Reducing taxes and fees is a more effective incentive

Recently, there have been rumors that related departments will issue a new round of stimulus policies. Among them, there are auto subsidy and trade-in subsidies for auto consumption, plus the news of the newly released 6 billion subsidy of energy-saving cars. Push to the most important position.

According to the current news, in the context of stimulating domestic consumption, multiple stimulus policies will be introduced one after another. The only difference is that this will be moderately stimulating and it will be introduced one after another. Such a careful arrangement is a fear of making the same mistakes. After the stimulus policies introduced at the beginning of 2009 gradually withdrew from the market at the end of 2010, the auto market quickly changed in 2011. The ups and downs caused the entire industry chain to be at a loss, the normal industrial planning and exit order was disrupted, and the auto industry was inundated with fire and was on dangerous steel ropes.

In fact, I do not agree with the subsidy policy. Cars have their own particularities. The stimulation of draconian drugs cannot bring about healthy development. For example, subsidies for cars to the countryside and trade-in subsidies will not only undermine social justice but also bring expectations to consumers. With regard to the subsidy, the subsidy itself is a non-sharing social benefit for the public who does not buy a car. It is good for the buyer, but it has disadvantages for the non-purchaser.

Judging from the experience of European and American markets, the stimulus industry or the economy can consider more to reduce taxes or reduce tax rates. For example, current domestic automobile production, sales, and purchase of a car are subject to tax, consumption tax, value added tax, and vehicle purchase. There are dozens of taxes, travel taxes, and toll crossing fees. Although some of them are not targeted at individual expropriation, in the end these will affect the final pricing and pay the consumers. Therefore, to stimulate automobile consumption, we must first reduce taxes and fees. If the cost of highways is reduced or exempted, the purchase tax will be halved or cancelled. The desire to buy cars in third and fourth tier cities will be greatly stimulated, the stimulating effect will be immediate and lasting, and in the long run, reducing the burden on the people will benefit the country and the people. Great policy.

In accordance with the normal rhythm, the Chinese auto market will enter a slight increase for ten years, with an annual growth rate of less than 10%, showing a slight increase in health. This decade is a solid foundation for car companies, and ten years from the qualitative improvement of service to the car. The significance of enterprises, distributors, and consumers is significant. According to common sense, this market does not need to be stimulated at present. It is a part of the falling car prices that needs and appeals for stimulation. If the introduction of subsidy policies for cars to the countryside and trade-in, it will certainly benefit some enterprises in the short term, but in the long run, it will cause more serious overcapacity, making China's autos once again lose the opportunity for adjustment, especially the pace of consolidation and reorganization. Will be further slowed down. We hope that the car companies will be calm and subsidies will not come to the evergreen industry. Sustained development depends on the excavation of market demand and the improvement of the market itself. Please take the overall situation as a priority.