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China Sets 2026 Upgrade and Trade‑In Subsidies, Pre‑Allocates ¥62.5 Billion

Car aid moves to capped price‑based rates with 30‑day payouts enforced via linked data audits.

Overview

  • Commerce Ministry and seven agencies issued implementation rules that define eligible old vehicles by registration date and require local systems to connect with the national trade‑in platform.
  • Auto subsidies shift from fixed sums to proportions: scrap and buy a new EV at 12% up to ¥20,000, scrap and buy a ≤2.0L gasoline car at 10% up to ¥15,000, trade in for an EV at 8% up to ¥15,000, and trade in for a ≤2.0L gasoline car at 6% up to ¥13,000, with each consumer eligible once.
  • Appliances and personal tech purchases receive 15% subsidies with caps of ¥1,500 for six key home appliances and ¥500 for phones, tablets, smartwatches and smart glasses, while smart‑home categories are set by local authorities.
  • Beijing has advanced the first ¥62.5 billion in ultra‑long special government bonds and set a 9:1 central‑local cost share for consumer trade‑ins, with central shares at 85% in the east, 90% in the center and 95% in the west, and unused 2026 quotas to be reclaimed.
  • Authorities order equal treatment of all sellers, ban designated recipients or local subsidy lists, and tighten oversight to target fraud, invoice manipulation and quality mislabeling, with processing timelines of 3 days for acceptance, 15 for review and 30 for payment.