Compared to the original product, the quality of remanufactured products has higher uncertainty, resulting in lower customer purchase willingness and market acceptance. It has been considered as a bottleneck for the sustainable development of the remanufacturing industry. In response, this study aims to propose strategies that can enhance the quality of remanufactured goods, thereby stimulating consumer demand and fostering the growth of the remanufacturing sector. To achieve this objective, a two-stage model incorporating the original manufacturer, remanufacturer, and retailer was formulated, with a particular emphasis on carbon -neutral objectives. The study explores the impact of the government's dual policy, encompassing cap-and-trade mechanisms and subsidies, on the quality-linked strategies adopted by remanufacturing enterprises. A comparative analysis was conducted to evaluate the effects of different government subsidy approaches, considering scenarios without subsidies, subsidies to consumers, and subsidies to enterprises, all contingent on carbon emissions from enterprises. The findings of our analysis revealed that, under carbon emission limits, an increase in the government subsidy coefficient linked to carbon emissions effectively heightens consumers' willingness to purchase remanufactured products. This, in turn, leads to an improvement in the overall quality of remanufactured goods and an expansion of the remanufacturing industry. Notably, the impact of combining government subsidies with carbon allowance trading varies, with subsidies proving more advantageous for improving the economic and environmental efficiency of the manufacturing process as well as enhancing consumer surplus and social welfare within the industry under specific conditions of subsidy amounts and carbon emissions. The proposed model's validity and reliability were affirmed through arithmetic simulations. In conclusion, this study presents a novel strategy aimed at improving the quality of remanufactured goods, fostering customer purchase intention, and generating a combination of economic, environmental, and social benefits for enterprises. The findings of this research offer valuable insights for the development of low-carbon legislation, serving as a guide for policymakers in the quest for sustainable manufacturing practices. [Display omitted] • Remanufactured product quality, purchase intention, and carbon emission correlate. • Government policies affect remanufacturing enterprises' economic, environmental, and social benefits. • Government's dual policy of cap-and-trade and subsidies affects willingness to pay, product quality, and industry size. • The study provides a reference to formulate low-carbon policies. [ABSTRACT FROM AUTHOR]