30000billion Yuan! Support Large-scale Equipment Updates And Consumer Goods Trade-in

Source: National Development and Reform Commission

The Ministry of Finance of the National Development and Reform Commission issued a notice on Several “Measures to Strengthen Support for large-scale equipment renewal and the replacement of old consumer goods with new ones”〔2024〕1104

 A number of measures to support large-scale equipment renewal and the replacement of old consumer goods with new ones.

 First, increase support for equipment renewal.

1. Optimize equipment update project support. We will arrange special funds for large-scale equipment renewal of super long-term special Treasury bonds to increase support for equipment renewal. On the basis of equipment renewal and recycling in the fields of industry, environmental infrastructure, transportation, logistics, education, cultural tourism, medical care and other fields, the scope of support will be expanded to energy and electricity, old elevators and other fields of equipment renewal, as well as energy conservation, carbon reduction and safety transformation of key industries, and combined with actual dynamic adjustment. Overall consideration of the characteristics of different areas, lower the threshold for the declaration of ultra-long-term special Treasury bond funds, no longer set the requirement of "total project investment of not less than 100 million yuan", and support small and medium-sized enterprises to update equipment. Relevant projects will be supported by the National Development and Reform Commission in the form of investment subsidies, simplifying the application and approval process, and effectively improving work efficiency.                              

2. Support the scrapping and renewal of old operating trucks. Support the scrapping of operational diesel trucks with emission standards of National III and below, and speed up the replacement of low-emission trucks. Scrap and renew qualified trucks, with an average subsidy of 80,000 yuan per vehicle; No scrapping, only renewal and purchase of qualified trucks, with an average subsidy of 35,000 yuan per vehicle; Only old operating diesel trucks are scrapped in advance, with an average subsidy of 30,000 yuan per vehicle.

3. We will increase subsidies for scrap and renewal of agricultural machinery. Focus on ensuring the stable and safe supply of grain and important agricultural products, improve the enthusiasm of farmers and agricultural production and operation organizations to scrap and renew old agricultural machinery, and scrap tractors under 20 horsepower on the basis of the Notice on Intensifying Efforts to Continuously Implement the Subsidy Policy for Scrapping and Renewing Agricultural Machinery (Agricultural Machinery No. 2024), The maximum scrap allowance for a single unit has been raised from 1,000 yuan to 1,500 yuan; Scrap combine harvesters, planters and other new purchases of the same type of machinery and tools, on the basis of the current subsidy standards, according to no more than 50% increase in scrap subsidy standards; Scrap and renew the purchase of cotton pickers, the maximum amount of scrap subsidies for a single unit increased from 30,000 yuan to 60,000 yuan. Each region may determine by itself no more than 6 new types of agricultural machinery to be included in the scope of subsidies, and calculate and determine the subsidy standard according to the existing regulations.

4. We will raise subsidies for new energy buses and power batteries. Promote the electric replacement of urban buses, and support the renewal of new energy buses and power batteries. New energy buses and power batteries with vehicle age of 8 years and above will receive an average subsidy of 60,000 yuan per vehicle.

5. Increase the proportion of financial discount interest on equipment renewal loans. Give play to the role of re-lending policy tools, and guide financial institutions to support equipment renewal and technological transformation. For the principal amount of bank loans that meet the conditions of the "Notice on the implementation of the Financial Discount Policy on Equipment Renewal Loans" (Finance [2024] No. 54), the central financial discount interest rate is increased from 1 percentage point to 1.5 percentage points, the discount interest period is 2 years, and the total scale of the discount interest is 20 billion yuan.