Xi Jinping's 'Common Prosperity' Sees Massive Participation from Chinese Companies

[Asia Economy Reporter Jo Yoo-jin] Chinese President Xi Jinping, who is prominently promoting the concept of ‘Gongtong Buyu (共同富裕, Common Prosperity),’ has seen a large number of Chinese companies express their willingness to participate.

On the 1st (local time), Bloomberg analyzed quarterly reports submitted to the Hong Kong, Shanghai, and Shenzhen stock exchanges and found that at least 73 companies, including China’s largest insurer Ping An Insurance, the largest delivery platform Meituan, and the state-owned Bank of China, used the slogan representing common prosperity.

Meituan stated in its submitted documents that it "will strive to promote the common prosperity of a greater society." This move came amid widespread speculation that Meituan, following Alibaba, could face hefty fines due to government antitrust regulations. In fact, Meituan publicly mentioned in its earnings report that it may be subject to significant fines related to ongoing antitrust investigations.

Real estate service company Greentown Service Group announced a common prosperity plan for its employees, and container manufacturer Zhejiang Earth Vacuum Container mentioned that the common prosperity slogan would help market growth.

Pinduoduo pledged to allocate $1.5 billion (approximately 1.7375 trillion KRW) for farmer welfare, and Tencent announced it would double the funds allocated to social responsibility programs to $15 billion.

Among the 4,000 companies surveyed by Bloomberg, only about 2% mentioned common prosperity, but the report noted that some of China’s most influential companies were included.

President Xi recently emphasized the national policy of common prosperity, focusing on distribution rather than growth to narrow the wealth gap, and this approach has triggered charitable donations from Chinese billionaires.

Some interpret this as a move to secure public support ahead of Xi’s long-term tenure as General Secretary and President starting next year.

This content was produced with the assistance of AI translation services.