High-end, intelligent, sustainable 

This strategic initiative aims to boost domestic consumption, promote technological innovation, and enhance environmental sustainability by encouraging the replacement of outdated equipment and consumer goods with newer, more advanced, and eco-friendly alternatives.

Swedish companies, known for their expertise in advanced technologies, innovation, and sustainability, are well-positioned to benefit from this initiative. Specifically, the following sectors stand to gain: 

  1. Advanced equipment & machinery
    Machinery and equipment serving fields such as construction, municipal infrastructure, agriculture, petrochemicals, steel, textiles, electronics, education, and healthcare were highlighted for having unleashed potential for greener, more digital, and secure products and solutions.
  2. Home appliances
    Between 2007 and 2012, China already implemented a round of policies to encourage consumers, particularly in rural areas, to upgrade or acquire home appliances. While appliance ownership is now high, lifecycle peaks are driving renewed demand for upgrades. Swedish energy-saving and smart home appliances can benefit from this trend by aligning with China’s stringent energy efficiency requirements and pushing for upgrading consumer goods. 
  3. Automotive and transportation
    Until the 17th of July 2024, more than 113,000 applications to trade in old cars for new ones have been received by China’s Ministry of Commerce since May. Swedish suppliers, particularly those in the value chain of electric vehicles (EVs) and sustainable transportation, can tap into and further explore the world’s largest automotive market, benefiting from the demand from renewals for lower-emission, higher-efficiency vehicles.
  4. Environmental technologies
    With the need for traded equipment and goods, demand for companies specialising in recycling technologies, waste management, and sustainable manufacturing processes will have an important role to play. Swedish expertise in environmental engineering and clean technologies positions these firms as valuable partners in advancing China’s sustainability goals. 

Additionally, China’s Action Plan to Steadily Promote High-level Opening Up and Make Greater Efforts to Attract and Utilise Foreign Investment outlines goals for harmonising and optimising the business environment for foreign companies, in terms of fairer participation in government procurement, bidding, and standard setting. However, more concrete measures are yet to be seen to achieve such harmonisation in practice. 

Business Sweden supports Swedish companies in staying updated on the latest market trends and policy developments and offers tailored support for companies expanding into China.