China flags import diversification, greater scrutiny of foreign investment in latest five-year commerce plan

China’s commerce ministry has released its latest five-year plan, setting priorities for the period between 2021-25

Unlike previous years, it focuses on controlling risks associated with imports amid increasing ‘trade frictions’

3-MIN READ3-MIN

China’s commerce ministry has released its latest five-year plan for the period between 2021-25. Photo: AFP

Published: 8:15pm, 9 Jul 2021Updated: 11:21pm, 9 Jul 2021

China will further diversify agricultural and energy imports, boost trade with Russia and step up scrutiny of foreign investment over the next five years, the commerce ministry said in a new five-year plan.

The document sets out the ministry’s priorities for the period between 2021-25, and includes goals to push developed countries to relax export controls against China, reduce the size of its negative investment list and build pilot zones to facilitate trade amid external uncertainty.

The 42-page document follows the release in March of Beijing’s 14th five-year plan, which sets out the country’s main economic and political goals for the next five years, as well as its 2035 vision.

The complex international environment has brought new challenges for economic development and uncertainty has increased significantly, the commerce ministry said in the plan published on Thursday.

The opportunities and challenges facing commerce development in the 14th five-year period are unprecedented

Ministry of Commerce

“The opportunities and challenges facing commerce development in the 14th five-year period are unprecedented, but in general the opportunities outweigh the challenges,” the ministry said.

Unlike the ministry‘s previous five-year plan, the latest focuses on controlling risks associated with imports and, in particular, called for more diversification in farm goods and energy.

The plan also noted the need to boost domestic consumption as part of the central government’s “dual-circulation” strategy, which focuses on growing the domestic market to offset an increasingly unstable external environment.