(W.E. Talk) New law provides stability boost to China’s private economy
Special:W.E. Talk。
By Chen Tianhao, Chen Caixia。
(ECNS) -- On May 20, 2025, China’s private economy promotion law came into force, marking China’s first dedicated, foundational legislation for private-sector development. In the latest episode of the W.E. Talk, three distinguished experts—Yang Decai, a member of the 14th National Committee of the CPPCC, and Director of NJU Private Economy Institute; Rupert Hoogewerf, Hurun Report Chairman and Chief Researcher; and Denis Simon, visiting professor at the Asian Pacific Studies Institute of Duke University joined a discussion on related topics. They agree that this law fills legal and institutional gaps, ushering China’s private economy into a new era of systematization and rule of law.。
Legal safeguard: Laying the foundations for fair competition。
“The private economy promotion law breaks through the previous fragmentation and, for the first time, systematically constructs a legal framework to protect private enterprises,” explained Yang Decai. Although China’s constitution has already recognized the importance of the private sector, relevant legal safeguards had long been scattered across different statutes, lacking coherence and focused support. Hoogewerf concurs that the new law defending the private sector is “really a watershed in Chinese constitutional history.”。
Yang further notes that Chapter 7 of the new law specifically mentions the protection of the legitimate rights and interests of private enterprises. And malicious slander and defamation of private enterprises and entrepreneurs through the internet must be strictly punished, according to the new law.。
“For the private economy to thrive, and for entrepreneurs to gain confidence, we must first foster a public opinion environment that is truly supportive of the private sector,” Yang explains.。
And by embedding the “negative list” approach to market entry and a formal “fair competition review” mechanism, the law guarantees that any sector not explicitly forbidden is open to private players—tackling hidden administrative and regulatory barriers, according to Yang.。
Simon emphasizes that the law protects property rights, including intellectual rights, and offers clear financial rules, so that businesses “know how they can access capital for future investment and how they can handle foreign-exchange settlement,” thereby operating seamlessly at home and abroad.。
“Confidence drives investment and enterprise growth; as long as there is confidence in the future, we will see more private enterprises sprouting up,” he says.。
Economic engine: Firing up new growth momentum。
“If we look at job creation, contribution to GDP, and innovation metrics, private enterprises have already become an indispensable part of China’s economy,” Simon notes.。
Statistics suggest that private firms in China account for over 50% of tax revenue, more than 60% of GDP, roughly 70% of domestic innovation achievements, 80% of urban employment, and over 90% of all enterprises nationwide.。
“Small private companies are the main vehicle for creating jobs and the fertile ground for developing and applying new technologies. To build an innovation-driven economy, it is essential to involve these vibrant, creative small firms,” he adds.。
