China will quadruple its new energy vehicle annual output to 2 million by 2020, a Cabinet Minister said.

Citing a government plan, Industry and Information Technology Minister Miao Wei said at a Beijing forum over the weekend that by 2025, at least one in every five cars sold in China will be a new energy model, Xinhua news agency reported.

In 2016, China produced 517,000 new energy vehicles. The cumulative sale has exceeded 1 million, according to the ministry.

New energy vehicles include battery electric cars, plug-in hybrids, and fuel-cell cars.

In 2016, top Chinese electric car-makers BYD, Geely, and BAIC sold their models in more than 30 countries and regions around the world.

Miao said the government will continue to improve policies, boost research and development, invest in charging infrastructure construction, and promote international cooperation to help the sector grow.

In terms of charging infrastructure, China built over 100,000 public charging poles in 2016, ten times the figure in 2015. China witnessed a boom of electric vehicle investment in the past few years.

Instead of maintaining a universal incentive system, Miao said, subsidies will vary and favour best performing car-makers before this financial assistance program ends in 2020. IANS