Written by Cláudio Afonso | LinkedIn | X
China’s Ministry of Commerce plans to finalize its 2025 car trade-in follow-up policy in advance to stabilize market expectations and facilitate used vehicle transactions, Song Yingjie, an official with the ministry’s department for consumption promotion, said on Thursday.
China’s vehicle sales in October totaled 3.05 million units, a 7% increase from a year earlier and up 8.7% sequentially. New energy vehicle (NEV) penetration rose to 46.8% last month, compared to 45.8% in September and 33.5% in October 2023.
Speaking at the 2024 Auto Finance Industry Summit, Song noted that the ministry has so far received over 4 million subsidy applications for passenger vehicle trade-ins under a renewal program launched earlier this year, according to a report by Securities Times, cited by Global Times.
The subsidies are part of a broader national initiative announced in March aimed at boosting domestic auto consumption and supporting economic growth through equipment upgrades and trade-ins of consumer goods.
Under the current program, consumers trading in an old car for a new energy vehicle (NEV) are eligible for a 20,000 yuan ($2,781) subsidy, while those opting for a new fossil fuel-powered car receive a 15,000 yuan incentive.
The Shenzhen-based giant BYD achieved a new record in October by delivering over 500,000 NEVs, crossing the half-million threshold for the first time in a single month. Last week, BYD’s weekly registrations increased by 10% sequentially to 94,700 vehicles.
Written by Cláudio Afonso | LinkedIn | X
