Before ascending to China’s top leadership, Xi Jinping spent over 17 years working in the eastern province of Fujian—a place he fondly refers to as his “second hometown.” During his tenure, Xi championed policies that invigorated the private sector and deepened economic opening-up, laying the groundwork for China’s economic development.
The “Jinjiang Experience”: A Model for Private Enterprise
Between June 1985 and October 2002, Xi visited Jinjiang, a county-level city in Fujian, seven times. Jinjiang was leading economic development in the province, thanks to its booming private sector, but it faced challenges that come with rapid growth.
Focusing on private enterprises, Xi conducted extensive on-the-ground research. He encouraged companies to be market-oriented and to innovate. He often inquired about their adoption of new technologies, product development, market trends, and the challenges they faced.
In June 2000, during a visit to Fengzhu Knitting Bleaching and Dyeing Industry Co., Ltd., Xi learned that the company was preparing to go public. He was pleased and urged Jinjiang entrepreneurs to transition from family-run models to joint-stock systems. Fengzhu completed its joint-stock reform in December 2000 and was listed on the Shanghai Stock Exchange in April 2004, becoming the only Jinjiang-based firm on the domestic main board at that time.
Today, Jinjiang boasts over 320,000 market entities and is home to 52 listed companies with a combined market capitalization nearing 400 billion yuan (about $55.6 billion). Private enterprises contribute over 90% of the city’s GDP, tax revenue, and employment.
Xiamen Special Economic Zone: Pioneering Reform and Opening Up
From June 1985 to June 1988, Xi held key positions in Xiamen, one of China’s first four special economic zones. Serving as a member of the Standing Committee of the Communist Party of China (CPC) Xiamen Municipal Committee, vice mayor, and executive vice mayor, Xi was at the forefront of China’s reform and opening-up efforts.
Determined to advance reform, Xi proposed the principle of “small government, big society,” a first in China. Recognizing Xiamen’s strategic role, he led research teams abroad and organized international seminars on export processing zones and free ports.
The Xiamen Special Economic Zone has since become a symbol of China’s openness, evolving from an export processing zone to a bonded zone and eventually into a pilot free trade zone.
During an inspection tour of Fujian in October 2024, President Xi visited the Xiamen Area of the China (Fujian) Pilot Free Trade Zone. “Today, the requirements for reform and opening up, both in depth and breadth, are higher than ever before,” he emphasized. He urged local authorities to adapt to new circumstances, promote institutional opening-up, and strive for new achievements in expanding high-level reform and opening-up.
