Car damaged houses run water … Who will "pay" for property losses after the rainstorm?

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Recently, heavy rains have occurred frequently, and meteorological departments and other relevant departments have issued early warning information in time to remind the public to take preventive measures. Who will be responsible for the property loss? How to defend rights? Three court cases belong to rain-related disputes, and the judge interpreted the case to provide useful guidance for the prevention of disputes and the resolution of contradictions.

The sudden rainstorm caused the courier to be soaked. Should the courier company pay for it? The rain rushed into the living room and bedroom, and the furniture was damaged. Should the property be held responsible? Is it legal for the insurance company to refuse to compensate for the car stall caused by water accumulation on the road?

Recently, extreme weather such as heavy rain has occurred frequently, and people are faced with rain-related disputes. How should we protect our rights? Who will be responsible for the property losses? A few days ago, the Fangshan District People’s Court of Beijing issued a set of typical cases and interpreted them in order to provide useful guidance for effectively preventing disputes and resolving contradictions in time.

Who will pay for the damage caused by the rainstorm?

In June, 2022, Zhao mailed ten mobile phones through a courier company. When the mobile phones were not delivered after they were delivered to the destination, the rainstorm caused the express storage point to be flooded, and the mobile phones sent by Zhao were damaged by water immersion. Due to unsuccessful negotiations on compensation, Zhao appealed to the court and asked the courier company to compensate for the loss of the mobile phone.

The courier company argued that the rainstorm caused the drainage system around the warehouse to be blocked, and the water was poured backwards. A large number of couriers were flooded, including the mobile phone mailed by Zhao. Therefore, Zhao’s loss was caused by an irresistible natural disaster. The company did not have any fault in the mail transportation process and should not be liable for compensation.

The court held through trial that the so-called force majeure refers to the unforeseeable, unavoidable and insurmountable objective situation. In this case, the courier company did not provide evidence to prove that the rain was an unexpected natural disaster such as rainstorm or flood, and the courier company could completely foresee and avoid the damage of the courier. Therefore, it claimed that the reason for the damage of Zhao’s mobile phone was force majeure and had no factual and legal basis. Accordingly, the court ruled that the courier company compensated Zhao for the loss of the mobile phone.

Article 832 of China’s Civil Code stipulates that the carrier shall be liable for the damage or loss of the goods during transportation. However, the carrier shall not be liable for compensation if it proves that the damage or loss of the goods is caused by force majeure, the natural nature or reasonable wear and tear of the goods themselves and the fault of the shipper or consignee.

In this case, before the rainstorm, the relevant government departments have issued an early warning to remind the public to take preventive measures. The rainstorm belongs to the weather conditions that the courier company can meet. For special weather, the courier company should prepare emergency equipment in advance to avoid the courier being soaked. Therefore, the courier company cannot claim exemption on the grounds of force majeure, and should be liable for Zhao’s losses.

How to protect the rights when the house furniture runs away?

In March 2017, Wang bought a set of commercial housing. After checking in, every time it rains or storms, Wang’s master bedroom balcony will run water. In July, 2022, after a night of heavy rain, the flood rushed directly into the master bedroom and living room, soaking the clavichord and cashmere carpet in the house. After this large-scale running water, the property company where the community is located began to thoroughly investigate the reasons for running water, and finally found that the rainwater drainage pipe built in the balcony was blocked, which led to running water. Since then, the property company has installed a drain on the balcony of the house. When it rains again, there is no water running. However, due to many previous runs, Wang has suffered property losses. The two sides failed to reach an agreement on compensation, so Wang sued the property company to the court.

The property company argued that the problem of poor balcony drainage pipes was a long-term accumulation, and Wang did not prove that the property company failed to fulfill its management responsibilities and caused water leakage. In addition, the property management company believes that the drainage pipeline here belongs to a common part. Although it is within its management scope, it has passed the inspection and acceptance, and after a large-scale water run, a drain has been installed on the balcony, so it has fulfilled its maintenance and management obligations and should not be held responsible.

As a service provider, the property management company should have the obligation to repair and maintain the public drainage pipeline belonging to the floor drain with water leakage and reflux in the community. After trial, the court held that the house where Wang lived had run water many times, and the property company should promptly investigate the reasons after the first discovery of water leakage to avoid similar situations. Adding a drain on the balcony of the house involved can solve the drainage problem in extreme weather, which can completely avoid the loss in this case. Therefore, the court ruled that the property company failed to fulfill its obligations and should compensate Wang for the loss.

Who is responsible for the bad car caused by flooding?

In August, 2020, a sudden rainstorm caused serious water accumulation on a certain road surface. Liu’s vehicle turned off during driving, and then he reported the case to the insurance company, and the vehicle was towed to the repair shop for damage assessment and maintenance. Since then, the insurance company refused to claim compensation on the grounds that "the engine damage of the insurance vehicle due to flooding or wading is an exemption clause", and Liu appealed to the court. The insurance company argued that the damage to the vehicle was not caused by heavy rain, but by the driver wading. According to the insurance clauses, the insurance company has the right to refuse to pay for the losses suffered by the insured vehicle due to flooding or wading.

According to Article 496 of China’s Civil Code, standard clauses are clauses drawn up by the parties in advance for repeated use, and they were not consulted with each other when concluding a contract. Where a contract is concluded by standard terms, the party providing the standard terms shall follow the principle of fairness to determine the rights and obligations between the parties, and take reasonable measures to remind the other party of the terms that are of great interest to the other party, such as exempting or reducing its responsibilities, and explain the terms according to the other party’s requirements. If the party providing the standard terms fails to perform the obligation of prompting or explaining, so that the other party fails to pay attention to or understand the terms that have a significant interest in it, the other party may claim that the terms will not become the content of the contract.

The court held that although the notice column of the motor vehicle insurance policy was printed with "Please read the insurance clauses in detail, especially the exemption of liability and the obligations of the insured and the insured", the font, font size and color of the above-mentioned format clauses were not different from other clauses, and the insurance company failed to provide evidence to prove that it made a prompt on other insurance documents that was enough to attract the attention of the insured, so the exemption clauses involved in the case were not legally binding on Liu. During the insurance period, the insurance company shall be responsible for compensation for the loss of the insured vehicle caused by lightning, rainstorm, flood and other reasons during the use of the insured vehicle by the insured or its permitted legal driver.

