Power of the Private Sector
China launches measures to grow the important role of private companies in the economy
Li Peixue, Chairman of 3D Focus Network Technology Co., Ltd., was quite satisfied with his company’s development in 2018. Its 3D intelligent manufacturing cloud service platform has become one of the biggest 3D-printing service websites of the country. With nearly 2,000 3D printing companies, more than 120,000 app companies and over 3 million individual members registered on the platform, Li’s company covers more than 95 percent of 3D printing clients nationwide.
Established in October 2013, 3D Focus, a private company based in the coastal city of Qingdao, achieved this impressive success in 2018 alone. Li admitted that 2017 was a hard year for his company. “During this tough time, we even did not have money to pay our employees’ salary for five month,” said Li. “Fortunately, we got strong support from the government.”
The government has designed measures to encourage banks to provide more financial support to private companies, which also benefits 3D Focus. In late 2017, Li’s company got assistance funds and awards for its research and development in 2016 from the government. “With this financial support, we could continue our work and our business is booming,” said Li.
In fact, 3D Focus is not the only private company enjoying government support. All the private companies that are aligned with China’s market demand, especially hightech companies nationwide, are gaining support from the government.
The Central Economic Work Conference held by the Central Committee of the Communist Party of China and the State Council on December 19-21, 2018, also indicated that more support to private companies was in the pipeline.
China’s private sector is making a critical contribution to the development of the national economy, say experts. Statistics show that China’s private sector now accounts for more than 50 percent of the country’s tax revenue, over 60 percent of