Southern Metropolis Daily:

Some micro-, small- and medium-sized enterprises (MSMEs) that COVID-19 has severely hit are facing greater difficulties in operation. What measures have you taken to support MSMEs in the year's first half, and what are the next steps? Thank you.

Tian Yulong:

Thank you for your question. As you said, MSMEs have always drawn public attention. They have been affected by the epidemic and the combination of various factors. The CPC Central Committee and the State Council have attached great importance to the issue and made a series of policies intensively. You may have seen them in the newspapers. These combined policies include tax incentives, improvement of the standard of subsidies given to businesses that reduce layoffs, solving financing problems, and reduction and exemption of property fees and rent. These measures have played a significant role in the relief and assistance of MSMEs. According to the latest data, as of June 25, China's tax refunds, as well as tax and fee cuts and deferrals, reached 2.58 trillion yuan, with the beneficiaries being MSMEs. The CPC Central Committee and the State Council have relieved the burden on MSMEs so they can tide over difficulties.

As a department responsible for providing comprehensive service for small- and medium-sized enterprises (SMEs), the MIIT and relevant departments have implemented the deployment of the CPC Central Committee and the State Council and taken multiple measures to help MSMEs overcome difficulties. Now we can see that these measures work well.

First, we have promoted introducing and implementing various policies that benefit enterprises. The State Council's leading group on developing SMEs has held several meetings to study relevant issues. "Several Measures to Help Micro-, Small- and Medium-Sized Enterprises Relieve Difficulties," which comprises 10 specific measures in four areas, was issued by the MIIT to solve the problems faced by MSMEs. At the same time, we have implemented the measures issued by the State Council to stabilize the economy and further strengthen the relief and support for MSMEs. All regions and departments have worked together to implement measures and policies so that MSMEs can get the benefits as soon as possible and have a sense of fulfillment. Meanwhile, we will work with relevant departments to carry out comprehensive inspections on implementing these policies and reduce the burden on enterprises, promote and guide local governments to increase the implementation of policies, benefit MSMEs, help them overcome difficulties, and develop as soon as possible.

Second, we have mobilized the forces of all parties to increase services for SMEs. The key to the implementation of the policy is to provide good service. We have launched two campaigns nationwide: one is "Service Month for SMEs," and the other is "Benefiting Enterprises Together." In collaboration with local authorities, we have made known these preferential policies to enterprises, industrial parks, and industrial clusters to ensure that MSMEs can have access to the policies, technologies, and management techniques so that their businesses can recover from a difficult situation as soon as possible. From January to June, various SME service agencies organized multiple activities such as policy publicity, coordination, and assistance. More than 20 million services have been delivered, showing our considerable efforts in this field. Businesses can feel the benefits and have a better sense of fulfillment.

Third, we have focused on improving the ability of SMEs. We should not only help them solve difficulties but also promote their long-term development. The development of SMEs is also vital in stabilizing employment and economic growth. We have established a system for cultivating SMEs of various types in phases, including innovative SMEs, specialized and sophisticated SMEs that produce new and unique products , and "little giants" (small enterprises in their early stage of development and focusing on high-end technologies). We have carried out a campaign, "Act Together," to promote the cooperation of large enterprises and SMEs in the upstream and downstream so that they can make progress together. MSMEs have accelerated technological transformation and digitalization to enhance their core competitiveness and technological innovation capabilities. Recently, together with the Ministry of Education and China National Intellectual Property Administration, the MIIT launched a campaign to promote cooperation between colleges and universities and MSMEs and sped up the commercialization and application of technological achievements made in colleges and universities. These efforts are of great significance, enabling SMEs to have more sources of innovation and receive more support.

Fourth, efforts have been intensified to get outstanding payments owed to SMEs cleared. We have focused on this work in recent years. By carrying out certain actions to prevent and resolve overdue payments, we have focused on resolving existing arrears while strictly preventing new arrears. We have constantly been improving long-term mechanisms and established relevant channels for handling complaints concerning outstanding payments in all provinces to ensure that SMEs have convenient access to make a complaint and get timely responses. We have improved the mechanism of complaint acceptance and transfer, follow-up, and supervision and protected MSMEs' legitimate rights and interests.

Next, we will scale our efforts in the above four areas and work with relevant departments to implement policies and measures, mobilize resources and strengths from all parties, and strengthen publicity and services. We will pay close attention to the development of SMEs and make policy reserves. We will continuously improve the service system and improve the service level. We will combine aiding and cultivating SMEs to encourage them to innovate, transform, upgrade, improve quality and efficiency, and grow stronger. We will strengthen the protection of SMEs' rights and interests so that they can overcome the current difficulties as soon as possible and achieve stable and healthy development. This is the top priority of our current and future work, and we hope to receive strong support from all walks of life. Thank you.

Xing Huina:

If you don't have any more questions, that's all for today's press conference. Thank you to the three speakers and friends from the media. Goodbye, everyone.

Translated and edited by Zhang Liying, Chen Xia, Zhang Tingting, Liu Qiang, Zhang Rui, Liu Sitong, Wang Yiming, Li Huiru, Wang Qian, Xu Xiaoxuan, Yang Xi, Huang Shan, Zhang Lulu, Lin Liyao, David Ball, Tom Arnsten, and Jay Birbeck. In case of any discrepancy between the English and Chinese texts, the Chinese version is deemed to prevail.