BEIJING -- China will conduct pilot reform on the circulation and consumption of automobiles to expand and implement the trade-in program of consumer goods and further release the potential of automobile consumption, according to a circular released on Friday.

The circular, jointly released by eight departments including the Ministry of Commerce, pledged efforts to cultivate a number of model enterprises in the innovative development of automobile circulation and consumption by 2027.

Efforts will be made to stabilize and expand automobile consumption, while encouraging localities to gradually relax or cancel the purchase restriction policies of cars. The consumption of energy-saving and new-energy vehicles will also be encouraged.

It is also said in the circular that China will promote the efficient circulation of used cars, optimize its management system, expand the source and improve the quality of used cars with enhanced services.

The circular includes plans to promote the standardized and orderly development of car modification, car rental, racing, RV camping and classic cars, while optimizing the recycling system for scrapped vehicles.

Enterprises will be encouraged to set up sales and service systems for new and used cars that integrate online and offline services to improve the digital level of automobile consumption.