February 4, 2017 / 9:29 AM / 6 months ago

China imposes administrative penalties on seven 'new energy' vehicle makers

BEIJING (Reuters) - China has imposed administrative penalties on seven "new energy" vehicle makers for producing and selling vehicles with batteries that had lower power capacity than advertised.

The companies are China Youngman Automobile Group Co, SAIC Tangshan Bus Ltd, Lifan Group Corp, Zhengzhou Nissan, Shanghai Sunwin Bus, Nanjing Special Auto Manufacturing and Chongqing Hengtong Bus, the Ministry of Industry and Information Technology said in a statement on its website on Saturday.

The government has accused dozens of carmakers of breaking rules on green car subsidies, casting a pall over China's drive to support the industry and combat heavy pollution, which affects large swathes of the country.

China has spent billions of dollars in subsidies for the production of such vehicles. The plan has helped ramp up sales of electric and plug-in hybrids.

Reporting by Ryan Woo; Editing by Sam Holmes

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