Local subsidy funds from vehicle purchase tax revenue.

Last updated: 21 October 2019

The fund has been set up to facilitate the sustainable and continuous development of the transport industry by re-investing revenue from vehicle purchase taxes into local transport projects. Projects covered within the scope of expenditure for vehicle purchase tax funds include:


    • Key transport projects
    • General road construction projects
    • Distaster recovery and reconstruction projects in provinces
    • Road damage repair and maintenance projects
    • Retirement and renewal projects for old rural ferries
    • Energy conservation and emission reduction projects in the transport sector (low-carbon transport options and technologies)
    • Pilot projects for road transport and transporation
    • Inland river channel development projects
    • Old car scrapping renewal projects
    • Other transport projects approved by the State Council


For energy conservation projects, the level of subsidies is determined based on the impact of the projects in terms of energy conservation, emission reduction and wider social benefits.

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