CHINA RECREATION VEHICLE MARKET

China’s Ministry of Public Security (MPS) amended its “Driver License Application and Usage Regulation” in December 2021 to create a new category specifically for those who are authorized to tow trailers.  The towing of trailers was previously unregulated, which led to arbitrary and inconsistent police activities. The introduction of the new “C6” driver’s license, which will be effective on April 1, 2022, is a clear sign that China is aiming to legitimize the industry and a nod to the growing recreation vehicle market.

The United States only exported $920,000 in recreation vehicles to China in 2020 and $807,000 in the first three quarters of 2021 largely due to Chinese retaliatory tariffs imposed in 2018.  Between 2016 and 2017 average trailer exports to China per year were $11 million. This suggests a significant market opportunity should tariffs be reduced. 

According to the amended regulation, drivers with the new C6 driver’s license will be authorized to drive and tow a combined weight of up to 4500 kg (9900 lbs.) Drivers will need to take a written exam and a road test to upgrade their driver’s license to the new C6 category. This new regulation reflects the anticipated rapid development of the sector and increases the attractiveness of this market for U.S. manufacturers of travel trailers, including camper trailers. 

For more information on tapping this potential opportunity, please contact Commercial Specialist Ms. Feng (Jessica) Tan at: feng.tan@trade.gov.