Deserved punishments for automakers that cheated to obtain govt subsidies

AFTER AN INVESTIGATION of 90 manufacturers starting earlier this year, the Ministry of Finance disclosed the names of five automakers on Thursday, which it said had defrauded the central government of the new energy vehicle subsidies it provides. Changjiang Daily commented on Saturday:

It is the first time that China has imposed harsh punishments, ranging from severe fines to disqualification from auto industry, on the producers of new energy vehicles.

The five auto companies, which illegally obtained 1.01 billion yuan ($150 million) in subsidies in 2015, claimed to have sold 3,547 vehicles that proved to be actually either unfinished or unsold.