New Used Car Export Policy Takes Effect: Accelerated Industry Reshuffling, Compliance and Quality Improvement Become Key to Breaking the Deadlock
Recently, a "car hoarding frenzy" has swept through China's used car export circle-many used car dealers are rushing to purchase cars in bulk and complete registration and transfer procedures before December 31, 2025, just to successfully apply for export licenses before the new policy officially takes effect. Behind this frenzy is the new used car export policy jointly issued by four departments. Its implementation will not only end the long-standing gray-area chaos in the industry, but also promote a comprehensive transformation and upgrading of China's used car export industry.
On November 11, 2025, the Ministry of Commerce, the Ministry of Industry and Information Technology, the Ministry of Public Security, and the General Administration of Customs jointly issued the "Notice on Further Strengthening the Management of Used Car Exports" (hereinafter referred to as the "Notice"). The Notice directly addresses the unspoken rules in the automotive export sector in the past two years-the chaos of exporting "zero-kilometer used cars"-and clearly proposes to strictly control the export of new cars under the guise of used cars, drawing a clear compliance red line for the industry. So-called "zero-kilometer used cars" are actually "pseudo-used cars" that have completed registration but have extremely low actual mileage and are indistinguishable from new cars. Some companies use this "registration-is-export" operation to circumvent the technical certification and high tariffs required for new car exports. This allows them to obtain up to 13% export tax rebates and local subsidies while simultaneously flooding overseas markets with prices 15% to 40% lower than legitimate new cars. This not only disrupts international market order but also damages the international reputation of Chinese automobiles.
According to industry data, over 90% of China's exported new energy used cars in 2024 were these "zero-kilometer used cars," and this number is expected to reach millions by 2025. "After the new policy is implemented, only OEMs and their authorized exporters will be able to export zero-kilometer new cars in the future." This blog believes this means that the vast majority of ordinary used car export traders must abandon their speculative mentality, return to the essence of used car exports, and focus on genuine used car trading. The current practice of blindly hoarding cars is not a long-term solution.
The new policy's three core measures will directly reshape the industry landscape. The "Notice" outlines six specific measures across three dimensions: strict management, compliance review, and healthy development. Each measure directly addresses industry pain points, with the three core requirements directly determining the future survival of used car export companies:
First, strict control over the export of new cars disguised as used cars. From January 1, 2026, for vehicles applying for export that are less than 180 days (inclusive) from their registration date, local commerce authorities will guide companies to submit a "Confirmation of After-Sales Service" issued by the vehicle manufacturer. This confirmation must clearly state the country of export, vehicle information, and after-sales service outlets, and be stamped with the company seal. Vehicles unable to provide this document will not be issued an export license. This combination of a "180-day registration period + after-sales confirmation" curbs the arbitrage of "new cars being used" at the source, directly linking after-sales responsibility to export eligibility and encouraging companies to adopt a long-term service mindset.
Second, strengthened compliance review for the export of modified vehicles. In response to some companies' attempts to circumvent regulations through "modification," the appendix to the "Notice" clarifies the requirements for the authenticity of modifications. It stipulates that companies exporting modified vehicles must truthfully fill in information such as chassis brand, modified vehicle brand, and vehicle model, and submit complete supporting documentation proving the authenticity of the modifications. For modified vehicles that cannot prove their authenticity, are not listed in the "Announcement of Road Motor Vehicle Manufacturers and Products," or lack valid national mandatory product certification, export licenses will not be issued, completely blocking the illegal path of "pseudo-modification."
Thirdly, a dynamic management and exit mechanism for enterprises is established. The "Notice" explicitly requires local commerce departments to strengthen the construction of a credit evaluation system for used car exports. Based on the "Negative List of Dishonest Behaviors in Used Car Exports," daily supervision and dynamic management of enterprises will be conducted. The list precisely identifies seven major violations, including exporting prohibited vehicles, forging relevant documents, and failing to fulfill quality assurance obligations. Enterprises violating these regulations will be legally removed from the market, further standardizing industry competition.
Industry Reshuffle: Half of Exporters to be Eliminated, Small and Medium-Sized Businesses Under Pressure
The implementation of the new policy signifies that China's used car export industry will bid farewell to its "wild growth" and enter a new development stage characterized by "high barriers to entry + high quality + high service," making an industry reshuffle inevitable. "The requirement for the 'After-Sales Service Confirmation Certificate' alone is enough to eliminate 90% of practitioners," Wang Bin's assessment reveals the predicament of many small and medium-sized used car exporters.
Huang Ruoyu, president of the Used Car Export Branch of the China Automobile Dealers Association, offered a more specific prediction: Currently, there are approximately 3,000 companies engaged in used car exports nationwide, and this number is expected to decrease by at least half by 2026. Small traders, individual practitioners, small team businesses, and those relying on policy support, lacking sufficient understanding of the car market, and lacking core competitiveness will be the first to be eliminated. After all, these companies mostly lack resources for cooperation with OEMs, cannot obtain the required "After-Sales Service Confirmation Certificate," and do not possess comprehensive overseas after-sales and parts supply capabilities, making it difficult to adapt to the compliance requirements under the new policy.
