As China’s first fundamental law dedicated to promoting the private sector, the private sector promotion law will take effect on May 20. In the latest W.E. Talk, Rupert Hoogewerf, Hurun Report Chairman and Chief Researcher, noted that the law is really a watershed in the Chinese constitution.

He further added that the progress in new industries including renewable energy, battery storage, and solar panels is more driven by the private sector. “So it's a recognition of the status, and the contribution that the private sector is making to the Chinese economy,” Hoogewerf concluded.