Every few months it seems like there’s another automotive company which promises to take on Tesla or build an electric supercar. Many of these companies are from China and a few of them are rarely heard from again.

Chinese officials have apparently taken notice as Reuters is reporting the country is clamping down on new electric vehicle firms. As part of this process, the country will stop issuing approvals for companies seeking to build electric vehicles.

The halt is expected to last until early next year and it will give officials time to review licensing procedures. As one business person explained, “The government wants to give approval to only truly capable and serious players.”

The problem extends beyond companies that shill vaporware as the report indicates some firms are selling poorly made models to cash in on subsidies while others are simply cheating the system outright.

In order to combat the problem, China could begin to reexamine companies which have already been given a license to build electric vehicles. If it is determined the company cannot launch a successful and reliable product, their license could be revoked.