As reported by Shanghai Business, the Shanghai Municipal Commission of Commerce has recently unveiled the '2026 Shanghai Action Plan for Expanding Consumption', which aims to expedite automobile renewal and stimulate consumption. The plan outlines a series of measures, including the continuous implementation of trade-in initiatives for used cars to tap into the latent consumption power. It also supports eligible consumers in applying for special quotas for new energy vehicles and introduces policies to reduce or waive purchase taxes.

Simultaneously, the plan focuses on optimizing the automobile circulation chain by accelerating the phase-out of outdated vehicles, nurturing and expanding the used car market, and implementing convenient measures. These measures include lifting restrictions on vehicle relocation, enabling 'reverse invoicing' in sales transactions, and streamlining inter-regional transaction registrations.

Furthermore, the plan encourages automobile manufacturers to offer discounts for trading in used cars for new ones, either independently or in collaboration with used car dealers. They are also urged to provide sales or leasing services tailored to this trade-in process, thereby enhancing consumer convenience and promoting a more sustainable automotive ecosystem.