In a move to do away with the old and in with the new, Britain is on the threshold of devising a plan to entice local car owners to trade in their old cars for new ones. The scheme would probably involve payments of £2,000 vouchers to scrap vehicles that are more than nine years old and offer discounts on new more environment friendly cars.

The plan is designed to boost demand for new cars and help UK’s motor industry which is suffering during the recession. Austria, Portugal, Germany, Italy, Spain and France are among countries that have started such a plan.

Many British ministers are pessimistic about the proposed car scrap scheme as they believe that the plan would mainly benefit countries like Germany and France that produce many of the cars that are sold in the UK. UK car producers say that the plan could generate demand for up to 250,000 new cars.

(Source) Press TV

Tags: brainstorming, car owners, car producers, car scrap, Germany, Italy, new britain, new cars, old cars, recession, scrap plan, spain, uk car, vouchers

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In a move to enhance the pace and use of electrics cars in their region, China has reportedly announced that they will be paying subsidies to car-buyers to support electric cars.

Under the new strategy, unveiled in a Friday conference attended by several Chinese officials as well as car firms’ executives, Beijing launches nationwide efforts involving car-producers, research institutes and government agencies to prevail over the technological and safety obstacles to develop electric cars.

China will invest $146b in research on the field, while providing most of the subsidies to consumers, rather than car companies. “Otherwise the companies will just fight for subsidies,” vice minister Zhang Shaochun said.

He added that the government believes the market should decide which electric vehicle model would become popular. So the government is paying some research subsidies, while the main move will be to provide large subsidies for buyers of electric cars.

Beijing has already provided up to 60,000 yuan, ($8,800), for purchases by taxi fleets and local government agencies.

(Source) Press

Tags: beijing, car buyers, car companies, car firms, car producers, electric cars, electric vehicle, taxi fleets, vehicle model, vice minister

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