SOEs to be split into policy and for-profit categories

Unreleased guidelines from the State-owned Assets Supervision and Administration Commission will split China’s state-owned enterprises into two main groups: For-profit and policy-oriented, South China Morning Post reported, citing unnamed sources. Commercial enterprises in competitive industries will sell equity stakes to other investors and seek stock listings, while SOEs related to national security will be remain in state control. Current state-owned-asset supervisors will shift from managing individual enterprises to state capital management, according to people briefed on the proposal. The commission, which currently oversees SOEs, said the reform guidelines would be released soon, but did not reply to a request for comment on the plans.