Are China's subsidies for electric vehicles effective?

Deng, Zhongqi; Tian, Peng

doi:10.1002/mde.3114

Cited by 15 publications

(10 citation statements)

References 25 publications

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“…Harvey et al found that the government should cut or stop electric vehicle subsidies for environmental benefits (Harvey, 2020). Deng and Tian found that avoiding excessive subsidies can prevent NEV manufacturers from defrauding the government to obtain grants (Deng and Tian, 2020). Santos and Rembalski and Ye et al reached the opposite conclusions from the perspective of sustainable development: The former mainly considered the current high NEV production costs and emphasized the need for subsidies in the short term; the latter mainly considered market demands and technological development, and proposed that replacing product subsidies with alternative policies, such as the unlimited driving policy, can promote the endogenous development of the NEV industry (Santos and Rembalski, 2021;Ye et al, 2021).…”

Section: Literature Reviewmentioning

confidence: 99%

Study of the retreating product subsidy policy based on technology thresholds of new energy vehicle consumers

et al. 2022

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The new energy vehicle (NEV) product subsidy policy did not achieve a satisfactory effect on encouraging enterprise R&D as the government ignored the consumer technology thresholds—the minimum requirements of NEV consumers on a specific technology or performance of NEV. We built a game model under subsidies among the government, NEV companies, and NEV consumers considering NEV consumer characteristics such as technology thresholds. We solved the optimal retreating product subsidy policy of the government. We also analyzed the incentive effect, efficiency, and application scope of product subsidy policies and the impacts of the technology thresholds on them. We found that the government should subsidize NEV firms with medium R&D ability and encourage them to upgrade NEV technical level to the upper limit in the current stage or the highest level under financial constraints. The government should gradually reduce the unit subsidy until withdrawn with the improvement of the R&D ability of NEV firms. The technology thresholds increase the optimal unit subsidy and decrease the subsidy efficiency. Furthermore, the retreating policy is a cherry-picking subsidy method that causes companies with lower R&D ability to drop R&D.

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Section: Literature Reviewmentioning

confidence: 99%

Study of the retreating product subsidy policy based on technology thresholds of new energy vehicle consumers

et al. 2022

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“…With simulations that were based on different propositions, an analysis was conducted. Although subsidies give benefits, the study revealed that in order for them to be optimal, some rules and holistic calculations regarding the structure and gaining of these government subsidies are required (Deng & Tian, 2020). Some of the studies in the literature have chosen to apply multicriteria decision-making (MCDM) methods for location selection of EVCS.…”

Section: Literature Reviewmentioning

confidence: 99%

Electric vehicle charge station layout planning: A case study in Istanbul Technical University campus

2022

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While the popularity of electric vehicles is rising, several studies have been conducted on the challenges surrounding charging stations. The choice of charging station layout planning is evaluated in this study, which is based on available parking capacity and potential vehicle users on campus. Its goal is to figure out how various data and different coverage methods affect optimal selection. These models aim to serve the regions within a specified distance with the least possible number of stations. The data are collected with geographic information system, and the Voronoi diagram is used to solve the models. The findings of the models have been compared, and station sites that were deemed suitable for the campus have been determined. Evaluation of three models allows the most appropriate solution for the campus to set up five stations and use a 700‐m service distance. In this study, an opportunity was created to observe how the added parameters affect the optimization model and the results.

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“…Liu, Quan, Xu, and Jeffrey (2019) analyzed the relationship between optimal government subsidy rate and CSR level and believed that compared with nongovernmental subsidies, a certain range of government subsidy can promote the members of the supply chain to assume social responsibilities and improve the overall performance of the supply chain and social welfare. Deng and Tian (2020) believe that subsidies for the electric vehicle market are effective. Among this stream of studies, the subsidy factors in closed‐loop supply chains are taken into account, but few works specifically refer to DS.…”

Section: Literature Reviewmentioning

confidence: 99%

Do the subsidies help or hurt the remanufacturing closed‐loop supply chain?

Gong

Shi

et al. 2021

Manage Decis Econ

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This study investigates the impacts of the purchasing subsidy (PS) and the dismantling subsidy (DS) on a remanufacturing closed-loop supply chain with a manufacturer and a dismantling firm. We propose two game models, one with the DS and the other without the DS. We find that an increased PS or DS may be unable to enhance the dismantling firm's efforts. The DS reduces the system profit in contrast to the scenario without the DS. Surprisingly, a simultaneous increase in the two subsidies exacerbates the environmental impacts of remanufacturing closed-loop supply chain.

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Are China's subsidies for electric vehicles effective?

Cited by 15 publications

References 25 publications

Study of the retreating product subsidy policy based on technology thresholds of new energy vehicle consumers

Study of the retreating product subsidy policy based on technology thresholds of new energy vehicle consumers

Electric vehicle charge station layout planning: A case study in Istanbul Technical University campus

Do the subsidies help or hurt the remanufacturing closed‐loop supply chain?

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