"This heavy rainfall has caused many vehicles to be soaked or washed away. For car owners who are insured for car damage insurance, insurance claims can minimize losses." The judge suggested that when signing an insurance contract, we should pay attention to the relevant exemptions, especially the clauses that are unfavorable to ourselves. The majority of car owners should contact the insurance company to report the damage as soon as possible after the vehicle is soaked or washed away. (Liang Jianghuan)

Real estate weekly and first-tier cities are expected to lead the real estate market to stabilize and recover.

Focus on new signals of real estate market
editorial comment/note
Recently, many new signals have appeared in the real estate market. According to the data of the National Bureau of Statistics, the signal that the real estate market in first-tier cities stabilized and rebounded in September was obvious. It is worth noting that the central and local policies to stabilize the property market continue to increase, the market is clearing, and normal investment demand has rebounded. In first-tier cities, the policy of "recognizing housing but not loans" is superimposed on the traditional "golden nine and silver ten", and some positive changes have taken place in the real estate market in first-and second-tier cities.
Half-monthly talk on property market
Image source/Xinhua News Agency
■ China Economic Times reporter Xia jinbiao
In the past two months, various support policies for the real estate market have been implemented nationwide, and the policy effects are gradually emerging. The real estate market is showing signs of recovery-the real estate market in first-tier cities is the first to recover.
According to the housing price data of 70 cities published by the National Bureau of Statistics in September, the sales price of new houses in first-tier cities turned flat from 0.2% in August, with Beijing and Shanghai rising by 0.4% and 0.5% respectively, with Shanghai leading the country.
Since the end of August, the easing policies of the real estate market in many places have been continuously released. In particular, the four first-tier cities in the north, Guangzhou and Shenzhen have successively implemented the policy of "recognizing houses but not loans", which has obviously boosted the real estate market. Take Shanghai, which led the rise in September, as an example. Following the announcement of the implementation of commercial loans on September 1, on October 17, Shanghai announced the optimization of the criteria for determining the number of housing provident fund loans. If Shanghai has no housing, no provident fund loans in the country or the first provident fund loans have been settled, it will be recognized as the first set of housing … The policy has been continuously exerted, boosting the Shanghai real estate market.
From the perspective of the second-hand housing market, the price of second-hand housing rose by four cities in September, an increase of one city compared with August. First-tier cities turned up for the first time after falling for four consecutive months, with an increase of 0.2%. Among them, Beijing led the national second-hand housing market with an increase of 0.7%; Followed by Shanghai, the price of second-hand housing rose by 0.6%.
Some insiders believe that the price of second-hand houses in Beijing and Shanghai has increased month-on-month, mainly due to the strict implementation of the policy of "recognizing houses and recognizing loans" in Beijing and Shanghai. After the implementation of "recognizing houses but not recognizing loans", the demand potential released is relatively large, especially in Beijing and Shanghai. There are many old second-hand houses, and there is great potential for improved demand, and the activity of second-hand houses has increased.
It should be pointed out that although first-tier cities take the lead in recovery, this recovery is still unstable, and there are still divisions within first-tier cities. The prices of new houses in Guangzhou and Shenzhen continued to fall, with a month-on-month decrease of 0.6% and 0.5% respectively, and a year-on-year decrease of 1.7% and 3%. The price of second-hand houses in Guangzhou decreased by 0.7% month-on-month, while the price of second-hand houses in Shenzhen was flat.
In addition, although the sales price of commercial housing in second-and third-tier cities has increased and decreased year-on-year, the chain is still declining. From the ring comparison, in September, the sales price of new commercial housing in second-tier cities decreased by 0.3% from the previous month, and the decline rate was 0.1 percentage points higher than that of the previous month. Second-hand housing decreased by 0.5% month-on-month, the same as last month. The sales price of new commercial housing in third-tier cities decreased by 0.3% month-on-month, and the decline rate narrowed by 0.1 percentage point from last month; Second-hand housing decreased by 0.5% month-on-month, and the decline rate was 0.1 percentage point higher than that of last month.
At present, the risk release of the real estate supply side continues, and residents’ income and expectations need to be further improved, which has affected the stabilization of the real estate market in second-and third-tier cities to a certain extent, resulting in the decline in house prices in second-and third-tier cities. In addition, the recovery of first-tier cities brought by optimizing real estate policies needs to be further stabilized.
Due to the implementation of policies such as "recognizing houses but not loans", the demand for housing replacement in first-tier cities has been released, which has led to a significant increase in the number of second-hand houses listed in first-tier cities. Under the background of a large increase in supply, the prices of second-hand houses in first-tier cities are still in a downward channel in the short term.
Some insiders believe that whether it is just needed or improving demand, residents usually "buy up and not buy down". At present, consumers’ confidence in housing prices and the market is weak, and they are more cautious and slow to enter the market. In this regard, it is necessary to further optimize the real estate policy, "stabilize housing prices" and "stabilize expectations" and promote the repair of the real estate market.
In the short term, the real estate market is still facing adjustment pressure. However, in the medium and long term, the urbanization rate of permanent residents in China is 65.2%, and the urbanization rate of registered population is only 47.7%, so there is still much room for improvement in urbanization. In addition, although the total number of houses in China has reached about 40 billion square meters, the houses are mainly small and medium-sized units with great improvement potential.
The market expects that the policy is expected to continue to be optimized around stabilizing housing price expectations, activating the replacement chain, and lowering the threshold for reasonable housing demand. In particular, with the further liberalization of policies such as purchase restriction in first-tier cities, hot cities will enter a more solid market recovery stage, which is expected to lead the real estate market out of the bottom area and stabilize and recover.
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What if the car doesn’t catch fire in winter?

The low temperature in winter makes it difficult for cars to start. Here are some common reasons and solutions:

1. Battery failure: When the temperature is low in winter, the capacity of the battery will decrease, and it will be difficult to start when the voltage is low. The solution is to replace the battery.

2. Slow flow rate of engine oil: Low temperature will increase viscosity of engine oil and slow flow rate, which will further increase engine resistance and make it difficult to start. The solution is to use special engine oil for winter in winter.

3. The exhaust pipe is frozen or the valve has too much carbon deposit: water vapor will be generated when the engine is running. If the exhaust pipe is frozen or the valve has too much carbon deposit, it will block the exhaust pipe and make it difficult to start. The solution is to let the car run at high speed, drain the water from the exhaust pipe and clean the throttle regularly.

4. Engine failure: serious engine wear, decreased sealing performance and insufficient cylinder pressure will also lead to difficulties in starting. The solution is to screw out the spark plug, wipe off the oil between the electrodes, and then put it back on.

The above are the common reasons and solutions for the difficulty in starting a car in winter, and I hope it can help you.

