BEIJING: China has rolled out a package of policy measures promoting large-scale equipment upgrades and consumer goods trade-ins in an effort to encourage companies to invest in themselves and boost consumption to help the economy achieve sustainable and high-quality growth, officials and experts said.
Financial support, tax incentives and fiscal measures will be shored up in a coordinated manner to foster synergy to help deliver the initiative on the ground, bringing tangible benefits to businesses and consumers, they added.
They made the remarks after the State Council, China’s Cabinet, adopted a specific action plan this month to advance the initiative, which was first put forward in December at the annual Central Economic Work Conference, where the nation’s top officials charted the course for the world’s second-largest economy for this year.
While businesses are encouraged to invest in upgrading their equipment, the trade-in programs focus on stimulating consumer behavior among the people, said Ning Jizhe, deputy director of the Committee on Economic Affairs of the National Committee of the Chinese People’s Political Consultative Conference.
The plan said it’s imperative to ensure that the upgraded equipment and replaced consumer goods meet energy efficiency standards, scale back emissions and promote technological advancements.
Meanwhile, in a bid to continuously increase advanced production capacity and bring more high-quality durable consumer goods into residents’ lives, policymakers are upholding a market-oriented approach with appropriate government guidance, the plan said.
China is currently facing a substantial demand for large-scale equipment upgrades. While strategic emerging industries and high-tech sectors have experienced rapid development over the past decade, traditional industries still account for over 80 percent of the manufacturing sector, Ning said. –The Daily Mail-China Daily news exchange item
