You are here

China says loss-making state firms should exit market

36732948131.jpg
China's state-owned firms that suffer three consecutive years of losses should exit the market through bankruptcy or other means, the country's state asset supervisor said in a statement on Friday.

[BEIJING] China's state-owned firms that suffer three consecutive years of losses should exit the market through bankruptcy or other means, the country's state asset supervisor said in a statement on Friday.

"We will close, suspend, combine, divert, peel off or reorganise long-term, loss-making enterprises which are in the overcapacity industry and could not meet the state standards of energy consumption, environment protection, quality and safety," the State-owned Assets Supervision and Administration Commission (SASAC) added in the statement.

The comment follows a urge from China's premier Li Keqiang to clean zombie firms and tackle serious overcapacity in some industries.

REUTERS

sentifi.com

Market voices on:

grab

Receive $80 Grab vouchers valid for use on all Grab services except GrabHitch and GrabShuttle when you subscribe to BT All-Digital at only $0.99*/month.

Find out more at btsub.sg/promo

Powered by GET.comGetCom