Business · Economy · 1 hr ago
China targets 15% productivity growth for larger small businesses by 2030
China has issued a five-year plan to support small and medium-sized businesses, with targets set for 2030.
One goal is to increase revenue per worker at businesses above the designated size threshold by about 15% cumulatively.
The plan focuses on productivity and business quality, rather than simply increasing the number or total size of firms.
It also aims to support innovation, digital upgrades, access to financing and stronger links between smaller firms and large companies.
Other targets include average annual growth of more than 8% in research spending by above-scale industrial small and medium-sized businesses, and 600 nationally recognized industrial clusters.
The plan responds to weaknesses in innovation, specialization and competitiveness, despite the large number of small businesses in China.
Its measures are intended to help firms raise productivity and move from supplying larger companies to taking a more active role in innovation.
China’s plan sets a target for revenue per employee at above-designated-size small and medium-sized enterprises to grow by about 15% cumulatively by 2030.
The target is part of the 15th Five-Year Plan for promoting small and medium-sized enterprise development, issued by 10 government departments.
The plan focuses on improving productivity and business quality rather than simply expanding the number or total size of companies.
Experts say the target equates to average annual growth of about 2.8% to 3% and is suited to current economic conditions.
The plan also sets targets for research spending, specialized firms and industrial clusters, alongside measures to support financing, talent and digital transformation.
- Who
- China’s Ministry of Industry and Information Technology, the National Development and Reform Commission and eight other government departments issued the plan.
- What
- The plan targets cumulative growth of about 15% in revenue per employee at above-designated-size small and medium-sized enterprises by 2030.
- When
- The plan covers the 15th Five-Year Plan period and sets a target for 2030. It was reported on October 13, 2026.
- Where
- China.
- Why
- The target is intended to prioritize productivity, innovation and business quality rather than growth in company numbers or total revenue alone.
This story does not have two clearly opposing sides.
Above-designated-size industrial small and medium-sized enterprises’ revenue grew 2.6% year on year, while their total profits rose 1.4%, according to the article.
Ten government departments issued the plan for promoting small and medium-sized enterprise development.
The plan targets cumulative growth of about 15% in revenue per employee at above-designated-size small and medium-sized enterprises.
- Productivity target
- About 15% cumulative growth by 2030
- Annualized target
- About 2.8% to 3% growth in revenue per employee
- Research spending
- Average annual growth of more than 8% in internal research and development spending by above-designated-size industrial small and medium-sized enterprises
- Specialized firms
- 22,000 specialized and sophisticated “little giant” enterprises
- Industrial clusters
- 600 national-level distinctive industrial clusters for small and medium-sized enterprises
What people are saying
The target directly anchors efficiency rather than scale.
This reflects policymakers’ care and expectations for the sustained innovation and high-quality development of small and medium-sized enterprises.
Clustering many upstream and downstream small and medium-sized enterprises around leading industries can create an industrial ecosystem with division of labor and complete supporting services.
Sources
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