On December 6-7, the 19th Summit Forum of China's Top 100 Listed Companies and the 5th Forum on Comprehensive Development of China's Top 100 Cities were held in Shanghai. 7 pm, Hou Yunchun, president of China Enterprise Evaluation Association, researcher and former deputy director of Development Research Center of the State Council, delivered a keynote speech entitled "Carrying the heavy responsibility of high-quality development in the new era and improving the governance of listed companies," the following is the speech Full text.

1. The important task of high-quality development in the new era

First of all, what is the heavy responsibility of high-quality development in the new era, our per capita GDP to 10,000 U.S. dollars, this is an important transition of our economic development stage, which means that we have shifted from the past factor-driven to efficiency-driven, especially the innovation-driven transition, the industrial structure and the supply structure has undergone a very big change. In terms of demand-driven, we have shifted from relying mainly on investment and export to relying mainly on domestic demand, especially consumption, to drive economic growth. From the supply structure, in the past, mainly rely on the secondary industry to develop the economy, in the future, we need to focus on the secondary and tertiary industries, mainly relying on the tertiary industry to drive the economy, the consumption structure of Americans 80% is non-material structure, the consumption structure of the Chinese people 80% of the material consumption, only 30% of the non-material type of consumption, the main space for the development of the stage of high-quality development in the future development and the direction of development lies in the consumption, however, there is a very important premise. There is a very important premise, that is, our manufacturing industry, especially advanced manufacturing, high-tech industries must be bigger and stronger, which is the root of China's economic development. This is a major background, which is different from the past, the supply has undergone a major transformational change, which is a new topic we are facing.

The second is new technology. Human society is rapidly moving from the industrial era into the smart era. In terms of technology, the intelligent age is ten times that of the industrial age. It can be said that no matter what industry you are in, if you don't embrace the new round of technological revolution and can't catch up with the pace of this new round of technological revolution, you are bound to fail.

The third development of economic globalization, as we all know the trade war between China and the United States, now the trade war between China and the United States is neither a truce, nor a truce, Trump launched some very contradictory statements from time to time, stock market manipulation of the black hand is not Trump. Then what is the essence of the trade war between China and the United States? It can be said that it has to do with trade, and it is not trade itself. The U.S. has always had a surplus with China if you count trade surpluses based on ownership, and depending on who produces those products, a lot of them are produced by the U.S. in China. One figure went from a $14.6 billion surplus in 2007 to over $160 billion in 2017. The trade war started over tariffs, but the key isn't tariffs either, our tariffs came into the market at a combined rate of 14%, we promised to get it down to below 11% in 2005, and we did. We have made three tariff reductions in one year's time, and the combined rate of 9.8% has been reduced to 7.5%, which is about the same as developed countries. Australia is 4%, the U.S. is 2.6%, and we are 4%. I should say that this tariff is not too high, so the key to China-U.S. trade is not in tariffs, the key is in science and technology. China has been the world's factory in the past, and now it's going to be the world's technology center, so we can see that what's happening now to curb Huawei and crack down on ZTE is actually a trade dispute between China and the United States. Regardless of the outcome, I can say that the strategic struggle between China and the United States in trade, science and technology, finance, culture, politics, diplomacy and all other areas is a national power struggle involving our comprehensive national fortune, China to move toward the middle and high end of the global industrial chain, we want to achieve the great revitalization of the Chinese nation of the two hundred years of China's dream, the historical burden can be said to have fallen on every one of our enterprises, especially on our top 100 listed companies, and we can be said to be the first to achieve this goal. This historical responsibility falls on each and every one of our enterprises, especially on the top 100 listed companies. The revenue of the top 100 listed companies last year was 33.7 trillion yuan, a year-on-year increase of 46%. It can be said that listed companies, especially the top 100 listed companies, are our national team and our leading force in global competition.

Our goal of establishing modern enterprises is to focus on improving the corporate governance structure, in fact, our structure is more comprehensive than any other country, with the board of directors, supervisory board, the managerial layer, but the real governance of listed companies lies in the improvement of the company's system, the soundness of the company's system, and enhance the company's governance capacity, and finally falls on improving the governance level of listed companies, which is embodied in various aspects, your competitiveness, This level is reflected in various aspects, your competitiveness, your operating income, your market share, your profits and your social responsibility, which are all included.

