Xinhua News Agency, Beijing, February 20th Title: Mobile phone subsidies "full moon" continue to ignite the consumption boom

Golden land, Tang Shining, Feng Congxuan

"Small subsidies" leverage the "big market"! Since January 20, the national subsidy policy for digital products such as mobile phones has been implemented in various places, and the national consumer market has ushered in a wave of "mobile replacement fever". The first month of policy implementation combined with the peak consumption season of the Spring Festival has promoted the further release of consumer demand and collaborative innovation among upstream and downstream enterprises in the industrial chain.

Online and offline sales are booming, and the mobile phone market volume is rising -

A set of data confirms that the consumer market is hot:

The national data platform for purchasing digital products such as old-for-new and mobile phones shows that as of February 8, the number of applicants for new subsidies for purchasing digital products such as mobile phones has exceeded 20 million;

Tmall data shows that as of February 9, the overall transaction volume of mobile phones, tablets, and smart watches (bracelets) has increased significantly month-on-month, of which mobile phones have increased by more than 41%, and tablet categories have exceeded 72%. Smart watches (bracelets) exceed 60%;

The latest market data released by International Data Corporation (IDC) shows that the national subsidy policy has effectively driven market sales. In January, the national mobile phone and tablet market sales increased by 20.1% and 16.7% year-on-year respectively...

During the reporter's visit, clerks from many mobile phone stores said that after the policy was implemented, the sales of products participating in the national subsidy increased significantly. "Most consumers have clear goals and go straight to the products participating in subsidy" and "consumers are more aware of the transparent rules of 'payment reduction'."

Customers shop at the Xiaomi Home Store in Chengdu China Merchants Garden City. Photo by Xinhua News Agency reporter Li Qianwei

The Spring Festival "increases" demand for new changes, and the combination of preferential policies boosts consumption-

The policy launch coincides with the eve of the Spring Festival. Many consumers also "god off the old and welcome the new" of digital products. Mobile phones have become a trendy "electronic New Year goods" for gifts or self-use, further pushing up sales.

Data from the National Development and Reform Commission shows that during the Spring Festival (January 28-February 4), the national mobile phone sales revenue increased by 182% year-on-year, with sales exceeding 4.5 million units, accounting for 45% of the total sales of consumer goods for old-for-new products. Some provinces performed particularly well. JD.com data shows that during the Spring Festival, domestic mobile phone sales in Hunan, Anhui and other places increased by 100% month-on-month, and in Henan, Sichuan and other places increased by 50%.

This time, the national mobile phone subsidy policy covers models below 6,000 yuan, and the subsidy ratio reaches 15% (up to 500 yuan). Whether it is pursuing cost-effectiveness or choosing the best mid-to-high-end models, the subsidy for purchasing new models can come in handy. At the same time, in order to catch the "traffic" of national supplementation, some brands in the market have pushed more models into the national supplement scope by lowering prices and adding discounts, allowing consumers to further enrich their choices and gain benefits.

"Around the Spring Festival, e-commerce platforms and related companies launched New Year's Festivals, limited-time promotions and other activities, forming a 'upper discount', which is also an important reason to promote some originally hesitant consumers to make consumption decisions." Wang Jiping, vice president of Global and China, International Data Corporation (IDC), said.

Consumers purchase digital products in JD Electric Super Experience Store located in Liangjiang New District, Chongqing. (Photo by Zhang Ya)

Consumption activates manufacturing demand and promotes industrial innovation and development—

Political dividends are being transmitted to the upstream of the industrial chain. SMIC recently disclosed that driven by the dividends of the country's consumption stimulus policies, there are many orders and urgent orders in consumer electronics, Internet, mobile phones and other fields, which has promoted the overall "off-season" of enterprises in the first quarter.

"The increase in sales of related products will have a positive stimulus to the manufacturing end, activate the upstream and downstream industrial chains, and promote the accelerated growth and maturity of enterprises in the industrial chain. At the same time, continuously optimizing products based on user needs will also promote the technological progress of the entire industry." Chen Jielian, a second-level researcher at the Institute of Industrial Economics, Guangxi Academy of Social Sciences, said.

How to transform short-term dividends of the consumer market into long-term momentum for industrial development?

"From a long-term perspective, while ensuring that the national subsidy policy continues to stimulate market heat, leading consumption upgrading, accelerating product innovation and iteration, and forming a virtuous cycle of consumption promoting industrial upgrading and industry leading consumption upgrading is the key to the development of the industry." Wang Jiping said.

At present, some companies have taken advantage of the country's east wind to achieve a "good start" this year, while also laying out tracks such as AI technology to enhance their long-term development momentum and core competitiveness towards the future. Many mobile phone manufacturers and domestic chip companies have announced access to DeepSeek.

Industry insiders interviewed said: "National subsidies are not only the 'booster' of consumption, but also the 'catalyst' of industrial upgrading. This requires enterprises to break through with technological innovation, and the government also needs to protect them with precise policies."