New policy to create 5-trillion-yuan market in China

China's policy on large-scale equipment renewal and trade-in consumer goods will create a 5-trillion-yuan (US$70.42 billion) market, coming from manufacturing equipment upgrading and booming home appliance and car consumption, an official said at a Two Sessions conference on Wednesday.

The policy, along with related national support such as land and finance, will effectively boost investment and consumption, benefiting economic and social development, Zheng Shanjie, director of the National Development and Reform Commission, told a broadcast Two Sessions press conference on Wednesday.

The equipment upgrade market will be a 5-trillion-yuan market, toward high-end, intelligent and green development directions. The trade-in consumption on home appliances and cars will bring at least 1-trillion-yuan market, Zheng said.

It will bring smart upgrading and high-quality development in sectors nationwide covering industrial, agriculture, transport, medical, education as well as culture and tourism.

The trade-in projects cover home appliance upgrading for intelligent and energy-efficient devices; electric vehicles replacing old cars and home decoration and adaptation for aged groups, said Zheng.

It fits well with China's blueprint on high-quality development and a 5 percent GDP growth target in 2024.

China is to launch a year-long program to stimulate consumption, and launch policies to promote digital, environmentally-friendly, and health-related consumption, according to a government report published during the Two Sessions.

In the first two months, China's home appliance and car exports grew rapidly, the Ministry of Commerce said at the conference.