Interpretation of the New Automobile Industry Development Policy


I. The four major hotspots for the New Deal have been resolved. Despite the fact that there have been disputes over the introduction of this policy since last year, the new policy was changed from the original plan to be promulgated and implemented by the State Council to the approval of the State Council and issued by the National Development and Reform Commission. The voices are getting louder and louder. Last year, when other industries entered the auto industry and whether the imported cars and domestic car sales networks were merged, the introduction of the new policies had more detailed provisions on these hot spots.
Improving the investment threshold “We are very fortunate to have entered this industry earlier.” A Zhejiang company's head of business after acquiring auto companies by entering the auto industry expressed appreciation for their original decision after reading the new industrial policy.
But not all companies interested in entering the auto industry have such luck. The new industrial policy calls for “establishing an exit mechanism for automobile and motorcycle production enterprises” and proposes that special announcements will be made for automobile manufacturers that cannot maintain normal production and operations, including existing modified vehicle manufacturers. It also emphasized that such enterprises must not transfer the qualifications of automobiles and motorcycles to non-automobile and motorcycle production enterprises and individuals. Automobile manufacturing enterprises must not buy or sell production qualifications, and bankrupt automobile production enterprises should cancel the list of announcements at the same time.
In fact, the new automobile industry policy is aimed at increasing the threshold of entry, not just this one. In addition to entering the auto industry through mergers, the other way is to directly apply for investment. However, the new industrial policy imposes higher requirements on direct applications. The policy requires “investment projects for new automobile manufacturers. The total project investment should not be less than 2 billion yuan, of which the self-owned funds must not be less than 800 million yuan. Product research and development institutions, and the investment shall not be less than RMB 500 million. The investment projects of new passenger car manufacturers and heavy-duty truck manufacturers shall include the production of engines for complete vehicles."
At the same time as the barriers to entry increased, the desire of foreign companies to increase the proportion of joint ventures was also lost. The new industry policy was clear: “Chinese-foreign joint-venture production companies’ share of Chinese companies must not be less than 50%,” “stock listed cars When the whole vehicle, special-purpose vehicle, agricultural transport vehicle and motorcycle joint-stock company sells legal person shares externally, one of the Chinese legal persons must be relatively controlled and greater than the sum of the foreign-funded legal person shares."
Another problem that dictates the sales system is the sales network.
The new industrial policy stipulates that “automotive companies at home and abroad who sell self-produced automotive products in the domestic market must establish a self-produced automobile brand sales and service system as soon as possible. This system can be used by domestic and foreign automakers to invest in their own vehicles or to authorize auto dealerships. Business investment methods are established."
Although the industry policy did not directly address the issue of the merger of the “two networks”, the staff of the Automobile Division of the Industry Development and Reform Commission of the National Development and Reform Commission said in an interview with reporters that as long as there is a company’s authorization, they should be able to sell domestically and imported cars together.
"Automotive manufacturers at home and abroad who sell self-produced automotive products in the domestic market must establish a self-produced automobile brand sales and service system as soon as possible." "Since 2005, automakers must produce branded sales of their self-produced passenger vehicles. Services; Since 2006, all self-produced automotive products have to achieve brand sales and services.” These can all be seen as specific provisions for the new policy on how to improve the level of Chinese automotive marketing services.
Strengthen independent research and development The development of China's automobile industry so far is probably the most embarrassing one. Some experts even stated that the advantage brought by the joint venture is to provide foreign auto companies with channels to sell their own cars, but it has not made much contribution to the development of the Chinese auto industry.
Zhao Ying, a researcher at the Policy Research Office of China National Automotive Industry Corporation, said that China's major car products still do not have their own intellectual property rights.
Under this background, although the new policy still insists on the principle of the combination of imported technology and independent development, it clearly stated that it is necessary to actively develop products with independent intellectual property rights and implement brand management strategies. It also put forward the goal of “building a number of well-known brands of automobiles, motorcycles and parts products in 2010”.
In order to encourage enterprises to improve their own research and development capabilities, the new policy stipulates that investment in the construction of scientific research facilities for independent development of products that meet the relevant taxation requirements for the promotion of technological advancement by enterprises may be listed before income tax. The state will also introduce policies to encourage enterprises to develop independently.
The new industrial policy unexpectedly put forward detailed requirements for trademark registration. “Since 2005, all domestic automobile and assembly parts should mark the registered trademark of the manufacturer, and the entire vehicle product sold in the domestic market should be prominent outside the vehicle body. If the location indicates the manufacturer's product trademark and the company's name or place of origin, if the product trademark already contains the geographical indication of the manufacturer, the place of origin of the product may no longer be marked.” According to industry insiders, this shows that the country has fully paid attention to the independent intellectual property rights of the automobile industry. .
