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"Fiscal policy has advantages compared with the monetary policy, as it can be targeted and temporary, with a short lag. Thus, fiscal policy is more appropriate and should play the lead role in dealing with the one-off short-term impact of the epidemic," said Zhang Bin, a senior researcher of the China Finance 40 Forum, a think thank.

"For example, we have a lot of automotive companies in China looking at the state because we already have a thriving auto industry," she added. "Our business-friendly environment and tax policies are also big draws."

"Given the level of uncertainty, our economic measures provide more than financial relief," he said.

"For nearly four decades on the train, I have witnessed a great transformation: More roads have been built in the countryside, trains run faster and people enjoy better lives," Zhao said.

"Following the ID.3, this is already the second model based on the modular electric drive matrix," said Ralf Brandstaetter, chief executive officer of the Volkswagen brand. MEB is a modular car platform designed purely for electric vehicles from Volkswagen.