Read in Chinese
Speakers:
Mr. Pu Chun, vice minister of the State Administration for Market Regulation (SAMR) and administrator of the National Certification and Accreditation Administration
Mr. Ren Duanping, director general of the Business Registration Bureau of the SAMR
Mr. Xu Lefu, director general of the Antitrust Enforcement Department II of the SAMR
Mr. Liu Sanjiang, director general of the Quality Development Bureau of the SAMR
Chairperson:
Ms. Xing Huina, deputy director general of the Press Bureau of the State Council Information Office (SCIO) and spokesperson of the SCIO
Date:
Jan. 31, 2024
Xing Huina:
Ladies and gentlemen, good morning. Welcome to this press conference held by the State Council Information Office (SCIO). Today, we have invited Mr. Pu Chun, vice minister of the State Administration for Market Regulation (SAMR) and administrator of the National Certification and Accreditation Administration, who will brief you on stimulating the vitality of business entities to promote high-quality economic development. We are also joined by Mr. Ren Duanping, director general of the Business Registration Bureau of the SAMR; Mr. Xu Lefu, director general of the Antitrust Enforcement Department II of the SAMR; and Mr. Liu Sanjiang, director general of the Quality Development Bureau of the SAMR.
Now, I'll give the floor to Mr. Pu for a brief introduction.
Pu Chun:
Good morning. Thank you for your long-term interest in and support for the efforts concerning market regulation. It is my pleasure to speak with you on the topic of stimulating the vitality of business entities to promote high-quality economic development, and to take your questions. I will now start with a brief introduction.
The Central Economic Work Conference has underscored the need to fully stimulate the endogenous power and innovation vitality of various business entities. Through our market regulation practices over the years, we have recognized the role of business entities as major participants in economic activities, key suppliers of job opportunities and main drivers of technological advancement. Effectively stimulating the vitality of business entities and fully unleashing their endogenous power is of great significance to consolidating and strengthening the momentum of economic recovery and fostering high-quality economic development. Responsible for market regulation and law enforcement, the market regulator is the guardian of business entities' lawful rights and interests and the driver of economic growth. It is our responsibility to provide sound services and help business entities address difficulties and problems occurring during production and business operation. We will earnestly carry out the guiding principles of the Central Economic Work Conference, innovate regulatory methods and improve regulatory effectiveness, with a focus on the following aspects:
First, we will carry out further reform work and advance innovation. Reform and innovation are the sources of stimulating vitality. We will continue improving the rules on market access as well as the exit mechanism for business entities, in a bid to provide them with greater convenience. By comprehensively adopting credit rating-based regulatory measures and those assisted by smart technologies, we will work to improve the effectiveness of ongoing and ex post regulatory efforts and create a sound regulatory environment featuring less disruption and timely response. In the meantime, we will optimize the evaluation methods for business entities, and attach greater importance to the comprehensive and multi-dimensional evaluation system involving business size and structure, the levels of staying active, law compliance, innovation and competitiveness, economic returns and corporate social responsibility. We will provide guidance to localities and government departments on paying more attention to the development quality of business entities, in a bid to effectively achieve higher-quality growth based on a reasonable increase in their total number.
Second, we will work to promote fair competition. An inclusive and fair market environment is a crucial prerequisite for stimulating market vitality. We will speed up the development of a unified national market, taking stronger action against administrative monopolies and local protectionism. We will also work to remove policy measures that impede the functioning of a unified market and fair competition, and safeguard business entities' right to independent management. Moreover, we will investigate and deal with monopolistic cases as well as those concerning unfair competition in accordance with the law. In addition to leveraging the strength of large enterprises' size and helping to improve core competitiveness, we will also safeguard the development and innovation vitality of micro, small and medium-sized enterprises. We will strive to develop and carry forward the culture of fair competition, and work to create a social environment that acknowledges and practices fair competition.
Third, we will work to ensure that the law is enforced in a strict, procedure-based, impartial and non-abusive way. The rule of law secures the best business environment, and provides fundamental support for stimulating market vitality and ensuring orderly operation. We will perform our duties in strict accordance with the law, bring all administrative activities into line with the rule of law, and create a more stable, transparent, procedure-based and predictable environment for business entities to develop. We will also expedite efforts to improve the system of baselines for administrative discretionary powers regarding market regulation, and establish and implement the case guidance system, so as to avoid excessive punishments for minor misconducts and differentiated punishments for similar cases. We will make better use of measures such as admonition and administrative guidance, patiently communicate and explain our regulatory measures, and proactively seek understanding and support, in a bid to demonstrate a human touch in law enforcement.
Fourth, we will work to improve assistance measures. Well-conceived and targeted favorable policies for enterprises are an effective method for stimulating vitality. We will further improve our regular communication mechanism with business entities, understand their demands and suggestions in a timely manner, and help resolve prominent issues facing them. Based on our duties in market regulation, we will formulate more practical, heart-warming and higher-quality policy measures in terms of developing incentives for good-faith actors, providing assistance in quality-related issues and technological aspects, and supporting self-employed individuals. We will redouble our efforts to end unjustified charges levied on businesses and help reduce their burden.
