China Launches Initiative to Accelerate Electric Bus and Battery Replacement

In a significant move towards enhancing urban transportation, the Chinese government has announced a new initiative to promote the replacement of new energy buses and power batteries across the nation. This effort is part of a broader program unveiled in March, aimed at modernizing outdated industrial equipment and facilitating the trade-in of consumer products, with a particular emphasis on new energy vehicles.

Under the new plan, the government will provide subsidies of 80,000 yuan ($11,216) for each new energy bus replacement and 42,000 yuan ($5,893) for the replacement of power batteries in these buses. The initiative targets the nearly 100,000 older new energy buses currently in operation, many of which have been in service for over eight years.

China has been at the forefront of vehicle electrification, particularly in public transportation. Shanghai, the country’s largest city, has set an ambitious goal of achieving 100 percent electrification for both buses and taxis by 2027. Similarly, Ningbo, another major Chinese city, aims to fully electrify its bus fleet and reach 90 percent electrification for taxis within the same timeframe.