The eastern Chinese province of Anhui, home to Nio's two factories, plans to enact a special law to boost the local new energy vehicle (NEV) industry.

On September 19, Anhui's legislature held its first review of a draft law on building local NEV clusters, China's first dedicated law focused on the NEV industry.

The draft law encourages social entities to participate in the construction of NEV industry clusters while emphasizing the need to avoid homogenization, disorderly competition and unnecessary duplication of construction.

The draft law encourages the development of new technology routes, expressing support for the research and development of new technologies such as hydrogen internal combustion engines, hydrogen from methanol, hydrogen from formic acid, solid-state batteries, silicon carbide semiconductors, and skateboard chassis.

The draft encourages the promotion of the use of NEVs in areas such as urban public transportation, cabs, logistics and distribution, sanitation, and vehicles used by state-owned enterprises.

The use of new energy heavy-duty trucks is encouraged in scenarios including ports, terminals and mines.

The draft also addresses the construction of the local public charging network in Anhui.

Governments at or above the county level should strengthen the construction of charging and battery swap infrastructure along highways, in suburban areas and old neighborhoods, and the construction of intercity fast charging networks.

Local governments should also prioritize the construction of smart road infrastructure into road planning, and promote the coordinated development of smart city infrastructure and smart network connected vehicles, according to the draft.