This photo shows an event held during the 2025 Understanding China Conference in Guangzhou, south China's Guangdong Province, Dec. 1, 2025.
China should make the services sector the next major frontier of its reform and opening-up agenda, according to Yin Yanlin, a former deputy director of the Central Financial and Economic Affairs Commission and current vice chair of the Economic Affairs Committee of the Chinese People's Political Consultative Conference.
In a recent policy paper, Yin argued that while China has largely removed foreign investment restrictions in manufacturing, significant barriers remain in services. He said expanding access to sectors such as telecommunications, education, healthcare and finance would not only attract foreign investment but also help drive domestic reforms, improve service quality and strengthen China's long-term economic competitiveness.
Yin described the services industry as a critical component of China's economic transformation, noting that rising incomes and changing consumer preferences are driving growing demand for higher-quality services.
He argued that China's next phase of opening-up should focus on reducing administrative barriers, encouraging private investment and creating a more competitive market environment. This includes expanding the use of negative-list management systems, under which sectors are open to investment unless specifically restricted.
