Beijing, China – November 14, 2025 – China’s Ministry of Commerce announced on Friday that it will strengthen oversight of used-car exports and strictly control the export of new vehicles under the guise of used cars. The new regulations aim to curb a long-standing grey market practice in which brand-new vehicles are exported shortly after assembly while being misrepresented as “used.”

New Rules for Vehicle Exports

Starting in 2026, any vehicle proposed for export within 180 days of registration must provide detailed after-sales maintenance information. This requirement will ensure that exported vehicles comply with international quality and service standards. Additionally, used-car exporters will face closer scrutiny from local commerce authorities, which will monitor compliance and enforce penalties for dishonest behavior or failure to meet quality assurance obligations.

Background: Zero-Mileage Cars

China’s auto industry has been criticized for inflating sales through a grey market that registers brand-new cars as “used” immediately after leaving the assembly line. These so-called zero-mileage cars—vehicles never driven—have been shipped to markets such as Russia, Central Asia, and the Middle East. Regional governments were reportedly complicit, actively encouraging this practice to boost local sales figures.

In June 2025, the chairman of Chinese automaker Changan called for a crackdown on zero-mileage exports, warning that such practices could “enormously damage Chinese brands’ image” internationally. Industry experts have noted that the practice undermines consumer trust and can create reputational risks for Chinese automotive brands in overseas markets.

Impact on the Chinese Automotive Market

The tighter regulations are expected to significantly reduce the volume of misrepresented exports, ensuring that vehicles leaving China meet international standards for used cars. The move could also bolster Chinese automakers’ reputations abroad by reinforcing the perception of quality and compliance.

Industry analysts say this step is part of a broader effort by China to regulate its automotive sector, including improving export practices, ensuring compliance with international norms, and safeguarding brand integrity. Companies engaged in used-car exports are advised to adapt their operations to meet the new standards or risk penalties.

Outlook

China’s crackdown on misrepresented vehicle exports is likely to have a lasting impact on the country’s automotive export landscape, improving transparency and protecting the global image of Chinese cars. With stricter enforcement and reporting requirements, automakers and exporters will need to ensure compliance while maintaining competitiveness in key international markets.