A few days ago, during the government work report of the 13th National People's Congress, Premier Li Keqiang clearly proposed that the preferential policies on the purchase tax of new energy vehicles and vehicles be extended for another three years, and the policy of restricting the relocation of second-hand vehicles be completely abolished. At the same time, the Ministry of Commerce also stated that this year will speed up the revision of the "Used Car Circulation Management Measures", advance the construction of used car information and credit systems, and promote the further release of the used car market potential.
The cancellation of this policy is bound to promote the full circulation of the used car market and increase the transaction volume. The policy of removing the restrictions on second-hand cars has a long history, but there is still a large lag in the advancement. Many regions have not really implemented them, which has caused many restrictions on second-hand car transactions. Now, under the proposal of the government department, the comprehensive removal of the second-hand car relocation policy will be implemented quickly. At that time, the second-hand car market will break regional barriers and realize the circulation of second-hand car transactions nationwide.
It is worth noting that the biggest beneficiaries of the implementation of this policy will be second-hand car e-commerce. Second-hand car e-commerce is sold through online exhibitions. After the regional restrictions are broken, second-hand car e-commerce can make full use of its own advantages to realize the national second-hand car transaction and circulation.
In this regard, Li Jian, CEO of Renren Car, a second-hand car e-commerce platform, said: "The complete lifting of the relocation policy is definitely exciting news. First of all, this is very good for second-hand car circulation, and the complete removal of the relocation policy can greatly facilitate cars. The circulation of sources effectively revitalizes market assets and further enhances the driving force for the growth of the used car market. "
In addition, the relocation policy can also break the pattern of non-circulation of information in the second-hand car market and achieve the exchange of used car prices across the country. Gao Feng, a spokesman for the Ministry of Commerce, said that the "Measures for the Management of Second-hand Car Circulation" will be expedited. By then, as the second-hand car policies in various regions become more consistent, the second-hand car market may be revitalized.
According to the 2017 second-hand car market analysis released by the China Automobile Dealers Association, 1,068 second-hand car markets in 31 provinces across the country have cumulatively traded 12,400,900 second-hand cars, an increase of 19.33% year-on-year, and the transaction value is 809.272 billion yuan. Among them, in 2017, there were 2,704,400 used car transfer vehicles, with a transfer ratio of 21.81%, an increase of 0.38% compared with the same period last year. Under the comprehensive ice-breaking policy, the second-hand car transaction may achieve a substantial increase.
The current second-hand car e-commerce market is mainly engaged in a money-burning battle under the increase in capital, and has not achieved profitability. With the support of policies, the second-hand car market, which has a promising future, may usher in a real outlet, and profitability can be expected in the near future. In addition, e-commerce companies such as Guazi Used Cars and Renren Cars have begun to deploy closed-loop services online and offline. In the future, they may fall into more intense street battles.