Fuel tax timing? Three Unresolved Car Consumption Policies


In the automobile consumption environment, fuel prices are most affecting people as never before. Several fuel price hikes this year have made oil prices a hot spot. Consumers' worries about oil prices have replaced the strong “money-to-buy” mentality during the price reduction period of automobiles. The petrol crisis in the Pearl River Delta a few months ago also raised public fears of oil prices to panic over the energy crisis.

According to statistics, the oil price has risen sharply from a rate of 6.5% last year to 15%, and the price has increased by nearly 50% compared with the same period of last year. In the newspaper’s survey of automobile consumption in the Pearl River Delta region, we found that oil prices, as a factor affecting the purchase of cars, also soared from the 10th place last year to the 2nd place, only after the maintenance costs, followed by the traffic environment, and the car prices. Placed in a more secondary position.

Most respondents believe that oil prices will continue to rise, and that the energy issue is increasingly approaching human society. Guangzhou citizens are particularly concerned about this. 85% of respondents believe that oil prices will “significantly increase” or “slightly increase”. The number of respondents who believe that oil prices will "decline" is less than 8% in the Pearl River Delta region. In Guangzhou, the issue of oil prices does not affect consumers' car purchase time, but instead prompts them to pay attention to car fuel consumption and displacement. In other regions, such as Dongguan and Foshan, one-fourth of the respondents said that they have delayed the purchase plan. Our survey shows that many people can afford to buy cars, but they cannot afford the huge cost of keeping cars and worry about fuel consumption.

We also discovered unexpectedly in the survey that consumers have surprising environmental awareness when they consider buying a car. Nearly 80% of consumers believe that implementing the Euro III standard throughout the country is the trend of the times and it is listed as one of the conditions for choosing a car.

Obviously, energy-saving and environmentally-friendly cars are bound to become the direction of consumers buying cars. The automobile policies introduced and implemented this year are also guided by the adjustment of product structure and the guidance of environmental protection and energy-saving vehicle development. In the near future, it will become possible to realize domestically developed environmental protection and energy-saving technologies.

At the same time, however, policies to encourage energy conservation and environmental protection have not yet been introduced. With only one month left in 2006, the auto industry still leaves behind three policy suspense: when will the fuel tax be promulgated? How to reform the consumption tax? When will the automobile "Three Guarantees" policy be introduced? In addition, when the “restricted” policy of cities is lifted, it is also a matter of concern to everyone.

These will have a profound impact on car consumption. We look forward to seeing the answer early!

Unsolved Case 1: "Fuel Tax" is issued at the right time?

The levy of the fuel tax is to change the traffic levies, such as road maintenance fees, to taxation, that is, to increase taxation on the basis of the current price of gasoline and diesel, and to cancel some of the road and bridge charges conditionally. According to relevant information from the State Administration of Taxation and the Development Center of the State Council, China has formulated a plan for the collection of auto fuel tax, and will announce it at the national level. From the reality that China’s energy shortage and automobile fuel consumption are much higher than the world average, the introduction of fuel tax and alternative road maintenance fees are the general trend. The introduction of the “fuel tax policy” will affect the nerves of the auto market and related industries, not only in relation to the economic interests of the owners, but also to the survival of auto manufacturers.

Comments: "The fuel tax" will plan a conservation-oriented automobile society from the three major aspects of automobile production, automobile consumption and the external environment of the automobile. With the implementation of the fuel tax reform plan, the production and use of small-displacement cars will be a trend. However, the saying that “the fuel tax will be introduced at the right time” has been for seven or eight years. The oil price is still rising. When will it be a good opportunity?

Unsolved Case 2: How to adjust "consumption tax"?

As a supplementary tax on fuel tax, the current adjustment of automobile consumption tax is still in the research stage and consultations are still extensively conducted. It is reported that for cars, the tax rate may be adjusted from the current 3%, 5%, 8% to 1%, 3%, 5%, 8%, 10%, of which, below 1.0L, the tax rate from 3% to 1%; Above 3.0L, the tax rate has risen from 8% to 10%; there are also reports that a consumption tax collection plan will be issued in seven stages, that is, 1.0L, 1.0L, 1.5L, 2.0L, 2.5L, 3.0L, 4.0 L is divided into seven intervals, where the minimum tax rate can be as low as 1% and the maximum tax rate is 20%; for SUV, the tax rate ranges from 3% to 25%; other types of passenger vehicle tax rates are from 1% to 9%. %between.

Comments: It is reported that the new excise taxation measures reflect the state’s encouragement policy for small-displacement cars. It will, to a certain extent, promote the consumption of small-displacement sedans and limit the consumption of large-displacement sedans and SUVs, which in turn will lead to Chinese cars. Product structure realizes a large-scale adjustment. The tax reform was introduced together with the fuel tax or introduced in advance. It is still under speculation.

Unsolved Case 3: When Will the "Three Guarantees" Policy Be Issued?

Our survey of consumer spending in the Pearl River Delta shows that consumers are shifting from the purchase phase in which price was the deciding factor to paying attention to the after-sales service phase. The price concessions and purchase convenience are still able to effectively attract consumers, but consumers are more likely to choose to purchase cars in the 4S and 3S stores that can provide good after-sales services. The professional sales experience and professional maintenance ability of the brand store is one of the important factors in choosing a car. However, data from consumer associations also shows that consumers have increasingly complained about branded stores.

At the end of December last year, the "Car Three Guarantees Draft" for the protection of consumers' interests formally solicited opinions from the public. The draft and subsequent drafts stipulated that, within 30 days after the sale of automotive products, serious safety performance failures such as cracks in the frame, failure of the braking system, failure of the steering system, fuel leakage, etc. due to product quality problems, or transmissions, If there are quality problems that require repair or replacement of parts of the engine, consumers may choose to return, replace, or repair. It is reported that at present the draft has added new content, requiring that the return request must be given a reply within 10 days; if the car fails, the cost of product quality testing will be borne by the producer.

Comments: The Three Guarantees policy is expected by all walks of life. When will it be the topic of the highest concern in the field of automobile consumer rights protection? Some media said that it will be formally introduced on March 15 of this year, but the result is that for three years, the regulations are still brewing. The complaints about the quality of cars and services are constantly on the table. The “Three Guarantees” has practical significance in solving consumer complaints and calls for early implementation and implementation.

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