China has become the world's largest producer and seller of new energy vehicles. The high subsidies have also caused some enterprises to take risks and take advantage of fraudulent financing to obtain financial subsidies.

Whether we can master the core technology, build a well-known brand, and gradually embark on the road of relying on the market to develop on its own, has become the key to the success of China's new energy vehicle industry.

The Ministry of Finance, the National Development and Reform Commission and other four ministries and commissions recently issued the "Notice on Adjusting the Financial Subsidy Policy for the Promotion and Application of New Energy Vehicles." The adjustment of the new subsidy policy is mainly “one drop and one liter”, that is, the subsidy standard for pure electric bus models such as 6 meters to 8 meters and 8 meters to 10 meters is greatly reduced, and the entry threshold for manufacturers and products is improved.

Thanks to national and local financial subsidies, as well as local restrictions, unlimited purchases and other policy guidance, China's new energy vehicle market has gradually opened. As of the end of November 2016, China's new energy vehicles have nearly 900,000 vehicles, making it the world's largest new energy vehicle production, sales and ownership. However, the high subsidies have also caused some companies to take risks and take advantage of fraudulent fraud to obtain financial subsidies.

According to the results of the survey conducted by the Ministry of Finance on the promotion and application of subsidies for new energy vehicles last year, only five bus companies in Suzhou Jim West, Suzhou Jinlong, Shenzhen Wuzhoulong, Chery Wanda Guizhou and Henan Shaolin have fraudulently applied for false declarations in 2015. The central government has more than 1 billion yuan in financial resources. "Cheats" bring great reflection to the entire industry. “The subsidy amount is too high”, “the subsidy threshold is low” and “the subsidy method is extensive”. The society has been questioning this question, and even there has been a debate about “whether or not to cancel the subsidy”. How to make up for new energy vehicles and how to make up is testing the ability and wisdom of policy makers.

“This policy adjustment reduces subsidy standards and is conducive to the sustainability of subsidies.” Cui Dongshu, secretary general of the National Passenger Vehicle Market Information Association, said that passenger car subsidies will be reduced by 20% in 2016 based on 2016, and the changes are relatively small. New energy buses, especially the subsidies for small and medium-sized pure electric buses that were heavily swindled before, such as 6 meters to 8 meters and 8 meters to 10 meters, were greatly reduced, fully in line with expectations, and responded well to the "question" of the society.

More importantly, the new energy bus subsidy standard is refined to the core of the power battery subsidy, based on the battery production cost and technological progress level, by setting the energy consumption level, vehicle driving range, battery / whole The subsidy threshold for vehicle weight and battery performance level is determined by considering the factors such as battery capacity, energy density level, charging rate and fuel saving rate. The scheme is also more scientific.

“The improvement of subsidy threshold is conducive to enterprises to improve product competitiveness through innovation.” Cui Dongshu said that the increase in the threshold for entry of production enterprises and products is mainly reflected in the increase in energy consumption requirements of the entire vehicle. For example, the pure electric passenger car has different power supply requirements according to the whole vehicle, and the power consumption requirement of 100 kilometers under the corresponding working conditions is increased; the pure electric special vehicle increases the energy consumption per unit load (Ekg) and tons according to the type of vehicle. Kilometer power consumption and other requirements, the adjustment of indicators is conducive to encouraging technological progress, and can effectively prevent excessive miniaturization of vehicles.

The new policy adjustment also introduced a new national standard for power batteries, which improved the safety requirements, cycle life, charge and discharge performance requirements of power batteries, and set the energy density threshold of power batteries. According to industry insiders, this move is expected to curb the low-end dispersion of batteries and force the upgrade of the battery industry chain.

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In addition, new policy adjustments have increased security requirements. For example, for models that cause safety accidents due to product quality, the subsidy funds are deducted depending on the nature and severity of the accident, and the qualifications for models or enterprises are suspended. In particular, it is required to establish a market sampling inspection mechanism, strengthen the management of inspection vehicles, and timely clear out the "Recommended Models for the Promotion and Application of New Energy Vehicles" for enterprises and products that are not qualified for sampling inspection. This is of great significance for purifying the industrial development environment. “Applying for subsidies for new energy vehicles purchased by non-individual users, the accumulated mileage must reach 30,000 kilometers, and it can also effectively clean up the special logistics vehicle market and crack down on the fraudulent behavior of leasing companies through fake opening hours.” Cui Dongshu Say.

"Of course, we must also see that no matter how the policy is adjusted, the subsidy will always be withdrawn." Chen Qingtai, chairman of the China Electric Vehicle 100-member Association, believes that the process of improving the cost-effectiveness of new energy vehicles can keep up with the policy decline. The process, and in the cycle of retreating the slope, by mastering the core technology, to build a well-known electric vehicle brand, and gradually embark on the road of relying on the market to develop on its own, has become the key to the success of China's new energy vehicle industry. Otherwise, the entire industry may become a "mud-footed giant." In this sense, the introduction of the subsidy adjustment policy actually sounded the clarion call for the innovation and development of enterprises in the post-subsidy era.