Monday, September 01, 2014
He Jun: Fuel Tax Policy Shouldn't Be Kidnapped in the Name of New-energy Vehicles
ANBOUND
It is said that China is considering levying new fuel tax to support the development of new-energy vehicles. However, ANBOUND senior researcher He Jun doesn't believe this will work. The fuel tax will involve the price of China’s basic energy and will apparently increase the energy use cost of the whole society. Thus, it will have a significant impact on automobile industry. Increasing tax in the name of supporting emerging industries is a typical "policy kidnap". The development of new-energy vehicles needs innovation, technology and research. Otherwise, even more policy support is useless.