Nanfang Daily:

2022 witnessed explosive growth in China's new energy vehicle (NEV) industry, with production and sales exceeding 6.5 million. Will the momentum be sustained this year? What measures will the MIIT take to advance the industry's sound development? Thank you.

Jin Zhuanglong:

Thank you for your question. It is indeed a topic of public interest. I want to pass it on to Mr. Xin Guobin, who oversees this sector. 

Xin Guobin:

Thank you for your attention, care, and support in developing the NEV industry. Under the strong leadership of the CPC Central Committee and the State Council, relevant parties made determined efforts to seize a remarkable performance of the NEV industry last year. The sector's annual production reached 7.05 million units and sales hit 6.88 million, increasing 96.9% and 93.4%, respectively, year on year. China's production and sales volume of NEVs has topped the world for eight consecutive years. 

Since China issued the "Energy Saving and New Energy Vehicle Industry Development Plan" in 2012, its compound annual growth rate has reached 87%. A total of 15.96 million NEVs have hit the road, making China a leading force in the electrification of the global automobile industry. The public is closely watching the trend of the industry, a sector blessed with a possible take-off. Attaching great importance to its development, the MIIT organized a series of surveys and seminars to solicit opinions from enterprises, research institutes, and industry associations. It turned out that NEV producers were very confident about the industry's development this year. All sides believe that the fundamentals sustaining China's steady and long-term economic and social growth remain unchanged. Their enthusiasm for implementing the spirit of the 20th CPC National Congress and forging ahead with a pioneering and enterprising spirit runs unprecedentedly high. It was also found that green development had taken root, and customer satisfaction with NEVS has steadily improved.

On the basis of a comprehensive assessment of the above factors, as well as production and sales in the past two months, we believe that the sound momentum of the NEV industry will be sustained and stable growth is in sight. We will improve our work in the following five aspects to make it happen.

First, we will strengthen overall planning and upgrade the inter-agency mechanism for developing the NEV industry. We aim to ensure progress in electrification, internet connection and smart technology. Continuous efforts will be exerted to achieve technological breakthroughs, advance applications and reinforce infrastructure. All these efforts will be aimed at building world-class innovative Chinese brands with firmly integrated capacities.

Second, we will support innovation. We will launch major initiatives to enable leading enterprises to fully play their leading role and strive for breakthroughs in the technologies of new system batteries, automotive chips, and vehicle operating systems, and accelerate their industrial application. We will start permitting intelligent connected vehicles to enter the market and pilot their operation. We will also speed up the application of 5G vehicle-road networking technology to realize the integrated development of electrification and intelligent connection.

Third, we will promote popularization. We have jointly issued a notice with relevant departments to pilot the comprehensive electrification of public vehicles. We plan to enhance the electrification level of official vehicles, taxis, mail and sanitation trucks. We will work with other departments to roll out purchase tax reduction and exemption policies as soon as possible, amend the dual-credit scheme, and stabilize market expectations. 

Fourth, we will improve service capabilities. We will bolster the development of domestic resources, stabilize global cooperation, and ensure supply and price stability for critical raw materials. We will also improve the recycling system and tackle critical technologies concerning intelligent disassembly to get power batteries better recycled. 

Fifth, we will advance open development. We will continue implementing open policies for the highly internationalized automobile industry. Giving full play to bilateral and multilateral cooperation mechanisms, we will support exchanges between enterprises, research institutes and industrial organizations and encourage their cooperation in trade, investment, technology research and development, and a standard establishment for common development. That's all. Thank you.

Jin Zhuanglong:

People interested in the new energy vehicle industry may have wondered about its production and sales volume this year, especially after a bumper year in 2022. Just now, Mr. Xin predicted sustainable sound momentum, painting a promising picture for the industry. Thank you.