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Shenzhen’s Measures for New Energy Vehicle Development

Nov 28, 2023

Shenzhen promotes the high-quality development of the new energy vehicles and intelligent connected vehicles industry with several measures. To seize the opportunity of industry restructuring in the green, digital, unmanned, and platform-based automotive industry, and to promote the high-quality development of the automotive industry, these measures are formulated in accordance with the “Three-year Action Plan to Accelerate the Creation of a ‘World-Class Automotive City’ in Shenzhen” and the “Action Plan for Cultivating and Developing the Intelligent Connected Vehicle Industry Cluster in Shenzhen,” combined with the actual situation of our city. 1. Enhance the R&D and innovation capabilities of key technologies Carry out advanced innovative technology research and development support in the electrification field, such as advanced power batteries, motor control systems, and in the intelligent field, such as laser radar, millimeter-wave radar, in-vehicle cameras, high-precision maps and positioning, domain controllers, and in the connected field, such as vehicle wireless communication, cloud service terminals, etc. Key technology and key component research and development will be carried out in the areas of operating systems, intelligent cockpits, electrification platforms, as well as automotive functional safety, and information security. According to the project review results, a subsidy of no more than 10 million RMB will be provided. Achieve breakthroughs in major core areas and important links in the industry, such as automotive-grade chips, in-vehicle operating systems, central computing platforms, new system power batteries, etc. Support key research on major technological systems, major projects, major equipment, etc., with a subsidy of no more than 30 million RMB based on a certain percentage of the total project investment. Encourage breakthroughs in automotive chips such as high-end microcontrollers, power devices, power control analog chips, in-vehicle/inter-vehicle communication chips, high computing power control chips, computing chips, system-level chips, etc., through methods such as “horse racing” and “revealing the leader.” 2. Cultivate and build a modern automotive industry system Build a high-quality development enterprise echelon for new energy passenger and commercial vehicle enterprises, system solution enterprises, and component enterprises with core competitiveness. Focus on promoting their manufacturing, R&D, procurement, and settlement business headquarters to settle in, and provide multidimensional policy support such as financial subsidies, land and housing guarantees, and talent rewards to eligible enterprises. Relying on the new energy vehicle industry fund to strengthen the linkage between industry and capital, support the establishment of joint ventures between domestic and foreign leading complete vehicle and solution providers, as well as core component enterprises, and explore new joint production and manufacturing models for automobiles. Encourage the cultivation of specialized and new “hidden champions” enterprises, specialized and new small and medium-sized enterprises, and manufacturing single-item champion enterprises in key core areas, and provide support as required. Build high-level R&D and innovation entities to promote the establishment of vehicle engineering disciplines in universities and vocational colleges, as well as interdisciplinary subjects in areas such as automobiles, energy, transportation, information and communication, and urban construction. Encourage companies to explore “order-based” talent training models with local and foreign universities and vocational colleges, and establish a number of post-doctoral research stations, post-doctoral innovation practice bases, and university-enterprise joint training bases around cutting-edge fields. Encourage the construction of a number of municipal key laboratories, engineering research centers, and enterprise technology centers, and support the layout of municipal and above-level industry innovation centers, manufacturing innovation centers, and technology innovation centers in key areas. Support the establishment of R&D institutions for new energy vehicle companies, and provide funding of up to 5 million RMB according to the specified proportion. Introduce high-standard support service entities to actively introduce domestic and foreign large-scale new energy and intelligent connected vehicle inspection, testing, and certification institutions, and support relevant entities to greatly enhance the inspection and testing capabilities of new energy and intelligent connected vehicles. Build a digital distribution center integrating design, development, testing, trading, and services, and provide funding of up to 10 million RMB for eligible public service platforms. During the operation period, a certain percentage of the approved expenses of the previous year will be provided, with a maximum of 5 million RMB in funding, and the cumulative funding during the operation period will not exceed three years. 3. Enhance the advanced manufacturing capabilities of the automotive industry Promote the high-quality development of automotive electronics. Promote the development of core areas of the automotive electronics industry chain such as vehicle operating systems, automotive-grade chips, autonomous driving algorithms, domain controllers, intelligent cockpits, and smart sensors. Encourage companies to purchase independent and controllable automotive electronic products. For enterprises that have obtained product certification or automotive industry-specific management system certification, they will be subsidized by a certain percentage of the certification fee, with a maximum of 20 million yuan for a single enterprise. Accelerate the application of innovative achievements around the new generation of modular high-performance vehicle platforms, integrated lightweight vehicle bodies, integrated chassis, integrated wire-controlled chassis, integrated multi-energy power systems, new electronic and electrical architectures based on domain controllers, and intelligent control based on energy