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How to break the "intra-roll" competition?
2025-05-06 source:Xinhua Daily Telegra

"Intra-roll" competition is one of the hot topics of social concern. The government work report submitted to the Third Session of the 14th National People's Congress on the 5th clearly stated that it would break down local protection and market division, break through the blocks and bottlenecks that restrict economic circulation in terms of market access and exit, factor allocation, etc., and comprehensively rectify "internal-coil" competition.

From the Central Political Bureau meeting on July 30 last year's proposal to prevent vicious competition of "intra-volume" to the Central Economic Work Conference in December last year's proposal to comprehensively rectify "intra-volume" competition and standardize the behavior of local governments and enterprises, and to the relevant statements of this government work report, it can be seen that the rectification of "intra-volume" competition will be comprehensively implemented and more powerful.

Many representatives and deputies were deeply touched by the harm of "intra-roll" competition. Qi Xiangdong, member of the National Committee of the Chinese People's Political Consultative Conference and chairman of Qi'anxin Technology Group, said that the vicious competition of "in-roll" is very destructive. The situation of "rolling prices", following-style "rolling tracks", and encircling and suppressing "rolling talents" in some industries has triggered negative reactions, squeezed the profit margins of enterprises, damaged the stability of the industrial chain and market environment, and hindered the high-quality development of the industry.

There is also "intra-roll" competition in local investment promotion. It is not uncommon to rush to pursue hot spots and blindly subsidize projects. It violates market laws and the principle of fair competition, is contrary to the construction of a unified market, exacerbates industrial competition, overcapacity, and brings investment risks.

Since 2025, the National Development and Reform Commission, the State Administration for Market Regulation and other departments have made intensive statements on "internal-volume" competition. The National Development and Reform Commission stated that it will comprehensively rectify "internal-volume" competition and actively resolve the phased contradiction of oversupply in some industries. The State Administration for Market Regulation stated that it will strengthen price supervision in key industries in accordance with the law and rectify vicious competition of "intra-roll"; vigorously implement the quality brand strategy to guide the cracking of "intra-roll" competition.

This time, the comprehensive rectification of "internal-volume" competition was written into the government work report, which attracted widespread attention.

Chen Changsheng, member of the drafting group of the Government Work Report and deputy director of the State Council Research Office, said on the 5th that it is necessary to "comprehensively rectify 'in-cool' competition and price wars", "We must strengthen standards, strengthen supervision, strengthen industry self-discipline, and standardize government investment promotion behaviors, so that prices reflect quality, 'what money gets what you pay for', and prevent the occurrence of 'bad money driving out good money'", "Further standardize local economic promotion behaviors and investment promotion behaviors, comprehensively rectify 'in-cool' competition, and truly break local protection."

Many representatives and deputies said that comprehensively rectifying "internal" competition and regulating the behavior of local governments and enterprises is the key.

Jin Li, member of the National Committee of the Chinese People's Political Consultative Conference and vice president of Southern University of Science and Technology, said that local investment promotion laws and regulations should be strictly regulated, and systems such as performance assessment, statistics, and finance and taxation should be improved, and the "intra-circuit" phenomenon of local investment promotion and investment promotion should be guided. At the same time, we should accelerate the establishment and improvement of basic system rules and effective standardization and supervision, and eliminate chaos such as local protection and market segmentation in some places. Guide all localities to follow the laws of industrial development, based on their own conditions, and develop new quality productivity according to local conditions.

The government work report also proposes that it is necessary to "strengthen the overall layout of industries and capacity monitoring and early warning, and promote the orderly development and healthy competition of industries."

Yuan Yuyu, a member of the National People's Congress and chairman of Guangzhou Maipu Regenerative Medical Technology Co., Ltd., believes that enterprises should not blindly pursue hot spots or be attracted by local subsidy policies, but should focus on their main business, control risks based on the company's own development laws and market research and analysis, and accumulate strengths.

(Reporter Yao Junfang) Xinhua News Agency, Beijing, March 8

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