China’s Chengdu to Roll Out Car Subsidies of Up to USD21,735 per Auto

China’s Chengdu to Roll Out Car Subsidies of Up to USD21,735 per Auto

The Chinese metropolis of Chengdu is set to launch a new auto subsidy program that could offer drivers up to RMB150,000 (USD21,735) in financial assistance for purchasing a vehicle.

The local government of the southwestern Chinese city has unveiled plans to offer incentives in the form of subsidies to encourage car purchases. The subsidies, which could be as high as RMB150,000, will be made available to those who purchase a car in the city between April and December 2021.

The program is part of the city’s broader effort to boost car sales and help local businesses, as the global pandemic has caused a sharp downturn in the automotive industry.

“This initiative is part of our efforts to invigorate the local economy,” said the Chengdu government in a statement. “We hope that this will help stimulate car sales, which have been greatly affected by the pandemic.”

Under the program, eligible drivers will be able to apply for subsidies ranging from RMB20,000 to RMB150,000, depending on their income level. Those with the lowest incomes will receive the highest subsidies.

In addition, the city is also offering a series of other incentives, including tax breaks and discounts on car-related services.

The Chengdu government hopes the new subsidy program will help stimulate sales of cars in the city, as well as help local businesses that have been affected by the pandemic.

The program, which is slated to begin in April, is expected to be a boon to the local economy, as it could lead to an increase in car purchases and help create jobs.

Chengdu is not the only Chinese city to offer subsidies for car purchases. In 2020, Beijing and Shanghai both rolled out programs offering incentives to drivers.

Overall, the goal of the subsidy program is to help boost the Chinese auto industry, which has been struggling due to the pandemic. With the new incentives, Chengdu hopes to attract more drivers to its streets and help revive its economy.