China to Allow Same-Day Car Purchase and Registration for Domestic Vehicles

China’s Ministry of Industry and Information Technology (MIIT) and the Ministry of Public Security (MPS) have jointly announced a new policy enabling domestic passenger car buyers to purchase, pay taxes for, and register their vehicles on the same day. The reform, announced on June 23, 2026, replaces a previously multi-day bureaucratic process with a streamlined digital system that shares vehicle compliance certificate data in real time between government departments.

According to CCTV News, the new model’s biggest change is the real-time sharing of vehicle compliance certificate information between MIIT and public security departments, achieving “second-level” data transmission. The policy is expected to benefit over 20 million vehicles annually by eliminating paper documentation, reducing corporate costs, and significantly improving the consumer experience.

Context: A Multi-Day Process Becomes Same-Day

Historically, purchasing a domestic car in China involved a cumbersome multi-day process. Buyers would purchase the vehicle from a dealer, receive paper compliance certificates, visit the tax bureau to pay purchase tax, and then go to a vehicle management office with physical documents for registration — often requiring paper Vehicle Identification Number (VIN) rubbings and printed standard photos. The new system eliminates these steps entirely by enabling real-time data sharing between government departments.

Key Changes Under the New Policy

The reform, detailed in a circular titled “Notice on the Application of Motor Vehicle Factory Qualification Certificate Information for Motor Vehicle Registration Business,” introduces several key changes:

• Real-time data sharing: Vehicle compliance certificate information is now shared between MIIT and MPS in “seconds”
• Elimination of paper documentation: Physical VIN rubbings, printed standard photos, and paper compliance certificates are no longer required
• Unified digital interface: Manufacturers can upload compliance certificates, vehicle identification codes, and pre-inspection photos through a single system
• Reduced vehicle standard photograph requirements: The number of required vehicle photos has been reduced

As The Paper reported, a domestic automaker representative explained that enterprises now upload compliance certificate information once, and the two key pre-inspection items — vehicle identification code and standard photo — are shared to the public security department in seconds, allowing vehicle management offices across the country to conduct online verification directly.

Broader Auto Consumption Stimulus Package

The same-day registration reform is part of a larger government push to stimulate auto consumption through administrative efficiency rather than direct subsidies. On the same day, a separate circular jointly issued by eight departments designated 40 cities — including Tianjin, Shenyang, and Yangzhou — as pilot areas for auto circulation reforms. Another circular from nine departments rolled out measures to boost the auto aftermarket, covering graded management of vehicle modifications, support for the RV camping sector, and promotion of motorsports.

Earlier in 2026, China also detailed a consumer stimulus plan offering subsidies of up to 20,000 yuan for new energy vehicle (NEV) trade-ins, with a third batch of 62.5 billion yuan in consumer goods trade-in funds announced in June 2026.

Industry and Consumer Impact

Wang Du, Vice President of the China Automobile Dealers Association, told Xinhua News Agency that “China’s auto aftermarket holds massive potential to tap” and that the new measures “will help further smooth the auto industrial chain in a systematic way, thereby injecting fresh momentum into automobile consumption growth.”

An MIIT Equipment Industry Development Center official noted that with the continuous upgrading of automobile consumption demand, consumers have put forward higher expectations for convenience. As data sharing channels are optimized and more enterprises gain access, the pre-inspection model will gradually benefit a wider range of automakers and consumers.

Official data shows that in the first five months of 2026, China’s auto sales totaled 12.207 million units, with NEV sales reaching 5.802 million units, up 3.5% year-on-year.

”Data Runs the Errands” Philosophy

The reform embodies the Chinese government’s “Data Runs the Errands” governance philosophy — using digital integration to reduce bureaucratic friction. By synchronizing vehicle qualification data in real time between industrial regulators and law enforcement, the government has effectively digitized the entire verification chain, eliminating what was once a significant source of consumer frustration.

What’s Next

The policy currently applies only to domestic passenger cars, leaving questions about whether imported vehicles will eventually be included. As more enterprises integrate with the data-sharing platform, the pre-inspection model is expected to expand. For now, the reform represents a significant step toward making car ownership in China faster, simpler, and more consumer-friendly — potentially giving domestic automakers a competitive edge through a smoother customer experience.