In April this year, the state launched a new round of car trade-in action, encouraging the replacement of old cars with high energy consumption, high emissions, long service life and potential safety hazards for new energy vehicles or energy-saving vehicles.
With the steady improvement of living standards, there is a growing demand for high-quality consumer durables. As a bulk durable consumer goods, automobiles are the focus of this trade-in. How to insist on implementing car trade-in with high standards? How much can it be subsidized? Where do the recycled scrap cars go? The reporter conducted an on-site visit.
How much can the subsidy be compensated?
Government + enterprise "two-pronged"
In the Xi'an Zhengyao Hongtong 4S store located in Chanba Automobile Theme Park, many consumers are buying new cars. The introduction of multiple favorable policies has made Mr. Li, a citizen of Xi'an who once had a wait-and-see attitude towards new energy vehicles, strengthen his determination to change cars.
"The old car that was replaced was a fuel car, and when I bought it, it was a second-hand car, and I only learned to drive it for the convenience of practice, and as the driving technology became more and more proficient, I felt that the driving feeling of this car was not very good and the years were long. In addition to the preferential strength, new energy vehicles have a fashionable appearance, fast technology updates, more and more humane, and more importantly, low cost and more convenient charging. Mr. Li calculated an account, and after scrapping the old car, he enjoyed a government subsidy of 10,000 yuan, plus a replacement subsidy of 4,000 yuan in the store, which saved him a lot of money.
On June 26, in the Xi'an Zhengyao Hongtong 4S store, customers were experiencing new energy vehicles. Reporter Yuan Chen/photo
The "Shaanxi Provincial Automobile Trade-in Subsidy Implementation Rules" clarifies that individual consumers who scrap fuel passenger vehicles with emission standards of China III and below or new energy passenger vehicles registered before April 30, 2018 (including that day), and purchase new energy passenger vehicles or fuel passenger vehicles with displacement of 2.0 liters and below that are included in the Ministry of Industry and Information Technology's "Catalogue of New Energy Vehicle Models Reduced or Exempted from Vehicle Purchase Tax" will be given a one-time fixed subsidy.
For those who scrap the above two types of old cars and purchase new energy passenger vehicles, a subsidy of 10,000 yuan will be provided; For scrapping fuel passenger cars with emission standards of China III and below and purchasing fuel passenger cars with a displacement of 2.0 liters and below, a subsidy of 7,000 yuan will be provided.
The "Implementation Rules for the Trade-in of Cars and Consumption Promotion Activities in Xi'an" clarifies that for residents who meet the conditions for participating in the activities, if they purchase new energy passenger vehicles through the transfer of passenger cars under their personal names (excluding change of registration), they will be given a replacement subsidy of 1,000 yuan on the basis of the subsidy standard for purchasing new cars.
In addition, our province also encourages automobile manufacturers to independently carry out replacement and renewal subsidy concession activities, which has a superimposed effect with government subsidies. BYD, Geely and other car companies have carried out replacement and renewal subsidy activities, and on the basis of the replacement of old cars, consumers who have handed over old cars have been given replacement subsidies ranging from 1,000 yuan to 15,000 yuan, which will further boost the vitality of automobile consumption.
"Since the introduction of the trade-in policy, related orders have increased, especially driving the sales of new products." Zhang Lu, sales director of Xi'an Zhengyao Hongtong, said that the trade-in encourages consumers to buy newer, more technical and better quality products to promote consumption upgrading. At the same time, enterprises can also carry out technology development based on the needs of more users, better adapt to the escalating consumption trend, and launch more intelligent, green and personalized new products to provide strong impetus for the automobile market to change "energy".
According to the relevant person in charge of the Shaanxi Provincial Department of Commerce, the implementation time of car trade-in will be from April 24, 2024 to December 31, 2024, and consumers who buy new cars during this period can enjoy subsidies. The subsidy application period is from April 24, 2024 to January 10, 2025, which is 10 days longer than the time to purchase a car, so that consumers who buy a car on the expiration date can have sufficient time to go through the application procedures.
Where did the old car go?
Refined dismantling "turning waste into treasure"
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According to the results of the 2024 new energy vehicle consumption survey conducted by the China Association of Automobile Manufacturers and others, more than sixty percent of respondents believe that it is "necessary" to introduce a car trade-in policy, and nearly one-third of them plan to replace old cars and buy new energy vehicles within a year.
