China Expands Support for Tech Upgrades and Trade-In Programs
China has announced plans to significantly boost funding for equipment upgrades and consumer goods trade-in programs in 2025. The government aims to support technological advancement and promote sustainable growth by expanding subsidies and increasing investment in key sectors.
Yuan Da, deputy secretary-general of the National Development and Reform Commission (NDRC), stated at a press conference in Beijing that the country will increase the issuance of ultra-long special treasury bonds. These funds will be used to support large-scale upgrades in areas such as electronic information, production safety, and agricultural facilities.
Subsidies for Digital Gadgets
Consumers can look forward to enhanced subsidies when purchasing three categories of digital products: mobile phones, tablets, and smartwatches or wristbands. This move is designed to make the latest technology more accessible and encourage the adoption of new devices among the population.
Promoting Green Technology
The government is also increasing subsidies for upgrading new energy city buses, batteries, and agricultural machinery. This initiative is part of a broader effort to accelerate the green transition and promote environmentally friendly technologies across the country.
Boosting Domestic Demand
In March 2024, China launched an action plan to promote equipment renewal and consumer goods trade-in programs. Over the past year, these programs have successfully boosted investment and household consumption. According to Yuan Da, national investment in equipment and appliance purchases increased by 15.8% year-on-year in the first 11 months of 2024, contributing significantly to the country’s total investment growth.
Trade-in programs have been particularly effective in promoting new energy vehicles (NEVs). More than 60% of consumers participating in these programs chose to buy NEVs, pushing China’s market penetration rate of new energy passenger vehicles to over 50% for six consecutive months.
Looking Ahead
The country allocated 300 billion yuan (approximately $42 billion) in ultra-long special treasury bonds in 2024 to support these initiatives. Zhao Chenxin, deputy head of the NDRC, stated that in 2025, China will increase funding, expand coverage, and optimize the implementation of these policies to amplify their impact.
“We will work with relevant departments to ensure more residents and enterprises benefit from these policies through concrete actions,” Zhao said.
These efforts reflect China’s commitment to fostering innovation, supporting sustainable development, and stimulating economic growth through increased domestic consumption and investment.
Reference(s):
China to boost support for equipment upgrades, goods trade-in programs
cgtn.com
