BEIJING (Reuters) - Top officials from China’s central and local governments, key economic institutions, industry regulators and the country’s major companies are in Beijing to attend the ruling Communist Party congress, which is meeting to choose new leaders.
They are discussing a wide variety of issues, including those affecting industries as well as the broader economic challenges and reforms that must be addressed over the next decade.
Following are comments made by congress delegates:
WANG YONG, CHAIRMAN, STATE-OWNED ASSETS SUPERVISION AND ADMINISTRATION COMMISSION:
”As enterprises, state-owned enterprises (SOEs) need to develop themselves. If they don’t do it, they are not enterprises.
“The direction of SOE reform should be: SOEs must be more market oriented and they must keep strengthening their vitality and influence.”
“Scholars may have different views, but that’s the development requirement for enterprises and the state.”
GUO SHUQING, CHAIRMAN, CHINA SECURITIES REGULATORY COMMISSION:
”Technological innovation in the United States, Britain, and France is supported by venture capital and startup investment. A positive environment for equity finance must be the foundation for innovation. This can push China to enter sectors dominated by developed countries.
”The real economy is still focused on low-value-added production - it’s intimately related to the fact that our financial system is not developed. The real economy lags behind because financing is difficult and expensive.
”We hope that insurance can increase participation in the securities and futures markets. That will make the market more stable and allow it to develop faster.
“Even though the capital markets have some problems, I have confidence that China’s capital markets are about to welcome a period of rapid development and deliver stable returns to investors.”
SUN JIACHENG, VICE CHAIRMAN, CHINESE PEOPLE‘S POLITICAL CONSULTATIVE CONFERENCE (THE ADVISORY BODY TO PARLIAMENT):
”While expanding local level democracy, we must put great emphasis on building democratic oversight of the party’s leading officials.
“The biggest risk comes from the top levels. The ‘89 political storm was a problem in the upper levels. The collapse of the Communist Party Soviet Union over the course of several decades can be blamed on (Mikhail) Gorbachev. And the Bo Xilai problem has rung an alarm for us to retain our purity, resolve and unity in the upper ranks of the party. This point is extremely important. The system must restrain and regularize our activities, and strengthen oversight.”
WANG HUISHENG, CHAIRMAN, STATE DEVELOPMENT INVESTMENT COMPANY:
On its role as a state-owned investment company:
”We remained unswervingly committed to uniting our development goals with the country’s national strategy and social needs. We invested in big projects and made a big impact. We strengthened state-owned enterprises and secured the foundation for development.
“We remained unswervingly committed to exercising state-owned capital’s power of motivation, influence, and control in emerging industries related to national security and the country’s economic foundation and lifeblood.”
On progress in reforming the coal mining sector:
”We have been actively promoting the consolidation of mining resources and mergers and reorganization of coal mine companies. The number of coal mines and entities has fallen sharply, at the same time the coal production capacity, the technology and safety standards have improved sharply.
“The efficiency of resource usage and the level of environmental protection have improved significantly. This has laid a good foundation for the sustainable development of the coal mine industry.”
On China’s manufacturing industry (Jiangsu is one of China’s manufacturing centres alongside Guangdong, Zhejiang and Shandong):
“Our industrial sector is big, but it isn’t strong. Our manufacturers are among the biggest in the country, but there is a sizeable portion that is not home-grown, does not have the core technology, and is in the processing trade. Our service sector as a portion of the economy is still inadequate, compared to the industrial sector. The driving force of domestic consumption is weak. At the same time, in terms of economic structure, we still have many low-end or mid- to low-end manufacturers that we think lack competitive edge in the international market.”
Reporting by Gabriel Wildau, Kevin Yao and John Ruwitch; Compiled by Jason Subler; Editing by Ken Wills