Fifth, we will make efforts to regulate market order. Taking action against violators is a strong protection of law-abiding behavior and a means to stimulate vitality. We will strictly deal with infringements of intellectual property, the production and sale of counterfeit goods, and other illegal activities that disrupt market order in accordance with law. Enhanced protection of trade secrets will be implemented to firmly safeguard the legitimate rights and interests of business entities. In the meantime, initiatives will be undertaken to expedite the improvement of compliance management systems in key areas, fostering an enhanced awareness of compliance and integrity among business entities, with the aim of achieving more regulated, sustainable and dynamic development.
That is all for my introduction. Thank you.
Xing Huina:
Thank you Mr. Pu for your introduction. The floor is now open for questions. Please identify your news outlet before asking your question.
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ThePaper.cn:
As the Spring Festival approaches, we have noticed that the SAMR has recently intensified efforts to stabilize prices and ensure the quality of essential consumer goods during the holiday season. Could you please provide more details about this initiative? Thank you.
Pu Chun:
I will answer this question. The New Year and the Spring Festival represent traditional peak seasons for consumption, and the prices and quality of essential consumer goods are major concerns for all people. In order to ensure the stability of prices and the quality of important consumer goods during the New Year and the Spring Festival, and to guarantee that people can enjoy a joyful and harmonious start to the new year, the SAMR has stepped up efforts to stabilize prices and ensure quality during this period. This includes establishing regulatory lists for four major categories: food, industrial products, life services and pharmaceuticals, focusing on key areas of holiday consumption.
First, we will closely follow the consumption hotspots of New Year and Spring Festival, and strengthen the monitoring of price fluctuations. We will focus on key areas of consumption related to people's everyday lives, including rice, vegetables, fruit and heating-related issues. We will concentrate on holiday-related consumption, including rice, flour, cooking oil, vegetables, meat, eggs, dairy products, New Year's Eve dinner reservations, cultural and entertainment activities, hotel bookings, transportation logistics, as well as the increased demand for medicine and energy due to cold weather. We will conduct thorough online and offline price monitoring and tracking analysis to make informed judgments.
Second, we will strengthen the enforcement of price regulation laws to stabilize market price levels. We will closely monitor early signs and trends of issues that emerge, proactively estimate potential risks that may affect market order, increase the frequency of market inspections, and effectively intensify regulatory efforts on the prices of key consumer goods.
Third, we will strictly control food quality and safety, guarding the red line of consumption safety. We will fully leverage the mechanism that targets differentiated responsibilities to ensure effective results, intensify efforts to see that all responsibilities are fulfilled, namely, the primary responsibility of the enterprise itself and the regulatory responsibility of the government in the locality where the enterprise is located, precisely prevent and control risks, decisively eliminate issues such as the sale of expired, spoiled and counterfeit or substandard food, and rigorously guard against regional and systemic food safety problems. Efforts will be intensified to identify potential quality and safety hazards, with a focus on industrial clusters, wholesale markets and rural markets. We will conduct continuous inspections of potential hazards in product quality and safety, strengthening quality supervision and spot checks, implementing a "ledger-style" management approach, and effectively eliminating quality and safety hazards.
Market regulation departments across various regions, fully considering local consumption characteristics, are making full use of a tiered regulatory toolbox. They comprehensively employ methods such as reminders, administrative guidance and administrative law enforcement. This includes the launch of a platform for price and fee regulation, monitoring and early warning services, organizing supermarket and department store price policy reminder briefings, conducting a series of actions, such as regulation on food safety, rectification of safety hazards in special equipment, and addressing quality and safety issues in gas appliances. These actions aim to guide business entities to operate in accordance with the law and regulations. As of Jan. 16, market regulation departments across the country had deployed inspection personnel on a total of 481,100 visits, inspecting 322,100 units. In terms of pricing, 252 cases had been filed, resulting in 80 penalized cases with a total amount of 533,600 yuan being penalized or returned. In terms of product quality, 1,108 cases had been filed, resulting in 279 penalized cases with a total penalty amount of over 2.62 million yuan. In terms of food safety, 2,681 cases had been filed, resulting in 2,197 penalized cases with a total penalty amount of around 10.74 million yuan. Thank you.
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Cover News:
The Central Economic Work Conference has proposed proactively developing the digital economy. Currently, regular oversight of the platform economy is receiving significant attention. Regarding the anti-monopoly supervision for the concentration of business operators, what measures has the SAMR taken to conduct regular oversight? Thank you.
Xu Lefu:
Thank you for your question. The SAMR attaches great importance to the regular oversight of the platform economy, actively planning high-quality measures to support its development. Regarding the anti-monopoly supervision for the concentration of business operators, we are steadily advancing the routine regulatory approach of ensuring pre-compliance, conducting mid-process reviews and implementing post-accountability measures to promote high-quality development of the platform economy.