It’s not the most exaggerated that the official of the women’s hall embezzled 364 million public funds for stock trading, causing hundreds of millions of losses to the country.

  CCTV News:Recently, the First Branch of Tianjin Municipal People’s Procuratorate published the indictment of Ma Baiyu (female), the former deputy director of Tianjin Water Affairs Bureau, on the case information disclosure network of the People’s Procuratorate. The procuratorate found that Ma Baiyu exceeded his authority in his work and illegally used state-owned funds to speculate on the stocks of listed companies, causing economic losses of 315 million yuan to the country.

  According to the indictment, from October 2000 to December 2001, Ma Baiyu invested 364 million yuan of state-owned funds in the securities market in the name of maintaining the stock price of the entrepreneurial environmental protection company, speculating on the stock of the entrepreneurial environmental protection company.

  Ma Baiyu, former deputy director of Tianjin Water Affairs Bureau (data map)

  Since then, in order to cover up the fact of using state-owned funds to speculate on stocks, Ma Baiyu signed a false asset management contract with a securities company in Beijing, and used the transfer of funds between accounts as a means to level the corporate accounts of the municipal investment company of 364 million yuan to related companies.

  After the investment failed, Ma Baiyu recovered two stock account deposit refunds in the name of the municipal investment company and included the short-term investment loss of about 339 million yuan in the current profit and loss, all of which were written off. During the period of stock trading, Ma Baiyu also embezzled about 10.18 million yuan of stock trading funds.

  In addition, Ma Baiyu was also accused of taking advantage of his position to illegally embezzle public funds with her husband Jia Sujin and her son Jia Fei by means of eating empty money, reimbursing air tickets, accommodation fees and telephone charges. Arrange the son and daughter-in-law to work in their municipal investment company and eat empty salary for a long time; Illegally accepting other people’s money, commercial houses, jade bracelets, jade rings, jade brooches, watches, gold bars and other items and decoration expenses, totaling 3.042 million yuan, 2.48 million Hong Kong dollars, 75,000 US dollars, 45,000 euros and 21,000 pounds.

  In the end, Ma Baiyu was sentenced to 18 years in prison for alleged abuse of power, dereliction of duty, corruption, bribery and misappropriation of public funds.

  The country’s moths have been found out, which is very gratifying.

  The "Several Guidelines on Political Life within the Party under the New Situation" explicitly prohibits: it is forbidden to use power to seek personal gain for oneself and others, it is forbidden to approve money, materials and projects in violation of the financial system, it is forbidden to occupy and squander state and collective property under various pretexts or pretexts, and it is forbidden to raise the standard of cadres’ treatment in violation of regulations.

  However, some cadres did not listen to dissuasion and took up leadership positions, but they could not adhere to honesty and integrity, and forgot their post responsibilities for their own personal gain. Like Ma Baiyu, they attempted to make profits through illegal means. Most of these cadres have high academic qualifications and high IQ, but they can’t resist the temporary sugar-coated shells after years of hard work, which eventually infringes on the interests of the country and the people.

 

  Tao Liming, former president of China Postal Savings Bank (data map)

  Tao Liming, the former president of China Postal Savings Bank, conspired with others to maliciously overpay hundreds of millions of treasury bonds for many times, misappropriating about 340 million yuan of treasury bonds for stock trading, investment and wealth management for personal profit.

  This "star president" with a rare academic background among state-owned enterprise executives, from humble passbook printing and advertising business to building decoration and software cooperation, never misses any opportunity to "steal oil". He regarded the over-issued treasury bonds subscribed by investors as "private property" for profit, and his modus operandi was so professional that he was not discovered for many years after misappropriation.

  In order to fill the hole in its investment losses, Tao Liming or his associates also misappropriated other state-owned assets and charged various "benefits". The scale of loan funds involved in some corrupt acts even reached tens of billions of yuan. From October 29th to November 3rd, 2014, the court heard Tao Liming’s case of suspected bribery and misappropriation of public funds in public, and he pleaded guilty in court. The court announced that the case would be pronounced at an alternative date. In June 2016, Tao Liming died of a heart attack at the detention center at the age of 62.

  Fang Hua, former director of the Land and Resources Bureau of Liupanshui City, Guizhou Province, is even more exaggerated. For his wife Yan Yan’s stock trading, he joined several people to illegally absorb more than 100 million yuan of private capital on the grounds of doing engineering and starting a company with high interest rates. Finally, he was sentenced to 14 years in prison for the crime of illegally absorbing public deposits and accepting bribes.

  Looking at these fallen officials in the field of stock finance, they think they have found an unknown trick of "making money", but they don’t know that officialdom is not a business field, power is not a bargaining chip, and principles cannot be traded.

  Such cadres must not be tolerated.

  The report of the 19th National Congress of the Communist Party of China calls for strict implementation of certain norms of inner-party political life under the new situation, enhancing the political nature, times, principles and combativeness of inner-party political life, consciously resisting the erosion of the principle of commodity exchange on inner-party life, and creating a good political ecology with a clean atmosphere.

  Chen Shulong, the former vice governor of Anhui Province, repented in the anti-corruption feature film "Patrol Sword": "If you are an official, don’t get rich. If you get rich, don’t be an official. If you are in politics, you should be in politics well, and if you are in business, you should be in business well. Otherwise, it must be like me, and I regret it. "

  Building a clean and honest party style and fighting against corruption are always on the road. Don’t be like Chen Shulong, who didn’t understand the truth that "you can’t have your cake and eat it" until you were ruined. (Text/Ren Jia)

How cold is it this winter? The authoritative statement is coming!

  "How cold is it this winter?"

  For this problem that everyone is very concerned about

  On the afternoon of November 4

  China Meteorological Bureau responded.

  On the afternoon of November 4th, China Meteorological Bureau held a press conference, and Jia Xiaolong, deputy director of the National Climate Center, introduced that according to the opinions of the consultation, the cold air in China is relatively frequent this winter, and the force is relatively strong, and there may be a large-scale low-temperature rain and snow weather process in the north.

  Midwinter season

  Low temperature rain and snow weather in the north or in a large range now

  Jia Xiaolong said that the cold air affecting China this winter is still relatively frequent, and the forces are generally strong. The cold air path is mainly northwest.

  Under this situation, the temperature in most parts of China is normal to low this winter, and the precipitation is generally more in the north and less in the south. The temperature changes obviously in stages. In the early winter, the temperature in most areas is normal to high, and the influence of cold air on China will become stronger in the midwinter season (around January next year). The temperature in most parts of central and eastern China may be lower than normal, and there may be a large-scale low-temperature rain and snow weather process in the north, and a large-scale and sustained low-temperature rain, snow and freezing disaster in the south is less likely.

