Hong Kong Economic Herald:

In recent years, with the development of network information and digital technology, the global division of production in the service sector has accelerated, placing higher demands on countries to open up their service sectors. How will MOFCOM continue to promote the opening-up of China's service sector?

Chen Chunjiang:

Thank you for your question. The service sector is a major part of the Chinese economy, accounting for more than 50% of China's GDP. The further opening-up of the service sector will enable the introduction of various high-quality production factors and help construct a modern industrial system to serve the new development pattern and pursue high-quality development. The 20th CPC National Congress proposed building a new system of efficient and high-quality services and promoting more integration of modern services with advanced manufacturing and modern agriculture. The Central Economic Work Conference proposed increasing the level of opening-up in the modern service industry. In accordance with the decisions and plans of the CPC Central Committee and the State Council, we will actively pursue the high-level opening-up of the service sector, improve the institutional environment, stimulate market vitality, and better meet the needs of daily work and life. This year, we plan to focus on three aspects of work.

First, we will ease market access for the service sector. Since 2017, China has revised the negative list for foreign investment five consecutive times, canceling or relaxing foreign equity caps in value-added telecommunications services, securities, banking, insurance, cultural performances, and other services. In the future, we will proactively align with high-standard international economic and trade rules, and study further measures to cancel or ease restrictions on foreign investment in the service sector for industries with large domestic market demand, strong industrial driving effects, sufficient foreign investment willingness, and controllable risks. We aim to attract more global high-end service companies and elements to enter the domestic market.

Second, we will promote the institutional opening-up of the service sector. We will fully leverage the leading role of FTZs and ports and take the lead in standardizing domestic laws and regulations that affect the free and convenient trade of services at the Hainan Free Trade Port, achieving internal and external consistency in terms of both allowing firms in and letting them do business. We will roll out a series of measures to open up the service sector, earnestly implement the negative list for cross-border trade in services at the Hainan Free Trade Port, and issue a national version and a pilot free trade zone version of the negative list for cross-border trade in services to improve the level of liberalization and facilitation of trade in services. We will steadily enhance the construction of comprehensive pilots and demonstrations for the expansion and opening-up of the service sector. We will drive forward the issuance of plans to deepen the development of a national integrated demonstration zone for greater openness in the services sector in Beijing. Moreover, we will adjust supporting laws and regulations in newly added pilot areas, encourage pilot and demonstration areas to explore experiences that can be replicated and promoted based on their development positioning, and leverage the guiding role.

Third, we will accelerate innovation and the development of trade in services. Mr. Wang Wentao already said that we would promote the introduction of guiding opinions on the opening-up and innovative development of trade in services. We will do a good job of reviewing and concluding the pilot project of comprehensively deepening innovation and developing trade in services. On this basis, we will upgrade to build national demonstration zones for the innovative development of trade in services. We will formulate management measures for exporting bases providing characteristic services, establish service outsourcing demonstration cities with high standards, and support the fast development of new models and formats of service outsourcing, such as crowdsourcing and crowd innovation, cloud outsourcing, and platform subcontracting. We will support building international trade services cooperation zones where conditions permit and pursue the high-standard development of Belt and Road cooperation in the service sector. Thank you.

Xing Huina:

Today's press conference is hereby concluded. Thank you to the three speakers and all our friends in the media. Goodbye.

Translated and edited by Zhang Liying, Zhou Jing, Lin Liyao, Qin Qi, Ma Yujia, Liu Caiyi, Xu Xiaoxuan, Duan Yaying, Xu Kailin, Liu Jianing, Zhu Bochen, Yan Bin, Wang Qian, Zhang Rui, Liu Sitong, Zhang Junmian, Huang Shan, He Shan, Li Huiru, Yang Xi, 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.