China to ease foreign automaker rules—with preference for electric cars

Enlarge / Electric car charging point, Shanghai Pudong. (credit: Getty Images)
This week China announced plans to ease restrictions on automakers importing cars into the country, with electric vehicle makers being the first to benefit from the change.
Currently, foreign automakers that want to sell their cars in China must either face a 25-percent import tariff or must build a factory in China with a 50-percent ownership cap—a domestic firm must own the other 50 percent. Tesla has been the most vocal in its opposition to China’s restrictions, and it could stand to gain the most from the changes off the bat. Tesla doesn’t yet have a manufacturing presence in China, and the country has said that it will relax its factory ownership restrictions on electric vehicle manufacturing within the year.
According to the South China Morning Post, the 50-percent factory ownership restriction will be relaxed in 2020 for non-electric commercial vehicle manufacturers and in 2022 for non-electric passenger vehicle manufacturers.
Read 5 remaining paragraphs | Comments
Source: Car news one

Leave a Reply

Your email address will not be published. Required fields are marked *