2025 marks the final year of China's 14th Five-Year Plan (2021–2025), with preparations for the 15th Five-Year Plan (2026–2030) already underway. A key objective outlined in the 14th Five-Year Plan is to pursue broader, deeper and more comprehensive opening-up, aiming to establish a new system for a higher-level open economy.

At a press conference in July on the progress of the 14th Five-Year Plan, Commerce Minister Wang Wentao highlighted major achievements over the past five years. He noted that China has accelerated its pace of high-level opening-up and expanded the landscape of mutually beneficial cooperation.

Wang outlined a series of key measures that China has taken to further open the country's market – including reducing the number of sectors off-limits to foreign investors – known as a negative list, fully lifting access restrictions in the manufacturing sector, advancing pilot programs in service industries such as value-added telecommunications and biotechnology, and granting zero-tariff treatment on products from the least developed countries and African nations.

China's opening-up policies have not only turbo-charged its own economic growth but have also become the engine room of global development.

Steady progress in opening-up measures

Over the past several years, China has steadily reduced its foreign investment negative list. As of January, the list was cut from 93 sectors down to 29. China opened up the entire manufacturing sector to foreign investment by lifting the last remaining restrictions on November 1 last year. In services, sectors such as telecommunications, internet, education, culture and healthcare are gradually being opened.

As a landmark gesture of opening up its service sector, China, in October last year, launched pilot programs to expand foreign access to value-added telecommunications services in Beijing, Shanghai, Hainan and Shenzhen. By March this year, 13 foreign enterprises had been approved to operate in this field. When China joined the World Trade Organization, the country committed to opening four of the organization's 10 value-added telecom services, and has now voluntarily expanded this to eight.

Aside from easing investment restrictions, China has also introduced policies to ensure national treatment for foreign enterprises and further optimize the business environment.

For example, China introduced the Foreign Investment Law in 2019, which has strengthened intellectual property protection and improved operational conditions for foreign firms, creating an equal playing field for foreign companies. Besides, according to the Ministry of Commerce, in 2024 alone, the ministry held 15 roundtable meetings with foreign-invested enterprises, resolving over 370 issues.

Additionally, initiatives such as the "trade-in" policy for consumer goods, which encourages the purchase of new home appliances, cars and electronics to replace old ones, equally support foreign companies, with many foreign nationals also benefiting from the subsidies.

Aligning with global trade rules

Beyond improving the business environment for foreign companies, China has also aligned its policies with international trade standards, steadily expanding institutional openness.

In November 2020, China signed the Regional Comprehensive Economic Partnership (RCEP), which took effect in January 2022. As the largest economy in RCEP, China not only benefits from the agreement but also plays a key role in its implementation.

Under RCEP, China offers an average 92 percent tariff reduction for Singaporean companies and has committed to phasing out tariffs on 86 percent of Japanese industrial products. China has also opened its agricultural market to ASEAN nations, with plans to import $150 billion in agricultural products over the next five years. In terms of investment, China's non-financial direct investment to RCEP members increased by 26 percent in 2023, outperforming global investment growth.

Furthermore, in July, China announced to grant zero-tariff treatment on all tariff lines for 53 African countries with diplomatic relations with China. China is the first major developing country and the first major economy to take such a step.

Chinese leaders have stressed on many occasions that China will not close its door to the world, and that an open China will inject more vitality and momentum into a turbulent world, and create more development opportunities for global economies.

As China prepares to embark on its 15th Five-Year Plan, its commitment to high-level opening-up remains unwavering. From streamlining market access to strengthening international cooperation, China's approach reflects a long-term vision of deeper integration into the global economy – one that not only supports its own modernization but also contributes to shared global prosperity.