A buyer learns about an intelligent refrigerator during the 137th edition of the China Import and Export Fair in Guangzhou, south China's Guangdong Province, April 16, 2025. (Xinhua/Lu Hanxin)

China will strengthen and expand the implementation of large-scale equipment upgrades and trade-in policies for consumer goods, according to a notice issued by the National Development and Reform Commission (NDRC) and the Ministry of Finance (MOF) on Tuesday.

The country will increase support for equipment upgrade projects in key sectors. While continuing to support equipment upgrades in industries, energy-consuming equipment, energy and power, transportation, logistics, environmental infrastructure, education, culture and tourism, medical care, and old elevators, the scope of support will be further expanded to fields such as electronic information, production safety, and facility agriculture, with a focus on supporting the application of high-end, intelligent, and green equipment, said the notice posted on the NDRC's website.

Leveraging the policy tool of relending for technological innovation and technological upgrading, the NDRC will allocate funds from ultra-long-term special treasury bonds to provide additional interest subsidies on the principal of bank loans related to equipment renewal for eligible business entities, on top of the 1.5 percentage point interest subsidy from the central government, further reducing the financing costs for equipment renewal by business entities.

China will conduct in-depth assessments and diagnoses of existing equipment in industries such as manufacturing, agriculture, energy, construction, transportation, education, culture and tourism, and healthcare, and clarify equipment renewal goals, tasks, and implementation plans by sector and industry, the notice said.

In terms of boosting support for the consumer goods trade-in program, the country will continue to allocate ultra-long-term special treasury bond funds directly to local governments to support the trade-in of old consumer goods. Localities should focus on key areas, prioritize support for the trade-in of large durable consumer goods, explore the linkage between subsidy policies and financial support, give full play to the leverage effect of policy funds, and promote the entry of more high-quality durable consumer goods into residents' lives, per the notice.

To meet peak-season demand during the upcoming New Year and Spring Festival, the NDRC, together with the MOF, recently allocated the first batch of 62.5 billion yuan in ultra-long-term special national bonds for 2026 to support consumer goods trade-in programs to local authorities in advance, according to the notice.

The trade-in programs have helped stimulate consumption. From January to November this year, consumer goods trade-in programs drove sales of related products exceeding 2.5 trillion yuan, benefiting over 360 million people, the CCTV News reported.

Global Times