The consumer goods trade-in policy has been implemented steadily and orderly this year, driving sales exceeding 300 billion yuan. According to Ministry of Commerce data, the program has facilitated sales of 47.623 million related products year-to-date, marking a 15.3% increase from the previous year. This has generated 323.26 billion yuan in sales revenue, up 3.2% year-on-year. Specifically, the automobile trade-in segment received 1.008 million subsidy applications, stimulating 164.43 billion yuan in new car sales. The home appliance trade-in program sold 17.13 million units, contributing 69.44 billion yuan in sales. Meanwhile, digital and smart product purchases reached 29.485 million units, generating 89.39 billion yuan in revenue.
Over the two-year implementation period, the subsidy mechanism has become more targeted, enhancing consumer benefits. Data shows that in 2025, over 360 million people applied for trade-in subsidies, driving more than 2.6 trillion yuan in related product sales and directly boosting total retail sales of consumer goods by 0.6 percentage points. The policy contributed to retail sales growth of 11% for major home appliances, 20.9% for communication equipment, and 14.6% for furniture among large-scale enterprises, while passenger vehicle retail volume increased by 3.8%.
The 2026 Government Work Report proposed expanding and upgrading commodity consumption, allocating 250 billion yuan in ultra-long special treasury bonds to support the trade-in program, and optimizing policy implementation mechanisms. This year's program focuses resources on key consumer products with broad coverage and strong ripple effects. It continues automobile scrappage and replacement subsidies while maintaining home appliance trade-in subsidies for refrigerators, washing machines, televisions, air conditioners, computers, and water heaters. The digital product subsidy has been expanded to include smart products, covering smartphones, tablets, smartwatches (bands), smart glasses, and smart home devices (including age-appropriate products).
Subsidy structures have been adjusted with automobile subsidies transitioning from fixed amounts to percentage-based subsidies while maintaining ceiling limits. Home appliance subsidies now target Grade-1 energy or water efficiency products, covering 15% of product prices with a 1,500 yuan cap per item. Digital and smart product subsidies maintain previous standards.
During the Spring Festival period, enhanced subsidy application services and promotional activities drove robust consumption growth. Ministry of Commerce data indicates sales of 5.106 million subsidized home appliances and digital/smart products during the nine-day holiday period, representing a 21.7% increase from the previous year's holiday. Industry experts note the 2026 policy aligns with consumption upgrade trends by strengthening support for smart products, potentially accelerating market penetration of premium, intelligent, and green products while shortening innovation adoption cycles and improving alignment between high-end supply and demand.