Nine Ministries Launch Green Auto Consumption Policy: Targeting 18.3 Million Trade-Ins, with Nearly 60% for New Energy Vehicles

Recently, the Ministry of Commerce and eight other government departments jointly issued the "Notice on Implementing the Green Consumption Promotion Initiative," explicitly designating green automotive consumption as a key priority during the 15th Five-Year Plan period (2026–2030). The policy supports the purchase of new energy vehicles (NEVs), aiming to achieve 18.3 million vehicle trade-ins between 2024 and 2025, with NEVs accounting for nearly 60% of this total. Starting in 2026, consumers scrapping and replacing their old vehicles will be eligible for subsidies of up to RMB 20,000, while those opting for trade-in replacements can receive up to RMB 15,000. Local governments, including Shanghai, have already introduced supporting measures such as issuing free dedicated license plates for NEVs and extending trade-in subsidies. The notice also emphasizes the automotive aftermarket, promoting green and circular development in areas including used car sales, vehicle leasing, modifications, and RV camping. Experts note that automakers must shift toward scenario- and experience-driven strategies, accelerating their transformation into intelligent mobility solutions and “third living spaces.”