The term "pre-compliance" entails promoting adherence to regulations in advance with an emphasis on ensuring enterprises to shoulder due responsibilities. We have emphasized enhancing enterprises' compliance awareness and released a guideline on anti-monopoly compliance for the concentration of business operators. We have also established routine communication mechanisms with platform enterprises, taking proactive steps to assist businesses in their compliance operations. We have observed, in recent years, platform enterprises, particularly major platform enterprises have greatly enhanced their compliance awareness. They have commonly established internal anti-monopoly compliance systems and dedicated appropriate human resources to this endeavor. Currently, due to the substantial increase in anti-monopoly compliance awareness, there have been no newly added illicit practices associated with business operator concentration by platform enterprises since the new Anti-Monopoly Law came into effect on Aug. 1, 2022.
Efforts have focused on providing review services and improving review efficiency in the review process. We revised and released the Provisions on the Review of Concentration of Undertakings, and launched an antitrust review system for the concentration of operators, clarifying internal work requirements for simple cases. Specifically, such cases must be addressed within 20 days of enterprises registering applications, and the review must be completed within 20 days of application acceptance. The system will issue notifications if the handling of cases exceeds the required 20 days, and the staff responsible for the cases should provide explanations, aiming to offer enterprises clear and stable expectations for supervision. In 2023, the average review time for operator concentration cases was 25.7 days; for straightforward cases, it was 17.7 days. This efficiency is among the highest in major anti-monopoly jurisdictions. Since the amended Anti-Monopoly Law took effect on Aug. 1, 2023, we have unconditionally approved 29 cases of concentration of platform operators in accordance with the law, without any approvals with conditions or prohibited cases.
Follow-up accountability refers to law enforcement, deterrence, and investigation into responsibility. Currently, we are expediting research and development of standards for discretion in administrative penalties for illegal business concentration, and the Rules for Dealing with Ineligible Cases of Concentration of Operators with Possibilities of Excluding or Restricting Competition. This aims to intensify regulation on illegal business concentration and so-called "killer mergers," including those that fail to meet thresholds but still exclude or restrict competition or have the potential to do so after the enforcement of the Anti-Monopoly Law. The goal is to enhance deterrence with mechanisms to champion fair market competition.
We always believe that pro-competition policies are pro-development policies. Anti-monopoly regulation aims to encourage enterprises to grow stronger in accordance with the law and to champion sound and sustainable industrial development, thereby providing consumers with more high-quality and economical goods and services. Going forward, the SAMR will continue to act on the principle of seeking progress while maintaining stability, promoting stability through progress, and establishing the new before abolishing the old. We will promote development as well as strengthen supervision and regulation, adopt an open-minded and prudent attitude in supervision, and continuously improve regular supervision capabilities to support the sound and standardized development of the platform economy. Thank you.
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Red Star News:
Self-employed individuals are the capillaries of the national economy, underpinning employment expansion and the improvement of people's livelihoods. May I ask what progress the SAMR has made in promoting their development? What measures will be taken to promote their development quality? Thank you.
Pu Chun:
These are very good questions. Let's invite Mr. Ren to answer the questions.
Ren Duanping:
Thank you for your questions. Self-employed individuals, which are the largest in number among China's market entities and an essential part of the private economy, play a critical role in stabilizing economic growth, promoting employment, and improving people's livelihoods. General Secretary Xi Jinping has emphasized the importance of taking effective measures to support the development of self-employed individuals. The State Council released regulations on boosting the development of self-employed individuals, providing legislation guarantee in this regard. The SAMR will earnestly implement the decisions and arrangements of the CPC Central Committee and the State Council, and continue to take effective measures to advance the sound and orderly development of self-employed individuals.
First, the SAMR has established a regular communication mechanism between itself and self-employed individuals. In line with the State Council's arrangements and requirements for building a regular communication mechanism, officials from the SAMR hosted three symposiums on self-employed individuals, engaged in face-to-face communication with representatives of self-employed individuals, and learned about their conditions, problems, and suggestions. By improving the problem transfer and supervision mechanism, we have better addressed common issues of concern to self-employed individuals and continued to optimize assistance measures.
Second, the SAMR launched a service month campaign and worked with 13 departments to establish a diverse assistance mechanism. In July 2023, the second session of the National Self-Employed Individuals Service Month campaign was initiated, during which a total of 29,200 symposiums on self-employed individuals were held. We visited approximately 4.3 million self-employed individuals, addressing problems and difficulties through 174,600 cases.
Third, the SAMR advanced targeted assistance for different categories and types of self-employed individuals. Based on the experience of 12 pilot provinces, the SAMR, along with 14 departments, including the National Development and Reform Commission, the State Taxation Administration, and the National Financial Regulatory Administration, released a guideline on targeted assistance for self-employed individuals of various types and categories. This guideline clarifies classification methods and cultivation measures for four types of self-employed individuals, including those striving for subsistence, growth, and development and those that are renowned, specialized, high-quality, and innovative.