In fact, from 2019 to 2024, China's annual used car exports jumped from less than 3,000 vehicles to 436,000, an increase of over 145 times. This explosive growth was largely driven by the policy change in February 2024, which shifted used car export management from a "pilot approval system" to a "national registration system," leading to a large influx of companies blindly entering the market. The current tightening of policies does not negate the development potential of used car exports, but rather aims to regulate the market and promote the industry's transformation from "scale growth" to "value growth"-a point also evident in the November 2025 car dealer inventory warning index: the index reached 55.6%, above the boom-bust line, indicating a decline in the automotive circulation industry's prosperity and reflecting the urgency of reducing inventory and promoting compliance.
Short-term pain is inevitable, but the medium- to long-term positive trend is clear. The implementation of the new policy has led to a consensus that short-term pain in the industry is inevitable. "'Zero-kilometer used cars' account for a very high proportion of current total exports. In the initial stage of the new policy implementation, used car exports are likely to decline," said a relevant official from the China Association of Automobile Manufacturers. "Any reform will affect the interests of some groups, and the industry's return from disorderly competition to rational development will inevitably involve an adjustment period." Huang Ruoyu predicts that the total export volume of "zero-kilometer used cars" will reach approximately 450,000 units in 2025, while China's total used car exports for the year are expected to exceed 600,000 units, with the Southeast Asian market accounting for over 50%.
However, behind the short-term pain lies a positive trend in the medium to long term. Huang Ruoyu judges that used car exports will continue to rise in 2026, mainly due to two reasons: first, strong demand in overseas markets, with shortages in countries and regions such as Russia, Central Asia, and Africa leading to a continued increase in demand for high-quality, cost-effective Chinese used cars; second, the product strength and price competitiveness of Chinese used cars remain outstanding, especially in the field of new energy used cars, where the mature industrial chain still provides ample market space.
In fact, the export of "zero-kilometer used cars" is not completely blocked. The new policy essentially returns the export authority for new cars to the OEM system. For authorized export companies with deep cooperation with OEMs and large scale, as long as they can obtain the "After-Sales Service Confirmation Certificate," they still have the opportunity to export these vehicles. This means that the new policy is not a "one-size-fits-all" approach, but rather leaves room for development for compliant companies with core competitiveness.
Furthermore, the large supply of high-quality used cars brought about by the replacement of vehicles meeting the National VI emission standards has also injected new momentum into the industry. Liu Hua, a used car dealer in Hebei, believes that in the medium to long term, China's used car exports will continue to grow, with the core destinations concentrated in markets with strong demand in Asia, Africa, and Latin America. These markets mostly do not have strict emission requirements and scrapping systems, which highly match the positioning of China's used car market and will become the core engine of future industry growth.
Transformation and Upgrading: From "Selling Price Differences" to "Selling Services," Ushering in a New Chapter of High-Quality Overseas Exports
"The export of 'zero-kilometer used cars' is a one-off transaction. These vehicles have no warranty, and the more they are sold, the more they damage the brand image of Chinese cars overseas," said Wang Meng, an expert from the China Automobile Dealers Association. This highlights the deeper significance of the new policy-to promote high-quality development of the used car export industry and avoid repeating the mistakes of the 1990s when the export of domestically produced motorcycles declined due to disorderly competition at low prices.
In fact, the strategic intent of the new policy goes far beyond regulating the market; it has two deeper considerations: First, to protect the international reputation of China's automotive industry. Currently, China's new car exports have reached 6.8 million units. Although the scale of used car exports is smaller, the chaos of "zero-kilometer used cars" must not affect the overall situation of China's automotive exports. Second, to alleviate the inflation of the domestic car market. By exporting surplus domestic used car resources overseas, used car prices can be stabilized, thereby stimulating new car consumption. This is a mature path that developed countries in the automotive industry, such as Japan and South Korea, have followed.
Against this backdrop, the transformation and upgrading of used car export companies is now imperative. The core competitiveness of the industry will shift from "selling cars at low prices and profiting from the price difference" to "providing full-chain services and creating long-term value." The "Notice" explicitly encourages qualified companies to establish public display and trading markets in key overseas markets and expand comprehensive services such as marketing and warehousing; it also guides companies to collaborate with OEMs and overseas importers to improve after-sales service, strengthen cooperation with logistics, finance, and third-party quality assurance institutions, and provide "one-stop" services including used car preparation, inspection, customs clearance, and logistics.
"Currently, the markets in Russia, Central Asia, and Eastern Europe are not lacking in cars, but rather in long-term stable supply, comprehensive after-sales support, and sufficient spare parts support." The core focus for used car export companies in the future should be on service value, long-term value, and compliance value. By improving overseas after-sales networks and building a spare parts supply chain, they can enhance the reputation and competitiveness of Chinese used cars in overseas markets, and may even surpass Japan to become the largest used car exporter in Africa.
For the vast majority of used car foreign trade companies, the new policy presents both challenges and opportunities. Those companies that can quickly adapt to compliance requirements, proactively transform and upgrade, and focus on high-quality services and genuine used car trading will undoubtedly stand out in the industry reshuffle and seize the development dividends of the global used car market; while those that cling to speculative thinking and are unwilling to break through and innovate will ultimately be eliminated by the times.
China's used car exports once achieved rapid growth by virtue of its scale advantage; in the future, only by relying on compliance strength, service capabilities, and product quality can they achieve high-quality and sustainable development and truly gain a foothold in the global market.
Company Name: Jingsun Car Co., Ltd
Website: https://www.sin-auto.com/?url=jingsuncar.com
Service Countries: Ghana / Algeria / Cambodia / Middle East / East Africa (Years of practical experience, familiar with customs clearance rules of various countries)