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China’s hit upon the best way to boost sales of electric cars—but it’ll hurt fossil-fuel ones

Echo Huang
China’s hit upon the best way to boost sales of electric cars—but it’ll hurt fossil-fuel ones

To reverse that trend, China’s turning to one of the most effective tools it has traditionally used to curb car sales: quotas. For years China’s biggest cities have limited the number of license plates available in a year to control congestion and pollution, along with restrictions on when cars can be used. For conventional cars, the available license plates are handed out each year in a lottery, while for electric and hybrid cars—known as New Electric Vehicles—there’s a first-come, first-serve waiting list.