China Releases List of Tasks to Cut Corporate Costs

The National Development and Reform Commission and three other government departments recently released a joint circular on key tasks to reduce costs in 2021 (Fa Gai Yun Xing No. 602 [2021]). A total of 19 cost-reduction tasks in eight areas were highlighted, including steps to further optimise the tax cut policies, standardise the reduction of corporate fees in key sectors, unleash the benefits of tax and fee reductions, guide the precise mobilisation of financial resources, advance the reform on streamlining administration, delegating powers and improving services, maintain a market environment of fair competition, extend the duration of some of the provisional policies for cutting labour costs for firms, cut the electricity and land-use costs of firms, reduce rental costs, cancel or lower some highway and civil aviation port charges, and continue to reduce rail freight costs.

Source: National Development and Reform Commission