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(Yicai) Jan. 8 -- The Chinese government has issued its first comprehensive directive to eliminate the improper use of administrative inspections on businesses, which put an undue burden on private enterprises.
The directive seeks to balance effective supervision with minimal interference in law-abiding business operations, Hu Weilie, vice minister of justice, said at a press conference yesterday. “We’re determined to show businesses the government's commitment to regulating administrative inspections and enhancing their confidence in the future,” he said.
The General Office of the State Council, China’s cabinet, issued the directive on Jan. 3. It emphasizes the need for standardized management of administrative inspections, alleviating unnecessary corporate burdens, and creating a law-based business environment conducive to the healthy growth of companies.
Before the end of June, each administrative agency must announce the maximum allowable annual inspection frequency for individual businesses to reduce the number of checks.
Administrative checks in China have often been criticized for inefficiency, redundancy, and overreach, creating unnecessary burdens on businesses. The directive addresses concerns raised by domestic companies about issues such as arbitrary and repetitive inspections.
The injunction targets longstanding issues including unclear inspection authority, excessive frequency, and arbitrary implementation, Hu said, adding that it aims to address the most pressing problems and create a more supportive business environment.
However, inspections in areas critical to public safety, such as food, medicine, and the workplace, will remain rigorous, particularly in response to public complaints or reports, Hu noted.
Editor: Emmi Laine