Where do old cars go?
After the trade-in, some old cars enter the market as second-hand cars, and some old cars that can no longer be used need to be scrapped.
As an important part of the trade-in consumption chain, who will recycle and dispose of waste cars is not only directly related to the consumption experience of consumers, but also affects the effectiveness of trade-in work.
In Shaanxi Provincial Scrapped Automobile Recycling and Dismantling Co., Ltd., a car waiting to be scrapped under an aerial shot. Reporter Zhang Linhao/photo
Shaanxi Provincial Scrapped Automobile Recycling and Dismantling Co., Ltd., located in Fengjing Industrial Park, Yiyi District, Xi'an City, has an annual production capacity of 30,000 scrapped motor vehicles, and is the first in the province to realize the assembly line and harmless dismantling of scrapped vehicles.
Here, after the inspection and verification of the vehicle appearance, engine number, frame number, etc., the scrapped old cars are successively transported by trailers and forklifts to the refined dismantling workshop to enter the dismantling process, and through crushing, sorting and other links, iron, copper, aluminum, plastic, etc. are sorted out step by step to complete its "regeneration" journey.
"It is estimated that after the fine dismantling of a scrapped small car, about 36 kilograms of rubber, 70 kilograms of plastic, 740 kilograms of scrap iron, and 100 kilograms of aluminum can be decomposed." Qin Rui, director of the comprehensive management department of Shaanxi Scrapped Automobile Recycling and Dismantling Co., Ltd., said, "The effective recycling and recycling of these resources is equivalent to opening a 'second mine' to 'eat and squeeze clean' renewable resources and wastes, on the one hand, reduce pollution to the atmosphere and soil, and on the other hand, facilitate recycling." ”
In fact, some cars with good quality and complete parts can be recycled and reused. The five major assemblies in fuel vehicles are the most valuable parts in the disassembly, including the engine assembly, direction assembly, transmission assembly, front and rear axles, and frame.
"Through process improvement and technology upgrading, the recycling efficiency of these renewable resources has been greatly improved, and the original scrap treatment of an engine may only be worth more than 1,000 yuan, and after remanufacturing, the value may be at least 3 times more than 3 times." Qin Rui said.
The "Shaanxi Provincial Consumer Goods Trade-in Implementation Plan" proposes to improve the recycling and dismantling system of scrapped vehicles, guide enterprises to improve the level of recycling services, promote the door-to-door car collection service model, and facilitate the delivery of car owners.
In order to better implement the trade-in policy and provide efficient and convenient services for the masses, Shaanxi Provincial Scrapped Automobile Recycling and Dismantling Co., Ltd. uses local materials, selects trucks with intact structures and regular appearances among the recovered scrapped vehicles and transforms them into "one-stop" convenient service windows, and sets up party member demonstration posts to carry out policy consultation and business handling.
On June 25, at the "one-stop" convenient service window for scrapped cars, citizens were handling business. Reporter Zhang Linhao/photo
On May 29, Mr. Dong, who lives in Chang'an District, Xi'an, went through the scrapping procedures for old cars at the "one-stop" convenient service window of Shaanxi Scrapped Automobile Recycling and Dismantling Co., Ltd.
"This car has been driving for 19 years, a few days ago through the trade-in purchase of a new car, online check the list of acquisition of old car companies, call to consult the process and then drive the car over, the whole process is very convenient less than 10 minutes to complete the process, June 5 to get the "motor vehicle cancellation certificate" and "scrapped motor vehicle recycling certificate", now waiting for the subsidy fee to arrive." Mr. Dong said with a smile.
"In addition, we have strengthened cooperation with auto repair shops and 4S shops, and also launched an online recycling platform, where residents can place orders at home with one click, and staff will come to tow trucks, striving to open up a complete industrial chain from sorting and recycling, waste resource utilization to waste trading." Zhao Hang, deputy director of the planning, investment and operation department of Shaanxi Scrapped Automobile Recycling and Dismantling Co., Ltd., said.
The "Shaanxi Provincial Consumer Goods Trade-in Implementation Plan" clearly states that by 2025, the elimination of passenger cars with emission standards of China III and below will be accelerated, and the recycling and dismantling of scrapped vehicles will increase by 50% compared with 2023; By 2027, the amount of end-of-life vehicles recycled and dismantled will double compared to 2023. (Reporter Yuan Chen)