China Initiates Program to Boost Electric Bus and Battery Upgrades

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In a major push to improve urban transportation, the Chinese government has launched a new program to encourage the replacement of new energy buses and their power batteries nationwide. This initiative is part of a larger scheme introduced in March to modernize outdated industrial equipment and support the trade-in of consumer products, with a special focus on new energy vehicles.

Under this new program, the government will offer subsidies of 80,000 yuan ($11,216) for each new energy bus replaced and 42,000 yuan ($5,893) for swapping out power batteries. The initiative specifically targets around 100,000 older new energy buses currently in use, many of which have been in operation for over eight years.

China continues to lead the way in vehicle electrification, especially in public transport. Shanghai, the country’s largest city, has set a target of achieving 100 percent electrification for its bus and taxi fleets by 2027. Similarly, Ningbo, another significant Chinese city, plans to fully electrify its bus fleet and reach 90 percent electrification for its taxis within the same period.

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