Free China Movement (FCM) supports fair competition, equal treatment, enforceable property and contract rights, and a predictable business environment for private, state-owned and foreign-invested firms.
Current policy and evidence
China’s Private Economy Promotion Law took effect in May 2025 and addresses competition, financing, innovation, service guarantees, rights protection and legal responsibility. First-year implementation included more than 170 supporting measures and extensive review of market-access restrictions. A Peking University-led survey of 9,266 micro and small operators found wider policy coverage and some financing improvement while revenue and confidence remained under pressure.
Official investment data provide additional context, but changes in private investment cannot be attributed to this law alone because demand, property conditions and other macro policies also matter. This dossier therefore separates legal design, implementation activity, firm-level evidence and broader economic outcomes.
FCM assessment
A durable market economy requires more than encouragement campaigns. Market entry, licensing, procurement, financing, property and contract rules should be transparent, reviewable and applied without political or ownership favoritism.
Third Republic governing alternative
- Equal market-entry rules and published negative lists.
- An independent competition authority with jurisdiction over state and private firms.
- Judicially enforceable property and contract rights.
- Transparent licensing deadlines and reasons for denial.
- Risk-based, ownership-neutral access to credit and public procurement.
- Regulatory-impact assessments and public consultation before major rules.
- Reasonable transition or compensation rules when lawful businesses are abruptly restricted.
Evidence limits
Broader ownership-neutral financing and procurement comparisons remain incomplete, and no historical institutional FCM position specifically on the 2025 law has been verified. The Third Republic design on this page is a current FCM governance proposal and is not backdated.
Free China 