New regulation looks to curb ‘zero-mileage’ used car exports
Print Edition
CHINA’S used-car export market, the largest in the world, is braced for a shakeup in 2026 as a new regulation comes into effect that requires car exporters to wait at least 180 days after a car is registered to ship it overseas. It also stipulates that exporters show proof that the cars will be eligible for manufacturers’ guarantees of after-sales service in destination countries.
The regulation is aimed at stopping the export of so-called “zero-mileage” cars, which refer to new vehicles that are registered and have license plates, classifying them as used cars. However, the vehicles’ actual mileage may be extremely low — often close to zero — and their conditions may be indistinguishable from new cars. Such vehicles, which are usually cheaper than the official sticker prices of the same model, are used to deplete backlogs of unsold vehicles.
“The regulation has shaken some used car dealers, especially smaller ones,” said Mia Liang, a used-car dealer in Shanghai. “Most dealers won’t be able to get the after-sales maintenance guarantee certificates. As far as I know, many ‘zero-mileage’ cars have gone to Central and Southeast Asia, and to Africa.”
Some dealers are eager to ship such cars before the tighter regulation comes into effect on January 1. A dealer based in neighboring Zhejiang Province, who commented on condition of anonymity, said that he has been looking for new channels to clear inventory ahead of the new regulation.
“I added online chat groups after several agencies I was working with told me that they could no longer do business with me,” he said. “One way around the new regulation is to stock cars for more than 180 days, but the battery waste will be big and many things can happen during the period. There are too many uncertainties.”
China began used car exports in 2019. Customs data shows that in 2020 only 4,300 used cars were exported, but by 2024, the figure had surged to 436,000 vehicles, “zero-mileage” cars included.
“The new regulation is good news for those of us who are engaged in bona vide used car exports, and I believe the market will be healthier as a result,” said Liang. “After all, buyers of ‘zero-mileage car’ may come across technical problems without a solid after-sales system to fix them.”
Officials of the Ministry of Commerce said at a press conference that the new regulation aims to establish a “dynamic management and mechanism” for companies, and create a “negative” list of dealers engaged in dishonest used car exports.
“The ultimate goal is to achieve classified management, complementary advantage and coordinated development between the export of used cars and new cars,” said He Yongqian, deputy director of the ministry’s Free Trade Zone and Port Department.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
