China Home Expo has learned that in 2026, a concentrated rollout of supportive and regulatory policies for the home industry, combined with the latest market dynamics, has officially set the home industry on a comprehensive path of transformation and upgrading.

The government has allocated RMB 250 billion in ultra-long-term special treasury bonds for consumer goods trade-in programs. This policy expansion now includes smart home products and age-friendly home furnishings in the subsidy scope, allowing local governments to issue subsidies for products such as smart security systems and age-friendly bathroom fixtures, with the goal of driving related category sales to exceed RMB 2.6 trillion. Guided by this policy direction, China has begun implementing the "Good Housing" construction standards emphasizing safety, comfort, green features, and intelligence, raising the entry threshold for home products across four dimensions: material safety, ergonomics, low-carbon energy efficiency, and smart connectivity.

The environmental sector has seen binding constraints introduced. The new national standard for formaldehyde emission from wood-based panels, which took effect on June 1, has for the first time incorporated the E0 grade as a mandatory requirement. The standard specifies that formaldehyde emission from wood-based panel substrates must not exceed 0.124 mg/m³, while finished products such as flooring and wooden doors must meet the E0 grade requirement of 0.05 mg/m³. Non-compliant products are prohibited from use in home decoration, and enterprises engaged in illegal production or sales will be held accountable. Age-friendly home furnishings have also received unified national design standards, with multiple regions launching home age-friendly renovation subsidies of up to RMB 3,000 per person, gradually making age-friendly home products a market necessity. The online furniture sales regulations implemented in May require e-commerce platforms to fully disclose product specifications, with environmental and smart product claims required to be accompanied by relevant certification documentation.

As mandatory standards for interconnectivity take effect, the long-standing incompatibility issues between smart home devices from different brands are gradually being resolved. Several leading home appliance manufacturers have integrated with mainstream smart ecosystems, with industry estimates projecting that the smart home market could reach RMB 800 billion this year. On the foreign trade front, furniture and parts exports in the first four months of this year totaled RMB 153.49 billion, representing a modest year-on-year decline of 1.5%. Regional industries are developing steadily. Liuzhou, Guangxi, has gathered 308 large-scale wood processing enterprises with a total investment of RMB 11.64 billion, and the local panel ordering fair achieved contract signings of RMB 680 million.

The growth logic of the current home industry has clearly shifted. Existing stock renovation and whole-home customization have become mainstream market trends, while the past extensive model of price-based cutthroat competition is being constrained. Environmental controls continue to tighten, with 39 categories of volatile organic compounds including formaldehyde now subject to environmental tax collection, making green supply chains a core competitive advantage for enterprises.

Guided by this series of policies, the home industry is undergoing comprehensive transformation. Market demand is shifting from new home outfitting to old home renovation, production methods are upgrading from traditional manufacturing to intelligent manufacturing, and industry competition is evolving from individual product rivalry to comprehensive competition across the entire industrial chain. Going forward, environmental sustainability, smart technology, and age-friendly design will become the three core tracks for home enterprises to focus on and develop.

Source: wangyi