On February 18, 12 departments including the national development and Reform Commission, the Ministry of industry and information technology and the Ministry of Finance jointly issued several policies to promote the steady growth of industrial economy (hereinafter referred to as “several policies”) to further consolidate the momentum of industrial economic growth, pay close attention to pre adjustment, fine adjustment and cross cycle adjustment, and ensure that the industrial economy operates within a reasonable range throughout the year.
The “several policies” include 18 policy measures in five aspects: fiscal taxes, financial credit, ensuring supply and price stability, investment and foreign trade, land and energy use and environment.
Zhao Chenxin, member of the Party group and Secretary General of the national development and Reform Commission, said at the press conference on the same day that the next step is to do a good job in two aspects. First, do everything possible to protect the market players and ensure that the market players can enjoy the relevant policy dividends as soon as possible in the first quarter through policies such as fiscal taxes, financial credit, supply and price stability; Second, focus on expanding accurate and effective investment, so that enterprises can cheer up and continuously enhance their development potential.
Ensure that market players enjoy policy dividends
Last December, the national development and Reform Commission and the Ministry of industry and information technology jointly issued the implementation plan on Invigorating the operation of industrial economy and promoting high-quality industrial development. Driven by the policy, the effectiveness of invigorating the operation of industrial economy is constantly emerging.
Zhao Chenxin introduced that in the fourth quarter of last year, the added value of industries above Designated Size showed a gradual recovery trend, and the manufacturing procurement manager index (PMI) also remained in the boom range for two consecutive months. Last year, the industrial investment and industrial export delivery value increased by 11.4% and 17.7% respectively year-on-year.
However, according to the manufacturing purchasing managers’ index (PMI) in January, except that the PMI of large enterprises increased by 0.3 percentage points over the previous month, the PMI of medium-sized enterprises was 50.5% and that of small enterprises was 46.0%, both down 0.8% and 0.5% from the previous month. Among them, the PMI data of small enterprises fell to a recent low, below the 50% boom and bust line, indicating that there is still great pressure on the development of small and medium-sized enterprises, and the essence is lack of development confidence.
The “several policies” also put forward further tax reduction and fee reduction policies for small, medium-sized and micro enterprises, and strengthen the pre tax deduction of equipment and appliances of small, medium-sized and micro enterprises; The phased tax deferment policy will be extended to postpone the payment of some taxes by small, medium-sized and micro enterprises in the manufacturing industry implemented in the fourth quarter of 2021 for a further six months; We will continue to implement subsidies for the purchase of new energy vehicles, incentives and subsidies for charging facilities, and preferential policies for vehicle and vessel tax reduction and exemption.
Fu Baozong, director of the industry Office of the Institute of industry of the Chinese Academy of macroeconomic research, told the 21st century economic report that the “triple pressure of demand contraction, supply shock and weakening expectation” proposed by the central economic work conference still exists, and greater efforts need to be made to continue to promote the revitalization. The 18 industrial policies this time are more pragmatic and launch a number of more targeted hedging measures against the difficulties existing in the operation of the industrial economy in the short term.
Fu Jinling, director of the Department of economic construction of the Ministry of finance, also pointed out at the meeting that this year, the Ministry of finance will actively launch policies conducive to the stability of the industrial economy, appropriately move forward, improve efficiency and promote the stable growth of the industrial economy. In addition to a series of measures to help small, medium-sized and micro enterprises relieve difficulties, it is also necessary to manage and make good use of special bond funds and ensure the construction of key projects. Increase the scale of special funds and state-owned capital operation budget, and support the upgrading of industrial chain and supply chain modernization. Support a number of weak points, build a number of public service platforms, and promote the application of a number of major technical equipment and new materials.
Zhao Chenxin said that this policy focuses on fiscal taxes, financial credit, ensuring supply and stabilizing price, etc. The purpose is to ensure that market players can enjoy relevant policy dividends as soon as possible in the first quarter, stabilize the production and operation of large enterprises, reduce the burden on small and medium-sized enterprises, enhance the development vitality of high-tech enterprises and stabilize the external demand market of traditional industries, Stimulate the enthusiasm and initiative of various market subjects.
Industrial investment will become the focus of steady growth
Zhao Chenxin pointed out that the next step will also focus on expanding accurate and effective investment, so that enterprises can cheer up and continuously enhance the momentum of development.
“Investment is the ‘cow’s nose’ to invigorate the operation of the industrial economy. We should give full play to the leading role of investment. At the same time, we have always stressed that we should not engage in flood irrigation, avoid rushing into mass action, prevent new redundant construction and overcapacity, and achieve high-quality development.” Zhao Chenxin said that for the major projects determined in the 14th five year plan and major industrial projects determined in the regional major strategic plan, we will strengthen the preliminary work according to the requirements of the documents, so as to start the construction as soon as possible and form the physical workload as soon as possible.
Specifically, the “several policies” propose to speed up the construction of major new infrastructure projects, guide telecom operators to speed up the progress of 5g construction, support industrial enterprises to speed up the digital transformation and upgrading, and promote the digital transformation of manufacturing industry; Start the implementation of major projects of Beidou industrialization and promote the large-scale application of Beidou in major strategic areas; Accelerate the implementation of the special action for the construction of big data centers, implement the project of “counting from the east to the west”, and accelerate the construction of eight national data center hub nodes in the Yangtze River Delta, Beijing Tianjin Hebei, Guangdong, Hong Kong, Macao and the Great Bay area. Promote the healthy development of real estate investment trusts (REITs) in the field of infrastructure, effectively revitalize stock assets, and form a virtuous circle of stock assets and new investment.
