China Verifying More EV Funding Wrongdoing, Automaker Group Says

  • More companies may have breached policies, CAAM official says
  • China disbursed $5 billion in EV subsidies from 2009 to 2015
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China is verifying information gathered during its investigation into abuses of electric-vehicle subsidies to identify wrongdoing, according to the state-backed automakers group, a process that could widen the scope of the crackdown into the fast-growing industry.

The finance ministry identified five manufacturers of electric vehicles for scamming the government of about $150 million in subsidies, citing them as “classic cases” unearthed in a probe into 90 major new-energy vehicle makers covering 401,000 vehicles. The nine-month investigation found instances where subsidies were claimed for unsold vehicles, automobiles left idle after companies received payouts and outright fabrication of sales and documentation, according to a statement by the finance ministry on Thursday.