With concerted efforts from various regions, local relevant departments, and all sectors of society, self-employed individuals nationwide have achieved stable and sound development, with an improved level of activity and increased revenues. By the end of 2023, the total number of registered self-employed individuals in the nation reached 124 million, accounting for 67.4% of business entities across China and providing employment for nearly 300 million people. The year 2023 saw 22.582 million newly registered self-employed individuals, marking an 11.4% increase year on year. Self-employed individuals act as the capillaries of industrial and supply chains and the nerve endings of markets. Their stable development sustains the hustle and bustle on the streets and maintains the livelihoods of hundreds of millions of families, demonstrating the strong vitality and resilience of the Chinese economy.
Next, the SAMR will focus on the following aspects to improve the quality of development of self-employed individuals in accordance with the deployments of the Central Economic Work Conference:
First, we will comprehensively promote targeted assistance based on different types and categories. We will guide local authorities to refine classification criteria, establish a unified national "List of Self-Employed Individuals," leverage the leading and exemplary role of enterprises featuring novel, special products of famous brands with high quality, and encourage various regions and departments to introduce more targeted policies and measures to support the development of self-employed individuals.
Second, we will give full play to the role of the "National Self-Employed Individuals Development Network," which was initially established and is being enriched in content and service resources. We will explore market-oriented means to provide services, including laws and policies, market supply and demand, recruitment information, entrepreneurship training, and financial support for self-employed individuals.
Third, we will create a favorable atmosphere. We will enhance the regular communication mechanism between the SAMR and self-employed individuals, address challenging issues, and continue to carry out the third edition of service activities for self-employed individuals nationwide. We will increase incentives and publicity for outstanding self-employed individuals, continue to monitor their activity, and thus better support their high-quality development. Thank you.
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CCTV:
The Central Economic Work Conference highlighted the importance of maintaining positive interactions between high-quality development and high-level safety. Food safety is a critical issue affecting people's well-being. We want to know what the SAMR has done to strengthen supervision over food safety and what are your plans moving forward? Thank you.
Pu Chun:
Thank you for your question; I'll answer it. Food safety relates to people's health and safety. Since the 18th CPC National Congress, General Secretary Xi Jinping has made a series of important statements, providing theoretical guidance and fundamental instructions for our work regarding food safety. The SAMR has firmly implemented the important instructions given by General Secretary Xi Jinping, carried out the decisions and arrangements of the CPC Central Committee and the State Council, adopted a problem-oriented approach, prevented and defused risks, never allowed the bottom line to be crossed on major food safety issues, and ensured the steady and positive momentum of food safety.
First, we have strengthened localized management responsibility and corporate principal responsibility for food safety. We guided local authorities to establish and improve a mechanism featuring a multi-level targeted prevention approach, implemented the system of "three lists plus one commitment letter" (responsibility list, task list, inspection list, and food safety responsibility and task commitment letter), and further fulfilled localized management responsibilities. We encouraged enterprises to appoint food safety officers and directors in accordance with laws and regulations, establish a risk control list, and strictly implement the "daily control, weekly investigation, and monthly scheduling" work mechanism. When problems occur, we can find the responsible parties and conduct investigation.
Second, we have established a robust food safety standard system. The SAMR has revised the Food Safety Law and its implementation regulations, formulated and introduced 16 supporting regulations on food safety, and issued 87 supplementary methods for food testing and 49 methods for quick inspection, providing a strong institutional guarantee and technical support for law-based supervision.
Third, we have continued to enhance our supervision to ensure food safety. We coordinated pre-incident, during-incident and post-incident supervision, optimized the registration management process for special foods, strengthened on-site inspections of food production and operation licenses, and strictly controlled market access. We fully implemented risk-based graded supervision, formulated a supporting checklist of key inspection points, increased inspection frequency for high-risk foods and their enterprises, and guide local governments to strengthen random inspections. In 2023, we completed 7.0349 million batches of food safety supervision and sampling inspections, with a failure rate of 2.72%, a reduction of 0.14% from the previous year.
Fourth, we have combined punishment and clemency in punishing illegal acts. We focused on addressing prominent issues of public concern while strengthening the handling and investigation of food safety cases. The first three quarters of 2023 saw 334,500 food safety violation cases nationwide, 33,500 of which were exempted from punishment, and the average fine per case was 4,900 yuan, showing a downward trend. These figures not only reflected the effectiveness of food safety supervision, but also showed an improvement in our concept and modes of law enforcement, which was recognized by the public.
Moving forward, the SAMR will continue to keep in mind the worst scenarios, strengthen risk management, pay close attention to the delivery of duties, improve the food safety risk prevention and control system, improve the consultation, major accident and public opinion emergency response mechanism, and effectively protect the food safety of the people. That's all from me. Thank you.
