Why US is a factor in Xi Jinping’s Communist Party restructuring plans

The reform will give the party’s Central Committee more power over technology and finance, as well as Hong Kong and Macau affairs

The move comes as the country’s leadership looks to address the growing challenge from the US and curb financial risk

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Chinese President Xi Jinping was confirmed in his third term of office last week. Photo: Reuters

Published: 7:00am, 17 Mar 2023Updated: 9:23am, 17 Mar 2023

The Chinese leadership on Thursday unveiled details of a plan to overhaul state and Communist Party organs to strengthen control over the financial sector and boost the development of science and technology in the face of what President Xi Jinping believes will be an increasingly turbulent and chaotic external environment.

The plan includes the establishment of dedicated bodies under the party’s Central Committee to oversee these sectors and Hong Kong and Macau affairs.

The move comes at a time when Beijing is increasingly focused on tackling financial risk and facing heightened tensions with the United States, which is trying to curb the country’s rise by stepping up technology restrictions.

Xi’s solution is to strengthen the party’s control in key areas – finance, technology and local governance – to ensure China will have a stable and secured environment and can break the US stranglehold.

The Central Financial Committee will be tasked with strengthening party’s leadership over the sector, focusing on stability, high-level planning, and policy coordination. The Financial Stability and Development Committee, a regulatory body under the control of the State Council – the country’s cabinet – will be abolished as part of the overhaul.

Meanwhile, a Central Technology Committee will be formed to “centralise and unify” the party’s leadership, coordinate and promote innovation, streamline policymaking and coordinate the development of military-civilian technology.

Why US is a factor in Xi Jinping’s Communist Party restructuring plans

The reform will give the party’s Central Committee more power over technology and finance, as well as Hong Kong and Macau affairs The move comes as the country’s leadership looks to address the growing challenge from the US and curb financial risk

The reform will give the party’s Central Committee more power over technology and finance, as well as Hong Kong and Macau affairs

The move comes as the country’s leadership looks to address the growing challenge from the US and curb financial risk