China allocates $8.9 billion fund for 2026 consumer goods trade-in scheme

By Reuters | Updated: December 30, 2025

BEIJING, Dec 30 (Reuters) – China has allocated 62.5 billion yuan ($8.94 billion) in ultra-long special treasury bond funds to support its consumer goods trade-in scheme next year, state news agency Xinhua reported on Tuesday.

China launched the scheme in 2024, offering subsidies when consumers replace old appliances, bicycles and even cars, in a bid to shore up domestic demand amid persistent economic and trade pressures at home and abroad.

Commuters walk as they exit a subway station at the Lujiazui financial district in Shanghai, China April 15, 2025. REUTERS/Go Nakamura Purchase Licensing Rights

Tuesday’s report did not specify the total size of the fund for the 2026 scheme. China set aside 300 billion yuan in special treasury bonds this year.

In a separate statement jointly issued by China’s state planner and finance ministry, the government said digital and smart products will be included in the scheme next year.

Smartphones, tablets, smartwatches and smart wristbands will qualify for a 15% rebate, capped at 500 yuan each.

Consumers purchasing any of six categories of major home appliances will also be eligible for a 15% subsidy, of up to 1,500 yuan per item.

Buyers scrapping old cars will receive subsidies equal to 12% of the purchase price of new energy vehicles, capped at 20,000 yuan, while those replacing older vehicles with new NEVs will get 8%, up to 15,000 yuan.

($1 = 6.9885 Chinese yuan renminbi)

Reporting by Shi Bu and Kevin Yao Editing by David Goodman, Kirsten Donovan

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