Hyperdrive
China Considers Cutting Electric-Car Subsidies Again
- Handouts for EVs could be reduced next year, people say
- Move could deal another blow to once-burgeoning EV industry
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China is considering further cuts to subsidies for electric-vehicle purchases, according to people familiar with the matter, threatening to deal another blow to a once-burgeoning industry that’s facing an unprecedented slump.
Industry regulators in the world’s largest EV market have been discussing the proposal but are holding off on a decision until they weigh car sales data over the coming months, according to the people, who asked not to be identified because the discussions are private. The plan involves reducing subsidies on consumers’ purchases of EVs next year but discussions are still at an early stage so there’s no guarantee the cuts will happen then, two of the people said.