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China's car sales continue to decline and the trend of car consumption is gradually declining. in such an environment, the National Development and Reform Commission is expected to guide further liberalization of the purchase restriction policy and comprehensively encourage automobile consumption. According to the online documents, the National Development and Reform Commission issued the implementation Plan for promoting the Renewal of consumption of Automobile, Home Appliances and Consumer Electronics to promote the Development of Circular economy (2019-2020), which plans to further expand the consumer market such as automobiles, promote the development of circular economy, and deepen supply-side structural reform.

The document also describes in detail the specific implementation plan, and there are nine supporting regulations in the automotive field. Among them, the most important thing is that the purchase restrictions in cities will be gradually relaxed, the license plate target will be increased by 50% this year, there will be no restrictions on the purchase of new energy vehicles, and the restrictions on pickups are also expected to be relaxed.

Car purchase restriction order is to solve the problem of urban traffic congestion and alleviate traffic pressure. Through the policy of lottery allocation index, different areas have different requirements. Consumers who want to apply for car purchase indicators first need to meet the application conditions.

Car purchase restrictions have been implemented in some important cities in the early years, but this policy is expected to be gradually watered down over the years.

According to the documents of the National Development and Reform Commission, the barriers to the upgrading of passenger car consumption are removed. Among them, "strict new car purchase restrictions have been issued in various localities, places where car purchase restrictions have been implemented should speed up the transition from restricted purchase to guided use", "increase the number of license plate increments by 50% and 100% respectively in 2019 and 2020", "lift restrictions on car purchases for car-free households", "New Energy vehicles are not restricted" and so on.

From this point of view, for consumers in restricted cities, it is expected to solve some of the problems of not getting the target.

In addition, the restrictions on pickups are also expected to be relaxed. According to the document, give full play to the dual-use function of pickup trucks, speed up the lifting of restrictions on pickup access to cities, expand the scope of pilot areas for pickups, and all restrictions on pickup access to cities at prefectural level and below will be lifted by the end of 2020.

In addition, the document also shows that it is necessary to study and formulate policies to promote the renewal of old cars, encourage the elimination of vehicles lagging behind emission standards in the form of subsidies, promote the upgrading of rural vehicle consumption, and enjoy preferential treatment for rural residents to purchase corresponding vehicles by the end of 2020, and so on.

Earlier, Ning Jizhe, deputy director of the National Development and Reform Commission, has revealed that he is considering introducing new policies to encourage car consumption. The authenticity of the documents posted online to promote the new policy of automobile sales has not yet been confirmed.

Partial screenshot of the provisions on promoting automobile consumption in the document

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