On October 1, 2015, the purchase tax incentives for 1.6L and below displacement models began to be implemented. It has been implemented for 24 months and will expire on December 31 this year. Under the stimulus of this policy, China's passenger car market showed signs of recovery in 2016 and the first three quarters of this year. Since the implementation of the purchase tax preferential policy for more than two years, it has become an important promoter of the automobile market. According to the data released by the China Association of Automobiles, driven by the preferential taxation policies for purchases, the displacement models with displacements below 1.6L have been at a 70% high in the passenger car market. In November last year, the proportion had climbed to 72.4%. In September of this year, the apparent release of the purchasing power of models under 1.6L has become the main driving force for the history of the car companies to create the best history. Guangzhou Daily News Media Reporter Zhou Weili

[ Policy] Countdown to purchase tax benefits

According to the initial plan, the purchase tax concession ended on December 31, 2016. However, in order to maintain the continuity of the policy and continue to stimulate the growth of car sales in the fourth quarter of 2016, the China Association of Automobile Manufacturers applied for a reduction of the exemption from the competent authorities. Approved. So far this year, the China Association of Automobile Manufacturers has not applied again. Not surprisingly, the purchase tax concession will be fully closed on December 31 this year. Starting next year, the tax rate on the purchase tax for small-displacement vehicles will be restored from 7.5% this year to 10%. With the adjustment of the purchase tax reduction policy, a 1.6-liter car with a price of 100,000 yuan will purchase 2,137 yuan more than this year. When you want to lose it, you will cherish it. The same is true for purchase tax preferences. “Now our ads are focused on models that can enjoy the purchase tax.” An executive from SAIC-GM's Anshun 4S store stated that starting from the end of August, the market’s attention to the models that can enjoy the purchase tax has increased significantly. "In the fourth quarter of this year, consumers may give priority to products that can receive preferential policies from the state," said Cui Dongshu, secretary-general of CUCH.

[Status quo] The auto market staged the final madness

Will the auto market stage the final madness in the fourth quarter of this year? Xue Haitao, General Manager of SAIC-GM-Wuling Sales Co., said that in December alone, the auto market sales reached 2,701,400 units, an increase of 13.6% from the previous quarter and a year-on-year increase of 18.4%, which was significantly higher than the overall sales growth of last year. Also holding the same view is the Great Wall Motor Chairman Wei Jianjun, in September this year, Great Wall Motor has announced H6 and H7 officials, the highest drop of 13,800 yuan, in addition to subsidies.

The Guangzhou Daily media reporter learned that in addition to compact cars, mid- to high-class cars and medium-sized SUVs also have products within the scope of purchase tax. For models that are not subsidized, some car companies also pay for subsidies. From the Chengdu Auto Show at the end of August to the Guangzhou Auto Show in November, the new car will continue. The exhibition is naturally the most concentrated place for new cars. The number of new cars released during the two exhibitions is not large, but heavy trucks are the mainstay. According to preliminary statistics from the reporter, there are more than 15 models of new vehicles that are being listed in the “queuing line” and have quality, value, and value for money.

The new car's enjoyment of the additional benefits is not cash back, but is carried out in the name of subsidies, extended guarantees, and increased allocations. This is an action that car companies support and promote at a high level. The purpose is to quickly move and collect funds.

[Forecast] The price of wind will continue to blow next year?

In the view of car companies, the purchase tax preferential policy entered the countdown to the last quarter, will fully stimulate consumer enthusiasm for car purchase. "After August, we know that a good day is coming and we can sell the car by lying down." SAIC Motors passenger car MG's brand marketing department public relations department He Yong told reporters. The strong sales of the auto market in September confirmed He's assertion that auto companies have reported that Chinese brands, Japanese brands, German-based brands, US-based brands, and even Korean brands that were previously at a low level have all reached new highs in September. The new high in September sales is to prepare for the impulse at the end of the year. Whether it is Dongfeng Honda, Geely Automobile, Dongfeng Nissan, FAW Toyota and Dongfeng Renault with higher completion rates, Dongfeng Peugeot, Dongfeng Yueda Kia, Beijing Hyundai and Changan Ford, which are behind schedule, are all accumulating energy. Smash up and formulate aggressive sales policies pending the outbreak.

It is expected that the competition in the auto market will be unprecedentedly fierce in the fourth quarter. You will sing and I will be on the stage. There will be no cold market. For those who are eager to buy a car or change cars, it is absolutely not to be missed. Compared to last year, the happiness index for car purchases this year has reached a new level. When is the best time to buy a car this year? It's now. For the auto market next year, some industry experts believe that the hot market auto market this year is promoted by a number of incentives, and the adjustment of the purchase tax for small-displacement vehicles will not have much impact on the auto market next year. However, some experts also stated that this adjustment may cause the overall auto market to shrink next year.

Fourth quarter car purchase matters needing attention

Displacement should be carefully read: purchase tax concessions, according to displacement across the board, only 1.6L and the following displacement models can enjoy preferential. How to identify? Take milliliters to zoom in. All models with a displacement of 1600 ml and below meet the standard, such as 1598 ml. Vehicles above 1600 ml, such as 1603 ml, are not included in this list. This figure can be found on the model parameter list.

Avoid “small horse-drawn carts”: In order to enjoy the purchase tax concessions, many car companies are equipped with small-displacement turbochargers on the B-class sedan and medium and large SUVs. For such models, pay attention to whether the power output matches the weight of the model. The best way is to test drive, if possible, to try ramping up to see if the output is a short board. The consequence of the small horse-drawn cart is that the engine has a low life span. It does not take a few years for a small number of small problems to occur. And high fuel consumption. In fact, the perfect match with the cart is a naturally aspirated engine, but the corresponding displacement definitely exceeds 1.6L. Part of the small-displacement turbocharged output is divided into high and low, try to select a high-power version, to a certain extent, to make up for deficiencies.

Superimposed enjoyment benefits: As consumers, do not ignore the discounts on the models themselves because of the 2.5% purchase tax concessions. The discount of the model itself is much higher than the purchase tax. Not only does the car company “downgrade” but also the dealer’s price cuts. These offers can be superimposed on enjoyment, and the contents of the offers will be listed before signing the contract. Generally speaking, purchase tax incentives are paid by dealers, and any “return afterwards” is an excuse, which can be justified.