2025 marks the final year of China's 14th Five-Year Plan (2021–2025), and the road it has paved is reshaping how China and the world trade, invest and grow together. From slashing market barriers to forging new trade pacts, these policies have turbocharged domestic output and fueled global development.
Broadening Market Access
Over the past five years, China has trimmed its foreign investment negative list from 93 sectors to just 29 as of January 2024. On November 1 last year, it fully lifted restrictions on the manufacturing sector, inviting foreign companies to set up operations without limits. Service industries are also opening up:
- Value-added telecom: Pilot programs in Beijing, Shanghai, Hainan and Shenzhen approved 13 foreign operators by March.
- Healthcare, education, culture and internet services are gradually expanding for overseas investors.
Streamlining Business Conditions
The 2019 Foreign Investment Law has raised intellectual property protections and committed to national treatment for foreign firms. In 2024 alone, the Ministry of Commerce held 15 roundtables with foreign-invested enterprises, resolving over 370 issues to smooth operations.
Consumer goods trade-in subsidies on appliances, cars and electronics equally benefit foreign brands and residents, encouraging upgrades and boosting sales.
Aligning with Global Trade Rules
China's signature on the Regional Comprehensive Economic Partnership in 2020 has been a game-changer. It offers an average 92% tariff cut to Singaporean companies and plans to phase out tariffs on 86% of Japanese industrial goods. Agriculture is not left behind: over the next five years, China aims to import $150 billion in products from ASEAN nations.
Non-financial direct investment to RCEP members jumped 26% in 2023. In July, China became the first major economy to grant zero-tariff treatment to all product lines from 53 African countries with which it has diplomatic ties.
Looking Ahead
As preparations for the 15th Five-Year Plan get underway, China's commitment to a higher-level open economy remains clear. By cutting red tape, strengthening partnerships and aligning with international standards, these measures not only fuel China's modernization but also offer new opportunities for shared global prosperity.
Reference(s):
China's 14th Five-Year Plan: How opening up boosts the economy
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