On January 1, 2026, the new policy on used car exports jointly issued by the Ministry of Commerce, the Ministry of Industry and Information Technology, the Ministry of Public Security, and the General Administration of Customs officially came into effect, marking the beginning of a “full-chain supervision era” for the domestic used car export industry.
This new policy directly addresses industry irregularities, not only restructuring the export supervision system but also profoundly rewriting the pricing logic of vehicle sources, leading to price differentiation among different models, accelerating the reshuffling of the industry landscape, and driving the industry’s transformation from “wild growth” to “standardized and improved quality.”
I. The implementation of three major regulatory red lines precisely addresses industry pain points.
In recent years, my country’s used car exports have experienced explosive growth, surging from 4,300 vehicles in 2020 to 436,000 vehicles in 2024, covering more than 160 countries and regions.
However, along with this expansion, problems such as disguised exports of new cars, falsified license information, and non-compliant modified vehicles have frequently occurred. The new policy, through three core control measures, comprehensively strengthens the regulatory defense.
The new policy clearly stipulates that for the export of nearly new cars registered less than 180 days ago (including 180 days), companies must submit an “After-Sales Service Confirmation Letter” issued by the vehicle manufacturer. This letter must detail the export country, vehicle information, overseas after-sales service network, and other core information, and be stamped with the official seal. Otherwise, an export license will not be issued.
This requirement eliminates the chaos of “new cars being disguised as used cars for export” at the source, while also binding automakers’ overseas after-sales responsibility and improving the reputation of exported vehicles.
Addressing past issues such as inaccurate information submission and missing key details in export license applications, the new policy emphasizes that the submitted information must be completely consistent with the Motor Vehicle Registration Certificate. Core information such as vehicle brand, model, and registration date must be accurately entered in the appendix.
Relevant departments will establish a dynamic monitoring mechanism to publicly notify and hold accountable companies and issuing agencies that repeatedly violate regulations, ensuring the authenticity and reliability of export data and maintaining industry order and standardization.
To address the chaotic export situation of modified vehicles, the new policy requires companies to accurately fill in relevant information about their modified vehicles and submit proof of the authenticity of the modifications.
Export licenses will not be issued for modified vehicles that cannot prove the authenticity of the modifications, are not listed in the Ministry of Industry and Information Technology’s “Announcement of Road Motor Vehicle Manufacturers and Products,” and lack valid national mandatory product certification (CCC certification).
Furthermore, local commerce departments must conduct comprehensive investigations of local modified vehicle manufacturers, strengthen full-process supervision, and prevent compliance risks.
II. Price polarization among car models leads to vastly different fates for three types of vehicles.
After the implementation of the new policy, the adjustment of vehicle export channels directly caused fluctuations in domestic used car recycling prices, with significant differentiation among different vehicle ages and models. Prices of nearly new cars and old cars were under pressure to decline, while high-quality economy cars saw an opportunity for price increases.
Previously, about 40% of nearly new cars (within 180 days of age) flowed into the export market. Due to new policy restrictions, exports are no longer possible, leading to a large influx of vehicles into the domestic market. This oversupply has resulted in a general drop in buyback prices of 10%-20%.
According to a used car dealer, the buyback price for a 3-month-old joint venture brand sedan has dropped from 85% of the original price to 70-75%, significantly increasing the room for negotiation.
Meanwhile, older cars over 10 years old are prohibited from export due to safety and emissions non-compliance. They can only be dismantled and processed domestically, resulting in a 10%-12% drop in buyback prices. Some models nearing the end of their lifespan have even seen their buyback price fall below 1,000 yuan, making them the “disappointed” vehicles under the new policy.
High-quality economy cars aged 2-3 years, with their stable condition and high cost-effectiveness, have become the biggest beneficiaries of the new policy.
These models meet the mainstream demand in overseas markets. The standardized supervision of the new policy has further enhanced their international market trust, leading to a continuous increase in export orders and driving up domestic recycling prices by 5%-8%.
