The Russian government said that it will spend up to 271 billion rubles ($8US billion) over the next three years to subsidize the country’s struggling auto industry. A government web site said that the subsidies will underwrite research & development, jobs and costs related to more stringent emissions standards. Car sales in Russia in 2013 fell by 6% to 2.78 million units and 2014 looks like another weak year as the Russian economy stutters, according to the Association of European Businesses. (Read More…)
Tag: government subsidies
China has renewed government subsidies for three more years for private buyers of electric vehicles and plugin hybrids, but contrary to some observers’ predictions, incentives for the purchasers of conventional gasoline-electric hybrids have not been renewed. Reuters reports that the national government in Beijing said that it would provide up to 60,000 yuan ($9,800) towards the purchase of an all-electric vehicle and as much as 35,000 yuan for each “near all-electric” plug-in vehicle. The purpose is ostensibly to reduce air pollution but the policy is also expected to benefit Chinese car makers like BYD. (Read More…)
As U.S. President Barack Obama landed in Shanghai for a weeklong visit to his largest creditor, China, the news awaited him that China’s Ministry of Commerce will investigate the U.S. government’s financing and rescue plans for the American auto industry, Shanghai Daily reports.
The move is part of China’s probe into possible dumping and subsidies on U.S.-made vehicles imported to China, the ministry said. Trade officials will be looking for dumping practices and for unfair government subsidies.