On December 4th, the first plenary meeting of the Eighth Session of the Standing Committee of the 13th Provincial People's Congress was held. The Regulations for China (Sichuan) Pilot Free Trade Zone (Draft Version), which has drawn much attention, was submitted for deliberation. The Regulations (Draft Version) has retained certain provisions laid out in the Administrative Measures for the China (Sichuan) Pilot Free Trade Zone on condition that they are in line with the practice of the Sichuan Pilot Free Trade Zone, and introduced new innovative provisions to lead the development and the rule of law enforcement in the Pilot Free Trade Zone.
Upon the request of the provincial government, Mr. Niu Xiaofeng, Vice Secretary General of the People’s Government of Sichuan Province, remarked during his speech to introduce the draft version of the regulation that the since the implementation of the Management Measures of China (Sichuan) Pilot Free Trade Zone more than a year ago, the Party Central Committee and the Provincial Party Committee and People’s Government of Sichuan Province have put forward a series of new requirements, measures, and free trade trials within the Pilot Free Trade Zone.
The rule of law in district management system, investment and opening up, trade facilitation, financial services, and governance needs to be further improved. We should sum up the shining points of our work and institutional innovations of the Sichuan Pilot Free Trade Zone to make further improvement. In order to summarize the implementation experiences of the Administrative Measures, it is of great importance to formulate the regulations for Sichuan Pilot Free Trade Zone.
The Regulations (Draft Version) has expanded the scope of application and stipulated that the relevant areas for coordinated reforms certified by the provincial government can refer to the applicable provisions laid out in the Regulations. At the same time, it has also stipulated that these regulations are also applicable to the expansion area approved by the State Council and which are in accordance with the needs for the construction and development of the Pilot Free Trade Zone.
At the same time, it has proposed measures to expand two-way investment, formulate preferential policies to attract investment, and support foreign investors to engage fully in the construction of the Pilot Free Trade Zone. Investors in the zone can carry out various forms of overseas investment. It has called for strengthened investment guidance and encouraged modern high-end industries to develop in the Pilot Free Trade Zone. It has advocated for reform promotion of state-owned enterprises, encouraging state-owned enterprises to explore new paths of innovation and development based on the Pilot Free Trade Zone, and cultivating globally competitive multinational enterprises. It urged us to deepen financial service innovation combined with the construction of western financial centers, to support private capital and foreign capital to establish financial institutions in the zone in accordance with the laws, regulations and national policies, and to encourage various financial institutions to make breakthroughs in financial products, business operation, service provision and risk management in accordance with the law of the Pilot Free Trade Zone.
In addition, the Regulations (Draft Version) has also made clear the boundaries of improving trade facilitation, enhancing governance efficiency, and strengthening the rule of law.