Among them, models with engine displacements of 1.5L and below are particularly favored by overseas buyers due to their suitability for low fuel consumption. The domestic recycling market has even seen competitive bidding for these vehicles, with many recycling companies upgrading their testing processes and increasing their efforts to secure these high-quality sources.
III. Major Reshuffling of Industry Landscape, with Standardized Development Becoming the Core Guiding Principle
The new policy establishes a dynamic exit mechanism for enterprises, includes seven types of dishonest behavior in a negative list, accelerates the “survival of the fittest” in the industry, further widens the gap between small and medium-sized enterprises and large enterprises, and continuously increases industry concentration.
For SMEs lacking sufficient qualifications and financial strength, the increased compliance costs and stricter regulatory requirements brought about by the new policy pose a significant challenge.
According to industry data, since the implementation of the new policy, an average of about 15 SMEs exit the market each month due to their inability to comply with regulatory requirements.
Some SMEs are beginning to seek breakthroughs through alliances, cooperation, and resource integration, such as jointly establishing testing centers, sharing overseas after-sales service networks, or affiliating with the export channels of large enterprises to reduce operating costs.
Large enterprises, leveraging their mature testing capabilities, ample financial reserves, and well-established overseas channels, have demonstrated strong adaptability to the new policies, gradually dominating the export-oriented recycling market.
Taking a large used car export company as an example, it has further consolidated its leading position in the industry by optimizing export processes and raising vehicle testing standards, through strict compliance management and high-quality service.
This new policy does not employ a “one-size-fits-all” approach, but rather adopts a combined approach of control and guidance: while strengthening supervision and rectifying irregularities, it encourages companies to build overseas after-sales networks and create “one-stop” export service platforms, promoting the industry’s transformation from “single export” to “full-chain service.”
The policy’s direction is clear, aiming to guide the industry towards standardized development, help Chinese used cars establish a reliable international brand image, and enhance their competitiveness in the global market.
IV. Industry practitioners actively respond and jointly build a new ecosystem for industry development.
Faced with the changes brought about by the new policy, industry practitioners have adjusted their strategies and promoted the used car export industry towards a high-quality development stage through differentiated layout and collaborative development.
SMEs reduce costs through “alliance-based” development: On the one hand, they jointly purchase advanced testing equipment, share professional technicians, and establish unified testing standards to improve vehicle quality; on the other hand, they jointly invest in building after-sales service networks in key overseas markets, uniformly stock spare parts, train repair personnel, and improve the after-sales support system.
Simultaneously, they strengthen cooperation with large enterprises, leveraging their brand influence and overseas channels to expand their business scope.
Large enterprises focus on “improving quality and efficiency,” increasing R&D investment: introducing intelligent testing equipment and AI big data systems to improve the efficiency and accuracy of vehicle testing, ensuring exported vehicles meet quality standards; utilizing big data analysis to understand overseas customer needs and launch personalized after-sales service solutions, such as providing preventative maintenance suggestions based on vehicle driving data, thereby improving customer satisfaction.
Furthermore, they actively explore emerging markets, conducting in-depth research on the regulations, policies, and consumer preferences of different countries, customizing adaptable product strategies, and further expanding their international market share.
The entire industry has reached a consensus to leverage the new policy to improve overall service levels: strengthening overseas after-sales team training, regularly conducting professional skills training and technical guidance to enhance the service capabilities of repair personnel; establishing a comprehensive customer feedback mechanism, collecting opinions through multiple online and offline channels, and promptly optimizing service content.
Simultaneously, companies within the industry are strengthening communication and cooperation, sharing market information and compliance experience, and jointly participating in international auto shows and industry exhibitions to showcase high-quality Chinese used car products and services, enhancing the international reputation and brand influence of Chinese used cars.
Overall, the implementation of the new used car export policy in 2026 marks a significant turning point for the industry’s development. While the upgraded regulations may bring short-term market fluctuations and structural adjustments, in the long run, they will effectively purify the industry environment, promote the industry’s standardization and high-quality development, and open up broader international opportunities for Chinese used car exports.
