Ministry of Commerce: The old-for-new policy has driven sales exceeding 4.16 trillion yuan; the policy will focus on boosting service consumption and sinking market consumption

Caixin: How will new policies in the coming year continue to boost consumption? On March 6, at the Fourth Session of the 14th National People’s Congress, Minister of Commerce Wang Wentao stated that continuing the old-for-new replacement policy for consumer goods remains a key focus for the new year. He introduced that, so far, the old-for-new policy has driven sales exceeding 4.16 trillion yuan, benefiting 531 million people. This year’s replacement policy will mainly support green smart products and offline physical retail. Additionally, in the field of consumer goods, the Ministry of Commerce will support 50 pilot cities including Beijing, focusing on the first-launch economy, cross-sector integration, and other areas to create new consumption scenarios.

The Government Work Report released on March 5 indicated that in 2026, over a long-term special government bond of 250 billion yuan will be allocated to support the old-for-new replacement of consumer goods. Although this amount is lower than the 300 billion yuan in 2025, it is higher than the 150 billion yuan in 2024. The subsidy categories in 2026 will be more focused, mainly on automobiles, refrigerators, washing machines, TVs, smart glasses, and other products. (See Caixin report “Government Work Report: 250 billion yuan in long-term special government bonds allocated in 2026 to support the old-for-new replacement of consumer goods”)