2. Suggestions for improving the governance level of listed companies

I would like to make some suggestions to listed companies. The first suggestion is to focus the governance of listed companies on improving the effectiveness of the governance of listed companies and to improve the quality of listed companies in a comprehensive m First of all, what is the heavy responsibility of high-quality development in the new era, our per capita GDP to 10,000 U.S. dollars, this is an important transition of our economic development stage, which means that we have shifted from the past factor-driven to efficiency-driven, especially the innovation-driven transition, the industrial structure and the supply structure has undergone a very big change. In terms of demand-driven, we have shifted from relying mainly on investment and export to relying mainly on domestic demand, especially consumption, to drive economic growth. From the supply structure, in the past, mainly rely on the secondary industry to develop the economy, in the future, we need to focus on the secondary and tertiary industries, mainly relying on the tertiary industry to drive the economy, the consumption structure of Americans 80% is non-material structure, the consumption structure of the Chinese people 80% of the material consumption, only 30% of the non-material type of consumption, the main space for the development of the stage of high-quality development in the future development and the direction of development lies in the consumption, however, there is a very important premise. There is a very important premise, that is, our manufacturing industry, especially advanced manufacturing, high-tech industries must be bigger and stronger, which is the root of China's economic development. This is a major background, which is different from the past, the supply has undergone a major transformational change, which is a new topic we are facing.

The second is new technology. Human society is rapidly moving from the industrial era into the smart era. In terms of technology, the intelligent age is ten times that of the industrial age. It can be said that no matter what industry you are in, if you don't embrace the new round of technological revolution and can't catch up with the pace of this new round of technological revolution, you are bound to fail.

The third development of economic globalization, as we all know the trade war between China and the United States, now the trade war between China and the United States is neither a truce, nor a truce, Trump launched some very contradictory statements from time to time, stock market manipulation of the black hand is not Trump. Then what is the essence of the trade war between China and the United States? It can be said that it has to do with trade, and it is not trade itself. The U.S. has always had a surplus with China if you count trade surpluses based on ownership, and depending on who produces those products, a lot of them are produced by the U.S. in China. One figure went from a $14.6 billion surplus in 2007 to over $160 billion in 2017. The trade war started over tariffs, but the key isn't tariffs either, our tariffs came into the market at a combined rate of 14%, we promised to get it down to below 11% in 2005, and we did. We have made three tariff reductions in one year's time, and the combined rate of 9.8% has been reduced to 7.5%, which is about the same as developed countries. Australia is 4%, the U.S. is 2.6%, and we are 4%. I should say that this tariff is not too high, so the key to China-U.S. trade is not in tariffs, the key is in science and technology. China has been the world's factory in the past, and now it's going to be the world's technology center, so we can see that what's happening now to curb Huawei and crack down on ZTE is actually a trade dispute between China and the United States. Regardless of the outcome, I can say that the strategic struggle between China and the United States in trade, science and technology, finance, culture, politics, diplomacy and all other areas is a national power struggle involving our comprehensive national fortune, China to move toward the middle and high end of the global industrial chain, we want to achieve the great revitalization of the Chinese nation of the two hundred years of China's dream, the historical burden can be said to have fallen on every one of our enterprises, especially on our top 100 listed companies, and we can be said to be the first to achieve this goal. This historical responsibility falls on each and every one of our enterprises, especially on the top 100 listed companies. The revenue of the top 100 listed companies last year was 33.7 trillion yuan, a year-on-year increase of 46%. It can be said that listed companies, especially the top 100 listed companies, are our national team and our leading force in global competition.

Our goal of establishing modern enterprises is to focus on improving the corporate governance structure, in fact, our structure is more comprehensive than any other country, with the board of directors, supervisory board, the managerial layer, but the real governance of listed companies lies in the improvement of the company's system, the soundness of the company's system, and enhance the company's governance capacity, and finally falls on improving the governance level of listed companies, which is embodied in various aspects, your competitiveness, This level is reflected in various aspects, your competitiveness, your operating income, your market share, your profits and your social responsibility, which are all included. anner. The second suggestion is that listed companies must pay attention to compliance, whether going out, in the international market, or in our domestic market, the company's internal governance, internal management, or and partners, competitors and interactions, must pay attention to risk avoidance, legal compliance, do not want to appear in a number of traps, and improve risk management and control. The third point of advice, listed companies to fully practice corporate social responsibility, and strive to be a model of good corporate citizenship, social responsibility is not simply do a little bit of good deeds, the core of the sentence, you the development of the enterprise, is not to affect the social environment of the various stakeholders in line with their interests on the basis of the development of our products have been to every aspect of the full fulfillment of the responsibility of their due diligence.

The key to China's future development, whether China can move towards the goal of high-quality development, and whether China can have the last laugh in the more fierce global competition will depend on our listed companies and the top 100 listed companies.

Because of time constraints, I will say this much, thank you.

(Organized by the Walton Economic Institute based on the recording of Hou Yunchun's speech)