Shenzhen offers discounts on NEVs, PCs and other big-ticket items to boost consumption

(Yicai Global) May 26 – China’s high-tech center in Shenzhen is rolling out a slew of subsidies to entice people to make major purchases, such as new-energy vehicles and personal computers, again amid recent outbreaks of Covid-19 hammer Sales.

Buyers can get CNY 10,000 (USD 1,484) on an electric car, and the city will also subsidize berthing and port operating fees for auto transport companies to encourage NEV exports.

There will be a shopping promotion on consumer electronics from this month until August. The government will offer 15% discounts on certain products, such as mobile phones, computers and household appliances, up to a maximum of CNY 2,000 (USD 300) per person.

Total retail sales of social consumer goods in Shenzhen fell 1.6% in the first quarter from the same period last year to 210.7 billion CNY (31.2 million USD) in the middle of the new wave. While last year, retail sales in China’s southern economic hub jumped 9.6 percent year-on-year to 949.8 billion yuan ($141 billion).

The city is raising the cap on fossil-fuel car sales to 100,000 vehicles a year from 80,000 units, the Shenzhen Evening News reported.

In addition, it will encourage telecommunications operators to increase the speeds of household broadband networks to more than 500 megabits free of charge. It will provide subsidies up to a maximum of CNY 60 million (USD 8.9 million) to operators with 60% or more of their residential users equipped with such speeds based on a price of CNY 80 (USD 12) per household.

Editor: Kim Taylor