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Hong Kong Bauhinia Magazine:
The Central Economic Work Conference proposed enhancing quality support and standard leadership. Would you please introduce the efforts made by the SAMR on quality support and standard leadership? Thank you.
Pu Chun:
I'll invite Mr. Liu to answer the question.
Liu Sanjiang:
Thank you for your interest in quality issues. To build a modernized industrial system and advance high-quality economic and social development, it is essential to fully leverage the roles of quality support and standard leadership. In accordance with the plans of the Central Economic Work Conference, we will strive to establish quality benchmarks and advanced standards based on fully implementing the outline to improve the overall quality of China's economy.
In terms of setting up quality benchmarks, we will promote high-quality development to empower enterprises, industrial and supply chains, as well as counties in a systematic manner.
First, we will identify a group of leading enterprises that help improve the overall quality of China's economy, better leveraging the role of quality in fostering enterprise growth. Focusing on areas such as quality technological innovation, improvement in quality management, and enhancement of brand competitiveness, we will select a group of companies known for their pursuit of quality to serve as models for other companies in key sectors such as information and communication, engineering machinery, and new energy vehicles.
Second, we will initiate a series of major signature projects to enhance the quality of industrial and supply chains, thereby bolstering industries with high-quality growth. Focusing on key industrial chains such as integrated circuits, artificial intelligence, and quantum information, we will outline the quality profile of these industrial chains, formulating lists of quality issues, research topics, and policies to strengthen comprehensive quality management of industrial chains. We will also enhance our quality infrastructure and promote coordinated quality improvements throughout industrial and supply chains.
Third, we will foster a group of counties, districts and towns of high-quality development, giving more play to the role of quality in promoting sustainable urban development. We will establish a comprehensive system to evaluate the development quality of counties. Counties, districts and towns are encouraged to formulate and implement their urban quality development strategies based on their own mission and resources. Modern quality management concepts and tools are also used to advance refined, high-quality and intelligent urban development, thus strengthening the grassroots foundation for China to improve the overall quality of its economy.
In terms of strengthening the advancement of standards, we will take three measures. First, we will raise technical, emissions, and energy consumption standards to better leverage the role of standards in boosting domestic demand. We will improve the quality and safety requirements for consumer commodities such as home appliances and furniture, along with service standards. We will upgrade smart manufacturing, green manufacturing, and service-oriented manufacturing standards to promote new infrastructure standards for infrastructure such as data centers and electric vehicle charging stations. We will also improve fuel consumption standards for passenger cars and heavy commercial vehicles. We will enhance standards on energy consumption quotas and for terminal product energy efficiency of key industries. In particular, we will strengthen the development and implementation of mandatory national standards for key industrial products and special equipment that are safety-critical, ensuring these standards are as strong as possible. We aim to leverage standards to pioneer large-scale equipment updates and consumption product replacement programs.
Second, we will steadily expand institutional opening up for standards to enhance our performance in international competition and cooperation. We will establish a more open standardization system, actively participate in the governance of international standard organizations, strengthen the interactive development of standardization with technological innovation, and contribute more of China's visions to improving the international standard system. In combination with cooperation demands in industries, trade, engineering, etc., we will accelerate the compilation of foreign language versions of Chinese standards.
Third, we will implement a series of major signature projects to better leverage the role of standards in safeguarding the stability of industrial chains. We will focus on important industrial chains such as integrated circuits, industrial robots, and the large-scale application of the BeiDou Navigation Satellite System. We will develop technological standards for key areas such as artificial intelligence security and driving assistance systems. We will accelerate the conversion of independent technologies into independent standards and establish a standard system that adapts to industrial chains. Thank you.
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Guangming Daily:
We have noted that last year, the SAMR released regulations on credit restoration for business operators. These regulations have played a positive role in assisting business entities to correct their mistakes and rebuild their credit. Could you please provide an introduction to this? Thank you.
Pu Chun:
This is a very important question, and I will answer it. In recent years, the SAMR has prioritized adhering to high-quality development in the new era. We have actively innovated institutional mechanisms, vigorously promoted credit restoration for business entities, and helped them improve their credit levels and market competitiveness, fully promoting high-quality economic development of China.
By the end of December 2023, market regulation departments across the country have restored 850,000 administrative punishment records for various business entities, restored 4.96 million pieces of information on the list of abnormal business operations, and resolved the abnormal status of 17.76 million individual businesses. These business entities were relieved from restrictions in tendering and bidding, investment and financing, and the awarding of honorary titles in accordance with the law, unleashing the vitality of business entities and creating a market-oriented, law-based and world-class business environment.
