Many car owners only think about how much salvage value they can get after the vehicle reaches the scrapping standard, but they ignore that there are actually several subsidies and refunds stipulated in the policy that can be received, which can easily cost several thousand or even tens of thousands of yuan. Starting from 2026, my country's motor vehicle scrapping subsidies and refund policies will be more detailed, clarifying the application conditions and procedures. Only by understanding these rules in advance can you avoid suffering losses during the scrapping process.
Let’s talk about the most basic thing first-the vehicle residual value recovery payment. This is calculated by qualified scrapping and dismantling companies based on vehicle weight, metal type and component integrity.
Small cars can generally fetch 500 yuan to 1,500 yuan, and models with a large proportion of steel have higher recycling prices;
Many car owners only think about how much salvage value they can get after the vehicle reaches the scrapping standard, but they ignore that there are actually several subsidies and refunds stipulated in the policy that can be received, which can easily cost several thousand or even tens of thousands of yuan. Starting from 2026, my country's motor vehicle scrapping subsidies and refund policies will be more detailed, clarifying the application conditions and procedures. Only by understanding these rules in advance can you avoid suffering losses during the scrapping process.
Let’s talk about the most basic thing first-the vehicle residual value recovery payment. This is calculated by qualified scrapping and dismantling companies based on vehicle weight, metal type and component integrity.
Small cars can generally fetch 500 yuan to 1,500 yuan, and models with a large proportion of steel have higher recycling prices;
SUVs and MPVs are heavier and have residual values between 1,500 and 3,000 yuan;
Trucks and buses are priced by ton, ranging from 800 to 1,200 yuan per ton. The residual value of a 5-ton light truck can exceed 4,000 yuan.
A word of caution here: if key components such as engines and gearboxes are missing, the company will deduct money or even not collect them, so dismantling the parts by hand may make you lose money.
The second payment is a special subsidy for scrapping, and the amount is often higher than the residual value. In order to eliminate old and high-emission vehicles, various regions have set differentiated standards for different models and emission standards.
Most cars with National III emission standards and below can get between 3,000 and 10,000 yuan. First-tier cities have higher environmental requirements, and Beijing can even give you 12,000 yuan;
New energy vehicles are divided into two parts: vehicle subsidies and battery recycling subsidies. A total of 5,000 to 8,000 yuan can be obtained, of which battery subsidies account for more than 60%;
Operating vehicles are higher, taxis can cost 8,000 to 15,000 yuan, and truck subsidies range from 5,000 to 20,000 yuan based on tonnage.
Remember, this subsidy must be applied for at the vehicle management office or environmental protection department within 6 months of scrapping. The materials include scrapping certificate, driving license, ID card, etc. If the time is delayed, the subsidy will be gone.
The third payment is the refund of the remaining premium of compulsory traffic insurance. Many people forget how long they have left on their insurance after they retire. Compulsory traffic insurance refunds are calculated based on the remaining days. For example, if the annual premium is 950 yuan, it will be scrapped after 30 days of use. The remaining 335 days can be refunded for about 870 yuan. Bring your insurance policy, scrap certificate and bank card to the insurance company counter or apply online. It usually takes 3 to 5 working days to receive the payment. Commercial insurance can also be refunded, especially the car damage insurance and three-person insurance you just bought, the refund amount is even more considerable.
The fourth payment is the vehicle and vessel tax refund. Vehicle and vessel tax is paid annually. After the vehicle is scrapped, the tax amount from the month of scrapping to the end of the year can be refunded. For example, for a small car that costs 360 yuan a year, if it is scrapped in October, you can get a refund of two months' tax of 60 yuan. If it is scrapped in January, you can get a refund of 330 yuan. You can apply at the tax hall or through the electronic tax bureau, and the process is not complicated.
The total of these four sums of money can amount to tens of thousands of yuan at most, especially for commercial vehicles and high-emission family cars. A missed payment is a real loss. Before handling scrapping, make a list first, prepare all application conditions and materials, and follow the steps. Do not trust informal channels. Only scrapping certificates issued by formal enterprises are eligible to receive subsidies and refunds. The policy will be optimized every year. From now on, as long as you take the initiative to understand and operate according to the regulations, you can firmly hold on to this rights and avoid being "taken advantage of" in the scrapping process.
Did you miss any money when you scrapped your vehicle? Tell us about your experiences in the comments section and see what other pitfalls you have encountered.
