Summary of Conference Call Notes Industry Overview - **Industry**: China Internet and E-commerce - **Key Policy**: Extension of the National Trade-In Program into 2026 Core Insights - **Policy Support**: The extension of the trade-in program is seen as a potential positive for e-commerce platforms, helping to mitigate the high-base effect in the first half of 2026 [1][2] - **Subsidy Details**: The initial batch of subsidies for 2026 amounts to RMB 62.5 billion, which is lower than the RMB 81 billion issued in the first batch of 2025 [3] - **Eligible Products**: The number of eligible home appliance categories has decreased from 12 in 2025 to 6 in 2026, which includes refrigerators, washing machines, televisions, air conditioners, computers, and water heaters [4] - **Subsidy Amounts**: Consumers purchasing eligible home appliances will receive a subsidy of 15% of the selling price, with a maximum of RMB 1,500 per unit. This is a reduction from the maximum subsidy of RMB 2,000 per unit in 2025 [4] - **Digital Products Subsidy**: For digital and smart products, including mobile phones, tablets, smartwatches, and newly added smart glasses, consumers will receive a 15% subsidy on products priced up to RMB 6,000, with a maximum subsidy of RMB 500 per unit [5][6] Additional Considerations - **Adoption Rate Concerns**: Despite the inclusion of smart glasses in the subsidy program, the expected adoption rate may be limited, indicating potential challenges for e-commerce platforms like JD.com [1] - **Overall Impact**: The overall benefit to major e-commerce platforms is expected to be limited due to the high base of comparison and the smaller subsidy size compared to previous years [1]