On the 17th, a symposium focused on private enterprises delivered a crucial message regarding the health and high-quality progression of the private economy in ChinaInsights from journalists indicate that a series of supportive policies aimed at fully liberating the private sector will soon be announcedThis includes enhancements to the negative list for market entry, ensuring that private enterprises have equitable access to competitive fields of infrastructure, as well as significant national research facilitiesMoreover, there will be initiatives to strengthen legal protections, address the issue of unpaid debts owed to private companies, and enhance the accountability for breaches of trust.

As the Lunar New Year approached, excitement erupted around several technological innovations derived from private enterprisesA standout example is the humanoid robot performing traditional folk dances during the celebrated CCTV Spring Festival Gala, capturing the attention of millionsSimultaneously, another product—DeepSeek, a domestic AI model—garnered considerable public interest, showcasing the innovative dynamism imbued in China’s private sector.

China’s private economy is essential in the nation’s pursuit of modernizationIt acts as a driving force for high-quality developmentTo bolster confidence in this sector and to encourage its robust growth, the government and relevant departments have been proactiveThey've rolled out various initiatives, from establishing a specialized bureau for private enterprise development within the National Development and Reform Commission to pushing forward the legislative framework for private sector promotionThese actions are not merely symbolic but are significant steps toward detailed execution of supportive measures.

Current figures indicate that private enterprises comprise over 92% of the total number of businesses in China, and their representation among national high-tech enterprises is equally impressive, standing at more than 92%. In 2024, private investment (excluding real estate) is projected to grow by 6.0%, with the manufacturing sector alone expected to see a 10.8% increase, effectively contributing to an overall uptick in private project investments.

Despite these promising signs, challenges persist in the landscape of private economic development

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Industry experts have pointed out that subtle barriers to entry remain for private firms in critical sectors, and there exists insufficient protection for property rights and the interests of entrepreneursFurthermore, issues about the implementation of policies and the provision of services to these enterprises need addressing.

Reports have communicated that several favorable policies stimulating high-quality growth in the private sector will soon surface, aimed explicitly at dismantling market entry barriers and alleviating the challenges faced by private enterprises.

An example that highlights the private sector's transformative potential is the recent movement toward private capital participation in nuclear power projects—vital for national energy securityHistorically, China has maintained a model where state-owned enterprises dominated these initiativesHowever, there have been precedents where private capital was involved, though typically at minor stakesNotably, last year, the State Council authorized the inclusion of private investment in five nuclear power projects, raising the permissible stake for private enterprises to 10% for the first timeThis reflects a determined governmental effort to integrate private firms into significant state projects.

Further, significant progress has been made in liberalizing competitive business sectors within key industries, such as power, telecommunications, railways, oil, and natural gas, benefiting from the participation of both private and public entities.

As part of the next steps, the National Development and Reform Commission plans to revise the current negative list for market admission quicklyThis will facilitate fair access for private enterprises, particularly in fields requiring substantial infrastructure and comprehensive national scientific research undertakings.

In addition to addressing market access and resource acquisition challenges, relevant governmental bodies are committed to implementing robust assistance policies for enterprises, addressing concerns frequently expressed by private firms.

A spokesperson from the National Development and Reform Commission affirmed that they, in collaboration with pertinent departments, will focus on refining specific measures for support and will work earnestly to develop a legal framework that enhances vigilance against non-compliance, thereby closing loopholes that allow for debts to remain unpaid.

“There is a pressing need to establish a sustainable framework for private enterprises’ engagement in national project development, continuously introducing and recommending projects suited for private investment,” Deputy Director Zhao Chenxin highlighted during a recent press conference

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