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Private companies get support, guidance

China Daily| Updated: October 21, 2022 L M S

China's latest commitment to unswervingly encourage, support and guide the development of the nonpublic sector will boost confidence among private enterprises and stimulate market vitality for greater economic growth, according to private company executives and industry experts.

In the report delivered on Sunday to the ongoing 20th National Congress of the Communist Party of China, the country emphasized that it will provide an enabling environment for private enterprises, protect their property rights and the rights and interests of entrepreneurs in accordance with the law, and facilitate growth of the private sector.

"The report once again demonstrates the determination to support the private sector economy, which assures us private sector entrepreneurs can boldly conduct our business," said Nan Cunhui, chairman of Chint Group, a leading industrial electrical equipment and new energy company.

Shang Jiyong, chairman of the board of China Wanda Group Co Ltd, said that recent years have seen various beneficial policies provided for private companies.

"The latest commitment to developing the nonpublic sector has set private enterprises at ease seeing that such support has and will be consistent," Shang said.

From small private businesses in provinces like Zhejiang and cities like Shenzhen, Guangdong province, to internet enterprises leading global technological advances, China's private companies are pioneers in spurring economic growth and innovative development both at home and abroad.

They have contributed about 50 percent of the country's tax revenue, 60 percent of GDP, 70 percent of technological innovation and 80 percent of urban employment, said the Ministry of Industry and Information Technology.

"China is striving to offer a stable and predictable business environment for the nonpublic sector, especially private businesses, which is of great significance in boosting their confidence and stabilizing expectations," said Zhang Lianqi, a member of the Standing Committee of the National Committee of the Chinese People's Political Consultative Conference, the nation's top political advisory body.

"With better market expectations, more companies and entrepreneurs will go forward with their business. This, in turn, will drive economic recovery as well as the steady development of various sectors," Zhang said.

The latest report also said that China will improve its modern corporate system with distinctive Chinese features, encourage entrepreneurship and move more quickly to help Chinese companies become world-class outfits. The country will also support the development of micro, small and medium-sized enterprises.

The report inspired private entrepreneurs like Han Dongcheng, chairman and president of Easpeed, an emerging tech startup focused on touchless technology and solutions.

Han said that he felt confident to continue to focus on the research and development of the next generation of core technologies.