Hoogewerf’s data spotlight this dynamism. “On my latest Rich List, 80% of the individuals were not on the list ten years ago, meaning that eight out of ten of this year’s China Rich List are newcomers—mostly private entrepreneurs,” he observes, adding that this reflects not only massive wealth creation in traditional manufacturing and real estate but also the rise of private champions in renewable energy, energy storage, solar panels, and intelligent manufacturing.。
Technology breakthroughs: Bridging the academia–industry divide。
In today’s global competition, technological innovation is paramount. “Enterprises are, in fact, the primary agents of technological innovation. The law makes clear that private firms are China’s main drivers of independent innovation, entitled to equal access to capital, technology, human resources, and data, and able to participate in national strategic initiatives and emerging industries,” says Yang.。
Supporting this view, Hoogewerf reports from his Unicorn List research: “As of April 2024, we identified more than 300 unicorns in China, and only about six are state-owned or state-controlled.”。
He says that with universities’ research capabilities improving and aligning more closely with market needs, leading private enterprises are actively pushing technology transfer and patent applications, sparking a fresh wave of innovation.。
“Attracting university talent, perfecting tech-transfer mechanisms, and strengthening the academia–industry–research pipeline will require both state-owned and private enterprise participation,” he adds.。
Simon concludes with optimism: “In the foreseeable future, we are going to see even more small, dynamic, creative private enterprises emerge.” Hoogewerf, too, is confident that the deepening integration of universities, industry, and finance will give rise to a new generation of innovative startups. Yang emphasizes that the law will play a “significant role in promoting China’s high-quality economic development.”。
In the view of the experts, the implementation of the Private Economy Promotion Law not only acknowledges private enterprises’ past contributions but also provides robust legal and institutional support for their future growth. By optimizing market access, protecting rights, and fostering innovation, this law unlocks a new chapter for China’s private economy—one where confidence, competition, and creativity can flourish in tandem.。
(责任编辑:时尚)
-
荆楚网湖北日报网)讯通讯员 朱芳婷)为强化社区纠正和安顿帮教目标以下简称“两类人员”)心思帮扶系统建造,进步教育纠正及安顿帮教作业质效,东宝区社矫局于近来正式发动“五个一”心思帮扶作业。经过聚集“两类 ...[详细]
-
中信银行芜湖分行联合人民银行芜湖市分行展开“金融反诈宣扬进高校”活动,筑牢高校金融“防火墙”
为进一步进步高校学生的金融安全认识,增强防备电信欺诈才能。近来,中信银行芜湖分行联合人民银行芜湖市分行走进皖南医学院,成功举办了一场主题为“金融反电信欺诈宣扬进高校”的专题讲座,活动招引了很多皖南医学 ...[详细]
-
安徽新华高档技工学校: 以匠心筑巢,打造学生生长“温馨家乡”
在职业教育蓬勃发展的当下,安徽新华高档技工校园据守“以生为本”,将“住得好”融入“六好校园”建造,以“安全、舒适、智能、人文”为笔,绘就现代化学生公寓的温暖画卷。安徽新华高层电梯宿舍特征太空舱:敞开。 ...[详细]
-
暑气渐浓,蝉鸣声声入画檐。今夏宴席,咱们以时鲜入馔,佐以诗情,将一席「浮瓜沉李」的清凉精致,融入盏碟之间。·冷碟启夏 · 冰肌玉骨自清凉·。「花雕醉月浸龙虾」- 琥珀凝光,酒韵沁入肌理,是“冰肌玉骨自 ...[详细]
-
“‘爱达·魔都’号的乘坐体会太棒了,为国产大型邮轮点赞。”乘坐从山东青岛首航的“爱达·魔都”号归来,旅客姚守钦兴奋地说。4月10日,首艘国产大型邮轮“爱达·魔都”号圆满完成青岛首航,4000多名旅客尽 ...[详细]
-
炎炎夏日,庐江县罗河镇数五十名农民工足不出镇,便欢喜地领到了簇新的工行银行卡。这得益于中国工商银行庐江四牌楼支行安排的专业团队,自动驱车三十余公里,将快捷金融服务直送工程驻地一线,为勤劳的建造者们批量 ...[详细]
-
10月9日音讯,国家金融监督办理总局亳州监管分局发布的行政处罚信息揭露表显现,中国邮政储蓄银行股份有限公司亳州市分行存在借款三查不到位、职工行为办理不力违法违规现实,根据《中华人民共和国银行业监督办理 ...[详细]
-
6月11日,中国工商银行庐江支行营业室雷锋举动队前往庐江县人民法院上门供给金融服务,为作业人员处理换发和激活三代社保卡,一起展开“金融常识万里行”宣扬,提示广阔公职人员金融危险防备认识,看护产业安全。 ...[详细]
-
21家氢能企业聚链成势 武汉经开区打造全国氢能工业演示核心区
国家电投华中氢能工业基地。 湖北日报通讯员 李岿 摄)。湖北日报全媒记者 谢慧敏。通讯员 兰峰 蒋秋雨。10分钟加满氢气,满载续航可达400公里,不仅能效高、噪声低,并且全程零碳排放……4月11日, ...[详细]
-
当中考成果揭晓,孩子分数未达建档线,许多家长堕入焦虑与苍茫。其实,职普融通正为这类家庭翻开新大门,为孩子铺就多元成才路。安徽新华集合来自四海的家长和同学。近年来,教育系统革新不断深化,“职普融通”成为 ...[详细]