The Chinese authorities plan to pay car owners up to 10 thousand yuan ($1.4 thousand) if they replace their cars with all-electric or hybrid ones this year, The Wall Street Journal reports.
In addition, the government will provide subsidies of 7 thousand yuan to those who change cars to traditional ones with engines of no more than 2 liters.
Following the news, American Depository Receipts (ADRs) for shares of Chinese electric vehicle manufacturers rose in price on Friday, including Nio – by 9.4%, XPeng – by 11.1%, Li Auto – by 7%, BYD – by 3.7%.
CARS, CHINA, ELECTRIC VEHICLES
