China’s National Government Offices Administration (NGOA) has issued a new directive requiring central and state agencies to transition their vehicle fleets to domestic new energy vehicles (NEVs). According to the notice, government departments must achieve a minimum replacement ratio of 30% for NEVs, with expectations to gradually increase this percentage over time.
Despite the aggressive push for NEV adoption, the government maintains strict cost controls as part of its austerity measures. Each sedan purchased cannot exceed 180,000 yuan (approximately $25,000), reflecting the administration’s commitment to fiscal responsibility while promoting green technology.
The mandate comes amid impressive growth in China’s NEV market. Sales have already surpassed 7.13 million units in the first three quarters of this year, with NEVs capturing over 50% of market share in the third quarter. Industry projections suggest annual sales will exceed 10 million units, marking a significant milestone for China’s electric vehicle industry.
The comprehensive directive specifies that government departments must prioritize NEVs for regular administrative vehicles and fixed-route law enforcement operations. The requirement extends to special-purpose vehicles, such as those used for sanitation and technical inspections, wherever feasible. However, the policy allows for exceptions in regions with challenging geographical or climate conditions.
This initiative serves a dual purpose: supporting the domestic NEV industry’s development while demonstrating the government’s commitment to environmental sustainability. The policy applies across all administrative levels and public institutions under central and state agencies, positioning China’s public sector at the forefront of the nation’s electric vehicle transition.
Source: Central News Agency (Taiwan), October 29, 2024
https://www.cna.com.tw/news/acn/202410290431.aspx