management as core vehicle technologies. Advanced battery materials, battery structure optimization, solid-state batteries, fuel cells, and other new battery technologies. New types of drive motors, all-in-one electric drive assemblies, third-generation power semiconductors, hub motors, and other advanced motor control technologies. Automotive-grade chips, integrated applications of “vehicle-to-energy cloud,” industrial design software, and general large models and other intelligent technologies to accelerate the transformation of innovative achievements. Support companies to upgrade and improve efficiency, encourage companies to use new technologies, processes, equipment, and materials to transform and upgrade existing facilities, process conditions, and production services. Guide the implementation of technological transformation activities focusing on high-end, intelligent, green, and integrated development of vehicles and components, providing post-investment support based on a certain percentage of the total project investment according to current policies. Accelerate the green transformation of enterprises, select leading companies in the chain such as charging piles and power batteries to conduct carbon footprint accounting applications, gradually driving the entire industry chain to conduct product life cycle carbon footprint evaluations. Support the green upgrade and transformation of industrial chain enterprises by creating green parks, green factories, and implementing innovative models such as green electricity trading and energy-saving and emission reduction services, providing support to eligible enterprises as stipulated. Increase the promotion of new energy vehicles and improve the level of electrification and cleanliness. Continuation and optimization of new energy vehicle purchase tax exemption policies, encouraging the phasing out of ordinary cars with emission standards of “National IV” and below, supporting the replacement of old cars with new energy vehicles, further optimizing the car purchase restriction measures, consolidating the comprehensive electrification of public transportation and taxis, continuing the implementation of the policy for the management of online ride-hailing transport certificates, accelerating the construction of “electricity storage and release network,” supporting the electrification of public vehicles through various innovative models such as battery swapping, virtual power plants, and integrated solar energy storage, providing subsidies for the replacement of heavy-duty freight vehicles powered by LNG, and providing operational subsidies for LNG trailers used in port areas, exploring the operation of pure electric short-distance transportation, urban construction logistics, and heavy-duty trucks in specific scenarios such as mines, supporting the purchase subsidies and vehicle operation subsidies for eligible hydrogen fuel cell vehicles in accordance with the subsidy policy of Guangdong Province, improving the energy supplement infrastructure network, encouraging enterprises to carry out intelligent and orderly charging, flexible charging, super fast charging, and other new charging modes, as well as the demonstration application of integrated solar energy storage stations, new energy vehicles, and bi-directional charging and discharging with the power grid, guiding communities to adopt the “unified construction and unified service” model to achieve orderly access to charging infrastructure, accelerating the construction and support of distribution network, strengthening the coordination of ultra-fast charging facilities with power grid, municipal facilities, and pipeline network planning, accelerating the construction of “electricity storage and release network,” promoting bi-directional linkage with virtual power plants, and assisting in the construction of a new type of power system with friendly interaction between source, grid, load, and storage, supporting the construction of comprehensive energy supply stations, battery swapping stations, and multi-functional smart poles, providing support for projects that meet the construction conditions, formulating and implementing hydrogen station management measures, and supporting hydrogen stations that are completed and put into use with a daily hydrogenation capacity of 500 kilograms or more according to relevant policies, encouraging the development of intelligent connected vehicle pilot demonstrations and commercial operations, accelerating the construction of fully functional and distinctive intelligent connected traffic test sites, creating a testing environment where intelligent connected vehicles and intelligent traffic are fully integrated, and supporting companies to participate in testing at intelligent connected traffic test sites. Orderly open blocks, roads, airports, ports and other places as demonstration and commercial application scenarios for smart connected vehicles, encouraging the application of autonomous taxis, short-distance shuttles, cleaning vehicles, and logistics transportation within these scenarios. Enrich the automobile consumption experience scene, support the use rights trading, financing leasing, “car-electric separation” and other new automobile consumption service models, strengthen the second-hand car trading market, optimize the distribution model, research and formulate a plan to support the export of used cars, and give rewards to used car sales according to the specified proportion. Support the construction of automobile industry characteristic blocks in areas such as Huaqiangbei, Guangming International Automobile City, Luohu Sungang, and Futian Transportation Hub, and encourage companies to carry out automobile modification demonstrations, automobile theaters, automobile camping bases, and automobile cultural clubs to create Shenzhen automobile culture IP. Establish a network for the recycling and utilization of power batteries, support the coordinated development of new energy vehicle companies, power battery recycling companies, and resource recycling companies, encourage the market-oriented, professional, and intensive development of the power battery recycling industry, promote the improvement of the power battery recycling and utilization system, support the