Market entities made solid progress in innovation

First place! In 2020, 133 Chinese companies entered the world's top 500 list, 23 more than in 2016, ranking first in the world.

Over 100 million households! Since the "13th Five-Year Plan", the number of various types of market entities in China has exceeded 100 million, and by the end of September this year, it has reached 134 million.

"We will deepen the reform of state-owned enterprises, develop a mixed-ownership economy, and cultivate world-class enterprises with global competitiveness. We will fully implement the negative list system for market access, clean up and abolish all regulations and practices that impede the unified market and fair competition, support the development of private enterprises, and stimulate the vitality of various market players."  Since the "13th Five-Year Plan", driven by a series of pro-enterprise policies and reform measures, market players have become more powerful and more vibrant.

State-owned enterprises continued to grow in size and strength, and their efficiency steadily improved. It is expected that by the end of this year, the total assets of central enterprises will be close to 69 trillion yuan, an increase of 45% over the end of the "Twelfth Five-Year Plan". Since the 13th Five-Year Plan, the operating income, net profit and labor productivity of central enterprises have increased by an average of 5.6%, 8.9% and 7.8% respectively, and 48 central enterprises have entered the world's top 500. Remarkable progress has been made in the reform and development of private enterprises. Since the "13th Five-Year Plan", the threshold for the top 500 private enterprises has increased from 10 billion yuan in 2016 to 20 billion yuan in 2020; Enthusiasm for innovation, entrepreneurship and creation was strong, and the number of small and medium-sized enterprises nearly doubled.

-- The business environment has been continuously optimized, and the entrepreneurship of market players has become more exciting.

"If you submit your documents online one day, you can complete your business registration the next day. The business environment is so good, it is more exciting to do business!" On March 16, 2018, Feng Shicong, co-founder of a high-tech enterprise in Beijing, got the 100 millionth business license for market entities in China.

The reform of "multiple certificates in one, one according to one code" has been further promoted, the pilot reform of "license separation" has continued to expand, the "One Netcom Office" has accelerated its landing in the country, and the start-up time of enterprises has been further reduced. Since the "13th Five-Year Plan", the reform of "discharge service" has continued to advance, and data from the State Administration for Market Supervision and Administration show that the number of newly registered enterprises in the country has increased from 12,000 in 2015 to 22,000 in the first three quarters of the year.

Registration is more convenient and development is more brisk. VAT rate "four and three", reduce the VAT rate of manufacturing and other industries, reduce real estate registration fees... Since the "13th Five-Year Plan", China has introduced a series of tax and fee reduction policies. Since the beginning of this year, in the face of the impact of the epidemic, targeted tax and fee reduction measures have been introduced. From 2016 to 2020, China's new tax and fee cuts will total about 7.6 trillion yuan. In the World Bank's Doing Business Report, China's doing business ranking has risen significantly.

- Deepening reform has continued, and market players have become stronger.

"To boost the entrepreneurial enthusiasm of officers, the key depends on reform!" Zhang Xiaobin, chairman of the China Electrical Appliances Research Institute, said that the company has greatly mobilized the enthusiasm of employees through the pilot reform of employee stock ownership in mixed-ownership enterprises, "compared with 2016, the company's operating income increased by 74% in 2019."

From exploring the medium - and long-term incentive mechanism to accelerating the improvement of the modern enterprise system with Chinese characteristics, from promoting the mixed-mix reform and deepening the reform of two types of companies (state-owned capital investment, operating companies), to optimizing the layout of the state-owned economy, improving the supervision system of state-owned assets... Since the "13th Five-Year Plan", the reform of state-owned enterprises has been promoted in depth, the scale and strength have been significantly enhanced, and the economic efficiency has been steadily improved.

Private enterprises are thriving and their investment fields are expanding. In September 2017, China's first privately held high-speed rail - Hangzhou-Shao-Taiwan railway PPP project was signed, and private investment entered the field of high-speed rail infrastructure. From railways, highways, airports to 5G, artificial intelligence, industrial Internet, smart cities, etc., since the "13th Five-Year Plan", reforms in market access, approval and licensing, operation, bidding and bidding have given private enterprises a broader space for investment. A number of private enterprises such as Huawei have grown into world-class enterprises.

-- A solid pace of innovation and development will make market players more competitive.

C919 large passenger aircraft flying in the blue sky, Beidou satellite global networking... Since the "13th Five-Year Plan", one innovation achievement has attracted the attention of the world. New technologies, new forms of business and new industries such as high-speed rail, bike-sharing and online shopping have developed rapidly, changing the lives of hundreds of millions of people.

Since the "13th Five-Year Plan", the main role of enterprise innovation has become more and more prominent. In 2019, China's enterprise R&D funding reached 1692.18 billion yuan, an increase of 11.1% over the previous year, contributing 68.5% to the growth of the whole society's R&D funding, and driving the whole society's R&D funding growth by 8.6 percentage points. In 2019, 188,000 industrial enterprises above designated size carried out technological innovation activities, accounting for 49.6 percent.

"During the 13th Five-Year Plan period, the state has increased support for technological innovation in enterprises, and relevant departments have repeatedly optimized and adjusted policies to encourage innovation such as additional deductions for R&D costs." China Association of small and medium-sized enterprises full-time vice president Ma Bin introduced. From 2016 to 2019, a total of 843,000 enterprises benefited from the policy of additional deduction for R&D expenses, declared 5.2 trillion yuan of R&D investment in total, and exempted more than 873 billion yuan of corporate income tax.

Taking root in the fertile soil of the Chinese market, sucking the sufficient nutrients released by reform and opening up, the "14th Five-Year Plan" period, all kinds of market players will make greater contributions to promoting high-quality economic development and building a new development pattern.