Openness, fair competition power China's unified national market

BEIJING -- At Hefei's urban air mobility hub, the rotor blades of an electric vertical take-off and landing (eVTOL) aircraft hum to life before it glides smoothly into the summer sky.

Known as a "flying taxi," this innovative vehicle is operated by Hefei Heyi Aviation Co, which in March became one of China's first companies to receive an operating certificate for passenger-grade civil unmanned aircraft.

"Chinese companies have long been capable of designing and building these aircraft, but operating them was challenging due to regulatory restrictions," said Li Xiaona, general manager of the company in East China's Anhui province.

Following the breakthrough in airworthiness certification, the commercialization of passenger-grade unmanned aircraft in China has accelerated, with government agencies working closely with industry bodies to set clear standards and define responsibilities.

By clearly defining "how to enter" and "how to regulate," China's low-altitude economy has hit the fast-forward button. Data show that over 80,000 companies are now operating nationwide, with the market continuing to expand rapidly.

This exemplifies the Chinese government's efforts to streamline administrative approvals and boost market vitality. China's vast and rapidly growing market provides a crucial advantage and a stable foundation amid global uncertainties. To drive high-quality growth and establish a new development model, building a unified national market is vital, and government authorities nationwide are stepping up efforts to make this vision a reality.

Beyond aviation, China has steadily enhanced its market access regulations, opening more sectors to private and foreign investment, thereby driving innovation and fostering competition.

In April, the country released a new edition of its national market access negative list, cutting the number of restricted items to 106 from 151 in 2018, a move designed to provide businesses with clearer expectations and greater certainty.

With market entry barriers lowered, private and foreign businesses are discovering fresh opportunities across various sectors.

In Beijing, Minospace recently secured an 804 million yuan (about $112 million) contract to develop and launch a network of 10 remote-sensing microsatellites. For a privately owned company founded in 2017, the scale of this order is especially significant, underscoring how private players are becoming more deeply involved in driving growth in China's aerospace sector.

In February, China approved 13 foreign companies to operate pilot value-added telecommunications services. In May, Hong Kong Cell Valley launched operations in Shenzhen under a new Guangdong pilot program that permits overseas investors to develop and apply technologies related to human stem cells, as well as gene diagnosis and treatment.

Guo Liyan, deputy head of the Economic Research Institute at the National Development and Reform Commission, said that alongside the streamlining of the negative list, reforms in approvals, registration and supervision are progressing simultaneously to ensure a level playing field for all businesses.

In South China's Guangxi Zhuang autonomous region, local authorities have removed discriminatory licensing restrictions in the shared e-bike sector, opening the market to more brands. Meanwhile, in Wuhan, capital city of Central Hubei province, automakers and suppliers have formed an industry alliance to develop automotive-grade chips, fostering greater collaboration across the supply chain.

Similar efforts to eliminate market entry barriers have increased bidding success rates of private firms and fostered the growth of new business models, emerging industries and innovative application scenarios.

Government authorities across the country have also been working to improve infrastructure connectivity, strengthen industrial coordination and enhance data sharing, building a more standardized and fair market environment to support stronger business capabilities and unlock the full potential of the national market.

"A large market does not automatically generate scale effects. Reforms are essential to consolidate and expand market resources and create synergy between large factories and a unified market," said Dong Yu, executive vice-dean of the China Institute for Development Planning at Tsinghua University.

Going ahead, China is expected to implement more robust measures to refine market access rules and enhance the business environment, developing a unified national market where innovation will thrive and growth momentum can be further unleashed.