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Public opinion sought on auto replacement subsidy program

(Xinhua)
Updated: 2009-06-29 15:42

Chinese government has begun to seek public opinion on subsidy program for auto replacement, amid a slew of measures to stimulate private spending and curb pollution.

Related readings:  China auto sales may touch 11m in '09  China releases details of auto, home appliance replacements program  Gearing up for green auto era  Subsidy moves to drive uptake

According to a joint circular issued by the Ministry of Commerce and the Ministry of Finance on Friday, automobiles should meet the following requirements to be replaced with new set: the light truck and mid-sized taxi with less than eight years of use, mid and small-sized truck and mid-sized passenger car (exclude taxi) with less than 12 years of use.

Vehicles that fail to meet the European No 1 standard for exhaust emissions could also be replaced even they are still within life expectancy. The subsidy will be no more than the purchase tax of the auto of the same type.

According to the drafted regulation issued by the National Development and Reform Commission (NDRC), the country's top economic planning body on June 3, consumers would get rebates from 3,000 yuan ($437.96) to 6,000 yuan for auto replacement.

Consumers should deliver their old model to the reclaim station in a year through May 31, 2009, said the circular.