The most important session of the year, the Third Plenary Session of the 20th CPC Central Committee, has come to an end.
As we can see, the plenary adopted the core document:
The full text of the "Decision of the Central Committee of the Communist Party of China on Further Comprehensively Deepening Reform and Promoting Chinese-style Modernization" was released yesterday afternoon.
After studying, about 22,000 words, more than 300 important reform measures were proposed, and the latest document is divided into 60 subsections.
Looking at the surface, it is basically the layout of the strategic direction. In fact, the details of the future are based on the big picture.
The overall content is rich, first select a few topics closely related to investment promotion in various places to talk about, and interpret them in easy-to-understand language.
Markets and governments Important changes
From the report of the 20th National Congress of the Communist Party of China to the report of the 20th National Congress of the Communist Party of China, "we must give better play to the role of the market mechanism", which has become the biggest attraction.
Note that there is an important change here: "the market mechanism must be better utilized", and the word "government" is not mentioned again.
Instead, it is the duty of the government. For example, "being able to manage it" and "making up for market failures" obviously shows that the position of the market mechanism has been unprecedentedly strengthened.
A series of statements in the "Decision" show that the roles of the "hand of the market" and the "hand of the government" are still distinct, and China is firmly determined to adhere to the direction of socialist market economy reform.
In other words, the "market mechanism" is in the forefront of the reform and deployment of the economic field in the "Decision", and this layout is to send a positive and clear signal to all business entities and all entrepreneurs:
In the reform of the economic structure, China will adhere to the basic orientation of marketization, and the direction that the market plays a decisive role in the allocation of resources will never change and will never waver.
So, how can the government play a better role?
After analysis, the repeated mention of "live" is itself an important signal, indicating that China will properly grasp the rhythm and intensity when dealing with the relationship between "decentralization" and "management", and focus on the need to promote high-quality economic development.
As the "visible hand" and the "invisible hand" move in the same direction, China's economic development can be expected to move to a higher level, and new breakthroughs will continue to be made in Chinese-style modernization.
The unified market is truly implemented
The two key words of "further deepening reform in an all-round way" and "promoting Chinese-style modernization" have become the strong voice of the times in China in the new era, and they have landed in the land of China.
In particular, it is necessary to truly implement the equal status of market players, break down the administrative division between regions and urban and rural areas, and establish a unified market.
With the clear tone of the Third Plenum, investment promotion must clarify the real situation of the industry, enterprises, and the upstream and downstream of the industrial chain, so as to "dialogue with enterprises on the same channel" and see the potential and risks that others cannot see.
Only by figuring out these can we understand what the shortcomings of the enterprise are and where the problems that need to be solved the most can we help the enterprise "make up for the shortcomings" in a targeted manner and achieve mutually beneficial and win-win cooperation.
China's economy has continued to grow at a rapid pace for decades, and there is no shortage of investment attraction and some problems. For example, duplicate construction, homogeneous competition, overcapacity, etc.
Another example is that in areas with a net outflow of population, land is still being supplied, houses are being built, and industrial parks are being built, which will make it difficult to decentralize, or at worst become empty cities.
There are also places where they benchmark and imitate each other. Counties and towns should also build the same high-rise buildings as the cities and develop the same industries as the cities, which will cause waste in infrastructure and personnel training.
As early as 2022, the "Opinions of the Central Committee of the Communist Party of China and the State Council on Accelerating the Construction of a National Unified Market" proposed to accelerate the construction of an efficient, standardized, fair competition, and fully open national unified market......
After that, a series of actions landed one after another. Not long ago, the "Regulations on Fair Competition Review" was promulgated in the form of a document of the State Council, and everyone should have seen it.
The Third Plenary Session of the 20th Central Committee of the Communist Party of China once again emphasized the need to build a unified national market. Undoubtedly, in terms of attracting investment, whether the industrial foundation is solid and how to improve the level of specialization? Even, back to the basics, have you repeatedly introspected your "family background" and figured it out?
In fact, correspondingly, the thinking mode of investment promotion is bound to make corresponding adjustments. It is worth noting that the introduction of market-oriented investment promotion agencies is also an important means of professional investment promotion.
By building a platform and borrowing "external brains", the government has gradually shifted from "leading investment promotion" to "guiding investment promotion", making full use of the channels, information and experience advantages of professional institutions, which will help broaden the space for investment promotion.
