China’s trade-in program for automobiles and home appliances is gaining traction, fueling economic recovery and driving sustainable consumption, according to the Ministry of Commerce (MOFCOM).
Since its launch, the initiative has sparked a strong response, with 1.57 million applications for vehicle scrappage incentives and 1.26 million for automobile replacement subsidies as of Thursday, reflecting a growing interest among consumers in upgrading their vehicles, Li Gang, Director General of the Department of Market Operation and Consumption Promotion, announced at a press conference.
In September, new-energy passenger vehicles dominated sales, comprising over 53 percent of all passenger vehicle sales, marking a shift towards greener options in China’s automotive market. Similarly, the home appliance trade-in program has been a major success, with nearly 20 million appliances purchased across eight key categories, generating sales worth 91.34 billion yuan ($12.82 billion). Over 10 million buyers have already participated, MOFCOM reported.
“The stimulus policy package is not only boosting consumer spending but also supporting the development of quality productive forces and the green transition of associated industries,” said Li Gang.
China’s National Bureau of Statistics data shows September’s total retail sales of consumer goods reached 4.11 trillion yuan, a 3.2 percent year-on-year increase, indicating a steady consumer market recovery. Analysts believe the government’s intensified support is essential to sustaining this growth, aligning with annual economic targets.
Looking ahead, MOFCOM plans to intensify the program’s impact during peak shopping periods, including the upcoming Double 11 shopping festival, to ensure substantial progress in driving consumer demand and sustainable consumption across the nation.
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