Analysis Of Chinese Second-hand Car Prospect

In April 2019, the Ministry of Commerce, Ministry of Public Security, General Administration of Customs jointly issued “on the support conditions mature area in the export business of second-hand car notice, clear in Beijing, Tianjin, Shanghai, Zhejiang, Shandong (JiNing), Guangdong (Taizhou), Sichuan (Chengdu), Shanxi (XiAn), Qingdao, XiaMen and other 10 provinces and cities among the first to carry out the export business of second-hand car. In November 2020, the Ministry of Commerce and the Ministry of Public Security jointly issued the Notice on Expanding the Scope of Second-hand Car Export Business, adding 20 new areas such as Taiyuan and Changchun to carry out second-hand car export business. Up to now, 98 used car export enterprises have been identified under the leadership of commercial departments in pilot cities.

On October 26, 2021, the official of the Department of Foreign Trade of the Ministry of Commerce pointed out that China’s second-hand car export faces many favorable conditions and has great potential for future development. In order to promote the healthy and orderly development of second-hand car export, MoFCOM will work with relevant departments to make good efforts, including the formulation and release of second-hand car export quality industry standards, and eliminate the export of unqualified second-hand cars. To study and formulate unified national standards for enterprise access and establish a dynamic assessment and withdrawal mechanism; Summarize and promote the good experience and good practices of second-hand car export places, and issue relevant promotion policies.

With China’s continuous development in the second-hand car market, the global second-hand car export market will also undergo great changes. At present, China’s second-hand car is still in the initial stage, the future will face the challenge of the international market. However, there are many deficiencies in China, such as the lack of understanding of foreign markets and laws and regulations, the lack of overseas service system, related supervision system, supporting services and export tax rebates, etc., which still need to be improved. Restrictions on the export of used cars in China are becoming more and more mature. It is estimated that in the next 10 years, more than 105 million used cars can be available for listing and trading, and about 10 million new cars are added every year, with serious stock backlog. At the same time, southeast Asia, South America, Africa and other developing countries demand is quite strong, the market is huge, and 70% of the world’s countries are left rudder car market, providing opportunities for the development of China’s second-hand car market, a good prospect.

Reprinted from certificate Times