At the 2025 Guangzhou International Auto Show on November 21, William Li, founder, chairman, and CEO of NIO Inc., commented on the halved purchase tax subsidy policy. He acknowledged that it accelerated some consumers' purchasing decisions but noted recent disruptions due to exhausted quotas for used-car trade-in subsidies are temporary.

Li stated that China's smart electric vehicles (EVs) now demonstrate market viability through competitive user experience and cost-performance ratios. With October's NEV penetration rate exceeding 57%, the industry has shifted from policy-driven growth to market and economies-of-scale-driven expansion.

He emphasized that while purchase tax subsidies will phase out completely by 2027, NIO's battery-as-a-service (BaaS) model remains advantageous during the transition. Excluding battery costs from the taxable base benefits consumers.

"Meanwhile, China's push to develop battery-swapping stations as next-gen energy infrastructure aligns with national policy and the Battery Swap Alliance's trajectory," Li added.