The 2024 New Energy Vehicle Campaign to the Countryside has begun. On May 15th, the Ministry of Industry and Information Technology and five other departments jointly issued the "Notice on Carrying out the 2024 New Energy Vehicle Campaign to the Countryside" (hereinafter referred to as the "Notice"), organizing the 2024 New Energy Vehicle Campaign to the Countryside. The event will take place from May to December 2024, with a total of 99 new energy vehicle models selected to participate.

While the growth rate of the urban market is slowing down, new energy vehicles still have significant growth potential in the rural market. According to the Charging and Swapping Branch of the China Association of Automobile Manufacturers, the penetration rate of rural electric vehicles increased from 4% to 17% from 2022 to 2023. Although there is still a considerable distance to reach a penetration rate of over 30% in first tier cities, the growth rate is significantly higher than in urban markets.

In order to accelerate the filling of the gaps in the consumption and use of new energy vehicles in rural areas, this year's activities will be further extended to the county level. A group of typical county level cities with low promotion and application rates of new energy vehicles and high future market potential will be selected to hold several special events; Taking this as the center to radiate surrounding townships, and combining with the actual situation of the region, several characteristic activities are carried out to form a "1+N" activity layout.

In terms of activity format, a combination of on-site and cloud based methods will be adopted. The "offline" activities are carried out through a combination of typical county-level special events and characteristic activities in surrounding townships. "Online" activities mainly include online exhibitions, live interactions, etc., which are carried out through e-commerce and Internet platforms in cooperation with offline activities.

In terms of vehicle model selection, the notice proposes to select new energy vehicle models that are suitable for the rural market, have a good reputation, and reliable quality, and carry out centralized exhibitions, test drives, and other activities to enrich the consumer experience and provide diversified choices. Among the 99 selected models this year, there are many popular models including the Hongqi E-QM5, Xiaopeng P5, GAC Aion Y Plus, BYD Yuan Plus, Dongfeng Nano BOX, Jike 001, Wuling Hongguang MINIEV, etc. Among them, there are both micro electric vehicles priced below 50000 yuan and compact SUVs priced over 200000 yuan; There are both domestic and joint venture brands; There are both passenger cars and commercial models to meet different needs.

What type of new energy vehicles is in high demand in the county and township markets? According to data from the National Passenger Car Market Information Joint Conference, the sales of A00 level cars in the township market currently account for about 36% of the entire county and township market, while A0 level cars account for about 32%, far higher than the proportion of small and micro electric vehicles in the urban market. For rural consumers, small and micro electric vehicles have significant advantages such as low purchase cost, low usage cost, and low maintenance cost. Zhang Hong, a member of the Expert Committee of the China Association of Automobile Manufacturers, stated that consumers in rural areas are more sensitive to prices. Lowering car prices and making them affordable for rural consumers is a breakthrough point for new energy vehicles to go to rural areas.

To ensure the smooth transportation of new energy vehicles to rural areas, the construction of charging and swapping infrastructure system should be prioritized, and the sales and service network should also follow suit. In May 2023, the National Development and Reform Commission and the National Energy Administration jointly formulated the Implementation Opinions on Accelerating the Construction of Charging Infrastructure to Better Support the Rural Revitalization of New Energy Vehicles, which pointed out that there are still problems in rural areas, such as insufficient construction of public charging infrastructure, difficulty in installing and sharing charging facilities in residential communities, and prominent supply-demand contradictions during certain periods, which restrict the release of the consumption potential of new energy vehicles in rural areas. After nearly a year, the construction of charging stations in multiple rural areas across the country has achieved significant results. According to data from Southern Power Grid, provinces such as Guangdong, Guangxi, Hainan, Guizhou, and Yunnan have achieved full coverage of charging infrastructure in townships, and the average service radius of charging in townships has been shortened to over 20 kilometers.

Zhang Hong stated that when new energy vehicles go to the countryside, it is not just about products going to the countryside, but also about car companies and related enterprises forming a joint force, upgrading service models, and enhancing after-sales service guarantee capabilities and scope. Notice encourages all new energy vehicle production enterprises, sales enterprises, financial institutions, charging and swapping facility enterprises, sales and after-sales service enterprises to actively participate, and formulate promotional plans in combination with support policies such as exchanging old for new and county level charging and swapping facilities to make up for shortcomings, and establish a sound after-sales service system.