China will increase retail fuel taxes and abolish some fixed charges for car owners in 2009 to encourage the use of more efficient vehicles and to meet energy-saving targets.
The National Development and Reform Commission announced that the government was seeking public advice for a plan to raise the consumption tax on gasoline from Rmb0.2 per litre to Rmb1 per litre. The tax on diesel will rise from Rmb0.1 to Rmb0.8 per litre.
Existing road maintenance fees and certain other fixed charges will be abolished.