Xu Changlin, the secretary-general of the Nanjing Furniture Industry Association, believes that the idea behind "renovating old furniture" is commendable. While individual companies may experiment with it, scaling up the initiative on a large level presents significant challenges. One major issue is the complexity of furniture types and materials, particularly sheet furniture, which is difficult to recycle. Once these boards are dismantled, they can cause environmental pollution. Additionally, when considering the sheer volume of old furniture, there's the question of where to dispose of it after recycling. If not resold, how should it be properly destroyed? These processes add costs for businesses, making it hard to sustain without government subsidies.
Nanjing also has furniture stores that are promoting a "trade-in" program. "This plan aligns well with our goals. In March, we will officially launch our furniture trade-in campaign," said Sun Jian, assistant general manager of Nanjing Yuexing International Home Plaza. Due to the impact of property market regulations, the furniture industry is currently facing intense competition. To boost consumer demand and increase sales, the company launched the “Xingshi Plan†with a total investment of 380 million yuan before the Spring Festival, including six measures, one of which is the furniture trade-in activity.
Sun Jian explained that the specific details of the "furniture-for-furniture" program are still being refined. The initial plan involves partnering with two or three qualified old furniture recycling companies. When consumers decide to "trade in" their old furniture, the mall, recycling companies, and appraisers will visit their homes to assess the value. After mutual agreement, the recycling company will handle the transportation and processing of the old furniture, while the shopping mall offers the consumer an estimated value twice that of the old item, which can be used toward their new purchase.
Despite the optimism from some furniture retailers about launching the "furniture trade-in" initiative, industry insiders suggest that numerous obstacles make it difficult to scale. "For manufacturers, no one is willing to accept trade-ins," said Lin Huashan, general manager of Nanjing Jinguidian Furniture Co., Ltd. With rising material and labor costs, many manufacturers are already struggling with low profit margins, and some have even shut down. Recycling old furniture requires significant effort and cost, but resale opportunities are limited. For instance, previously, KTV companies closed down and asked manufacturers to help sell their sofas, but even a sofa that once cost a couple of thousand yuan was hard to resell.
Xu Changlin reiterated that while the original intent of "renovating old furniture" is positive, implementing it on a larger scale remains challenging. The variety of materials and structures makes recycling complex, and improper handling could lead to environmental issues. Furthermore, if a large amount of old furniture is collected, what happens beyond resale? How should it be disposed of safely? Without government support, businesses find it difficult to manage these additional costs.
In addition, due to rising production costs, furniture prices continue to climb. Even if a store offers a trade-in option, customers might not trust it, suspecting that the price increases were just a way to encourage trade-ins. Therefore, if authorities intend to implement a "furniture trade-in" policy, they need to conduct thorough research on how to handle different materials, how to provide subsidies, and how to manage the entire process. A comprehensive, reasonable, and detailed plan is essential for the success of such an initiative.
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