The SAMR has introduced the Administrative Measures for Credit Repair in Market Supervision and Management and the Regulations on Procedures for Credit Repair Regarding the Lists of Entities with Serious Acts of Bad Faith and Disclosed in Administrative Penalty Announcements (Trial Implementation). These measures aim to establish a credit repair framework that features hierarchical and categorized management with phased exits. Relying on the National Enterprise Credit Information Publicity System, we provided guidance for local authorities to establish and enhance online credit restoration systems, enabling credit restoration to be available online nationwide. This facilitates efficient and convenient credit restoration services for business entities. Extensive publicity and interpretation efforts have been conducted to enhance enterprises' awareness of credit restoration policies, guiding them to actively repair their credit and elevate their credit standing. Proactive guidance has been given to local market supervision departments to establish and improve mechanisms for information sharing and mutual recognition with the Credit China website, promoting mutual recognition and synchronization of credit restoration results, and contributing to the construction of a unified national market.
Market supervision departments in various regions have innovated their credit restoration mechanisms, continuously improving their service capabilities and levels. Shandong, Jiangxi, Yunnan, and Xizang have established a mechanism for the simultaneous delivery of administrative penalty decisions and credit restoration notifications, promptly informing business entities of credit restoration methods and procedures. Beijing and Yunnan have shortened the processing time for credit repair applications, efficiently assisting business entities in rebuilding their credit. Jiangsu has implemented personalized reminders for credit restoration, enhancing the precision of credit restoration services. Anhui has explored the implementation of three credit restoration models: "commitment with further delivery," "commitment for verification-free services," and "instant application, instant handling." These models use commitments to facilitate credit restoration. It also set up "credit restoration stations" to provide one-stop services for "registration" and "credit restoration." Active guidance is provided to local innovations in work mechanisms to enhance credit repair efficiency. Thank you.
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CNR:
The recently revised Provisions of the State Council on the Declaration Standards for the Concentration of Business Operators have come into force. Could you please provide some background information and the main content of this revision? Moreover, what positive effects will it have in terms of stimulating the vitality of business entities? Thank you.
Xu Lefu:
Thank you for your concern about antitrust work. The declaration standards for business concentration are an important part of the antitrust review system. The Provisions of the State Council on the Declaration Standards for the Concentration of Business Operators, promulgated and implemented in 2008, set specific turnover thresholds for declaring business concentration. This has played a key role in clarifying businesses' obligations to declare, defining the scope of supervision, screening for competition risks, and improving the efficiency of antitrust reviews. As of the end of 2023, antitrust enforcement agencies under the State Council have concluded reviews of 5,789 cases of business concentration. Among these, three cases were prohibited, and 61 cases were approved with additional restrictive conditions, effectively preventing monopolistic behavior, maintaining a market environment of fair competition, and promoting the healthy development of the socialist market economy.
Over the past decade, as China's economy has continued to flourish, the turnover declaration criteria established in 2008 have become inadequate for promoting high-quality development. From 2008 to 2022, China's GDP grew from 31 trillion yuan to 121 trillion yuan, the number of corporate entities increased from 4.96 million to over 28 million, and the number of enterprises with annual turnover exceeding 400 million yuan rose from 32,800 to over 90,000. The number of business concentration declarations surged, reaching 867 in 2022, a tenfold increase from the 77 declarations in 2009. As a result, some small- and medium-sized business concentrations, which clearly did not have exclusionary or restrictive effects on competition, were included in the declaration scope, raising the institutional transaction costs of business concentration. Therefore, it is necessary to raise the declaration criteria.
The new regulations have increased the global aggregate turnover threshold for participating operators in the concentration in the previous fiscal year from above 10 billion yuan to above 12 billion yuan, the aggregate turnover threshold in China from over 2 billion yuan to over 4 billion yuan, and the unilateral turnover threshold in China from above 400 million yuan to above 800 million yuan. Additionally, it is stipulated that the implementation of the revised standards will be evaluated in light of the economic development situation.
The new declaration criteria will offer at least two benefits to businesses. First, they will help reduce the costs of investment and merger and acquisition transactions for companies. According to estimates, the threshold increase will result in an annual average reduction of over 200 declarations for small- and medium-sized M&As, accounting for over 30% of all declarations. Second, the criteria will contribute to improving the overall efficiency of economic operations. With the higher declaration criteria, the efficiency of corporate investment and M&A activities will significantly improve, boosting market confidence and stimulating the vitality of business entities. This will further consolidate and enhance the positive momentum of China's economic recovery.
In the next step, the SAMR will focus on promoting and implementing the new regulations. While facilitating business declarations, it will efficiently conclude concentration cases with no anticompetition behavior in accordance with the law and address the adverse effects of concentrations on competition. This will help create a level playing field for various types of business entities, providing strong support for building a new development paradigm and promoting high-quality development.
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Xinhua News Agency:
Last year, the CPC Central Committee and the State Council released the national outline of building a quality-powered nation. Could you brief us on the progress and achievements made by the SAMR in implementing the outline and promoting quality development? Thank you.
