Two Sessions Meeting: Feedback from authorities and industries

SHANGHAI, Mar 5 (SMM) — The National People's Congress (NPC), China's top legislature, will begin its annual session on Friday. The dual meetings, also known as the "two sessions," will set the general national agenda for the whole year and beyond. Below are the excerpts from some of the key officials during the meeting.

NDRC: Confidence to achieve the goal of 6% GDP growth this year

He Lifeng, head of the National Development and Reform Commission, said that China's economy has continued the trend since Q4 2020 and maintained a steady and positive trend. From the perspective of exports, the growth in January-February should exceed 50%. He added that multiple data in January and February show that Chinese companies have a strong ability to adapt to changes in the situation and that China's economic development has a strong stamina. “We have reason to believe that we Be able to achieve the goal of 6% GDP growth this year with determination, strength, and confidence.“

According to NDRC, major research projects, including quantum information, interstellar exploration, will be reviewed in accordance with the requirements of the new national system.

Bai Ming, Ministry of Commerce Research Institute: the central economic work focus will be further extended to the demand side

Bai Ming, deputy director of the International Market Research Institute of the Ministry of Commerce Research Institute, stated that the government work report clearly integrates the implementation of the strategy of expanding domestic demand with the deepening of supply-side structural reforms.

“It can be seen that, on the basis of prioritizing supply-side structural reform as the focus of economic work, the central economic focus will further extend to the demand side.”

Bai Ming said that, unlike the supply-side structural reform that emphasizes optimization, the demand-side emphasizes the expansion of domestic demand in order to form a virtuous cycle of the national economy and implement the actual needs of the "14th Five-Year Plan". With this virtuous circle, China's economy will be able to "base itself on the domestic cycle" and be able to promote the domestic and international dual cycles.

Minister of Finance Liu Kun: The policy of phased tax and fee reduction will be withdrawn in due course

China’s Minister of Finance Liu Kun said that the systemic tax and fee reduction policy will continue to be implemented, and the phased tax and fee reduction policy will be withdrawn in due course. In recent years, the deepening of the value-added tax reform, the special additional deduction of personal income tax and other institutional tax and fee reduction policies that have been introduced in recent years will continue to be implemented this year. “The overlapping effects of the policies will continue to be released, and the burden reduction of enterprises and individuals will become more obvious.”

With regard to the phased tax and fee policies introduced in 2020, on the basis of research and demonstration, some of the enforcement period will be appropriately extended, and some will be suspended after expiration, and no "sudden brakes" will be applied.

Bank of Communications: Actual annual growth rate is expected to be over 8%

"This year's development goals are all pragmatic. The expected economic growth target is not set high, and it reflects the orientation of high-quality development. Because the base figure was relatively low last year, it is not a big problem for the economy to grow above 6% this year. The actual growth rate for the whole year is expected to reach above 8%. " according to Tang Jianwei, chief researcher, Bank of Communications.

Zhang Tianren: Further support of the regeneration and utilization of power lithium batteries to promote circular economy

Zhang Tianren, deputy to the National People's Congress and chairman of Tianneng Group urged for further support the regeneration and utilization of power lithium batteries and promote the circular economy.

“The relevant authorities should take the lead and introduce supporting measures to guide new energy car companies, lithium battery manufacturers and companies with the qualification to dispose of waste lithium batteries to cooperate, and severely crack down on the sale of waste batteries of those second-hand dealers who are unable to cope with the handling of waste batteries.”

Zhang also recommended to provide tax deductions, and to provide policy subsidies to compliant lithium iron phosphate recycling companies.

Xia Wenyong: Reduce the tax burden of iron ore companies

Xia Wenyong, a representative of the National People's Congress and chairman of Xingang, said recently that the development of domestic iron ore enterprises should be strongly supported, and the tax burden of iron ore enterprises should be reduced. "The tax burden of iron ore companies can be reduced, cutting the product value-added tax from 13% to below 9%; increase the deductions for iron ore companies, expand the scope of input tax deductions for value-added tax, and allow mining companies to purchase mineral rights and land expenditures.”

Chen Jinshi: Increase supply of housing in small and medium-sized cities around big cities

Chen Jinshi, representative of the National People's Congress and Chairman of the Board of Directors of Zhongnan Group, pointed out that large cities are allowed to establish linkages with surrounding counties and cities, urban and rural areas, to increase the supply of housing in surrounding small and medium-sized cities radiated by large cities, share housing pressure in large cities, resolve contradictions between supply and demand, and at the same time promote surrounding small cities development.

Liu Hanyuan: Accelerate the advancement of the electrification of automobiles and process of carbon neutrality

Liu Hanyuan, representative of the National People’s Congress and Chairman of the Tongwei Group’s Board of Directors, proposed to accelerate the promotion of electrification of automobiles, electrification of energy consumption, and clean electricity production, speed up the process of carbon neutrality, and achieve more than 70% of China’s energy increase in 10 to 20 years.

Nan Cunhui: Accelerate the transformation and upgrading of power equipment to help achieve the goal of "carbon peak" and "carbon neutral"

Nan Cunhui, member of the Standing Committee of the National Committee of the Chinese People's Political Consultative Conference and Chairman of Chint Group, mentioned that the new photovoltaic energy industry is the main force in achieving the dual-carbon goal.

Zhang Jindong: Strengthen the popularization of the safe service life of home appliances, and actively guide the replacement of old ones

Zhang Jindong suggested strengthening the popularization of the safe service life of home appliances and actively guiding the exchange of old ones. Establish a home appliance recycling mechanism, and establish a high-standard closed loop for upstream and downstream industries. At the same time, it is necessary to increase subsidies to consumers, and promote the online and offline integration of the old and the new exchange model.