  This winter, cold air activities are frequent and the temperature fluctuates greatly, so it is necessary to guard against the adverse effects on the epidemic prevention and control work in COVID-19.

  This winter will form a

  Weak to moderate intensity La Nina events

  At present, the SST in the equatorial Middle East Pacific has entered the La Ni? a state, and it is expected that a weak to moderate intensity La Ni? a event will form in winter, and its later evolution trend and climate impact are still uncertain.

  At the same time, in view of the complexity of the factors affecting China’s climate, and the recent increase in climate volatility, the National Climate Center will closely monitor weather and climate changes, strengthen analysis and research, and provide timely rolling revised climate forecasts.

  What is La Nina?

  La Nina event refers to the cold water phenomenon in which the sea surface temperature in the equatorial central and eastern Pacific Ocean is abnormally cold in a large range, and its intensity and duration reach certain conditions.

  When the sea temperature is unusually warm, the El Nino phenomenon will be formed. When the sea surface temperature changes, it will have a great impact on the atmospheric circulation and the climate will also change.

  "Will Nanchang cool down in the near future?"

  The weather in Nanchang is crisp in autumn these days.

  The daytime temperature swept away the previous downturn.

  Under the heating effect of sunlight

  The temperature has soared.

  The highest temperature the day after tomorrow will reach 25℃

  It’s all sunny, sunny, sunny.

  Sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny.

  Sunny sunny sunny sunny sunny sunny sunny sunny sunny sunny!

  The sun is solid and the temperature is not low.

  Let alone how comfortable the afternoon sunshine is.

  It is expected that tomorrow and the day after tomorrow

  The province’s "Xiaoqing Song" continues to sing.

  Suitable for outdoor activities

  It is also suitable for washing and drying.

  however

  There’s always one in the weather forecast

  Nanchang weather is harder to guess than a woman’s mind.

  Will not miss a chance to torture you.

  Warning!

  The temperature in Nanchang is going to "change face" again.

  Are you ready?

  Xiaobian is going to start reporting the weather

  Cold air quietly came to the south. The lowest temperature in Chang is 11℃

  On the 8 th, the north was affected by weak cold air on the ground.

  The southern part is affected by the peripheral cloud system of tropical cyclones.

  Cloudy and cloudy days in the whole province

  There is sporadic light rain in parts of southern Jiangxi.

  The process is cooled by 3 ~ 5℃

  The northerly wind is increasing

  The gusts in rivers and lakes and plain valleys are 6.

  The highest temperature in Nanchang on the 7 th is 25 C.

  The lowest temperature on the 8th was only 15℃.

  By the 11th, the lowest temperature will drop to 11℃.

  It is important to pay special attention to

  The temperature difference between day and night is relatively large!

  See?

  The temperature difference is basically around 10℃!

  Everyone should pay attention to timely increase or decrease clothing.

  Especially the elderly, children and people with weak constitution.

  Learn about the onion dressing method ~

  Let’s take a look

  The province’s specific weather forecast!

  Specific forecast

  It will be cloudy and sunny in the whole province tomorrow and the day after tomorrow.

  On the 8 th, it was cloudy and cloudy in the province, and there was sporadic light rain in southern Jiangxi; During the process, the temperature dropped by 3 ~ 5℃, the northerly wind increased, and the gusts in rivers and lakes and plain valleys were 6.

  From September 9 to 15, the province was dominated by sunny and cloudy weather.

  Seven-day forecast of other major cities and scenic spots in Jiangxi Province

  Swipe up to view

  The weather is getting cold

  So every day you

  They have become "difficult households" who get up.

  ▽

  You sleep at night

  When you cover the quilt, it becomes like this.

  ▽

  Of course, this is nothing.

  What is even more cruel is that

  ↓↓↓

  The money is gone

  The annual double 11 has begun to pay the final payment.

  By the way, what have you hoarded?

  Is the following scene a true portrayal of you

  I’ll join the shopping cart and not buy it.

  I really can’t hold back behind.

  Finally, Xiaobian reminds everyone again.

  Get up early and move bricks, remember to add clothes in time.

  Keep warm

  Migrant workers who paid the final payment

  Come on, Ollie. Here!

  Disclaimer: This article is reproduced for the purpose of transmitting more information. If the source is marked incorrectly or infringes on your legitimate rights and interests, please contact this website with the ownership certificate, and we will correct and delete it in time. Thank you.

Source: Nanchang News

Ministry of Housing and Urban-Rural Development: Meet the reasonable financing needs of real estate enterprises with different ownership equally.

According to China real estate newspaper WeChat official account, on the morning of January 26th, the Ministry of Housing and Urban-Rural Development held a meeting to deploy the coordination mechanism of urban real estate financing. Ni Hong, Party Secretary and Minister of the Ministry of Housing and Urban-Rural Development of the People’s Rerublic of China attended the meeting and stressed that the spirit of the Central Economic Work Conference should be thoroughly implemented, the coordination mechanism of urban real estate financing should be accelerated to be effective, the development and construction of real estate projects should be supported, the reasonable financing needs of real estate enterprises with different ownership systems should be met equally, and the stable and healthy development of the real estate market should be promoted.

The meeting also requested that we should adapt to the new situation in which the relationship between supply and demand in the real estate market has undergone major changes, speed up the construction of a new model of real estate development, combine the long and short, treat both the symptoms and the root causes, and promote the stable and healthy development of the real estate market. It is necessary to adhere to the policy of the city, precise policy, one city and one policy, make good use of the policy toolbox, and fully give urban real estate regulation and control autonomy. Cities can adjust their real estate policies according to local conditions.