Liu Sanjiang:
Thank you for your question. Quality is the foundation of development, a benefit to the people and a strategy for strengthening the nation. Building China into a quality-powered nation is a crucial aspect of comprehensively advancing the noble cause of building China into a great modern socialist country in all respects and advancing the rejuvenation of the Chinese nation on all fronts. The CPC Central Committee and the State Council issued the national outline of building a quality-powered nation, providing guidelines to take a coordinated approach in this regard. Since the release of the outline, various regions and departments have focused on the development goals, key tasks, and major projects, vigorously implementing them and achieving positive progress and accomplishments. To summarize, there are four main aspects as follows:
First, we've enhanced work mechanisms for product quality. Through restructuring, the State Council established the National Leading Group for Coordinating and Promoting Building China into a Quality-powered Nation, with the number of member departments increasing to 33. We conducted a central quality inspection and assessment for the first time, effectively strengthening the endeavor. Various localities also issued implementation documents tailored to their realities, promoting quality enhancement in provinces, regions and cities. We held comprehensive and multi-channel publicity activities, successfully hosting events such as the China Quality Conference in Chengdu and China's "Quality Month" campaign. The public's overall awareness of product quality has been further improved, and the collaborative effort to transform China into a quality-powered nation has been consistently consolidated.
Second, we implemented actions to enhance quality. Eighteen departments jointly issued an action plan to further improve the quality of products, projects, and services, accelerating quality improvements and upgrades. The qualification rate of products in the manufacturing industry increased steadily to 93.65%, and the consistency of major consumer goods standards with international standards reached 96%. The satisfaction scores for life services and public services have risen to 78.01 and 79.85, respectively, placing them in the relatively satisfied range and moving more towards the satisfied range.
Third, we have strengthened quality and safety supervision. We have improved quality supervision systems, including risk monitoring, supervision, random inspections, and defect recalls, and addressed quality issues in over 20 key consumer products, such as firefighting products and gas stoves. Special operations like the "Double Punch" and "Iron Fist" campaigns were conducted to severely crack down on quality violations. In 2023, a total of 56,700 cases of quality violations were investigated and handled, resulting in the recall of 6.728 million defective vehicles and 10.42 million defective consumer products.
Fourth, we have solidified the foundation for quality infrastructure. We have issued guidelines and management measures for the construction of national quality standard laboratories, and the selection and construction work for the first batch has been initiated. A total of 192 national measurement benchmarks, 65,000 social public measurement standards, 877 national quality inspection centers, and over 1,400 comprehensive service platforms for quality infrastructure have been established. The total number of various standards has exceeded 3.3 million items, and the number of certified organizations for quality certification has surpassed 1 million, further highlighting the effectiveness of quality infrastructure services in supporting industrial and enterprise development.
Promoting quality development and building China into a quality-powered nation requires the active participation of the entire society, perseverance, and sustained efforts. In this regard, we hope the media will contribute more to quality publicity, creating a strong societal atmosphere that highly values quality and pursues high quality. Let's work together to advance this pursuit. Thank you.
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China Daily:
The Central Economic Work Conference proposed implementing structural tax reduction and fee reduction policies. The SAMR recently announced the results and data of the previous stage of work related to enterprise fees. What arrangements and work plans does the administration have for managing arbitrary charges on enterprises in the future?
Ren Duanping:
Thank you for your question. The SAMR has steadfastly implemented the decisions and arrangements of the CPC Central Committee and the State Council, launching special rectification initiatives to combat unjustified charges levied on businesses for five consecutive years. Through regulatory law enforcement aimed at eliminating unjustified fees and rectifying disorder, a total of 320,000 charging units have been inspected, and over 18 billion yuan has been refunded to enterprises. Recently, in line with the Central Economic Work Conference's decisions and arrangements to implement structural tax and fee reduction policies and support scientific and technological innovation and the development of the manufacturing industry, the administration has conducted targeted surveys into some scientific and technological innovation and manufacturing enterprises. This effort comprehensively addresses the problems businesses face with enterprise-related charges, improving the relevance and effectiveness of managing enterprise-related fees.
During the surveys, enterprises reported noticeable improvements in the business environment after years of continuous rectification, and the collection of unjustifiable fees has been effectively curbed. However, scientific and technological innovation and manufacturing enterprises still have expectations for fee reduction and burden alleviation. For instance, these enterprises want to reduce the costs associated with protecting new inventions and technologies, hoping for a smoother commercialization of technological achievements with lower costs. Manufacturing enterprises are more focused on the progress of new projects and the renovation of equipment, seeking faster approval, lower financing costs, and more transparent charges for intermediary services. Additionally, enterprises have various demands regarding fair competition, electricity and energy consumption, transportation and logistics, industry associations, and other aspects.
Focusing on the sci-tech innovation and real concerns of manufacturing enterprises, we have carefully reviewed the relevant situation and will adopt targeted measures to respond to the needs of enterprises, and take practical steps to advance sci-tech innovation, boost the confidence of manufacturing enterprises, ensure their stable expectations and promote their growth. Next, the SAMR will prioritize work in the following three aspects:
First, we will carry out a special safeguarding campaign through market regulation. Giving priority to regulating charges on enterprises, we will step up our efforts to regulate charges on sci-tech innovation and manufacturing enterprises and strictly investigate and prosecute illegitimate charges on enterprises, to safeguard the healthy development of sci-tech innovation and the manufacturing industry, maintain a sound business environment and competition order, and ensure stable and smooth industrial and supply chains.
