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What is a license plate quota?

2 Answers

NicoleFitz

07/29/25 10:34pm

License plate quota refers to the eligibility for vehicle registration. Composition of license plates: The first character of a license plate is a Chinese character, representing the provincial-level administrative region where the vehicle is registered (abbreviation of provinces, municipalities directly under the central government, or autonomous regions). The second character is an English letter, indicating the prefecture-level administrative region (codes for prefecture-level cities, regions, autonomous prefectures, or leagues), generally ranked by provincial vehicle management departments based on regional conditions (the letter "A" represents provincial capitals, regional capitals, or central urban areas of municipalities, with subsequent letters ranked without specific order). Function of license plates: License plates serve as unique identifiers for vehicles, primarily enabling identification of the vehicle's province, city, or county of registration. Vehicle management departments can trace the owner through the license plate.

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LeviLynn

08/15/25 11:32pm

The license plate quota is our city's vehicle license plate lottery system. Due to rapid car growth causing congestion and pollution, the government controls it by issuing a limited number of license plate quotas. Simply put, if you want to buy a car, you must first apply for this quota—either participate in the lottery and rely on luck or bid to purchase a license plate. For example, in Beijing, the lottery winning rate is less than 1%, and you might wait one or two years; in Shanghai, the bidding fee for a license plate can be as high as over 100,000 RMB. I think the mechanism is quite fair, but there are also many issues in practice, such as local household registration or residence permits being a threshold, making it difficult for non-locals, and scalpers driving up prices. The benefit is controlling the total number of vehicles to ease traffic, while the downside is increasing individual car purchase costs and time. From experience, it's best to plan the application process in advance and stay updated on policy changes, such as some cities prioritizing new energy vehicle quotas.

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