China front-loads 62.5 bln yuan funds to support 2026 consumer goods trade-in program

China has allocated 62.5 billion yuan (about 8.88 billion U.S. dollars) in ultra-long special treasury bond funds in advance to support the trade-ins of consumer goods for 2026, the country's top economic planner said Tuesday.

The funds -- the first to support the trade-in program for 2026 -- were initiated by the National Development and Reform Commission (NDRC) and the Ministry of Finance, the NDRC said.

The move aims to ensure policy continuity and meet surging consumption demand during the upcoming New Year and Spring Festival holidays, the NDRC said, noting that it will guide local authorities to leverage the funds and implement the consumer goods trade-in program in an improved, orderly manner.

Also on Tuesday, the NDRC and the finance ministry issued a joint announcement, detailing policies and measures for the implementation of large-scale equipment renewal and consumer goods trade-in programs in 2026.

According to the announcement, consumers will continue to receive subsidies through trade-in programs for products ranging from automobiles to six types of home appliances: refrigerators, washing machines, televisions, air conditioners, computers and water heaters.

In one example, consumers can enjoy a 15 percent subsidy when purchasing a Grade-I energy-efficient home appliance product, to a maximum of 1,500 yuan of the sales price.

The consumer goods trade-in program for the purchase of new digital products will also be expanded to include smart products such as AI glasses and intelligent home products, including elderly-friendly home products.

As for equipment renewals, subsidy programs will be expanded to include elevators for installation in old residential buildings, equipment used in elderly care homes, and equipment used for firefighting, rescue or testing purposes, according to the announcement.

The expansion of domestic demand is set to top China's major economic priorities next year, according to the recent Central Economic Work Conference, which also outlined plans to implement consumption-boosting campaigns, as well as plans to increase the incomes of urban and rural residents.