On Monday, Chinese President Xi Jinping met with private sector business leaders, reassuring them that policies concerning the private sector would remain unchanged, according to state media. The meeting comes as government officials strive to revive an economy impacted by the pandemic, regulatory crackdowns, and a real estate crisis.
Among the attendees was Alibaba founder Jack Ma, who had been a central figure in the recent crackdown on the tech industry.
Xi assured the audience that the Communist Party and the government’s stance on the private sector is deeply embedded in “the socialist system with Chinese characteristics,” a term used to define the party’s governance, according to state broadcaster CCTV. He emphasized, “They cannot and will not change.”
The president reaffirmed the government’s commitment to “genuinely safeguard the legal rights of private businesses and entrepreneurs in accordance with the law.” However, he also emphasized, “At the same time, we must recognize that our country operates under a socialist legal system, and any unlawful activities by enterprises will be subject to investigation and penalties.”
These reassurances came after Beijing initiated a crackdown on the tech industry in 2020, aiming to dismantle monopolies and enforce stringent data regulations.
A prominent figure in that crackdown was Jack Ma, the founder of e-commerce giant Alibaba and once China’s wealthiest individual. In recent years, he has maintained a low profile with limited public appearances following his public criticism of China’s regulators and financial systems during a speech in Shanghai.
Other business leaders attending Monday’s meeting in Beijing included Zeng Yuqun, chairman of battery developer CATL, Wang Chuanfu, chairman of electric vehicle manufacturer BYD, and Pony Ma, CEO of Tencent, which owns WeChat, according to footage from state broadcaster CCTV and a state media report.
Xi expressed his hope that private businesses would “get rich first, and then promote common prosperity,” referencing a program aimed at fostering economic growth while reducing the wealth gap. Alibaba had previously committed $15.5 billion to this initiative, while Tencent pledged $7.7 billion.
Earlier on Monday, a state media report detailing the meeting was initially published but later removed. In its place, a shorter version appeared online, omitting the names of those in attendance.
A subsequent report on the meeting included Xi’s speech and listed some attendees but did not mention Ma.
In October 2020, Ma, one of the wealthiest individuals in the country, delivered a speech in which he criticized regulators for being overly conservative. In response, the government halted his plans for Ant Group’s stock market debut. Ant Group, which emerged from Alipay, the widely used digital payments platform, was subsequently forced to restructure, splitting into several independent businesses. Additionally, Alibaba faced an investigation and was fined $2.8 billion for violating antitrust regulations.
