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Industry and Information Technology (MIIT) Vice Minister Xin Guobin.
Industry and Information Technology (MIIT) Vice Minister Xin Guobin.

To accelerate the growth of new energy vehicles (NEV), the Chinese government is drafting a points-based system to guide the production of NEVs, which will then be followed by a time frame to phase out the production of conventional vehicles that uses petroleum or diesel.

Speaking at the International Forum (Teda) on Chinese Automotive Industry Development in Tianjin, China's Industry and Information Technology (MIIT) Vice Minister Xin Guobin said the government is formulating plans to drive forward NEV production and to make China a frontrunner in phasing out conventional cars.

"A points-based management system and other related policies will be announced in the near future, bringing wholesale changes to the Chinese automotive industry," he said.

According to reports, the parallel scoring system will regulate both the production of conventional cars and NEVs. On one hand, automakers must continue to reduce fuel consumption of cars, and on the other hand must sell enough NEVs to gain points on both ends.

Meanwhile, the scoring percentage requirements of NEV must achieve 8%, 10% and 12% of the total from 2018-2020.

China has been the world's biggest automotive market for eight straight years, topping sales of 28 million vehicles in 2016. Sales of NEV also exceeded 500,000 last year.

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