Editor in charge: Chen Haiqin

Reporting/feedback

What is the direction of the real estate market in the next five years? Authoritative Interpretation of Economic Daily →

This article was transferred from [Economic Daily];
In the traditional peak season of "Golden September and Silver 10" in the real estate market, developers exchanged prices for quantity, especially head housing enterprises, and achieved good sales performance. Does this mean that the property market will gradually pick up in the future? By studying the Proposal of the Central Committee of the Communist Party of China on Formulating the 14th Five-year Plan for National Economic and Social Development and the Long-term Target for the Year 2035 issued by the Fifth Plenary Session of the 19th Central Committee, we can see that "housing without speculation" will remain the main tone of the future real estate control policy, and "promoting the healthy development of housing consumption" is expected to bring more incremental space to the market.
In the second half of this year, local regulatory policies have been continuously increased, the real estate market has remained stable as a whole, and the momentum of excessive housing price increases has been effectively curbed. In the traditional peak season of "Golden September and Silver 10" in the real estate market, developers exchanged prices for quantity, especially head housing enterprises, and achieved good sales performance. Does this mean that the property market will gradually pick up in the future?
As can be seen from the "14 th Five-Year Plan" proposal adopted by the Fifth Plenary Session of the 19th Central Committee,"Housing without speculation" will remain the main tone of future real estate regulation and control policies, and "promoting the healthy development of housing consumption" is expected to bring more incremental space to the market..
The "Golden September and Silver 10" property market is generally stable.
Judging from the changes in the sales price of commercial housing in 70 large and medium-sized cities announced by the National Bureau of Statistics, the increase in the sales price of commercial housing dropped slightly in September.
Sheng Guoqing, senior statistician of the Urban Department of the National Bureau of Statistics, said that in September, the sales prices of new commercial housing and second-hand housing in various cities dropped from the previous month. The year-on-year increase in sales prices of new commercial housing and second-hand housing in second-and third-tier cities continued to decline. Although the house price data in October has not yet been released, on the whole, the national house price remained stable in September and October.
September is the traditional sales season in the real estate market, and housing enterprises naturally don’t want to miss this good opportunity for promotion. For example, Evergrande Real Estate launched a large-scale marketing campaign, with sales of about 60 billion yuan during the "Eleventh" period alone, and the overall performance in October exceeded 100 billion yuan. R&F Properties took the lead in entering the real estate e-commerce platform "Tmall Good Room", and promoted it with the help of the platform. During the "Eleventh Five-Year Plan" period, sales on this platform alone reached 5.6 billion yuan. COSCO Group’s sales in September and October were 16.03 billion yuan and 16.11 billion yuan respectively, up by 19% and 31% respectively.
Statistics from research institutions show that, Evergrande, Sunac, Country Garden, Vanke and Poly all exceeded 100 billion yuan in total sales in September and October.. In addition, in October, the sales performance of housing enterprises such as Poly, Greentown, Shimao, Gemdale, China Merchants and Jinmao was also outstanding, and the monthly performance scale increased significantly year-on-year.
However, people in the industry generally believe that housing enterprises actively market during the sales window period. Compared with other small and medium-sized housing enterprises, leading housing enterprises perform more prominently. And on the whole,Since the third quarter, the growth of the overall performance scale of housing enterprises has mainly benefited from the backward pace of sales and supply during the year, and the supply has increased significantly..
Since the second half of this year, Shenzhen, Nanjing, Hangzhou, Chengdu and other cities have successively introduced real estate control measures to crack down on speculation and prevent the property market from overheating. From the current point of view, the policy effect is obvious, and the housing price has not risen too fast under the control. Stability is still the general tone of the current market.
Adhere to the main tone of "housing without speculation"
The influence of policy direction on the future real estate market is very important. As the "Thirteenth Five-Year Plan" enters its final year, what will be the main tone of the real estate market in the next five years?
The Central Committee of the Communist Party of China’s Proposal on Formulating the 14th Five-year Plan for National Economic and Social Development and the Long-term Target for the Year 2035 (hereinafter referred to as the Proposal) puts forward that "we should adhere to the position that houses are used for living, not for speculation, rent and purchase at the same time, and promote the stable and healthy development of the real estate market", "promote the healthy development of housing consumption", "effectively increase the supply of affordable housing, improve the income distribution mechanism of land transfer, and explore and support the use of collective construction land to build rental housing according to the plan.
All the above shows that the real estate policy will maintain stability and continuity. During the "Thirteenth Five-Year Plan" period, after the policy of "housing and not speculating" was put forward, China’s real estate market generally entered a stage of steady development, and individual cities adopted a high-pressure policy of "outcrop and fight" against the excessive rise in housing prices.Even in the first half of this year, when the COVID-19 epidemic was sudden and the downward pressure on the economy increased, the regulation of the real estate market in the second half of this year has not been relaxed at all.. The central government and a number of competent departments have stated that they adhere to the positioning of "housing and not speculating", and talked about relevant cities, introduced new financing regulations, and continuously introduced regulatory measures in many places, demonstrating their firm determination to curb the excessive rise in housing prices.
It can be said that the main tone of the real estate policy during the "14th Five-Year Plan" period will still be "housing and not speculating", and the stable and healthy development of the real estate market will be a clear direction..
Affected by the tightening of regulation, the local real estate policy was significantly reduced in October. Based on the fact that the central level has always maintained the determination of real estate regulation and control, and since the second half of the year, it is expected that the real estate policy environment will remain tight in the next stage, and local governments will remain cautious when introducing regulation and control policies. Hot cities and cities with excessively high housing prices will still face tightening regulation and control, and it is not excluded that more cities will join the "restricted purchase and restricted sales tide".
The "National Monitoring Report on Real Estate Policy Changes" released by the Evaluation and Research Center of China Housing Research Association in October believes that,In the long run, the purpose of real estate regulation is to stabilize land prices, stabilize house prices and expectations, and promote the stable and healthy development of the real estate market. With the effective control of the real estate market in hot cities, the real estate policy environment will also change from tight to stable..
The "Proposal" also clearly stated that it is necessary to adhere to the policy of the city, promote the healthy development of housing consumption, and promote the balanced development of finance, real estate and the real economy. Under the guidance of policies, the differentiation of local regulation is expected to be further intensified in the future. Third-and fourth-tier cities may take the lead in stabilizing the property market by accelerating the construction of new urbanization, encouraging farmers to buy houses in cities, and giving subsidies or tax incentives for buying houses. In some hot cities, the real estate market supervision will maintain a high-pressure situation.
Promote the healthy development of housing consumption
In many people’s minds, investing in real estate can achieve the goal of maintaining and increasing wealth. Even if house prices can’t rise as sharply as in the past in the next few years, they can at least outperform inflation. Is buying a house really a sure-fire business?
In recent years, the property market has proved by facts that the investment in buying a house, like other investment behaviors, may make money or lose money. Some research institutions have compared house prices with CPI in the past three years, and found that only a few cities such as Xi ‘an and Yantai really exceeded the CPI increase. In Shanghai, Guangzhou, Beijing and other first-tier cities, the increase in house prices has not outperformed inflation in the past three years; In Wuhan, Tianjin, Langfang and other cities, the relative decline in house prices is obvious.
When referring to housing consumption, the "Proposal" clearly "promotes the healthy development of housing consumption". People in the industry generally believe that,"Housing consumption" is not simply the purchase consumption. The purchase consumption is gradually changing to residential consumption, including rental housing, renovation, supporting upgrades, quality improvement, service improvement and other broader consumer needs, linking many industries such as building materials, home improvement, health care and property services..
It is worth noting that the focus of promoting housing consumption is more on "healthy development", which means that residents’ housing improvement needs based on urban-rural migration, family changes and income growth are met. For development enterprises, we should pay attention to diversification and focus on improving the ability of continuous operation and service. As the number of new housing developments will decrease in the future, property management, pension, commerce, cultural tourism and renovation of old residential areas may become important profit sources for housing enterprises.
Source/Economic Daily (Reporter Kang Shu), the original title is "The real estate market performed steadily in September, and the main tone of the property market will not change."
Producer/Editor-in-Chief Jiang Fan/Blair
Editor/Wang Jingyang
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Power rent-seeking is getting worse, and the real estate industry has become the hardest hit by collusion between officials and businessmen.