Advocating personal consumption The new policy finally proposes “cultivating the automobile market with private consumption as the main body”. According to Jia Xinguang, chief analyst of China Automotive Industry Consulting Company, before the automobile industry policy was formulated in 1994, the country has been controversial between the development of private car consumption and energy consumption. There is an opinion that the vigorous development of private cars will cause shortage of energy supply, road congestion, and environmental deterioration. At present, this controversy still exists.
However, the 1994 automobile industry policy established the tone for the development of private car consumption. It is the establishment of this tone that has the scale of the Chinese automobile industry today. The new policy further clarified this direction of development, and specifically elaborated on a chapter and 14 articles. It is clearly proposed to nurture the automotive market with private consumption as the main body, improve the automobile use environment, and safeguard the rights and interests of automobile consumers. Moreover, the new policy proposes to guide automobile consumers to purchase and use vehicles with low energy consumption, low pollution, small displacement, new energy, and new power, and to strengthen environmental protection.
In addition, for some local regulations that restrict personal consumption, the new policy says that “anything that does not meet national regulations and the requirements of this policy in the purchase, use, and disposal of property rights should be amended or cancelled.” Unfortunately, there are no relevant penalties in industrial policy. Jia Xinguang said that with regard to the practice of auctioning auto licenses in Shanghai and restricting vehicles with displacement below 1.0 in Beijing and other places, even if the local government does not cancel, the new policy will have no way to go.

Second, to bring ten consumer benefits Since June 1, owners of small-displacement cars purchased, as long as the environmental standards, you no longer have to worry about his car can not go to Beijing Chang'an Street, such restrictions It is not allowed; similarly, for enterprises, starting from today, the total investment should not be less than 2 billion yuan in order to enter the threshold of automobile production. This is because the "New Deal for Automobiles" has come. Today, the National Development and Reform Commission has promulgated the "Automobile Industry Development Policy."
The above are just two points involved in the 78 articles of the “New Deal for Automobiles”—the state has guided and encouraged the development of energy-saving and environmentally friendly small-displacement vehicles; the investment of newly-built automobile manufacturers should not be less than 2 billion yuan in total investment.
Industry insiders believe that the new policy has created a high threshold for automobile production today when related government departments and scholars discuss whether the car is overheating. The National Development and Reform Commission has not explained this.
The relevant person in charge of the National Development and Reform Commission only stated that the principle behind the formulation of this policy is to encourage the development of the automobile manufacturing industry through the improvement of access rules and corresponding taxation measures, promote local production of products, and honor China’s commitment to the WTO. Prior to this, it was the "Auto Industry Industrial Policy" issued in 1994 to guide the development of China's auto industry.
A senior reporter in the automotive industry’s professional media said that the old version of the policy was outdated – in practice, many terms have been broken. As the old version of the policy stipulates, foreign (or regional) companies may not establish more than two joint ventures or cooperative enterprises in China for the same type of vehicle products. As we all know, Toyota Motor Corporation of Japan has already established joint ventures with two or three domestic automakers, such as Tianjin Toyota and Chengdu Toyota. The old version of the policy also stipulates that the proportion of the Chinese share of the cooperative enterprise shall not be less than 50%. In fact, the proportion of foreign investment in individual automobile joint ventures has exceeded 70%. In this way, in the words of the reporter, "The state regulations are in name only."
According to the analysis, the newly promulgated "Automobile Industry Development Policy" has seven characteristics compared with 1994's "Auto Industry Industrial Policy":
The first is to cancel the content that is inconsistent with the WTO rules and the commitments made by China's accession to the WTO, such as canceling the requirements for foreign exchange balance, localization ratio, and export performance. The second is to significantly reduce administrative approvals, let go of the release, and the management of the management will rely on regulations and technical standards to guide the healthy development of the industry. The third is to propose a brand strategy and encourage the development of products with independent intellectual property rights. The fourth is to guide the merger and restructuring of existing auto manufacturers and to promote the growth of domestic auto enterprise groups. Fifth, the automobile manufacturers are required to pay attention to establishing a brand sales and service system to eliminate consumer worries. Sixth, guide and encourage the development of energy-saving and environmentally friendly vehicles and new fuel vehicles. Seventh, it provides guidance on creating a better consumer environment.
According to the "China Automotive News" report, the newly promulgated "Automobile Industry Development Policy" has brought about 10 positive benefits for consumers.
First, the purchase and use of small-displacement cars are no longer discriminatory.
Second, consumers' car purchase rights are no longer trampled on.
Third, consumers have the right to report arbitrary charges.
Fourth, loans to buy cars more convenient and enjoy better service.
Fifth, second-hand car transactions more standardized car buyers risk less.
6. Consumers' rights to ride will be protected more.
7. It is more convenient for multiple parties to participate in the parking lot construction in the city.
VIII. Emissions standards announced in advance that car buyers enjoy more information.
Nine, registration, annual inspection may not be free to check additional documents, the burden on the owner reduced.
Tenth, the new car old car differential management.