promotion and application of complete sets of advanced technology equipment, and promote the standardized and hierarchical utilization and resource recycling of power batteries. Support the integrated development of automobile production, transportation, and trade, promote enterprises to develop domestic and international markets, coordinate the establishment of a comprehensive production, transportation, and trade system for new and used cars, complete vehicles and bulk parts, and containers and roll-on/roll-off ships, steadily expand the scale of automobile trade, support and cultivate automobile wholesale and retail enterprises, actively introduce leading automobile export enterprises, promote international and domestic automobile manufacturing enterprises to establish export trade companies in Shenzhen or authorize trade entities in Shenzhen, actively attract roll-on/roll-off ship companies, and ensure the basic shipping capacity of automobile roll-on/roll-off ships at the Shenzhen port. Provide subsidies for automobiles transported through the waterways of the Shenzhen port to other ports according to relevant regulations, support enterprises in exporting new energy vehicles through land transport such as the China-Europe railway and sea transport, multimodal transport, etc., and provide subsidies for automobile foreign trade roll-on/roll-off routes, and give certain rewards to newly added automobile roll-on/roll-off ships. Enhance the level of international cooperation and exchange, encourage international automobile industry organizations to establish branches or offices in Shenzhen, and build a platform to provide services for the overseas development of enterprises. Support enterprises, institutions, and social organizations to take the lead or participate in the formulation and revision of domestic and foreign standards in the fields of green, low-carbon, intelligent networked, and infrastructure. Encourage enterprises to accelerate overseas business layout, promote the construction of overseas production bases, and provide support in policy consultation, legal services, overseas financing, and visa processing. Encourage eligible companies to participate in large domestic and international exhibitions, and provide subsidies according to relevant regulations. Support the hosting of high-level new energy vehicles and intelligent networked vehicle domestic and international exhibitions, forums, and events, and provide subsidies according to relevant regulations for influential and industry-driven activities. Sixth, optimize the allocation of industrial resources Optimize industrial space layout, encourage the innovation of the “Shenzhen headquarters + off-site production” new development model, support the landing of international headquarters, research and development, and mother factory projects in Shenzhen, and promote local companies to jointly build automobile industry parks outside the city. Support the construction of a number of new energy vehicle and intelligent networked vehicle industrial parks, optimize strategic spatial reserves for industrial land, improve industrial space utilization efficiency, encourage industries such as automotive electronics to achieve “industrialization on the upper floors.” Strengthen financial support services, establish automobile consumer finance institutions to provide specialized and integrated financial services for new energy vehicle consumption, play a guiding role in fiscal funds, actively attract leading enterprises, industrial investment funds, and investment institutions, establish a new energy vehicle industry fund system, improve a diversified investment and financing system, innovate and introduce specialized financing products such as “vehicle-electricity separation,” formulate financial policies to address shortcomings, promote infrastructure REITs pilots, encourage insurance companies to optimize commercial insurance services, and establish a full industry chain financial support system for “parts raw materials – vehicle production – end application.” Improve the development pattern of “one core, two centers, and multiple areas,” support the construction of a world-class automobile manufacturing city in Shenshan, and establish special funds for the Shenshan Automobile City to focus on optimizing industrial space and supporting services, attracting key projects in the new energy vehicle industry chain, and promoting key enterprises to improve quality and efficiency. 7. Supplementary Provisions This measure is interpreted by the Municipal Bureau of Industry and Information Technology and is mainly aimed at new energy vehicles, intelligent connected vehicles, and other related industry entities, including enterprises engaged in research and development, production, and services, as well as other institutions, social groups, and non-enterprise entities approved by the municipal government for key enterprises and major projects. The level of support and funding is not subject to the above standards. All responsible units shall formulate and promulgate detailed implementation rules or operating procedures within three months from the effective date of this measure to encourage various district governments, the Dapeng New Area Management Committee, the Shenzhen-Shanwei Special Cooperation Zone Management Committee, and the Qianhai Administration Bureau to independently formulate supplementary supporting measures based on their respective industrial planning and layout characteristics. This measure and other similar preferential measures in the city are to be independently selected and applied for by enterprises, without duplicate funding. This measure shall take effect on November 27, 2023, and shall be valid for 3 years. The “Several Measures of Shenzhen Municipality to Support the Development of Intelligent Connected Vehicles” shall be simultaneously repealed. Let’s take a look at the infographic for a better understanding.

Shenzhen's Measures for New Energy Vehicle Development
Shenzhen's Measures for New Energy Vehicle Development
Shenzhen's Measures for New Energy Vehicle Development
Shenzhen's Measures for New Energy Vehicle Development
Shenzhen's Measures for New Energy Vehicle Development
Shenzhen's Measures for New Energy Vehicle Development