National car replacement subsidies issued surpass 10 million applications, with remarkable effects seen in the car replacement policy in China.

Data from the Ministry of Commerce shows that as of May 11th, the number of applications for the 2025 automobile trade-in subsidy reached 3.225 million, with 1.035 million for scrappage and 2.19 million for replacement. Since the implementation of the automobile trade-in policy in 2024, the total number of subsidy applications has exceeded 10 million. The trade-in policy has effectively promoted the continuous recovery of automobile consumption. From January to April, the domestic retail sales of passenger vehicles reached 6.872 million units, a year-on-year increase of 7.9%. In the trade-in program this year, new energy vehicles accounted for over 53%. From January to April, the cumulative retail sales of new energy passenger vehicles reached 3.324 million units, an increase of 35.7% compared to the same period last year, with a market penetration rate of 48.4%, an increase of 0.8 percentage points from the full year of 2024.