City eases NEV purchase limits for individuals, including expats

Shenzhen has relaxed restrictions on license plate applications for buyers of new energy vehicles (NEVs), including expats, as part of efforts to stimulate auto sales — one of the city’s key economic growth drivers.

The revised policy will remain in effect until Dec. 31, 2025, according to guidelines released by the city’s transportation bureau.

Under the new policy, foreign nationals with valid visas or residence permits issued in Shenzhen who do not own a vehicle registered in the city can now apply for a license plate for a pure electric vehicle or government-verified hybrid electric vehicle. The previous requirement that they must have maintained a visa issued in the city for a minimum of two years or had continuous residency for at least two years, with a stay of at least nine months each year, has been lifted.

Similarly, overseas Chinese and residents from Hong Kong, Macao, and Taiwan with valid temporary residence registration no longer need to prove a minimum of nine months’ residence in the city each year for the past two years.

For mainland residents without Shenzhen hukou, the previous requirement of providing a valid Shenzhen residence permit and evidence of basic medical insurance payments for 24 months within the city has been abolished.

Individuals who possess only one car with a local license plate or have secured a quota for a local license plate — including local hukou holders, non-hukou residents, overseas Chinese, residents from Hong Kong, Macao, and Taiwan with valid temporary residence registration, and foreigners with valid visas or residence permits — are eligible to apply for an additional local NEV car plate. This applies to those holding a valid Class C or higher driver’s license.

Currently, vehicles bearing non-Shenzhen license plates are restricted from using public roads during peak traffic hours on weekdays to alleviate congestion during the busiest times of the day.

Last month, the city scrapped rules that exclude non-Shenzhen hukou holders who have not paid social insurance in the city for at least 24 months from buying pure electric or government-verified hybrid electric vehicles.

Shenzhen began to limit the excessive growth of car ownership via a license plate quota in 2014. Consumers must apply for new local plates through a lottery or auction system.