China to Subsidize Green Vehicle Purchases in Five Cities

Subsidies will be based on the price gap between more energy-efficient vehicles and conventional engine-powered ones.

Published: 11-Dec-2009

Shanghai - In an effort to promote eco-friendly, fuel-efficient auto models, the Chinese government will subsidize sales of green vehicles in five cities selected for a pilot program, Reuters reported today.

China would offer rebates to private first-time buyers of green cars, a statement on the main government website ( said yesterday. The pilot scheme will be expanded to subsidize the purchase of clean-energy vehicles for public transportation fleets in 13 to 20 cities.

The trial program was first announced in February to promote the use of electric, hybrid and fuel-cell vehicles by public transportation operators, taxi firms and postal and sanitary services.


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