Appliance Subsidies Temporarily Halted in Multiple Regions; Chongqing Responds, Citing Phase Two Policy Development

China is experiencing temporary suspensions of home appliance trade-in subsidy programs across several regions, including Chongqing and Hubei. The first phase of Chongqing’s subsidies has been exhausted, awaiting the second phase’s policy details, expected in early June. Consumers are facing temporary restrictions on subsidy applications on major e-commerce sites. The pause, potentially impacting offline consumption, highlights an opportunity to re-evaluate digital strategies within the subsidy framework, potentially re-launching before the June 18th shopping festivals.

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CNBC AI News – June 5th, a wave of temporary pauses in the home appliance trade-in subsidy programs across several regions in China has raised eyebrows and questions about the future of these initiatives.

Across major e-commerce platforms, including major retailer’s sites, such as JD.com, consumers are encountering messages indicating a temporary suspension of subsidy applications. For example, The page now displays the message “Activity in progress. During the upgrade, you will not be able to claim or use national subsidy benefits.”

This trend extends beyond Chongqing, with the Hubei smart home subsidy program also undergoing upgrades, temporarily restricting access to discounts. Meanwhile, the Gansu subsidy program is currently limited to users with delivery addresses in Lanzhou, with other regions still finalizing their plans.

Multiple Appliance Subsidies Temporarily Suspended! Chongqing Responds: Second Phase Policy Under Development

According to a report from the financial news outlet Cai Lian She, inquiries to the Chongqing Municipal Commission of Commerce’s service hotline revealed that the first phase of subsidy funds were exhausted on June 3rd, leading to the current suspension. The second phase’s implementation policies are still under review and formulation.

The Chongqing Municipal Commission of Commerce previously informed citizens that the precise subsidy standards, categories, and application procedures for the second phase will be detailed in subsequent official documents, with an expected release in early June.

Multiple Appliance Subsidies Temporarily Suspended! Chongqing Responds: Second Phase Policy Under Development

Those planning to purchase home appliances may need to exercise a degree of patience. Policy details are likely to be announced before June 15th providing a window of opportunity to coincide with the planned June 18th shopping festivals.

It’s worth noting that while these subsidies originally aimed to stimulate offline consumption, their primary beneficiaries have largely been online retailers. The current pause presents an opportunity to assess and potentially revamp digital strategies within the subsidy framework.

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