What is the impact of China VI implementation on used cars?
2 Answers
After the implementation of China VI, used cars can still be sold and transferred, but those that do not meet the China VI emission standards cannot be registered. If registration is necessary, it can only be done in regions where China VI has not been implemented. As of June 2019, according to China's used car emission standard requirements, most provinces and cities have adopted the China IV standard or above, with some retaining the China III standard. More details are as follows: 1. Along with the rollout of China VI, first-tier cities like Beijing, Shanghai, and Guangzhou have banned China III standard vehicles from being driven on the road. Some cities have announced schedules for phasing out China III standard vehicles, such as Guangdong, Hainan, Tianjin, Shandong, Henan, and Hebei provinces, which will phase out China III standard vehicles by the end of 2020. 2. From the national implementation timeline of China VI, starting from July 1, 2020, all cars sold and registered must comply with the China VI-A standard, and from July 1, 2023, all cars sold and registered must comply with the China VI-B standard. 3. China VI is stricter than other standards, referencing the Euro VI emission standards, and applies the same standards to diesel vehicles. This means that after the formal implementation of the domestic standard, carbon monoxide emissions from gasoline vehicles will be reduced by about 50%.
I think after the implementation of the China VI emission standards, the prices of used cars have dropped significantly, especially for China V vehicles. The used car market used to be quite active, but now that China V cars are restricted in big cities, many people are in a hurry to sell, so prices have naturally dropped a lot. I've heard many car dealers say they're losing money on inventory, with profits halved. But there's also a silver lining—budget-conscious young buyers like me can snag a cheap China V car to drive in smaller cities, saving money for a new car. However, transaction volumes are decreasing as many people turn to China VI new cars or the electric vehicle market, which has slowed down the turnover of used cars. In the long run, environmental protection is the driving force, but I'm concerned about maintenance issues caused by low prices, such as more cars in poor condition. In short, it's essential to thoroughly inspect a car before buying and check if the emission standards match local policies.
