China’s New Regulations on Used Car Exports

Starting 1th, Jan, 2026, China’s new regulations on used car exports will officially take effect, with the core measures being the prohibition of exporting “zero-kilometer vehicles” and the establishment of a full life-cycle after-sales responsibility traceability mechanism. Below are the key points:

I. Core of the New Regulations: Prohibit the Export of “Zero-Mile Vehicles”

The new regulation stipulates: Starting from 1th, Jan, 2026, export permits will not be issued for vehicles whose application date is within 180 days (inclusive) of the registration date.

Policy Objective: Previously, a large number of “zero-kilometer vehicles” that were registered but never driven on the road circulated through export channels. The new regulations aim to curb such practices and ensure that exported vehicles are genuine used cars.

II. Core of the New Regulations: Establish a “Post-Sale Liability Binding” Mechanism

The new regulation requires that vehicles applying for export (registered for less than 180 days) must be accompanied by an “After-Sales Maintenance Service Confirmation Letter” issued by the manufacturer, specifying the export country, vehicle information, and overseas after-sales service outlets, with a company seal affixed.

Policy Objective: Bind export qualifications with manufacturers’ after-sales responsibilities, solve the problem of overseas users’ rights protection due to the lack of localized services, and protect the reputation of Chinese brands.

III. Supporting Regulations: Credit Evaluation and Dynamic Management

Credit System Construction: Local authorities establish credit evaluation systems for used car export enterprises and conduct daily supervision in accordance with the “Negative List of Untrustworthy Behaviors in Used Car Exports.”.

Violation Handling: Enterprises that provide false information or fail to fulfill quality assurance obligations will face measures such as interviews, rectification, and license restrictions. Those with severe violations will be disqualified.

IV. Impact of New Regulations: Optimization of Industry Ecosystem

Rising export barriers: As small and medium-sized traders struggle to meet after-sales and compliance requirements, they may accelerate their exit from the market, allowing leading enterprises with capabilities in vehicle sourcing integration, inspection and preparation, and overseas service to dominate.

Export Market Layout: Transitioning from major regions to global diversification, consolidating core markets along the Belt and Road while expanding into emerging nations in Europe, Latin America, and Africa.

Export Model Transformation: Transitioning from simple vehicle sales to a comprehensive service model of “vehicle source certification + local after-sales + parts supply.”.

V. Background of New Regulations: Industry Status and Policy Trends

Industry Status: In 2024, China’s used car exports reached 436,000 units, with an expected increase to over 500,000 units in 2025, 70%-80% of which were zero-kilometer vehicles. The surge in exports has led to a chaotic domestic pricing system, while overseas users frequently complain due to a lack of service.

Policy Trend: In 2026, policies will focus on “compliance, quality improvement, and ecosystem optimization,” standardizing the domestic market through measures such as unified contracts, vehicle condition data traceability, and mandatory warranties, while strengthening export supervision.

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