China to regulate enterprises to better develop sharing economy market

Beijing. June 6. Silkroadnews - China has issued a notice on the expansion of regulation of share enterprises for better development of the sharing economy market, People’s Daily reports.
The notification was jointly issued by the National Development and Reform Commission, the Cyberspace Administration of China and the Ministry of Industry and Information Technology.
According to the notification, the relevant departments in China will strengthen the supervision of sharing economy enterprises on collection and use of personal information of users. In addition, businesses will be strongly encouraged to constantly protect the rights and interests of consumers.
China’s sharing economy market has seen rapid development in recent years. Statistics indicate that the turnover of China’s sharing economy market hit 4.9 trillion yuan ($763 billion) in 2017, a year-on-year increase of 47.2 percent. Last year, the number of people involved in the market surpassed 700 million, the report reads.
The authorities have predicted that China’s sharing economy market will have a high annual growth rate of more than 30% over the next five years. The market is also likely to cover such areas as agriculture, education, health and care for the elderly.
The rapid development of the sharing economy demonstrates the immense power and potential of China’s economy, Guo Xia, a researcher at Peking University’s China Center for Strategic Studies, said.
Nevertheless, the sharing economy market is currently facing various problems, such as a leakage of personal information, weak protection of users’ rights and unfair competition, Guo added.
Guo also noted that work on solving such problems is crucial for building sustainable and healthy development of the market.