Chinese policy makers has determined to postpone the implementation of the China Ⅵ emission standard that applies to light-duty vehicles in a bid to ease the pressure on automakers whose sales have been hit hard by the coronavirus outbreak.
The new stricter emission standard available to light-duty vehicles weighted up to 3,500kg will take effect beginning on Jan. 1, 2021, six months later than the supposed-to-be effective date (July 1, 2020), according to a governmental document jointly released by 11 ministries and departments, including the MIIT, the Ministry of Science and Technology and the National Development and Reform Commission.
According to the document, the China Ⅴ light-duty vehicles produced and imported before this year's July 1, 2020 are allowed to be registered and sold in regions where the China Ⅵ standard has not been implemented. Besides, local governments are not permitted to conduct the new standard ahead of schedule without the approval from the central government.
All light-duty vehicles sold and registered from July 1, 2020 were required to meet the China Ⅵ emission standard, according to a document jointly issued by China's environmental protection department and the AQSIQ on December 23, 2016.
By setting two types of emission limits, the China Ⅵ standard was set to implemented in a systematic fashion. The China 6a was the standard that light-duty vehicles sold and registered from July 1, 2020 supposed to meet, and the China 6b was for July 1, 2023.
Nevertheless, the sudden outbreak of COVID-19 has inflicted heavy losses on national automobile industry and supply chain, which sharpens the burden for dealers to clear their China Ⅴ inventories. It also heavily vexes automakers in completing the validation, road test and production of China Ⅵ vehicles before July 1, 2020. Hence, the delay of the new standard's execution will earn companies more time to weather the transition period.
It is also worth noting that the latest policy is not applicable to the regions which started to conduct the China Ⅵ standard much earlier than the state's schedule. Some cities or provinces like Beijing, Shenzhen, Shanghai, Tianjin and Guangdong opted to skip the China 6a and directly execute the China 6b standard from July 1, 2019.
Additionally, the authorities also highlighted other polices as part of efforts to stabilize and boost auto spending, including perfecting the finance and taxation policies pertaining to NEV shopping, speeding up the scrapping of old and used diesel-powered trucks, facilitating the transaction of pre-owned cars, and wisely using the approaches of automotive finance.
