Beijing will only subsidize electronic cars produced by Chinese firms

Chinese capital city Beijing has unveiled a new preferential policy for electric cars that includes a purchase subsidy ranging from $10,400 – $17,800. The release of the policy, first spotted by Tech in Asia, is notable because the subsidies will only go to domestic firms, which means Tesla is left out of the preferential treatment, which could affect its uptake among Chinese consumers. 

Beijing is set to lay out its annual new vehicle allotments after Chinese New Year, and just as Chinese citizens head home for the holidays, the capital has announced its policy for issuing green-energy vehicle plates. According to ChinaNews, the Beijing municipal government will issue license plates for a total of 20,000 electric vehicles, half of which will be available as consumer vehicles. In addition, for consumers who opt to purchase electric vehicles, the government will grant subsidies of up to RMB 108,000 (about $17,000) per vehicle. These subsidies, however, are only available for vehicles produced domestically, which therefore excludes Tesla’s Model S.

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