China Is Set to Extend EV Tax Incentives as Sales Growth Slows

China is poised to extend incentives for electric-vehicle purchases as part of broader efforts to shake off a sluggish post-pandemic period.

The foundation for China’s economic recovery is not yet solid, the nation’s state radio reported late Friday, citing a State Council meeting chaired by Premier Li Qiang. China will therefore extend and optimize new-energy vehicle purchase tax exemptions, the report said, without giving more detail.

People familiar with the matter said earlier on Friday an extension was being considered for some clean cars for another four years. One of those measures may be extending the purchase tax ...