Chinese stocks closed lower on Tuesday, with the benchmark Shanghai Composite Index down 0.01 percent to 4,113.65 points.
The Shenzhen Component Index closed 0.96 percent lower at 14,155.63 points.
The combined turnover of these two indices totaled 2.78 trillion yuan (about 397.11 billion U.S. dollars), up from 2.71 trillion yuan on the previous trading day.
Chemical engineering, precious metals and real estate stocks led the gains, while shares in the computing power hardware and commercial spaceflight sectors suffered major losses.
The ChiNext Index, tracking China's Nasdaq-style board of growth enterprises, lost 1.78 percent to close at 3,277.98 points on Tuesday.
The STAR Composite Index, which reflects the performance of stocks on China's sci-tech innovation board, closed 1.65 percent lower on Tuesday at 1,820.48 points.
Chinese shares close lower Tuesday
China will enhance its equipment upgrading and trade-in programs in 2026 to boost domestic demand, the National Development and Reform Commission (NDRC) announced on Tuesday.
Regarding promoting large-scale equipment upgrades and replacing old consumer goods with new ones, significant progress was reported in 2025. In the past year, ultra-long-term special government bond funds were arranged to support approximately 8,400 equipment-upgrading projects, stimulating total investments exceeding 1 trillion yuan (about 143.5 billion U.S. dollars). Over 360 million people applied for subsidies under the consumer goods trade-in scheme, leading to sales of related goods surpassing 2.6 trillion yuan.
Wang Shancheng, director of the Department of Resource Conservation and Environmental Protection at the NDRC, said at a press conference that the Implementation of these measures will continue to be optimized in 2026.
"We will further lower the investment threshold for application projects, increase support for small and medium-sized enterprises, expand policy coverage, implement the requirements for building a unified national market, and implement unified subsidy standards nationwide for the scrapping and replacement of vehicles, trade-in of six categories of home appliances, and four categories of digital and smart product purchases," said Wang.
The NDRC representative also highlighted that in 2026, efforts will focus on comprehensively expanding domestic demand. An implementation plan to expand domestic demand for the 2026-2030 period will be formulated. Furthermore, the NDRC will promote upgrades in key industries, explore establishing a national-level mergers and acquisitions fund, and cultivate and bolster emerging and future industries.
China to enhance equipment upgrades and trade-in programs in 2026
