China will use a recently passed law supporting its private economy as a springboard for growth, officials said, with the non-state sector becoming all the more crucial as the country looks inward for economic momentum amid an unprecedented trade war with the United States.
“There is an urgent need to improve relevant institutional measures in response to prominent problems encountered [by the private enterprises] in practice,” said Wang Zhenjiang, China’s vice-minister of justice, at a press conference for the new law on Thursday.
Wang added that private enterprises still face difficulties in areas such as fair market competition, equal market access, financial support and legal protections.
The law has clearly defined the legal status of the private economy and the government’s support for it for the first time, Wang said, adding the legislation is “expected to further unleash the internal momentum and creative vitality of the private sector.”
Officials from the Legislative Affairs Commission of the National People’s Congress Standing Committee – China’s highest legislative body – attended the briefing with representatives from the National Development and Reform Commission, the country’s top economic planner.
Also present were figures from the National Financial Regulatory Administration and the All-China Federation of Industry and Commerce.
