Enhancing core competitiveness is a focus of the reform of state-owned enterprises (SOEs), said the chief of China's state-assets regulator in a recent interview.
The third plenary session of the 20th Communist Party of China Central Committee proposed deepening state-owned asset and enterprise reform by enhancing their core functions and competitiveness. This is crucial for further advancing reform on the new journey and represents a fundamental requirement.
Zhang Yuzhuo, chairman of State-owned Assets Supervision and Administration Commission (SASAC) of the State Council, said that adhering to the principle of "enhancing core functions and improving core competitiveness" means reforming SOEs to strengthen strategic support capabilities, improve people's wellbeing, and value innovation abilities. This requires SOEs to fulfill economic responsibilities effectively and at the same time better assume their political and social responsibilities.
"Enhancing core functions means that SOEs must focus on national security, serve national strategies, secure and improve people's wellbeing, and strengthen their capabilities to support the economy. Improving core competitiveness requires SOEs to better adapt to market demands by focusing on key factors like technology, efficiency, talents and brands to create unique advantages and achieve healthy, sustainable development," said Zhang.
The third plenary session of the 20th CPC Central Committee also emphasized the need to advance the optimization and structural adjustment of the state-owned sector. It is a significant move taken by the central Party authorities to further deepen state-owned asset and enterprise reform, and ensure that the state-owned sector better supports national strategic goals and effectively contributes to the modernization drive.
"We need to promote the strategic restructuring, professional integration and forward-looking planning of the state-owned sector in a market-oriented manner. We will coordinate the allocation of state-owned capital on a larger scale, at a deeper level, and across broader fields to effectively promote the three concentrations of resources: in important industries and key areas related to national security and economic lifelines; in sectors providing public services, emergency capacity building and public welfare that involve social stability and people's wellbeing; and in strategic emerging industries. We aim to constantly foster new industries, new models, and new drivers of growth," said Zhang.
Enhancing core competitiveness focus of SOE reform: state-assets regulator chief
