Centrally managed company
Centrally administered company ( Chinese 中央 管理 企业 , Pinyin Zhōngyāng Guǎnlǐ Qǐyè ), short central company (中央 企业, abbreviated to 央 企), has been the legal form of the state-owned enterprises in the People's Republic of China since 2003 . From the original 189 companies when the system was introduced on September 30, 2003, the number was reduced over time through mergers to 126 in November 2019.
definition
Centrally administered companies are wholly state-owned corporations or joint-stock companies controlled by the state by means of a majority of shares , in which the State Council of the People's Republic of China or, on its behalf, the Commission for the Control and Administration of State Assets (SASAC) or the Ministry of Finance, the legal obligations of the company owner incumbent.
This definition does not include urban transport companies, tea factories operated by district governments, etc. (around 6,000 companies in 2016) that are not publicly owned (全民 所有, Pinyin Quánmín Sǔoyǒu , literally “owned by all citizens”) or state-owned companies (国有 独资公司, Pinyin Guóyǒu Dúzī Gōngsī , literally "company with the fatherland as the sole investor"), but are owned by the local population, and are therefore looked after and possibly subsidized by local bodies, not the central government.
Categories
The Centrally Managed Enterprises are predominantly large conglomerates (集团公司, Pinyin Jítuán Gōngsī ), the historical core of which was under a ministry before 2003, such as the Ministry of Defense of the People's Republic of China or the Ministry of Post and Telecommunications. In principle, they can be divided into three categories:
- Companies supervised by the Commission for the Control and Management of State Assets (in June 2019 97 out of 127 Centrally Managed Companies):
- Defense and telecommunications companies
- Companies that develop and process natural resources such as crude oil in a monopoly position
- Companies that compete in the market with domestic and foreign private companies, such as civil heavy industry, construction companies, trading companies
- Companies supervised by the Commission for Banking Supervision (中国 银行 保险 监督 管理 委员会) or the Commission for Stock Exchange Supervision (中国 证券 监督 管理 委员会):
- The four major insurance companies: Chinese People's Welfare (中国 人民 保险 集团 / PICC), China Life Insurance , Taiping Insurance Holding (中國 太平 保險 控股 有限公司 / China Taiping), Chinese Export Credit Insurance (中国 出口 信用 保险 / SinoSure)
- The five major commercial banks: Industrial and Commercial Bank of China , China Construction Bank , Agricultural Bank of China , Bank of China , Bank of Communications
- The three major banks of a political nature: China Exim Bank , Chinese Agricultural Development Bank , China Development Bank
- Companies served by other commissions of the State Council or mass organizations:
- Ports, airports, radio, television, publishers ...
While in principle the above-mentioned commissions are responsible for the administration of the state-owned enterprises, matters affecting their assets fall under the responsibility of the Ministry of Finance . Personnel matters are the responsibility of the Ministry of Labor and Social Affairs (中华人民共和国 人力 资源 和 社会 保障 部). Business policy is determined by the State Commission for Development and Reform , which is subordinate to the State Council , whereby the Prime Minister, his deputies and the State Commissioners can also issue direct instructions to the companies.
The Centrally Managed Enterprises generally have numerous subsidiaries. For example, the China Aerospace Science and Technology Corporation (CASC) subordinate to the China Aerospace Science and Technology Corporation (CASC), the China Academy of Launch Vehicle Technology (CALT ) belongs to the Commission for the Control and Administration of State Assets, which is often abbreviated to SASAC because of the English name State-owned Assets Supervision and Administration Commission ), the Chinese Academy of Space Technology (CAST) and 10 other companies. The Space Technology Academy, for example, has numerous subsidiaries of its own, such as Dong Fang Hong Satellite GmbH (航天 东方 红 卫星 有限公司), Shenzhou Industry and Trade Umbrella Company (神舟 实业 总公司), etc. The State Council controls around 100 through CASC alone Sole proprietorships.
Here are some examples of centrally managed companies:
profitability
Quite a number of the centrally administered companies are active in the armaments and service sector, i.e. they manufacture things or offer services that are simply afforded for political reasons without paying attention to profitability, from nuclear weapons to train tickets at socially acceptable prices. However, viewed as a whole, the Centrally Managed Enterprise system is quite profitable. In 2017, for example, the then 98 companies under the State Assets Control and Management Commission generated net profits of 1,423.08 billion yuan after paying a total of 2,200 billion yuan in taxes; Of the 98 companies, 41 were considered highly profitable, with annual profits exceeding 10 billion yuan. It should be noted that the petrochemical companies (Sinopec and CNPC) as well as the electricity companies lowered prices on the instructions of the State Council and relieved end users by 200 billion yuan that year.
Individual evidence
- ↑ 国务院 办公厅 关于 公布 国务院 国有 资产 监督 管理 委员会 履行 出资人职责 出资人职责 企业 名单 的 通知. In: gov.cn. October 21, 2003, Retrieved June 6, 2019 (Chinese).
- ↑ 央 企 名录. In: sasac.gov.cn. December 29, 2017, accessed March 9, 2020 (Chinese).
- ↑ Wen Jiabao : Interim Regulations on Supervision and Management. In: en.sasac.gov.cn. November 24, 2003, accessed June 6, 2019 .
- ↑ 李 瑛: 国资委 印发 《国务院 国资委 授权 放权 清单 （2019 年 版）》. In: sasac.gov.cn. June 5, 2019, accessed June 6, 2019 (Chinese).
- ↑ 一 文 看懂 138 家 央 企 级别 和 管理 （最 全面 最 详细 版）. In: thepaper.cn. May 3, 2016, Retrieved June 7, 2019 (Chinese).
- ↑ 中国 空间 技术 研究院 及 所属 单位 简介. In: cast.cn. Retrieved June 7, 2019 (Chinese).
- ↑ 斓 曦: 沈 莹 ： 去年 98 家 央 企 利润 首 破 1.4 万亿 增长 15.2%. In: sasac.gov.cn. January 17, 2018, accessed June 8, 2019 (Chinese). In 2017, the average exchange rate from euros to yuan was 1: 7.5. In terms of purchasing power, however, one yuan is roughly equivalent to one euro.