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Affected by the epidemic, the domestic passenger car market has rebounded after several months of collapse, but the performance of the new energy market is still low. In order to promote automobile consumption, Shenzhen recently "increased" the new energy subsidy policy, with a subsidy of up to 40,000 yuan per car.

On the evening of June 11, the Shenzhen Development and Reform Commission issued the work guidelines for Shenzhen to respond to the impact of the COVID-19 epidemic and promote the promotion and application of new energy vehicles in Shenzhen. Individual consumers are encouraged to buy technologically advanced, safe and reliable new energy vehicles. According to the guidelines, four measures are proposed to promote the consumption of new energy vehicles.

First, relax the application conditions for the increment index of new energy vehicles. In other words, if there is no Shenzhen hukou and social security for less than 2 years, you can also apply for new energy vehicle targets. As long as you hold a valid Shenzhen residence permit, or overseas Chinese, Hong Kong, Macao, Taiwan, or foreigners with legal identity certificates, you can apply.

Second, expand the scope of additional models. If the individual has only one Yue B car, or one Shenzhen car purchase target, you can purchase an additional pure electric or plug-in hybrid model.

Third, subsidies for the purchase of new energy vehicles are divided into "comprehensive use financial subsidies" and "replacement renewal financial subsidies", including four types of situations. Among them, the purchase of pure electric advanced or economical cars in Shenzhen, and successfully put on the Guangdong B license plate, each car is given an one-time financial subsidy of 20,000 yuan for comprehensive use; the purchase of plug-in hybrid high-grade cars, subsidies of 10,000 yuan; the original Yue B license plate cars, replacement for high-grade pure electricity or plug-in hybrid models, each car can enjoy an one-time replacement subsidy of 20,000 yuan; replacement of pure electric economical cars, can enjoy a subsidy of 10,000 yuan.

It is worth noting that "comprehensive use of financial subsidies" and "replacement and renewal of financial subsidies" can be superimposed. In other words, individual consumers who replace the original Yue B cars with new energy cars purchased in Shenzhen and put on Yue B can enjoy an one-time financial subsidy of up to 40,000 yuan. However, this regulation also includes that the price of advanced pure electric vehicles is more than 200000 yuan, that of economical pure electric vehicles is less than 150000 yuan, and that of advanced plug-in hybrids is more than 160000 yuan.

At the same time, the vehicle also needs to meet the relevant technical parameters requirements, among which, the pure electric advanced passenger car, its outline dimension length needs to be 4970-5200mm; the pure electric economical passenger car, the outline dimension length is between 4230-4680mm; the plug-in hybrid advanced passenger car, the outline dimension length is between 4650-5000mm.

It means that according to this standard, Tesla Model 3, Xiaopeng P7, Xilai ES6 and other electric vehicles can not enjoy this car purchase subsidy.

However, subsidies and relaxing the application conditions for indicators will boost the sales of new energy vehicles, but the benefits vary from model to model, according to a local dealer. From the perspective of policy tendency, the Shenzhen subsidy program is more beneficial to the local car company BYD. In this regard, netizens have commented: it is developed for BYD models.

In addition, in addition to the above policies, the guidelines also increase parking concessions for new energy vehicles. That is, on-road parking spaces in Shenzhen, new energy vehicles can enjoy a 2-hour free discount for their first parking every day. If the first parking is less than 1 hour, the second parking will be exempted from 1 hour parking fee.

This document will be implemented from June 7, 2020 to December 31, 2020. After the expiration of this document, the above policy measures will no longer be implemented.

I have to say that as the market is affected by the epidemic, the national new energy vehicle market is still not too optimistic. Data show that sales in the domestic narrow-sense passenger car market reached 1.609 million in May, up 1.8% from the same period last year and 12.6% month-on-month. At the end of this year, new energy narrow-sense passenger cars still showed a year-on-year decline of 25.4%, with cumulative sales of only 68000 vehicles.

According to KuaiBao, BYD's latest sales release, car sales in May were 31821, down 6.19 per cent from a year earlier, narrowing the decline from a month earlier; cumulative sales from January to May were 124903, down 34.03 per cent from a year earlier. Obviously, BYD's market performance is disappointing, especially the new energy vehicle sector, which has declined in November and is down 60% this year.

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