Latest news with #eco-friendly vehicles
Reuters
3 days ago
- Automotive
- Reuters
China's Chery denies allegations of fraudulent subsidy declarations
SHANGHAI, July 12 (Reuters) - China's Chery ( denied that it improperly claimed government subsidies for eco-friendly vehicles, according to a statement the automaker posted on Saturday. An audit by the Ministry of Industry and Information Technology disqualified declarations by Chery and BYD for a combined $53 million in government subsidies for thousands of eco-friendly vehicles sold in the five years to 2020, accounting for nearly 60% of such improper claims. Chery said it had previously consulted the authorities about the challenges of missing receipts because the cars were sold more than five years ago but the government still advised Chery to declare the cars. "Our company has truthfully reported to the authorities our failure to collect certificates for end sales; there's no fraudulent act," Chery said in the statement.
Reuters
4 days ago
- Automotive
- Reuters
China's Chery, BYD may have to repay subsidies after audit finds irregularities
SHANGHAI/BEIJING, July 11 (Reuters) - China's Chery ( and BYD improperly claimed a combined $53 million in government subsidies for eco-friendly vehicles sold in the five years to 2020, accounting for nearly 60% of improper claims, an industry ministry audit found. The audit documents did not lay out any penalties or mention reimbursement, but the government has previously said automakers will have to repay subsidies for vehicles found not to have met mileage requirements. The audit found 21,725 vehicles should not have received subsidies that totalled 864.9 million yuan ($121 million), documents published by the Ministry of Industry and Information Technology last month showed. Chery had 7,663 vehicles disqualified while BYD had 4,973. The ministry, Chery and BYD did not reply to requests for comment. Repaying subsidies has the potential to exacerbate pain for China's automakers as the industry grapples with excess capacity and the fallout from a prolonged and fierce price war that has hit profitability and set dealers and suppliers at odds with manufacturers. China's top leaders have pledged to increase regulation of pricing and support the orderly phasing out of outdated production capacity, state media reported this month. China provided generous subsidies for new energy vehicles between 2009 and 2022 to promote the adoption of electric, plug-in hybrid, and fuel cell vehicles. That worked and sales of such vehicles began surpassing gasoline-powered car sales on a monthly basis since March. The ministry report collated audits by local governments, which are now doing more audits for 2021 and 2022. ($1 = 7.1766 Chinese yuan)
Yahoo
4 days ago
- Automotive
- Yahoo
China's Chery, BYD may have to repay subsidies after audit finds irregularities
SHANGHAI/BEIJING (Reuters) -China's Chery and BYD improperly claimed a combined $53 million in government subsidies for eco-friendly vehicles sold in the five years to 2020, accounting for nearly 60% of improper claims, an industry ministry audit found. The audit documents did not lay out any penalties or mention reimbursement, but the government has previously said automakers will have to repay subsidies for vehicles found not to have met mileage requirements. The audit found 21,725 vehicles should not have received subsidies that totalled 864.9 million yuan ($121 million), documents published by the Ministry of Industry and Information Technology last month showed. Chery had 7,663 vehicles disqualified while BYD had 4,973. The ministry, Chery and BYD did not reply to requests for comment. Repaying subsidies has the potential to exacerbate pain for China's automakers as the industry grapples with excess capacity and the fallout from a prolonged and fierce price war that has hit profitability and set dealers and suppliers at odds with manufacturers. China's top leaders have pledged to increase regulation of pricing and support the orderly phasing out of outdated production capacity, state media reported this month. China provided generous subsidies for new energy vehicles between 2009 and 2022 to promote the adoption of electric, plug-in hybrid, and fuel cell vehicles. That worked and sales of such vehicles began surpassing gasoline-powered car sales on a monthly basis since March. The ministry report collated audits by local governments, which are now doing more audits for 2021 and 2022. ($1 = 7.1766 Chinese yuan)
Yahoo
4 days ago
- Automotive
- Yahoo
China's Chery, BYD may have to repay subsidies after audit finds irregularities
SHANGHAI/BEIJING (Reuters) -China's Chery and BYD improperly claimed a combined $53 million in government subsidies for eco-friendly vehicles sold in the five years to 2020, accounting for nearly 60% of improper claims, an industry ministry audit found. The audit documents did not lay out any penalties or mention reimbursement, but the government has previously said automakers will have to repay subsidies for vehicles found not to have met mileage requirements. The audit found 21,725 vehicles should not have received subsidies that totalled 864.9 million yuan ($121 million), documents published by the Ministry of Industry and Information Technology last month showed. Chery had 7,663 vehicles disqualified while BYD had 4,973. The ministry, Chery and BYD did not reply to requests for comment. Repaying subsidies has the potential to exacerbate pain for China's automakers as the industry grapples with excess capacity and the fallout from a prolonged and fierce price war that has hit profitability and set dealers and suppliers at odds with manufacturers. China's top leaders have pledged to increase regulation of pricing and support the orderly phasing out of outdated production capacity, state media reported this month. China provided generous subsidies for new energy vehicles between 2009 and 2022 to promote the adoption of electric, plug-in hybrid, and fuel cell vehicles. That worked and sales of such vehicles began surpassing gasoline-powered car sales on a monthly basis since March. The ministry report collated audits by local governments, which are now doing more audits for 2021 and 2022. ($1 = 7.1766 Chinese yuan)
