China may ease green rules for electric car production this year

The temporary easing of new energy vehicles quotas is likely to allow auto makers in China to delay model launches, which have more costly technology than conventional vehicles.
By : Reuters
| Updated on: 22 Jun 2020, 06:25 PM
Representational photo of an electric car being charged) (REUTERS)
Representational photo of an electric car being charged) (REUTERS)
Representational photo of an electric car being charged) (REUTERS)
Representational photo of an electric car being charged)

China's industry ministry said on Monday it might temporarily ease quotas designed to boost production of electric cars, in an attempt to help automakers in the world's biggest market revive sales badly bruised by the coronavirus pandemic.

China has some of the world's strictest rules regarding the production of fossil-fuel vehicles, as it battles unhealthy levels of air pollution in its crowded cities.

Automakers in China are obliged to manufacture new energy vehicles (NEVs), including all-electric, plug-in hybrid and hydrogen fuel cell vehicles, to win "points" to make up for a portion of the negative points they incur when they produce internal combustion engine vehicles.

Similar Cars

Find More Cars
Tata Tigor Ev (HT Auto photo)
Tata Tigor Ev
Electric | Automatic
₹11.99 - 13.14 Lakhs**Ex-showroom price
Tata Altroz Ev (HT Auto photo)
UPCOMING
Tata Altroz Ev
 
₹12 - 15 Lakhs* *Expected Price
Tata Nexon Ev (HT Auto photo)
Tata Nexon Ev
Electric | Automatic
₹13.99 - 16.85 Lakhs**Ex-showroom price
Tata Nexon Ev Max (HT Auto photo)
Tata Nexon Ev Max
Electric | Automatic
₹17.74 - 19.24 Lakhs**Ex-showroom price
Mg Zs Ev (HT Auto photo)
Mg Zs Ev
Electric | Automatic
₹21 - 24.68 Lakhs**Ex-showroom price
Mg Zs Ev 2022 (HT Auto photo)
Mg Zs Ev 2022
Electric | Automatic
₹21.99 - 25.88 Lakhs**Ex-showroom price

(Also read: China eases green rules for petrol-electric hybrid vehicles)

Depending on the present situation, the Ministry of Industry and Information Technology said in a policy that it might temporarily adjust the quotas and allow automakers to use the green points they generate next year to offset their negative points this year.

Industry officials consider it a supportive move as automakers can manage vehicle production better with less policy impact.

(Also read: Nitin Gadkari underlines need to produce EV parts locally, not depend on China)

Reuters exclusively reported the policy discussion in April, citing people familiar with the matter. Sources also told Reuters that China would delay implementation of some emission rules by six months, which China's state planner later confirmed.

The temporary easing of NEV quotas is likely to allow companies to delay model launches, which have more costly technology than conventional vehicles, and also discourage them from aggressive marketing.

First Published Date: 22 Jun 2020, 06:25 PM IST
Recommended For You
View All
NEXT ARTICLE BEGINS

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking VIEW OFFERS you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city