The trade-in program will be expanded in 2026, and smart home and age-friendly products will usher in a new trend in home furnishing.

To stimulate consumer demand, the consumer goods trade-in policy will be expanded and upgraded in 2026. On January 14th, the Ministry of Commerce and seven other departments issued a notice on the 2026 consumer goods trade-in policy (hereinafter referred to as the “Notice”). The new policy, while continuing support for traditional home appliances, for the first time includes smart home and age-friendly home products in the scope of central government subsidies, injecting new momentum into the industry’s transformation and upgrading. Industry insiders say the policy will directly stimulate the market for smart and age-friendly home products, promoting the industry’s transformation towards a green and intelligent model. Enterprises need to accelerate product innovation that meets standards to seize this policy opportunity. The “Notice” shows that the core of the 2026 policy presents a dual-track characteristic of national uniformity and local autonomy. The nationally unified policy clarifies the subsidy standards, implementation methods, and other requirements for four areas: six categories of home appliances (refrigerators, washing machines, televisions, air conditioners, computers, and water heaters) and four categories of digital and smart products (mobile phones, tablets, smartwatches/bands, and smart glasses). Local governments are prohibited from unilaterally changing the subsidy categories or adjusting subsidy standards for these four nationally unified areas. It is worth noting that the most significant breakthrough of the 2026 policy is the formal inclusion of smart home and age-friendly home products within the scope of central government subsidies, while granting local governments more autonomy. Local governments can independently formulate and implement subsidy policies within the framework of the consumer goods trade-in policy, with a focus on supporting the next-generation smart terminals specified in the State Council’s “Artificial Intelligence + ” action plan. In addition to implementing the nationally unified subsidy policies for the four areas, local governments can also use the central government’s support funds to support subsidies for the purchase of new smart home products (including age-friendly home products). This provides flexible implementation space for specific categories such as smart door locks, age-friendly bathroom fixtures, and smart security systems. According to data from the Ministry of Commerce, in 2025, sales of goods related to the trade-in program exceeded 2.6 trillion yuan, benefiting over 360 million people. Specifically, in 2025, over 129 million home appliances were traded in, over 120 million home renovations and kitchen/bathroom renovations were completed, over 11.5 million cars were traded in, over 91 million mobile phones and other digital products were purchased, and over 12.5 million electric bicycles were traded in. Industry insiders stated that this policy, by including smart home and age-friendly products in the subsidies, extends the coverage from traditional home appliances to emerging categories. This aligns with the trend of consumption upgrading and points the way for industry transformation. The continuity and innovation of the policy will work together to effectively stimulate market vitality. Behind the favorable policies lies the continuously growing consumer demand in the home furnishing market, with the concentrated release of demand for existing home renovations and the rising popularity of smart products being two core driving forces. As my country’s housing market enters the era of existing stock, old house renovation has become one of the mainstream scenarios for home furnishing consumption. Data released by the Ministry of Housing and Urban-Rural Development shows that during the “14th Five-Year Plan” period, more than 240,000 old urban residential communities nationwide were renovated, benefiting more than 40 million households and 110 million people; 129,000 elevators were installed, and more than 3.4 million parking spaces and 64,000 community service facilities such as elderly care and childcare facilities were added. It is worth noting that in the scenario of existing home renovation, consumers’ requirements for living quality are constantly increasing, with greening, intelligence, and age-friendliness becoming core demands. Market research revealed that many homeowners of older homes prioritize smart door locks, smart lighting, and age-friendly bathroom products when renovating. Ms. Cao, a consumer, admitted that her new home had just been renovated and she planned to install a whole-house smart system. Although she had been following these products, she lacked a direct understanding of their actual effectiveness. During the New Year’s holiday, Ms. Cao visited a store specifically to experience the system. After a demonstration by staff, she stated that the system’s ease of use exceeded her expectations. Store staff revealed that market attention to smart home products is steadily increasing, with consumers visiting the store daily to inquire and experience them. Sales of smart home appliances have seen significant growth, with many consumers specifically seeking integrated whole-house smart solutions. While the popularity of smart products is rising, the demand for age-friendly products is also increasing. With the increasing purchasing power and changing consumption habits of the elderly, age-friendly bathroom handrails, smart monitoring mattresses, and voice-controlled appliances are gaining popularity among more and more families. A representative from Huanei Home Furnishings stated that Huanei Smart Decoration, as a provider of integrated industrial interior decoration solutions, has keenly observed the aging trend. At the product and technology level, it utilizes industrial prefabrication and on-site assembly as its core model to launch age-friendly solutions, avoiding the problems of long construction periods and high pollution associated with traditional decoration, and meeting the needs of the elderly for a healthy and convenient home environment. The 2026 trade-in policy explicitly supports intelligent and age-friendly features, providing a clear transformation path for the home furnishing industry. Driven by the continued release of policy dividends and market demand, the home furnishing industry is accelerating the formation of a development pattern supported by intelligent technology and guided by age-friendly needs, promoting the transformation of intelligent and age-friendly features from concept to large-scale popularization. With policy support, home intelligence will achieve a profound leap from “single-product intelligence” to “whole-house interconnection.” At a related forum, Zheng Xiumiao, Secretary-General of the Beijing Home Furnishings Industry Association, pointed out that artificial intelligence is rapidly moving from the laboratory to actual production, and consumer segmentation is constantly breaking the previous “monopolistic” market structure. The value of AI extends far beyond optimizing a single aspect; it lies in reshaping the entire industry’s collaborative model. It’s worth noting that, guided by policy, the aging-friendly home furnishing market is transforming from a “niche demand” to a “mass necessity.” Policies including aging-friendly products in subsidy programs are effectively addressing pain points such as insufficient market supply and inconsistent standards. The China National Research Center on Aging predicts that by 2035, China’s silver economy will reach 30 trillion yuan, with a compound annual growth rate of 15.7%. Behind this enormous demand, companies are accelerating their strategic deployments, and the home furnishing industry is entering a golden age of aging-friendly renovations. A representative from Tiantan Furniture stated that the company has focused on three aspects in home aging-friendly renovations: first, building a professional team; second, actively participating in the formulation and promotion of relevant standards; and third, actively constructing public model rooms and promoting platforms for aging-friendly renovations. In fact, with the implementation of policies, intelligent technology and aging-friendly design will further integrate, giving rise to more innovative products and service models. Regarding the industry’s development prospects, Qin Zhanxue, president of the China Building Materials Circulation Association, stated that precise policy support has enabled smart homes and age-friendly solutions to become strategic development directions for the home furnishing industry. The deep integration of these two aspects will not only meet the diverse home needs of the elderly but also promote supply-side structural reforms in the industry.