NEVs should account for no less than 30% of official vehicle procurement: China’s Finance Ministry

China's Ministry of Finance said in a notice on Monday that the proportion of new-energy vehicles (NEVs) in the total annual official vehicle procurement should not be less than 30 percent in principle if NEVs can meet the actual official needs.

The procurement ratio for NEVs should be 100 percent for official vehicles with relatively fixed routes, single usage scenarios, and mainly operating in urban areas such as vehicles for confidential communication. NEVS should also be prioritized for using vehicle leasing services.

The notice also said that procuring entities should enhance the management of government procurement needs for official vehicles, fully understand the functions and performance of NEVs, and take the lead in using NEVs in line with actual usage requirements.

Chinese authorities and localities are advancing green initiatives in government procurement by implementing corresponding requirements, while also welcoming more global NEV manufacturers.

In July, several state-owned enterprises in the Shanghai pilot free trade zone procured a batch of Tesla Model Y vehicles for corporate use, marking Tesla's entry into China's government procurement arena, the Xinhua News Agency reported.