Research shows that the social value of private enterprises in the new era is highlighted in six aspects: actively participating in the poverty alleviation, playing an active role in the epidemic prevention and control, stabilizing the economy and boosting employment, continuing to increase input in the public welfare and charity, becoming a major force in scientific and technological innovation, and accelerating green and low-carbon development.
 
On December 21, the All-China Federation of Industry and Commerce (ACFIC) held the fifth meeting of the 12th Executive Committee. On behalf of ACFIC, Qiu Xiaoping, vice chairman of ACFIC, released the Annual Report on the Private Corporate Social Responsibility of China (2021) (hereinafter referred to as the Report).
 
Based on the data of the 2020 annual survey on private corporate social responsibility by ACFIC, the Report conducted field research on more than 100 private enterprises in 12 provinces and cities, and summarized the main achievements, development indicators and future trends of private enterprises in fulfilling their social responsibilities by combining with public information from relevant departments such as the National Bureau of Statistics and the State Administration for Market Regulation.
 
Qiu Xiaoping pointed out that since 2020, in the face of changes and a pandemic both unseen in a century, private enterprises had played an active role in the development of the times, always put the country at the first position, shouldered more, heavier and greater social responsibilities, and been widely recognized by all sectors of society. The social value of private enterprises in the new era is highlighted in six aspects.
 

First of all, private enterprises actively participated in the poverty alleviation. By the end of December 2020, 127,000 private enterprises had participated in the “Ten Thousand Enterprises Helping Ten Thousand Villages” campaign, giving targeted assistance to 139,100 villages (73,200 of them registered as poor villages). A total of 110.59 billion yuan and 16.864 billion yuan was invested in industries and public welfare respectively. 900,400 people were employed and 1,305,500 people received skills training. The campaign had benefited 18,038,500 registered poor people. Private enterprises actively participated in the Guangcai Programs, and signed 786 investment projects with an investment of 372.717 billion yuan and a donation of 515 million yuan.
 
Secondly, they played an active role in the epidemic prevention and control. According to incomplete statistics, as of April 2020, 110,600 private enterprises had participated in the epidemic prevention and control by donating money and materials, setting up funds, providing insurance, reducing rent, and providing subsidies. They donated 17.222 billion yuan in money, 11.927 billion yuan in goods and materials, set up 6.181 billion yuan in funds, and 15.121 billion yuan in other types of insurance, rent reduction and subsidies. By making full use of its advantages in technology, talent, management, capital, product and service, private enterprises were actively engaged in provision of medical supplies and daily necessities, transport of relief supplies, construction of medical facilities and procurement of global supplies, playing a huge role in helping the frontline fight against COVID-19, maintaining industrial development and stabilizing social order.
 
Third, they contributed to stabilizing the economy and boosting employment. By the end of 2020, the number of private enterprises in China had exceeded 40 million, accounting for more than 90% of the country’s total number of enterprises. Private investment in fixed assets reached 28.9 trillion yuan, accounting for 55.7% of the country’s total investment. Private enterprises contributed 9.9 trillion yuan to the national tax revenue, accounting for 59.7% of the national tax revenue. In foreign trade, the import and export volume of private enterprises reached 15 trillion yuan, accounting for 46.6% of China’s total foreign trade and increasing by 11.1% year on year. In 2020, private enterprises continued to play the role of “stabilizer” in employment, creating roughly the same number of jobs as the previous year. In the new business model of sharing economy, private enterprises created about 84 million jobs, up 7.7% year on year.
 
Fourth, they continued to increase input in the public welfare and charity. The Chinese mainland received 208.613 billion yuan in donations, with corporate donations reaching 121.811 billion yuan, exceeding 100 billion yuan for the first time, according to the 2020 China Charity Donation Report released by China Charity Alliance. Among them, the contribution of private enterprises accounted for 51.79%, reaching 63.084 billion yuan, up 32.78% from 2019. Private enterprises have always been stable at more than half total corporate donations, making them the absolute main force of charitable donations in China.
 
Fifth, they are becoming a major force in scientific and technological innovation. In 2020, the number of patent applications of private industrial enterprises above designated size in China accounted for 81.4%, invention patent applications accounted for 78.1%, and effective invention patents accounted for 79.4%. According to China National Intellectual Property Administration, seven of the top 10 Chinese invention patentees in 2020 were private enterprises, with Huawei Technologies Co., Ltd. topping the list.
 

Sixth, they accelerated green and low-carbon development. In 2020, private enterprises strengthened energy conservation and emission reduction, optimized the energy industry structure, and promoted the nationwide battle to prevent and control pollution. According to the survey data, 62.3% of enterprises used energy-saving and environment-friendly raw materials and focused on source control. 61.4% of enterprises upgraded their facilities and equipment to save energy and reduce emissions, and 55.5% of enterprises carried out cleaner production.
 
Qiu Xiaoping said that in 2020, private enterprises helped achieve common prosperity with focus and precision. The fulfilment of social responsibilities tended to be platform-based, standardized, organized, specialized and brand-based, showing the stage characteristics of “rapid development, full vitality, great potential and good momentum”. In 2020, the activities for China’s private enterprises to fulfill social responsibilities mainly had the following five characteristics. First, the practice of social responsibilities was continuously enriched by focusing on major national strategies. Private enterprises further identified the combination of national strategies, people’s demands and their own advantages, incorporated topics such as poverty alleviation, epidemic prevention and control, green development, rural revitalization and social governance into corporate responsibilities, showing a trend of constantly focusing on helping solve public problems. The theme of private corporate social responsibility was more prominent and the content was more diversified as well. Second, private enterprises continued to improve their awareness of accountability and the situation of accountability became better as well. China’s Private Corporate Social Responsibility Development Index has hit a record high. More and more private enterprises adhered to the sustainable development strategy, promoted the supply side structural reform of enterprises by fulfilling their social responsibilities, and were committed to achieve high-quality development. Third, Party building has achieved “effective coverage” and become a new approach to social responsibility governance. Taking “strengthening Party building and giving full play to the leading role of Party building” as an important path, private enterprises have explored and formed a corporate social responsibility governance model with Chinese characteristics. Fourth, there were bright spots in various industries, with outstanding performance in the manufacturing sector. The manufacturing industry showed the most outstanding performance in fulfilling social responsibilities, while the construction industry saw the fastest growth. On the whole, there was steady progress in all sectors. The top five sectors in the Corporate Social Responsibility Index are manufacturing, wholesale and retail, agriculture, forestry, animal husbandry and fishery, construction, and real estate. Fifth, the eastern region maintained its lead and the regional gap was further narrowed. The social responsibility index of private enterprises in eastern, central, western and northeastern regions was in a ladder-like distribution from high to low. Zhejiang, Jiangsu, Shanghai, Henan and Chongqing ranked the top five in China.
 
The meeting also released the Excellent Cases of Private Corporate Social Responsibility of China (2021). Eight private entrepreneurs including Liu Yonghao, chairman of New Hope Group, and 22 private enterprises including Chongqing Zhifei Biological Products Co. Ltd., were on the list.