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China to subsidize sales of building materials in more rural areas

(Xinhua)

11:00, October 06, 2011

BEIJING, Oct. 5 (Xinhua) -- The Chinese government will subsidize sales of energy-saving building materials in more rural areas as part of the country's efforts to improve living conditions of people in the countryside.

The pilot subsidy program will be extended and implemented in Beijing, Tianjin and Chongqing municipalities this year, according to a joint statement by five ministerial government departments.

The subsidy program was first launched in eastern Shandong Province and northwestern Ningxia Hui Autonomous Region in 2010 to raise rural building quality and boost energy conservation capacity, according to the statement by the Ministry of Housing and Urban-Rural Development, the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Land and Resources and Ministry of Commerce.

Under the program, sales of bulk cement are encouraged, while rural households using energy-saving building materials will receive subsidies based on different standards according to local economic situations, said the statement.

To ensure the program's success, the statement ordered local governments to raise adequate funds, supervise the quality of such materials and regulate their sale prices.

Over the past two years, China has rolled out subsidy policies for purchases of vehicles and home appliance in rural areas with the aim of lifting rural residents' living standards and to spur domestic consumption.

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