Core Viewpoint - The new technical requirements for electric vehicles, as outlined in the recent announcement, are expected to lead to a reduction in the purchase tax for new energy vehicles by half starting next year, regardless of whether the vehicles meet the new standards [1][7]. Group 1: New Technical Requirements - The announcement from the Ministry of Industry and Information Technology and other departments introduces updated standards for electric vehicles, including a new energy consumption limit for pure electric passenger vehicles and an increase in the pure electric range requirement for plug-in hybrid vehicles from 43 km to 100 km [1][4]. - The new standards aim to phase out outdated products and encourage the development of higher-performance vehicles, enhancing safety and competitiveness while meeting consumer demands for longer range and lower energy consumption [1][2][3]. Group 2: Market Response and Compliance - Sales personnel from various companies, including NIO and BYD, report that their new products generally comply with the new national standards for energy consumption, indicating that the industry is well-prepared for the changes [2][3]. - The majority of mainstream plug-in hybrid vehicles currently on sale exceed the new pure electric range requirement, although some models will not qualify for the tax exemption due to their lower range [4][5]. Group 3: Future Tax Implications - Starting in 2026, new energy vehicles will be subject to a reduced purchase tax rate of 5%, down from the current 10%, as part of the government's ongoing policy adjustments [7][8]. - The implementation of the new technical requirements is seen as a precursor to the eventual phase-out of the tax exemption policy for new energy vehicles, signaling a shift in the regulatory landscape [7][8].