China to invest 100 billion yuan in new energy cars

China will invest 100 billion yuan ($15.27 billion) in new energy vehicle industry in the next ten years, according to the new industrial development plan of new energy vehicle industry.

 "Chinese new energy auto industry will realize industrialization by 2020. Technology of energy-reservation and new energy vehicles will catch up with that of advanced countries," sited the development plan, which also publishes a target of 5 million units of pure electric vehicle and plug-in hybrid car ownership.

The government will push forward the industrialization of new energy car industry through a package of sales stimulus plans.

Customers of pure EVs, plug-in hybrid cars will be exempt from purchase tax in the next ten years. By 2015, half of purchase tax, consumption tax, vehicle and vessel tax of hybrid cars will be reduced.

The plan also regulates local governments of all levels to purchase new energy vehicles. The subsidy policy to boost new energy vehicle industry will continue to be carried out in the next ten years.