On 7 March 2024, the State Council introduced the Action Programme aimed at driving Large-scale Equipment Renewal and Consumer Goods Replacement (hereinafter referred to as the Action Programme). By 2027, the program envisages a more than 25% increase in investment scale across various sectors including industry, agriculture, construction, transportation, education, culture, tourism, and medical care compared to 2023. Key objectives include enhancing the energy efficiency of major energy-consuming equipment, boosting the adoption of environmentally friendly production capacities, and significantly elevating the utilization of digital research and development (R&D) tools and numerical control (CNC) processes in industrial enterprises. Additionally, targets for increased recycling of end-of-life automobiles and used home appliances, along with a greater share of recycled materials in resource supply, have been set.
The Action Programme outlines several key strategies. Firstly, it prioritizes equipment renewal initiatives, focusing on key industries, construction, municipal infrastructure, transportation, and agricultural machinery, as well as upgrading educational, cultural, tourism, and medical equipment. Secondly, it emphasizes consumer goods trade-ins, facilitating exchanges of automobiles, home appliances, and home furnishing goods. Thirdly, it underscores the importance of recovery and recycling efforts, including improving the network for used product and equipment recycling, promoting second-hand commodity circulation, and advancing resource recycling through remanufacturing and gradual utilization. Fourthly, it stresses the enhancement of standards, particularly in energy consumption, emissions, technical specifications, product technology, and resource recycling. Finally, it highlights the need for robust policy support, including increased financial assistance, optimized tax policies, enhanced innovation support, and strengthened protection of factors of production.
