China to unveil new subsidy plan for new-energy auto industry

China is expected to unveil its renewed subsidy plan for the new-energy auto industry in the first half of 2013, according to a report by Shanghai Securities News.
Under the new policy, there are 16 levels of subsidies specified based on the fuel efficiency of a specific model, with the minimum subsidy at more than 3,000 yuan (US$484) per vehicle, according to the report.
Several industry insiders said they believed the new plan will include non-plug-in hybrid vehicles as well. Previously, only plug-in hybrid vehicles and pure-electric vehicles were eligible for subsidies granted by the central government.
Meanwhile, more cities were likely to be included to pilot the subsidy program, as China had set an ambitious target of selling 500,000 new-energy vehicles by the end of 2015.
In May 2010, the Ministry of Commerce (MOC) issued a set of interim rules on subsidizing private new-energy vehicle buyers, which was valid only until the end of 2012.
Over the years 2011-2012, only 27,432 new-energy vehicles have hit the roads, with 23,032 units in the public sector and only 4,400 units for private use, according to the China Association of Automobile Manufacturers (CAAM).
(May 3, 2013)