Fu Baozong believes that the main difference between the new infrastructure and the old infrastructure is that the old infrastructure focuses on the expansion of scale and quantity, while the new infrastructure focuses more on technological progress and efficiency improvement, and the demand for high-tech talents will also expand.
According to incomplete statistics, as of February 18, 12 provinces including Guizhou, Guangdong, Jiangxi, Jiangsu, Beijing, Shanghai, Shandong, Zhejiang, Sichuan, Guangxi, Shaanxi and Hebei have successively released the investment plan list of key projects in 2022. In addition, Chengdu and Chongqing have also released the investment list of major projects. There are 16079 projects in the above list, with a total investment of at least 25 trillion yuan (the total investment in Jiangsu, Zhejiang, Guizhou and Sichuan is not announced). Among them, the total amount of infrastructure investment in many places accounts for more than half of the total investment, focusing on the field of new infrastructure.
Take Guangdong Province as an example. This year, Guangdong Province will arrange 1570 provincial key projects, with a total investment of about 7.67 trillion yuan and an annual planned investment of 900 billion yuan, an increase of 12.5% over last year’s plan. Among them, 564 key infrastructure projects are arranged, with an annual planned investment of 499.3 billion yuan, accounting for 55.5% of the annual planned investment of all projects. Major transformation and upgrading projects such as Contemporary Amperex Technology Co.Limited(300750) power and energy storage battery Zhaoqing project (12 billion yuan) will also be started.
According to Fu Baozong’s analysis, from the current investment signs and national orientation around the country, we should focus on optimizing the stock and cultivating increment together and drive with two wheels. In terms of optimizing stock, systematically promote the transformation and upgrading of advantageous industries “forged long sector” and traditional industries; In terms of cultivating increment, carry out investment and construction of “making up for weaknesses” for key industrial chains, expand effective investment by grasping projects, and then expand the increment of industrial economy.
Ensure the supply and price of primary products and energy and electricity
In order to ensure the stability of the industrial economy from the source, the “several policies” emphasize the need to ensure the supply and stable price of important raw materials and primary products such as iron ore and chemical fertilizer, further strengthen the supervision of the commodity futures and spot market, and strengthen the monitoring and early warning of commodity prices.
Before the release of several policies, the national development and Reform Commission has issued documents for four consecutive times to ensure the stable operation of iron ore market prices.
On the afternoon of February 17, the official wechat of the national development and Reform Commission announced that in view of the recent abnormal situation that the supply and demand of the iron ore market is generally stable but the price rises sharply, the price department of the national development and Reform Commission and the price supervision and Competition Bureau of the State Administration of Market Supervision recently went to Qingdao to carry out joint supervision research.
Industry analysts told the 21st Century Business Herald that in the past year, the supervision of coal, iron ore and other bulk commodities has been significantly strengthened. This “several policies” is a further implementation of the requirements of “correctly understanding and grasping the supply guarantee of primary products” put forward by the central economic work conference. At present, the price of iron ore has fallen continuously, but it has not yet reached the bottom. As of the closing on February 18, the main contracts of iron ore futures fell by 14.91% in the whole week.
It is worth noting that the “several policies” also proposed to establish a unified stepped tariff system for high energy consuming industries.
It is understood that for industries with high energy consumption and high emissions, the green electricity price policy previously promoted energy conservation and carbon reduction in the form of differential electricity price, punitive electricity price and step-by-step electricity price. Among them, differential electricity price refers to the six high energy consuming industries such as electrolytic aluminum, ferroalloy, calcium carbide, caustic soda, cement and iron and steel, which adopt different price increase standards in the form of elimination, restriction, permission and encouragement, and collect sales electricity charges higher than the ordinary electricity price from users; The step electricity price is to implement the corresponding electricity price standard according to the level of AC power consumption of liquid aluminum electrolysis in electrolytic aluminum enterprises, and increase the electricity consumption of electrolytic aluminum enterprises with high power consumption and low energy efficiency.
The “several policies” will integrate differential electricity price policies such as differential electricity price, step-by-step electricity price and punitive electricity price, and will not increase the electricity price for the stock enterprises whose energy efficiency reaches the benchmark level and the enterprises under construction and proposed to be built whose energy efficiency reaches the benchmark level. If they fail to meet the energy efficiency level, step-by-step electricity price will be implemented according to the energy efficiency level gap, and the increased electricity price will be specially used to support the technological transformation of energy conservation, pollution reduction and carbon reduction of enterprises.
Lin Boqiang, President of China Energy Policy Research Institute of Xiamen University, told the 21st Century Business Herald that there is a certain difference between the “several policies” and the “unrestricted upward floating range of high energy consumption electricity price” launched in the market-oriented electricity price reform at the end of October last year, which may be due to the difficulties in the implementation of market-oriented electricity price for high energy consumption industries, We need to further improve the pricing system to promote strict implementation, and then force high energy consuming industries to speed up energy-saving transformation, reduce the consumption of traditional fossil energy such as coal, improve energy efficiency and transform to green and low-carbon.
