KATHMANDU: China has excluded electric vehicles from its latest five-year development plan for 2026–2030, the first time in over a decade.
The move comes as the country’s EV industry faces oversupply and intense competition.
New energy vehicles, including EVs, plug-in hybrids, and fuel cell cars had been listed as key industries in the past three five-year plans, supported by billions in subsidies that helped China become a global EV leader.
The new plan, released by Xinhua News Agency, shifts focus to quantum technology, bio-manufacturing, hydrogen energy, and nuclear fusion as new growth areas.
Automobiles are mentioned only in the context of boosting domestic consumption by removing purchase limits.
President Xi Jinping urged industries to avoid rushing into the same fields, saying development should be “rational and realistic.” Earlier, he questioned whether every province needed to pursue sectors like AI and EVs.
China’s EV market has become crowded, with many brands and cities competing for a limited pool of buyers. The slowdown at home, along with trade tensions abroad, has raised concerns for the industry’s future.
The full five-year plan will be presented at China’s parliamentary meeting in March.
