Since 2017, under the strong leadership of the Central Committee of the Communist Party of China (CPC) with Comrade Xi Jinping as the core, the Ministry of Commerce (MOFCOM) has firmly established the “four consciousnesses”, comprehensively implemented the spirit of the 19th CPC National Congress, conducted an in-depth study of Xi Jinping thought on socialism with Chinese characteristics for a new era, implemented new concepts of development, and promoting the comprehensive pilot and experimental work for building a new open economic system, making positive progress. In order to implement the Several Opinions of the Central Committee of the Communist Party of China and the State Council on Building a New Open Economic System (Zhong Fa [2015] No.13), the CPC Central Committee and the State Council has approved to conduct the comprehensive pilot and experimental programs for building a new open economic system (the “programs”) in 12 regions such as Jinan and Pudong New Area. Vice-Premier Wang Yang made important instructions on the programs and chaired an interim reporting seminar, fully recognizing the achievements of the programs. In October 2017, 13 ministries and commissions, including the Ministry of Commerce, issued a joint notice on nationwide replicating and promoting the first 24 effective approaches and typical patterns from the programs.
12 pilot areas have made various attempts to form a new mechanism of market allocation of resources, explore a new mode of economic operation and management, build a new pattern of all-around opening-up and cultivate new advantages in international cooperation and competition, continuously formed distinctive experiences and approaches, which strongly supported the development of regional economy and the improvement of the level of open economy.
First, new system and mechanism have been formed in order. Pilot areas have carried out multi-field and multi-dimensional exploration in streamlining administration, delegating powers, improving business environment, strengthening ongoing and ex-post regulation, improving government service and so forth, advancing the system and mechanism in various aspects. Pudong New Area created the “six double” mode of ongoing and ex-post regulation system; Jinan explored new modes of verification and management of processing trade; Nanchang established five major mechanisms for the development of industries; Fangchenggang carried out reforms in six main sectors to promote the opening up in border areas; Wuhan Metropolitan Area shared “one set of data” in its 15 examination and approval departments. Zhangzhou conducted a new way for the inspection and quarantine of imported and exported food, namely “instant clearance after declaration for inspection and quarantine”, which proved to save an average time of 8 to 10 days through the practice, reducing the cost of enterprises of over RMB50 million.
Second, the level of open economy has been steadily promoted. Pilot areas have taken multiple measures simultaneously to accelerate the establishment of a quality and efficiency-oriented system for the promotion of foreign trade and to form new ways of international investment and cooperation, as a result, foreign trade has achieved a relatively rapid growth, foreign investment has achieved the goal of maintaining stable with progress, and outbound investment has kept the momentum of sound and orderly development. In 2017, imports and exports in Fangchenggang grew by 32.4% YoY; foreign trade exports in Pudong New Area and Nanchang also reached a double-digit growth; foreign investment in actual use in Xixian New Area increased by 84.1% YoY. The structure, quality and benefits of the open economy in trial areas have also been constantly optimized with the improvement of its scale and level. Liangjiang New Area extended its processing trade industry chain, encouraging the industry to develop from manufacturing to high-end parts such as centers of logistics, maintenance and settlement; Suzhou Industrial Park actively promoted the transformation and upgrade of traditional foreign trade enterprises, introduced implementing opinions to encourage the development of artificial intelligence industry and enhance the capability of enterprises for research and development; Tangshan carried forward the project of “quality and safety demonstration zones for exported products”, and has established four demonstration zones for aquatic products, chestnuts, bamboo, wood and grass products, and so forth.
Third, the layout for open development has been gradually optimized. Each pilot area gave full play to its own advantages, took initiative in actively aligning with national strategies such as the Belt and Road Initiative, Beijing-Tianjin-Hebei Coordinated Development and the Yangtze River Economic Belt to form distinctive open highlands. With the frontier advantage of opening-up, Putong New Area achieved a series of new achievements in such aspects as “separating of license and permission” and financial opening-up and innovation by advancing the alignment with international economic and trade rules and standards. Zhangzhou sped up the development of Taiwan Youth Entrepreneurship Base and encouraged youths in Taiwan to set up their business or get employed in mainland China; Dongguan promoted new modes of economic and trade cooperation between the mainland and Hong Kong and Macao, and figured out a service system that combines convenient registration, speedy approval and coordinated supervision, providing barrier-free services for capital investment of Hong Kong and Macao; Dalian's Jinpu New Area focused on the construction of northeast Asia international shipping and logistics center, and actively set up a modern park complex for integrated services open to Japan and South Korea and available to the Northeast of China; Xixian New Area expected to open a bridgehead for the West of China to boost international cooperation of the industry with the support of its characteristic cultural industry, having made significant progress.
Forth, joint explorations in reform have been unceasingly enhanced. All relevant departments and pilot areas collaborated and connected horizontally and vertically to carry out each task of the program. At the level of the CPC Central Committee and the State Council, five ministries and commissions have jointly released 13 policies supporting the trial explorations. At the provincial level, relevant departments from different areas collaborated with each other closely to increasingly enhance the support for the program. The Department of Commerce of Hebei province issued specific measures for implementing relevant supporting policies in concert with related departments. Pilot areas also took active measures to connect related departments, forming joint efforts to promote explorations in the reform. Zhangzhou took initiative to communicate with provincial departments, arranged the issues in need of support from provincial departments and central ministries and commissions, achieving breakthroughs in terms of policies.
The report of the 19th CPC National Congress sets forth forming a new pattern for all-around opening-up and developing the open economy to a higher level. The Central Economic Work Conference stressed once again that we should further expand in the scope and level of opening-up, and moreover, in the concept, the structural layout and the system and mechanism of opening-up, which puts forward higher requirements for building and improving the new system of open economy. In 2018, we will thoroughly implement the spirit of the 19th CPC National Congress and the deployment of the Central Economic Work Conference, take Xi Jinping thought on socialism with Chinese characteristics for a new era as the guidance, take initiative and adhere to down-to-earth working style, further promote related work in concert with relevant departments and make joint efforts with trial areas to accomplish all tasks for the program.