  Editor’s Note: Today’s real estate industry in China is the hardest hit by collusion between officials and businessmen. Jiang Renjie, the former vice mayor of Suzhou, took bribes of more than 100 million yuan, mainly from real estate developers. Recently, it is far more than this one who has been pulled down by developers: Zhu Zhigang, the former vice minister of finance, was "double-regulated" and helped his relatives buy low-priced houses, involving many people in the real estate industry in Beijing; Liu Zhihua, the former vice mayor of Beijing, was sentenced to death with a suspended sentence for taking bribes of nearly 7 million yuan. He accepted a lot of bribes from real estate developers … The arms of corrupt officials "warmed" real estate developers, and the wealthy real estate developers "fed back" individual officials again and again. The essence behind this "mutual benefit" is only two words: power and benefit.


  There are deep roots behind the fact that officials are willing to do anything for developers at the risk of guillotine.


  Why are individual officials keen to be "friends" with developers? Why is the problem of illegal land getting worse and worse? In fact, as long as there is soil or space for power rent-seeking, corruption will grow like weeds cut one after another, which has been clearly verified in the real estate market. Originally, there was a "symbiosis" phenomenon between developers and urban construction officials. Developers were both "performance promoters" of individual urban construction officials and "troublemakers" who induced corruption. When the two sides share the same rotten tastes, they often form an "interest alliance", and land development has thus become a high-risk area for corruption. There are deep roots behind the fact that individual officials are willing to do anything for developers at the risk of going to the guillotine.


  The government plays a dual role; The hierarchical administrative structure makes the power lack of restraint.


  To a certain extent, the government plays a dual role. On the one hand, the government, as the representative of public interests, formulates policies, regulates economic activities and acts as a referee. The government has the power to examine and approve infrastructure, industry, real estate and other projects. The construction of these projects requires land. Some unscrupulous developers want to obtain low-priced land and rent from individual government officials who can’t resist the temptation.


  On the other hand, the government has a huge amount of resources and directly participates in economic activities as a subject and acts as an athlete. All local governments shoulder the heavy responsibility of developing local economy. In the performance evaluation of local government officials, GDP is the most critical indicator, which intensifies their impulse to manage land. Because they can only use land to attract investment, set up industrial parks and carry out infrastructure construction. In these activities, the pricing power of land resources is in the hands of relevant officials. Even the public bidding and auction of land can not completely overcome the transfer of interests. The direct investment attraction of individual local party and government departments is more likely to aggravate the difficulty of curbing land violations and corruption.


  In addition, the hierarchical administrative structure makes the top leaders of local governments and the direct leaders in charge of land have too much power and lack of supervision and checks and balances. China’s land authorities are land departments at all levels, but the land department is a subordinate department of the government. The director of land and resources should be led by the deputy mayor in charge, and the deputy mayor in charge should be led by the mayor and the secretary. If the deputy mayor, mayor and secretary in charge directly grant land or intervene in land transactions, it will be difficult for the land department to effectively restrain them, and the discipline inspection and supervision departments will also encounter difficulties and resistance when investigating. High-ranking officials who are dismissed because of land corruption are basically deputy mayors and district heads in charge of land, urban construction or major construction projects. Unrestricted power naturally leads to corruption.


  The relevant laws do not strictly define the public interest.


  On the one hand, the constitution stipulates that urban land belongs to the state and rural land belongs to farmers’ collectives, which means that all the new land needs of urbanization and industrialization, whether the needs of public interests or non-public interests, must be met through the state’s land acquisition behavior (that is, transforming rural collectively owned land into state-owned land); On the other hand, the constitution also emphasizes that the state can only expropriate or requisition agricultural land for the needs of public interests.


  It is precisely because the relevant laws do not strictly define the public interest, and the government must expropriate farmers’ land for non-public welfare needs such as economic development and urban construction. Although many land expropriation acts of individual local governments are illegal, the judicial department usually refuses to accept most legal proceedings caused by illegal land expropriation by the government, which to some extent opens the door for land corruption of individual local government officials.


  Except for a few stocks of state-owned land, all new urban construction land must be acquired through land acquisition, and the main body of land acquisition is only the government. The circulation of village collective land is strictly restricted to agricultural use, so the government has mastered the supply of construction land. In the case of rising demand, developers understand that only by "fixing" government officials can they obtain land at a lower cost. This is why some government officials "wave upon wave" fall on land violations. Monopoly of land supply has created institutional space for individual corrupt officials to use land for illegal interests.


  Under the tax-sharing system, local governments are constantly looking for income from outside the budget, and land lease income is not included in the financial budget management.


  After the implementation of the tax-sharing system in 1994, the central government quickly took the leading position, and its concentration capacity became stronger and stronger, and its concentration ratio became higher and higher, accounting for about 55% of the total tax revenue. The central government is rich in money and the local government is poor in money, but the pattern of division of powers between the central and local governments has not changed much. Local governments use about 45% of their relative fiscal revenue to support about 75% of their relative expenditure responsibilities. This induces local governments to constantly look for sources of income from outside the budget. When local governments found that land was an important way to make money, they began to sell land to raise financial revenue for themselves.


  The tax classification of the tax-sharing system also gives local governments an incentive to develop the real estate industry and constantly push up housing prices. According to the tax-sharing arrangement, urban land use tax, property tax, stamp duty, land value-added tax, paid use income of state-owned land and other taxes are collected by local governments. Therefore, the more active the real estate market is, the more this part of tax revenue will be. This has stimulated the impulse of local governments to develop the real estate industry and collected a large number of agricultural land to develop the real estate industry. While the real estate industry is developed, the pockets of government officials who control the land are more "developed".


