“tm” Subsidies For Urban Consumption In Home Appliances – Galanz Group, Refrigerator –

“tm” Subsidies For Urban Consumption In Home Appliances – Galanz Group, Refrigerator –

Premier Wen Jiabao chaired a State Council on the 19th executive meeting, decided in Beijing, Shanghai, Tianjin, nine provinces and municipalities to carry out Category 5 household electrical appliances “
TM to
“Pilot, on consumers buying new appliances for 10% of the price subsidies, the annual funding arrangements for 2 billion yuan for the appliance” TM “subsidies.

Galanz
Group Executive Vice President of Yuyao Chang’s China Securities Journal said, “continues the national policy of expanding domestic demand and promote consumption strategy for urban consumption in home appliances market has great leading role.”

Promote the high-end products
Sell

Wang Jianguo, President of United States introduced a refrigerator, in the past had carried out domestic appliance companies are home appliances, “TM”, but most of them located in the market
Marketing
Activities, in essence, is a discounted price from the consumers to buy their own old products, a more limited influence. “This means countries through financial subsidies to support the TM, which we have a great home appliance business good, consumption of household electrical appliances will help to upgrade the urban market, believe that we can promote our high-end product sales.”

Spirit of the meeting of the State Council, the “TM” pilot covering TV,
Refrigerator
, Washing machines, air conditioners, computers, home appliances category 5, the pilot regions, including Beijing, Shanghai, Tianjin, Jiangsu,
Zhejiang
, Shandong, Guangdong and Fuzhou, Changsha. Within the scope of subsidies on the sell and buy new appliances Jiujia Dian consumers, in principle, according to a new home appliances to 10% of sales price subsidies, sub-species to determine the maximum amount of subsidies; subsidies within the recycling and dismantling company Jiujia Dian and sent to transport costs, given a fixed subsidy. . Subsidies within the scope of the sell and buy new appliances Jiujia Dian consumers, in principle, according to a new home appliance sales price of 10% of the subsidies, sub-species to determine the maximum amount of subsidies; subsidies within the recycling and dismantling company Jiujia Dian and sent to transport costs, given a fixed subsidy.

Fact, acutely aware of the formal market opportunities in high-end, beautiful, Galanz and other enterprises have increased this year, investment in this market. Wang Jianguo, says that currently 12 high-end market trend of more and more obvious, its sales have accounted for about Daosi Cheng, increase investment in high-end market has become the company’s inevitable choice. U.S. refrigerator sales this year plans a breakthrough seven million units, sales reached 90 billion, and strive to occupy the high-end refrigerator market for more than 22% market share.

“Home appliances into the city” into a trend

Great Wall Securities researcher He Qifeng to the appliance “TM” as is “home appliances into the city” to start off, follow-up to promote industrial upgrading, support energy conservation and emission reduction will continue to put good policy.


Bringing home appliances
Mainly for the rural market, household electrical appliance enterprises in the rural areas to promote universal primary household electrical appliances, sharp drop in exports the context of this policy are effective in helping household appliances through. Effectiveness of home appliances to the countryside in a significant experience, such as through the TM to the policy is the promotion of home appliances into the city, to promote consumption in cities, and also in line with national energy conservation strategy. “
Yuyao Chang, executive vice president of Galanz Group
disclosed, Development and Reform Commission, Ministry of Industry and other departments in the “TM” policy, under discussion on energy-saving air-conditioning products such as subsidies, lead the industry production, consumption, energy saving products.
Central China Securities researcher Hu
strong cast, believes that this policy is mainly to urban household demand, while the large base of urban households appliances, TM to greater demand. In addition, the city commercial housing market has started the trend, when coupled with “TM” condition, air conditioning will quickly return to positive growth in domestic demand. For
TV
Industry, now replace LCD TVs CRT TVs are large, the policy will accelerate this substitution, LCD TV will be the biggest beneficiary of black.

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