Industry information
You are here:Home >> News >> Industry information...
Promoting car consumption again! The National Standing Committee clarified that the purchase tax of some passenger cars will be reduced by 60 billion in stages
204 2022-05-30
    On May 23, the State Council held an executive meeting to further deploy a package of measures to stabilize the economy, and strive to push the economy back to a normal track to ensure that it operates within a reasonable range.
    The meeting made it clear that consumption and effective investment should be promoted. Restrictions on car purchases were relaxed, and the purchase tax on some passenger cars was reduced by 60 billion yuan in stages. In addition, for small and medium-sized enterprises‘ loans to individual industrial and commercial households, truck loans, and consumer loans for personal housing loans in distress, banks will be supported to postpone the repayment of principal and interest within the year; the 90 billion yuan truck loan issued by the central automobile enterprises, the bank-enterprise linkage should delay the repayment of the principal for half a year. interest.
    Cui Dongshu, secretary-general of the Passenger Federation, issued a document on the morning of the 24th, saying that the main measures to stimulate car consumption currently summarized include: 1. Purchase tax relief; 2. Tax credit for car purchases; 3. Trade-in; 4. Issue consumption coupons; 5. License Relaxation; 6. Cars go to the countryside; 7. Continuation of subsidies for new energy vehicles; 8. Commodity attributes of used cars; 9. Various policy suggestions such as auto finance. Some of these are policy options of the central government. Trade-in subsidies, issuance of consumer coupons, and relaxation of purchase-restricted licenses are the local government‘s measures to promote consumption.
    CITIC Securities believes that the purchase tax reduction is one of the most effective policies to drive car sales. The policy strength exceeds market expectations and is expected to drive new demand for 1-2 million passenger cars. According to its analysis, after reviewing the 2009/2015 purchase tax reduction and exemption stimulus policies, the cumulative purchase tax reduction and exemption were 47.1/152.2 billion yuan, respectively, and the leverage factor for driving consumption was about 14.6/5.4 times (that is, how much car consumption can a tax reduction of 1 yuan drive? ). Considering that the leverage multiplier must have a marginal diminishing effect, assuming that the leverage multiplier of this stimulus policy is 3/4/5 times respectively, it will drive consumption by 1800/2400/300 billion yuan, corresponding to 108/144 new car purchase demands. /1.8 million vehicles.
    Soochow Securities released a research report saying that if it is assumed that the 60 billion benefit period is in the second half of 2022 and the target is traditional vehicles (new energy itself has no purchase tax), it is calculated based on the sales volume of traditional vehicles in the first half of 2020 of about 9 million vehicles. Then, about 6,600 yuan will be exempted for bicycles, which is expected to drive sales of 1-1.2 million units in 2022, and drive about 4-5 percentage points of growth.
    In addition, the National Standing Committee also proposed to stabilize the industrial chain and supply chain. Optimize the policy of resumption of work and production. Ensure the smooth flow of freight, cancel the restrictions on passage from areas with low risk of the epidemic, and cancel the regulations and charges for unreasonable limits. Orderly increase domestic and international passenger flights.
    Just last week (May 20), Xin Guobin, Vice Minister of the Ministry of Industry and Information Technology, also emphasized when investigating the situation of the automobile industry chain that the automobile industry is an important pillar industry of the national economy. The "two-way pressure" of blocked supply and weakened demand must adhere to "demand pull first, supply and demand two-sided force", reverse the downward trend as soon as possible, and provide strong support for stabilizing the economic market.
    Guolian Securities pointed out that with the active resumption of work and production by car companies and parts manufacturers, the impact of supply-side shortages can be quickly eliminated. Combined with the impact of the 60 billion yuan reduction in the purchase tax of some passenger cars, the consumption of the automobile market is expected to recover rapidly.
Source: Battery 100-Battery Network Author: Liang Xiaojing

Disclaimer: This article represents personal opinion only. Its originality and the words and contents stated in the text have not been verified by the company. The company does not make any guarantee or commitment to the authenticity, completeness and timeliness of this text and all or part of its content and text. Please read it for reference only, and Please verify the relevant content by yourself. Content involving the capital market or listed companies does not constitute any investment advice. Investors operate accordingly at their own risk!

If you need to contact the company due to the content of the work, copyright and other issues, please contact us Tel: 0769-23320236 E-mail: sales01@xl-battery.com