  Li Jinhua, former auditor general of the National Audit Office, reported that in 2005, 60 of the 87 development zones in China illegally sold land at low prices. In order to "attract investment", in the State Council, it is forbidden to sell land at a low price, so some places take the means of signing a land transfer contract in accordance with state regulations, and then returning the land transfer fee or giving financial subsidies to sell land at a low price in disguise. This not only enables individual officials and enterprises to transfer benefits to each other, but also leads some enterprises to maliciously occupy and resell land. Take land income as extra-budgetary income and evade the supervision of the National People’s Congress.


  Countermeasures: Give the power of land resources allocation to the market, laws and systems.


  In order to solve the "collusion" between officials and developers and fundamentally reverse this situation, we must take a multi-pronged approach, start with the system, legal system and mechanism, introduce and improve external supervision, and hand over the power of land resource allocation to the market, law and system. Some suggestions are put forward.


  It is necessary to cut off the hand of government officials reaching out to the land. First of all, it is necessary to reduce the government’s intervention in microeconomic activities, especially to fundamentally change the behavior of individual local governments in using land to accumulate wealth, accumulate wealth and generate wealth, ban land finance, and all state-owned land transfer fees will be included in the fiscal budget. Establish an official’s property and income declaration system, and the part and consumption that exceed the statutory income will be determined as illegal income unless the source can be explained.


  Reform the land expropriation system and strictly demarcate the boundaries of public interests. Strictly stipulate the land acquisition procedures, even if it is a public land acquisition, we should raise the compensation standard for land acquisition in public interest, give reasonable and fair compensation to the land-expropriated farmers, and enable farmers to share the fruits of industrialization and urbanization.


  Strengthen the supervision and restraint of the main leaders of the land management department and the government. Simple moral preaching is not enough. It is necessary to introduce various social forces (especially the masses and news media) into the mechanism to supervise the power of officials and strengthen the transparency of land transactions. Standardize the procedures of land auction, auction and transfer, clarify the trading rules and improve the market operation.


  Change the pattern of interest distribution between the central and local governments. Make the respective powers and financial rights of the central government and local governments correspond, and reverse the internal motivation of local governments to make money by borrowing land. Reform the current tax-sharing system, re-divide the distribution ratio of the current shared tax, and appropriately increase the sharing ratio of local governments (such as value-added tax). (The author is Cai Jiming, director and professor of Tsinghua University Political Economy Research Center)

* ST Oceanwide will delist its shares within 15 trading days after receiving the decision to terminate listing.

*ST Oceanwide (SZ000046, share price 0.38 yuan, market value 1.975 billion yuan) is about to terminate its listing.

On the evening of January 26th, *ST Oceanwide announced that it had received the Decision of Shenzhen Stock Exchange (hereinafter referred to as Shenzhen Stock Exchange) on the Termination of Listing of Oceanwide Holdings Co., Ltd. (SZSE [2024] No.76), and Shenzhen Stock Exchange decided to terminate the listing of the company’s shares.

Source: *ST Oceanwide Announcement

According to the Shenzhen Stock Exchange, the daily closing price of *ST Oceanwide shares was lower than that of 1 yuan for 20 consecutive trading days from November 30, 2023 to December 27, 2023, which touched the termination of listing as stipulated in Item (4) of Paragraph 1 of Article 9.2.1 of the Stock Listing Rules (revised in August 2023) of the Shenzhen Stock Exchange. "According to Article 9.2.5 of the Stock Listing Rules (revised in August 2023) of Shenzhen Stock Exchange and the deliberation opinions of the Listing Review Committee of Shenzhen Stock Exchange, this Exchange has decided to terminate the listing of your company’s shares."

At the same time, according to the provisions of Article 9.1.15 and Article 9.6.10, paragraph 2 of the Stock Listing Rules (revised in August 2023) of Shenzhen Stock Exchange, *ST Oceanwide was decided by Shenzhen Stock Exchange to terminate its listing due to the forced delisting of transactions, and will not enter the delisting consolidation period. *ST Oceanwide will be delisted within 15 trading days after Shenzhen Stock Exchange makes the decision to terminate its listing.

*ST Oceanwide said that after the company’s shares are terminated, according to the Stock Listing Rules (revised in August 2023) of Shenzhen Stock Exchange and the Implementation Measures for delisting companies to enter the delisting sector, the company’s shares will be transferred to the delisting sector managed by the National Stock Transfer Company for listing and transfer. The company has hired Shanxi Securities Co., Ltd. to provide share transfer services for the company after the company’s shares are terminated.

On January 23, *ST Oceanwide announced that it hired Shanxi Securities Co., Ltd. as the company’s lead broker, and agreed to sign the Entrusted Stock Transfer Agreement with it, entrusting it to provide share transfer services for the company, and handle the stock withdrawal registration in the market registration and settlement system of the stock exchange, the stock reconfirmation and the share registration and settlement of the national small and medium-sized enterprise share transfer system.

According to the relevant provisions of the Listing Rules of Shenzhen Stock Exchange, a company that is forced to delist its shares shall sign relevant agreements with the sponsoring brokers that meet the prescribed conditions before delisting.

At the same time, the debt problem of *ST Oceanwide is still fermenting.

According to the announcement of *ST Oceanwide on January 23, the company was informed on January 22 that Tianjin Pilot Free Trade Zone Branch of China Bohai Bank Co., Ltd. (hereinafter referred to as Bohai Bank) was on the grounds of financial loan contract disputes. China Pan Group Co., Ltd. (hereinafter referred to as China Pan Group), *ST Oceanwide, the controlling shareholder of the company, China Oceanwide Holding Group Co., Ltd., Tonghai Holding Co., Ltd. (the controlling shareholder of China Oceanwide Holding Group Co., Ltd.), Beijing Taobo Management Consulting Co., Ltd. and Oceanwide Industrial Co., Ltd. were sued to Tianjin No.3 Intermediate People’s Court. At the same time, Bohai Bank filed an application for property preservation with the court, and Tianjin No.3 Intermediate People’s Court ruled to freeze the above applications.

