In the market recovery period in the later period of the epidemic, in order to stimulate car consumption, more and more local governments have introduced subsidies for purchasing new cars and issuing car subsidies. Ningbo, Zhejiang has become another city that encourages automobile consumption.

On March 27, the Ningbo Municipal Government announced that Ningbo has decided to introduce a number of measures to help enterprises reach capacity expansion, encourage local passenger car manufacturers to sell profit to consumers, promote brand passenger car consumption upgrades, and support the orderly auto industry development of.

Among these measures, from March 25, 2020 to September 30, 2020, consumers who purchased passenger cars locally produced and sold in Ningbo and listed locally will be given a one-time concession of 5,000 yuan per car, Enterprises can sell up to 6,000 vehicles.

At the same time, Ningbo gave local auto manufacturers new models that were first put into production this year and included in the national "vehicle manufacturer and product" announcement catalog. After the cumulative output exceeded 10,000 units, the output was subsidized by 500,000 yuan for every more than 10% of output. The maximum subsidy for enterprises is not more than 5 million yuan.

As of now, a total of 9 places have introduced policies to promote automobile consumption, including Ningbo, Foshan, Guangzhou, Changsha, Zhuhai and other places.

Ningbo owns SAIC Volkswagen and Geely Automobile. Among them, SAIC-Volkswagen's Ningbo plant has two plant areas. The first phase of the Ningbo plant was completed and put into production in October 2013, producing Volkswagen brands Tourang, Lingdu, Lingdu GTS, Skoda's brand new Octavia, Octavia wagons, etc .; the second-phase plant It was completed and put into production in December 2017, producing Volkswagen Touran and Skoda Koch.

Geely Automobile has multiple industrial bases in Ningbo and is the largest local auto company. Including Geely's Yuyao plant, Geely's Hangzhou Bay plant, Cixi plant, Geely Automobile's Chunxiao manufacturing base, etc., it produces a number of models under the Geely and Lynk&Co brands.

Measures for local new car purchase subsidies will help local auto companies to resume production and promote local car consumption.

Industry insiders point out that currently boosting automobile consumption will not only lift the restrictions on the consumer side but also help the automobile industry pass.

More and more cities are expected to follow up and introduce related new policies to boost automobile consumption.

Source