Chinese Premier Li Qiang pledges to crack down on unfair targeting of private firms

Companies have complained of being unjustly targeted by law enforcement to raise funds for cash-strapped local governments

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Premier Li Qiang promised further measures to improve the business environment. Photo: Xinhua

Published: 10:00pm, 18 Dec 2024Updated: 10:38pm, 18 Dec 2024

Chinese Premier Li Qiang has warned local governments not to target private companies with unfair fines and promised further measures to improve the business environment next year.

The pledge – made at a meeting of the State Council, China’s cabinet, on Monday – follows accusations that some local authorities have been trying to raise extra funds by targeting private firms outside their jurisdictions.

This year Beijing has announced a series of measures to improve the business environment as part of its efforts to boost the faltering economy.

This includes a drive by the country’s top prosecuting authority to strengthen legal protections for private enterprises.

According to state news agency Xinhua, Li said that the abuse of administrative punishments and unfair law enforcement are still problems in some parts of the country and in certain sectors.

He told the meeting it is important for the government to start with the issues that are of “grave concern to the public and businesses” and standardise the exercise of power across the nation.

A special campaign will be launched in 2025 to regulate business-related law enforcement with the aim of improving the business environment and boosting market confidence, Li said.