China names six SOEs for pilot reforms

Six big state-owned enterprises (SOEs) will pilot reforms in ownership, management and supervision, Chinese authorities announced on Tuesday.

The companies are State Development & Investment Corporation (SDIC), China National Cereals, Oils and Foodstuffs Corporation (COFCO), China National Building Materials Group (CNBM), China Energy Conservation and Environmental Protection Group (CECEP), Xinxing Cathay International Group (XXCIG) and China National Pharmaceutical Group (Sinopharm), according to the State-owned Assets Supervision and Administration Commission (SASAC).

"State-owned asset investment companies" will be "reorganized" based on the SDIC and COFCO on a trial basis. Mixed-ownership pilot reforms will be carried out at Sinopharm and CNBM, said Peng Huagang, a SASAC senior official at a press conference.

A more effective system of board of directors will be set up at XXCIG, CECEP, Sinopharm and CNBM, and "disciplinary inspection teams" will be sent to another two or three unnamed SOEs, Peng said.