Friday, August 10, 2012: Recession has hit the entire world hard and China is not an exception in this case. To cut down the effect on the consumer electronics industry, China's private sector has decided to provide subsidies of up to 10 per cent of the sales price on home and kitchen appliances. Companies like GOME electrical appliances and Dazhong electronics, are the ones who will be giving out kitchen appliances including microwave, electric cookers, electric fans, extraction fans under this scheme.
“China's economy has been hit badly in last three years and these Chinese kitchen appliance companies will be subsidising the kitchen appliances in order to boost the consumer electronic sales in the country,” said China household electrical appliances association.

According to Reuters, to provide these subsidiaries, manufacturers and retailers of kitchen appliances will utilise the funds set by them. Though, it is not yet confirmed that how much cost will be involved in this scheme and where it would be executed.

The website also stated that this public sector plan is similar to the one initiated by the China government, which reserved $ 4.17 billion in subsidies for power saving home and kitchen appliances.

Post the global financial crisis in 2008, China has come up with various plans and policies to catalyse the growth of home appliances in the country, which lasted for till 2011. Now let's see how this new policy works for the Chinese economy as the trial hits the market today.