Development and Reform Commission: Play a market role in advancing the restructuring of industries with overcapacity

The relevant person in charge of the National Development and Reform Commission stressed that the key to advancing the structural adjustment of industries with overcapacity is to play a fundamental role in market allocation of resources.
The person in charge said that the State Council has recently made full arrangements for accelerating the restructuring of the overcapacity industry. The National Development and Reform Commission will adhere to a market-oriented approach and make use of the "force-forcing" mechanism in which market constraints and resource constraints are strengthened, prompting enterprises to accelerate technological advancement, speed up mergers and reorganizations, and accelerate the elimination of outdated production capacities, thereby stimulating the optimization and upgrading of industries with overcapacity industries.
The reporter learned from the National Development and Reform Commission that some industries have excess production capacity. When the supply capacity is greater than the market demand, the market competition is intensified and the market constraints are strengthened. This can motivate the enterprises to adjust the structure and enhance their survivability. The market can only be eliminated. Part of the backward production capacity. At present, it is a good opportunity to accelerate the structural adjustment of industries with overcapacity.
On the basis of giving full play to the market mechanism and the main role of enterprises, we must give full play to the role of governments at all levels in structural adjustment. On the one hand, through deepening reforms to standardize the market order and creating conditions for the market mechanism to play its role, on the other hand, economic, legal, and necessary administrative means must be comprehensively used to strengthen industrial policy guidance, credit policy support, fiscal and taxation policy adjustment, and promote industrial restructuring.
The person in charge requested that we should adhere to the principle of differentiating and assisting in the elimination of disadvantages. According to the specific circumstances of different industries, regions, and enterprises, the guidance should be classified and maintained. Adhere to the combination of good and bad, the combination of upgrading and eliminating backwardness, mergers and acquisitions, and closure of bankruptcy.
"Relying on the market, taking advantage of the situation, controlling energy growth, optimizing structure, treating different issues, and helping and eliminating disadvantages, we will strive to make substantial progress this year and achieve remarkable results after several years of efforts." The official said that this is to accelerate the overcapacity. The overall requirements of industrial restructuring.

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