New quality productivity and scientific and technological innovation
First of all, at the beginning of the "Decision", it is very clearly pointed out:
In the face of a new round of scientific and technological revolution and industrial transformation......... We must consciously put reform in a more prominent position.
This is at the level of major central meetings to confirm that in the critical period of the fourth scientific and technological revolution and industrial revolution, we must seize the opportunity and not sit back and wait for the miss, and this is also one of the core driving forces for forcing reform and deepening reform.
To put it simply, the old economic growth model of the past is no longer appropriate, and it is difficult to rely solely on the input of labor and capital to boost the economy with high quality, and it is necessary to develop hard-core science and technology and carry out industrial upgrading.
The second important thing is that through revolutionary technological breakthroughs, all localities can give birth to new industries, new models, and new kinetic energy, and develop productive forces characterized by high technology, high efficiency, and high quality.
As mentioned in the "Decision", it is necessary to establish a mechanism for the growth of future industrial investment, and improve the policy and governance system for promoting the development of strategic industries such as a new generation of information technology, artificial intelligence, aerospace, new energy, new materials, high-end equipment, biomedicine, and quantum technology.
Based on this, local investment promotion must give priority to the current situation and future development of the local industrial base. The industrial research is carried out from the aspects of industrial segmentation, the scope of transfer trend, the site selection appeal of enterprises, the sorting out of investment promotion policies, and the agglomeration of various factors, which has certain guiding significance and reference value for investment promotion.
At this stage, the whole country will serve scientific and technological innovation from top to bottom.
On the eve of the Third Plenary Session, provincial-level science and technology committees and municipal-level science and technology committees were established in various localities, and the first and second leaders took the responsibility; The Ministry of Industry and Information Technology established the High-tech Department and the Future Industry Division; The Ministry of Science and Technology has set up three new science and technology institutions; The State-owned Assets Supervision and Administration Commission of the State Council has set up two batches of original technology sources of central enterprises, which are very clear and direct proof.
Technological competition and scientific and technological breakthroughs, in the final analysis, are the competition and gathering of talents.
All localities need to exhaust all resources and forces to form an effective talent system for discovering, cultivating, selecting, and giving full play to the value of talents, so as to continuously become the source of living water and an inexhaustible driving force for China's scientific research and scientific and technological undertakings.
The direction of state-owned enterprises has a heavy responsibility
The Third Plenary Session of the 20th CPC Central Committee proposed that a high-level socialist market economy system is an important guarantee for Chinese-style modernization.
We must give better play to the role of the market mechanism...... We should better maintain market order, make up for market failures, smooth the circulation of the national economy, and stimulate the endogenous power and innovation vitality of the whole society.
In recent years, the "two non-capital" of central enterprises have been divested and "two capitals" have been disposed of; Since last year, central enterprises have cleaned up financial assets, liquidated the equity of small and medium-sized banks, and withdrawn from participating in financial enterprises.
This is to further focus on the main responsibilities and main business of state-owned enterprises.
2024 is the year of the new round of state-owned enterprise reform and upgrading action (2023-2025), and market-oriented integration and reorganization is the key task of the new round of state-owned enterprise reform and upgrading action.
For the market-oriented service business, the market-oriented mechanism will first be introduced on the existing basis to carry out market-oriented operation; Subsequently, the restrictions on the entry of socialized capital will be relaxed, the common development of the state-owned economy and the private economy will be realized in competitive fields, and the better development of the state-owned economy will be promoted with the help of market-oriented competition.
For the energy and railway industries, the reform model should "let go of the two ends and control the middle". The intermediate pipeline network and transportation links have natural monopoly attributes, and it is necessary to prevent duplicate construction and disorderly management; The "two ends" should introduce a competition mechanism, and in particular, it should be opened to private enterprises.
Compared with central enterprises, it is more urgent for local state-owned enterprises - urban investment companies.
When Chengtou began to undertake the task of attracting investment, it was by no means as simple as packaging the original pure land and infrastructure content into an industry with connotation.
Chengtou "shifts" production and investment will definitely attract investment. However, you don't necessarily know how to attract investment.
At the end of April this year, the meeting of the Political Bureau of the Central Committee mentioned that entering the stage of high-quality and refined urban operation and industrial deep cultivation, it is necessary to cover debt expenditure with positive operating financial cash flow, and urban investment platform companies can only rely on industry in the future.
