Understanding the positives of having just one negative list

A guideline issued by the top authorities on Monday on accelerating the building of a unified domestic market emphasizes that China will implement a unified market access system and strictly adopt a "one list" management model nationwide.

The market access negative list system has played an important role in the development of China's market economy. Therefore, to build a unified domestic market, higher requirements should be raised for the development of basic market institutions and rules, including the market access negative list system.

The negative list was originally an international management model for foreign investment access. China's introduction of the negative list was an important move to dovetail with the international market and promote its wider opening-up. Strictly implementing the national "one list" management model will thus be a major task in building a unified domestic market and also an important measure to meet the needs of market entities. China not only needs to continue to iterate and optimize the negative list, but also needs to innovate and form a mechanism to implement the list.

It is also necessary for China to dynamically adjust the negative list based on market developments, and form a participatory list adjustment mechanism. Enterprises, trade associations and local governments can be empowered with the right to make suggestions on adjusting the list so that it can more dynamically reflect market and grassroots demands. Although all regions and departments are prohibited from issuing their own negative lists, local governments can understand market demands more quickly in some aspects. Therefore, a dynamic adjustment mechanism including multi-channel suggestions and third-party evaluation should be established.

China should also promote the implementation of this negative list management system through high-level opening-up. This requires the country to first meet international commitments, further optimize the negative list system and increase market opening with the service trade as the focus.

It also requires China to dovetail with international norms, strengthen the legal basis of the negative list, further improve the support system, and form an institutional guarantee for the strict implementation of the national one-list management model.

To safeguard the unity, seriousness and authority of the national one-list system, an effective implementation mechanism is indispensable. In practice, a diversified market access supervision system that includes arbitration, administrative litigation and punishment should be established.