Second, we will improve services for sci-tech innovation and manufacturing enterprises. In response to the concerns of enterprises learned during inspections and surveys, we will enhance cooperation with the relevant authorities, develop positive interactions between oversight and law enforcement and policy formulation, promote the optimization of structural fee reduction policies, and strengthen coordination among departments, to form a synergy for governance.
Third, we will release guidelines on regulations for charges on enterprises. At present, the public is solicited on its opinions on rules for handling illegal charges on businesses, and we will release the rules in due course after making revisions and improvements based on the opinions of all parties. We will also accelerate the introduction of guidelines of compliance for charges on enterprises by industry associations and chambers of commerce in accordance with procedures. The SAMR will improve the quality and efficiency of institutional supply, and consolidate the results of regulating charges on enterprises. Thank you.
Xing Huina:
Last question, please.
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Economic Daily:
While requiring the unleashing of consumption potential to promote the recovery of consumption, the central government also clearly stated that we should oppose waste and excessive consumption. We have noticed that the SAMR has done a great deal of work to curb food waste. Could you explain a little about this work? Thank you.
Pu Chun:
I'll answer this question. Food is of primary importance to the people. As the saying goes: "Consider how difficult it is to obtain rice and grain." Frugality is a traditional virtue of the Chinese nation and has consistently been the fine tradition of our Party. In 2023, the SAMR fully implemented General Secretary Xi Jinping's important instructions on curbing food waste, and launched a three-month nationwide campaign to curb food waste, achieving positive results.
First, we have tightened regulations and strengthened inspections and law enforcement. Focusing on key areas including food delivery, wedding banquets, buffets, and canteens, we have launched campaigns such as random checks on restaurants and inspected 4.67 million canteens and restaurants, among which 78,100 were found to have food waste, with 92,000 problems rectified. We have strictly and quickly investigated, prosecuted and corrected illegal conduct including failing to actively and promptly remind customers when they order more food than they could eat, and encouraging and misleading customers into ordering excessive quantities of food. We have promoted procedures to simplify the handling of cases involving minor violations of the law. 29,800 cases were handled with orders for rectification and warnings, and 6,201 typical cases were published in a timely manner.
Second, we have focused on regulating services on food delivery platforms. We have worked with the Ministry of Commerce to issue the Guiding Opinions on Giving Play to the Leading Role of Online Catering Platforms and Effectively Preventing Delivery Food Waste," urged leading food delivery platforms to play an exemplary role, and guided them to take specific measures including whole-process reminders, giving detailed portion descriptions, adjusting the thresholds for discounts, promoting small portions of food, and establishing reward mechanisms for food conservation, thereby promoting the well-regulated and sound development of the food delivery industry.
Third, we have continued to improve the long-term working mechanism. The SAMR published the Opinions on Further Improving the Work on Curbing Food Waste and put forward clear requirements on preventing food waste at wedding banquets together with the Office of the Spiritual Civilization Development Steering Commission and the Ministry of Civil Affairs. Since the launch of the special campaign last year, we have successively issued five national standards such as the General Rules for Anti-Food Waste Management in the Catering Industry and guided relevant industry associations to formulate six group standards. Local regions have also formulated and revised 111 relevant local standards and group standards.
Fourth, we have strengthened organization and guidance of publicity and education work. We have carried out anti-food waste activities in 371 universities to popularize information, launched a discussion using the hashtag #CleanPlatesAreVirtuous on Douyin, organized 28,700 large restaurant chains to remind their customers to reduce food waste, and guided localities to make 10.35 million publicity products, reaching more than 900 million people. We have advanced the publicity of relevant standards and laws on food waste prevention in various places, covering 55,000 catering service units and 130,000 employees.
Curbing food waste cannot be accomplished overnight and we must make sustained and consistent efforts. We hope that everyone in society will take action to participate in, publicize and safeguard the "Clean Plate" campaign, fight together in the protracted battle against food waste, and foster a new social value where waste is seen as shameful and thriftiness is applauded. We also hope that journalists can raise awareness in this regard and jointly foster a sound atmosphere which advocates frugality and cherishing food. Thank you.
Xing Huina:
Today's briefing is hereby concluded. Thank you to all the speakers and journalists here. Goodbye.
Translated and edited by Zhu Bochen, Qin Qi, Liu Jianing, Zhang Tingting, Wang Ziteng, Liu Caiyi, Mi Xingang, Xu Kailin, Wang Wei, Huang Shan, Zhang Rui, Li Huiru, Zhou Jing, Zhang Junmian, Wang Yanfang, David Ball, and Jay Birbeck. In case of any discrepancy between the English and Chinese texts, the Chinese version is deemed to prevail.