In terms of regional development, this is a pragmatic market-oriented transformation, which can optimize the debt structure, reduce fiscal pressure, and promote local diversification.
The ultimate goal, if you want to achieve industrial upgrading, the key is whether you can gain a firm foothold in the market competition and provide competitive products and services.
In the early stage of transformation and development, from the perspective of "resources + competition and cooperation", a partner who "understands the industry, understands the economy, can attract investment, and can serve" can help the urban investment company to pass this transition stage smoothly and orderly and enter the fast lane as soon as possible.
Tanigawa Associates is such a "foreign aid", focusing on the overall strategic situation, providing the whole life cycle management services of industrial parks, from "project analysis, financing services, and park design" to "construction management, investment management, and operation management".
Pay attention to entrepreneurs and support private enterprises
As for the economic development in the first half of this year, most entrepreneurs believe that under the impetus of national policies, economic development has recovered and improved, and the operation has been generally stable.
However, enterprises are still facing many difficulties in their operations. Some enterprises have tight cash flow, insufficient investment, and reduced willingness to expand, especially for traditional industries.
Under the market economy system, enterprises are the main body of market competition. Importantly, businesses are closer to ever-changing market needs and the unpredictable technological frontiers of the future than governments.
Enterprises are the first recipients of market information changes, and are most sensitive to market information and market demand. And the government, based on lagging information, often does not keep up with market changes.
Not long ago, I saw that some entrepreneurs strongly recommended:
We will further clean up and abolish policies that hinder the establishment of a unified national market and run counter to fair competition, including local protection, market segmentation, and designated transactions.
In some places, the process is still cumbersome. It is hoped that we can promote the streamlining of administration and decentralization, reduce administrative approvals, and implement "wide access and strict supervision" for enterprises.
Returning to the investment promotion itself, all localities should fully implement equal treatment for private capital access, and they must not be "labeled". The government can entrust some investment promotion tasks to market-oriented institutions, evaluate the qualifications of enterprises, study and judge the project threshold, and balance the interests of both parties from the standpoint of a third party.
It is worth mentioning that a law on the promotion of the private economy has also been enacted.
We will further break down barriers to market access, promote the fair opening of competitive areas of infrastructure to business entities, and improve the long-term mechanism for private enterprises to participate in the construction of major national projects. Support capable private enterprises to take the lead in undertaking major national technological research tasks, and further open up major national scientific research infrastructure to private enterprises. Improve the financing support policy system for private enterprises, and solve the problem of difficult and expensive financing.
All localities should pay more attention to the spirit of entrepreneurship, which is the core driving force for economic development.
We see that it is of great significance to upgrade the "better play the role of entrepreneurs" 11 years ago (the Third Plenary Session of the 18th Central Committee) to "promote the entrepreneurial spirit".
Improve the modern enterprise system with Chinese characteristics, promote the entrepreneurial spirit, support and guide all kinds of enterprises to improve the efficiency of resource utilization and operation and management, fulfill social responsibilities, and accelerate the construction of more world-class enterprises.
Among them, compulsory measures such as penalties and business suspension should be used cautiously for enterprises to avoid one-size-fits-all and excessive law enforcement, and it is recommended that law enforcement agencies at all levels promote "soft law enforcement", explore and carry out service-oriented law enforcement models such as publicity and reminders, active guidance, and corrections, and patiently solve problems for enterprises.
In view of the phenomenon of "rushing to the top and duplicate construction" and fierce competition in some industries and fields, it is more necessary to guide and regulate the orderly competition of the industry, strengthen the overall planning of industrial development and production capacity layout, and help enterprises to "calculate the general ledger and calculate the big account", improve the overall situation, avoid blind investment, and promote the sustainable and healthy development of the industry.
Write at the end
Reform cannot be achieved overnight, but reform cannot be achieved in all directions.
In the past reforms, there are many good experiences to learn from, but also many lessons to be learned. Good lessons can be used in future reforms, and the lessons that need to be learned must not be repeated.
How to promote the process of Chinese-style modernization through reform requires good wisdom and talent, through in-depth investigation, careful analysis, careful thinking, careful deployment, and come up with the best plan and the best measures, so as to be able to firmly grasp the initiative of reform.