2026 NEV Purchase Tax Halved: Save ¥10,000 on a ¥200,000 Car

Starting January 1, 2026, China's NEV purchase tax is halved to 5% for 2026-2027, with a maximum tax reduction of ¥15,000 per vehicle. A ¥200,000 car now incurs ¥10,000 tax, a ¥300,000 car ¥15,000, and a ¥500,000 car ¥35,000. The policy aims to buffer the subsidy phase-out while concentrating market demand in the mid-range segment.