China to diversify SOE shareholding

China will promote a mixed-ownership economy by diversifying the shareholding structure of state-owned enterprises (SOEs), an official with the country's SOEs regulator said Thursday.

Huang Shuhe, vice chairman of the State-owned Assets Supervision and Administration Commission, told a press conference that the country will speed up the transformation of SOEs, especially parent companies, into joint-stock firms. It will also improve the shareholding structure of SOEs.

Some SOEs, state-owned capital investment companies and capital operating firms that are vital to national security will be wholly invested by state-owned capital, according to Huang.

"Absolute majority shares can be held by state-owned capital for SOEs in major industries and key fields that are the lifeblood of the economy," Huang said.

State capital can hold a relative majority of shares for important SOEs in pillar sectors and new- and high-technology industries. It can hold minority shares in or totally exit from SOEs that do not need to be controlled by state capital and whose majority shares can be held by capital from other sources.