Ministry of Industry and Information Technology Tightens Oversight on Automotive Sector, Prohibits Market Entry for Inadequately Tested Products

Deep News
Aug 26

The State Council Information Office held a press conference on August 26th regarding the full implementation of the 15th Five-Year Plan and the acceleration of new industrialization efforts. During the event, Vice Minister of the Ministry of Industry and Information Technology, Xin Guobin, stated that the automotive industry governance system will be refined to strictly prohibit products that have not undergone sufficient testing and verification from entering the market.

In response to inquiries about promoting the high-quality development of China's intelligent connected new energy vehicle industry during the 15th Five-Year Plan period, Xin Guobin noted that the achievements of the new energy vehicle sector during the 14th Five-Year Plan period have been remarkable, thanks to the strong leadership of the Party Central Committee and the collective efforts of industry players. The industry's scale has surged from the million-unit level to the ten-million-unit level, with annual sales climbing from 1.367 million vehicles to 16.49 million vehicles. Its share of total new car sales has also risen from 5.4% to 47.9%. The industrial framework is progressively improving, with technological capabilities in areas such as vehicle integration, power batteries, and LiDAR now ranking among the world's best. Furthermore, China's production of new energy vehicles, power batteries, and key materials accounts for over 70% of the global total. The international influence of the new energy vehicle industry continues to strengthen, with products exported to more than 100 countries and regions, fostering a group of highly competitive leading enterprises. New energy vehicles have become a distinguished hallmark of "Made in China."

Xin Guobin also cautioned that the industry currently faces a series of challenges that must be addressed. Issues such as irrational competition remain prominent, and some "radical" innovative designs have been installed in vehicles without sufficient experimental validation. Additionally, incidents concerning vehicle product quality and autonomous driving safety have attracted public attention. These problems cannot be overlooked and must be tackled as key priorities during the 15th Five-Year Plan period. To this end, the Ministry of Industry and Information Technology has formulated the "15th Five-Year Plan for the Development of the Intelligent Connected New Energy Vehicle Industry," aiming to drive sustained, high-quality industrial growth through planning guidance, departmental coordination, and policy support.

The first priority is to enhance the quality of product supply. The ministry will support key enterprises in intensifying technical research efforts, continuously improving the low-temperature adaptability and durability of power batteries, and enhancing the safety and reliability of autonomous driving systems. The ministry will also prudently and steadily advance pilot programs for intelligent connected vehicle market access and road trials, as well as "vehicle-road-cloud integration" demonstrations, delivering greener and smarter intelligent connected new energy vehicle products to consumers. The bottom line of product quality must be upheld to ensure responsibility toward consumers.

The second priority is to optimize the supporting environment for vehicle usage. Initiatives will include vehicle trade-in programs, new energy vehicle promotions in rural areas, and pilot projects to address gaps in charging and swapping infrastructure in counties. The goal is to achieve full coverage of charging stations at the county level and charging piles at the township level, recognizing that rural regions still have inadequacies in this regard. Additionally, efforts will focus on establishing and refining management systems for vehicle modifications, optimizing new energy vehicle insurance policies, and reducing maintenance costs to alleviate consumer concerns, ensuring they are willing to purchase and confident in using these vehicles.

The third priority is to improve the industry governance system. Reforms will be advanced to manage production qualifications for automotive enterprises at the group level, optimizing the industrial layout. Management of design approval and testing verification for product innovation will be strengthened, with a strict prohibition on market entry for inadequately tested products. Oversight and inspection of production consistency will be intensified to safeguard consumers' legitimate rights and interests and to further standardize the competitive order within the industry.

The fourth priority is to deepen international cooperation and exchange. The automotive industry is a quintessentially internationalized sector, and its global development is crucial for future growth. The ministry will leverage bilateral and multilateral international exchange mechanisms, intensify coordination on international standards and regulations, improve supporting infrastructure such as cross-border logistics and investment financing, and steadily advance international trade and investment cooperation, contributing China's greater share to the global transformation and upgrading of the automotive industry.

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