Fengxian district of Shanghai is stepping up its efforts to create a more business-friendly environment — unveiling a series of initiatives aimed at optimizing enterprise services, strengthening legal protections and accelerating industry upgrades.

On Feb 5, the district released its Key Initiatives for Enhancing Enterprise Experience and Creating a World-Class Business Environment in 2025 — outlining six major action areas and 54 targeted measures.

These include reforms to improve efficiency, enhanced services for businesses and innovations in supervision and law enforcement to support industrial transformation.

One of the key focuses is fostering a law-based business environment. On the same day, Shanghai launched its business environment action plan 8.0, which includes 58 initiatives — six of which specifically protect corporate rights.

A major highlight is a crackdown on malicious profit-making claims, where individuals or entities exploit legal loopholes to disrupt normal business operations. To combat this, Shanghai will introduce a blacklist system to deter abusive claims.

Fengxian has already taken proactive steps in this regard. In March 2024, the district implemented Trial Guidelines for Handling Professional Profit-Making Claims Through Market Regulation, leading to a 32.3 percent drop in overall claims and complaints — falling from 65 cases per day to 43.

The number of profit-driven complaints alone fell by two-thirds to about 10 cases daily. Moving forwards, plans are for the district to further strengthen enforcement by coordinating regulatory agencies, introducing joint penalties and using media coverage to highlight typical cases as a deterrent.

It will also expand the Corporate Chief Compliance Officer System to provide legal guidance and compliance support for businesses.

Beyond legal protections, Fengxian is said to be committed to comprehensive lifecycle services for its 700,000 business entities, aiming to improve their operational experiences and drive industry growth.

What’s more, the district is focusing on key industry clusters —  including beauty and health, green new energy, general advanced materials and smart equipment.

To better support large-scale industrial projects, Fengxian will assign dedicated service teams at the subdistrict, town and development zone levels for projects valued at over 50 million yuan ($6.84 million).

The teams will provide end-to-end services, from planning approvals to construction permits, ensuring projects progress efficiently.

Further consolidating its business-friendly foundations, Fengxian is in line with Shanghai’s action plan 8.0 to empower subdistricts, towns and industrial parks.

To top it off, the district will implement a "sub-districts call, departments respond" mechanism to address enterprise concerns efficiently. It will also introduce a feedback system, enable sub-districts and towns to assess municipal and district support, and ensure effective coordination and problem-solving.

In a new "dual-commitment" pilot program, subdistricts and towns will pledge to facilitate projects, while enterprises will commit to legal compliance —  streamlining investment and project approvals.

To ensure businesses receive better services at the grassroots level, Fengxian will also strengthen its service specialist teams across subdistricts, towns, industrial parks and commercial buildings — creating a one-stop support system to help businesses apply for subsidies and navigate administrative processes more efficiently.

Source: Shanghai Observer