The cause of the case is that in November 2018, Zhongpan Group, a wholly-owned subsidiary of *ST Oceanwide, applied to Bohai Bank for financing of no more than 2 billion yuan. China Pan Group shall repay the remaining outstanding principal and interest of the above financing on November 14, 2023. As of January 23, the disclosure date of the announcement, China Pan Group has not completed the repayment of the remaining principal and interest of the above debts.

national business daily

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"State Compensation" Halves "Land Compensation" Cancels New Energy Vehicle Enterprises Facing Survival of the fittest

  The new subsidy policy for new energy vehicles has appropriately raised the threshold of technical indicators, focused on supporting high-quality products with excellent energy consumption and high technical level, and encouraged enterprises to pay attention to safety and consistency.

  At the same time, the implementation of the New Deal has also accelerated the "reshuffle" of the industry. Low-end enterprises that rely on subsidies for survival are doomed to be eliminated. Only by accelerating innovation drive and improving product strength can new energy vehicle companies hedge the impact of subsidies.

  The much-anticipated financial subsidy policy for new energy vehicles has finally been introduced. On the 26th, the Ministry of Finance, the Ministry of Industry and Information Technology, the Ministry of Science and Technology and the Development and Reform Commission jointly issued the Notice on Further Improving the Financial Subsidy Policy for the Promotion and Application of New Energy Vehicles, which clarified the subsidy standards and liquidation methods for new energy vehicles in 2019. Compared with the previous subsidy policy, what specific changes will the New Deal have, what impact will it bring to the industry, and how should enterprises respond?

  Pure electric vehicle compensation is reduced by nearly half

  In 2019, the New Deal proposed that the driving range of pure electric passenger cars should not be less than 250 kilometers, that of plug-in hybrid passenger cars (including extended range) should not be less than 50 kilometers, and that the subsidized driving range should only be divided into "two grades" of 250 to 400 kilometers and more than 400 kilometers, with subsidy amounts of 18,000 yuan and 25,000 yuan respectively, and that of plug-in hybrid passenger cars (including extended range) should be 10,000 yuan.

  Last year, except for vehicles below 150km, subsidies for pure electric vehicles were divided into "four gears" with cruising range of 150-200km, 200-250km, 250-300km and 300-400km and above, with subsidies of 15,000 yuan, 24,000 yuan, 34,000 yuan and 45,000 yuan respectively. Plug-in hybrid passenger cars (including increase)

  "Compared with the previous year, the subsidy for pure electric passenger cars has been reduced by nearly half." Cui Dongshu, Secretary-General of the National Passenger Car Association, said that unlike previous years, when the energy density threshold of the power battery system of new energy vehicles was greatly raised, this policy appropriately raised the threshold of technical indicators according to the principles of advanced technology, reliable quality and guaranteed safety, and kept the upper limit of technical indicators basically unchanged, focusing on supporting high-quality products with excellent energy consumption and high technical level, while encouraging enterprises to pay attention to safety and consistency.

  Pre-allocation of subsidy funds in time

  In view of the problem of untimely payment of subsidy funds, the New Deal proposes to improve the liquidation system and improve the efficiency of funds. It is required that from 2019, some funds will be pre-allocated after the vehicles with operating mileage requirements are sold and licensed. After meeting the mileage requirements, they can apply for liquidation according to procedures. After the release of the policy, vehicles with operating mileage requirements will not be subsidized if they run less than 20,000 kilometers within 2 years from the date of registration, and the pre-allocated funds will be deducted at the time of liquidation.

  It is understood that subsidies for new energy vehicles are divided into central financial subsidies and local financial subsidies. After enterprises submit application documents and materials, the central financial subsidies need to be approved and tested by the National Development and Reform Commission, the Finance Committee, the Ministry of Industry and Information Technology and the Ministry of Finance; Local financial subsidies involve many cities, and the declaration process is also different. Some enterprises report that compared with central financial subsidies, local financial subsidies have many application links and long processes, and the progress of distribution is more difficult to determine.

  "If there is no cash flow and financing is difficult, it will affect the bank’s guarantee and mortgage. The superposition of layers will increase the investment cost of car companies and bring some pressure to the operation of upstream batteries and other enterprises." Cui Dongshu said that new energy vehicle enterprises themselves need cash flow, and this subsidy policy clarifies the rules for timely payment of subsidy funds, so that enterprises can research and develop and promote the market with peace of mind, thus achieving sustainable development.

  Local financial withdrawal subsidy

  The new policy also clearly states that local governments should improve their policies. After the transition period, they will no longer give purchase subsidies to new energy vehicles (except new energy buses and fuel cell vehicles), and instead use them to support the "short board" construction of charging (hydrogenation) infrastructure and supporting operational services. If the local government continues to grant purchase subsidies, the central government will deduct the relevant financial subsidies accordingly.

  "This means that local finance will withdraw its subsidies to vehicle manufacturers, and the policy based on financial subsidies will shift more to the non-financial system, focusing on optimizing the development environment of new energy vehicles, including road rights, charging facilities, power battery recycling, commercial insurance, used cars and so on. At the same time, it also helps to reduce local protectionism. " Cui Dongshu said that China’s policy of encouraging the development of new energy vehicles is a systematic policy, aiming at realizing the joint support system of national and local new energy vehicle policies, ensuring that after the subsidy is completely withdrawn in 2021, new energy vehicle products still have certain advantages over the policy environment of traditional fuel vehicles, and promoting the establishment of a market-oriented independent new energy vehicle selection system.

  In addition, the transitional policy also allows car companies to have a reasonable layout and time period for calibrating new products.

  The influence of the New Deal has different reactions.

  "The intensity of this slope retreat is expected, and the impact on enterprises is not too great." Zhao Changjiang, general manager of BYD Auto Sales Co., Ltd. said that only by accelerating innovation drive and enhancing product strength can enterprises better hedge the impact of subsidy retreat.

  However, many people in the industry said that with the increase of subsidies, many uncertainties have been added to the original high-speed development of new energy vehicles. Chen Hong, chairman of SAIC, bluntly said that without subsidies, China’s new energy vehicle market would decline significantly.

  "After the subsidy for new energy vehicles has declined, car companies can ‘ Complement ’ 。” Jia Xinguang, executive director of china automobile dealers association, pointed out that the power battery occupies a very important position in the manufacturing cost of new energy vehicles. If the battery cost can be reduced through technological innovation, the impact of subsidy retreat on the market will be weakened.

  "It is not necessarily a good thing for a powerful enterprise. Subsidies should be seen dialectically." Gu Huinan, general manager of GAC New Energy, told reporters that with the gradual withdrawal of financial subsidies, the reshuffle of new energy vehicles is coming, and those low-end enterprises that rely on subsidies for survival are doomed to be eliminated. What can stand out must be the outstanding enterprises that actively face the market and can provide products with market competitiveness.