The third plenary session of the 20th Communist Party of China Central Committee, which adopted a resolution on deepening reform, has heralded a new chapter in advancing Chinese modernization.

At the session, Central Committee members concluded that the present and the near future constitute a critical period for China’s endeavor to build a great country and move toward national rejuvenation on all fronts through Chinese modernization, which has been progressing, and will continue to do so, through reform and opening-up.

The decisions and strategies adopted at the plenary session against the backdrop of the once-in-a-century paradigm shift in global governance accelerating while the global economic landscape is being reshaped by technological revolution and industrial transformation will herald a new phase of Chinese modernization, and have a potential impact on the world.

Hong Kong will not, and should not, be absent from the Chinese modernization. In a news release offering congratulations at the conclusion of the third plenary session of the 20th CPC Central Committee, John Lee Ka-chiu, chief executive of the Hong Kong Special Administrative Region, stated that: “Hong Kong should firmly grasp the enormous opportunities brought by the country’s further and comprehensive deepening of reforms in advancing Chinese modernization. Hong Kong should continue to leverage its unique advantages of enjoying strong support of the motherland and being closely connected to the world and its important role in deepening reforms of the country, better integrating into the national development, and thereby … fulfill its responsibilities, seize its opportunities, and make contributions on the country’s journey of further comprehensive deepening of reforms to advance Chinese modernization.”

The Central Committee decided that “we must purposefully give more prominence to reform and further deepen reform comprehensively with a view to advancing Chinese modernization in order to better deal with the complex developments both at home and abroad, adapt to the new round of scientific and technological revolution and industrial transformation, and live up to the new expectations of our people”. This evidently illustrates the significance of further deepening reform comprehensively in China.

First, reform is needed to cope with the complex developments at home and abroad. Internationally, the world has entered the most turbulent era since the end of the Cold War, with unilateralism growing, bloc confrontation increasing, and regional conflicts persisting.

Uncertainty is the world’s greatest threat. Domestically, the problems caused by unbalanced, insufficient and unsustainable development remain palpable, along with emerging new problems and challenges. Only by undertaking reforms can the country remove those obstacles and overcome challenges.

Second, a new round of technological revolution and industrial transformation demands responsive decision-making in multiple areas. With the development and popularization of new technologies such as artificial intelligence, almost all industries will undergo radical changes; people’s familiar lifestyles, surrounding environment, and ways of understanding the world are being reshaped by new technologies. Reform will empower us to lead changes and stand at the forefront of development.

Third, the Party must live up to the people’s growing expectations for a better life. General Secretary Xi Jinping has reiterated that “the Chinese people’s aspiration for a better life is the goal we have been striving for”. As people’s aspirations change over time, advancing reform is the key for the Party to live up to their expectations for a better life.

The adoption of the resolution on further deepening reform comprehensively to advance Chinese modernization is, in essence, a response to the changing reality, the times, and the people.

The communique stated that the overall objectives of further deepening reform comprehensively are to continue improving and developing the system of socialism with Chinese characteristics and modernize China’s system and capacity for governance with the goal of building a high-standard socialist market economy in all respects by 2035, when the country has also further improved the system of socialism with Chinese characteristics, generally modernized its system and capacity for governance, and basically realized socialist modernization. All of this will lay a solid foundation for building China into a great modern socialist country in all respects by the middle of this century.

Reform and opening-up has been a consistent process since the third plenary session of the 11th CPC Central Committee, held in 1978, of which the most important achievement has been the creation and development of the socialist system with Chinese characteristics.

The 14th CPC National Congress, held in 1992, came up with the concept of “establishing a socialist market economy”, for which a basic framework was laid out by the third plenary session of the 14th CPC Central Committee in 1993.

The third plenary session of the 16th CPC Central Committee, held in 2003, discussed and studied “improving the socialist market economy”.

This year, the third plenary session confirmed that by 2035, China will have finished building a high-standard socialist market economy in all respects.

The process has both overall objectives and interim objectives. Whereas the overall objectives specify the “road map”, the interim objectives indicate the “timetable”; the overall objectives are the grand mission, and the interim objectives are specific tasks. The “dual objectives” set the direction and prescribe the steps toward Chinese modernization.

Perhaps what interests the international business community most is that the third plenary session proposed numerous systematic reforms and arrangements to build a high-level socialist market economy, which will provide an important guarantee for Chinese modernization.

The proposed high-level socialist market economy will have three major features. First, it will create a fairer and more dynamic market environment by allowing market forces to play a bigger role in resource allocation.

Second, the system will unswervingly consolidate and develop the public sector and encourage, support, and guide the development of the nonpublic sector, ensuring that economic entities under all forms of ownership have equal access to factors of production in accordance with the law, can compete in the market on an equal footing, and are protected by the law as equals.

Third, the authorities will strive to build a unified national market and refine the systems underpinning the market economy. Foreign investors are most concerned about fair treatment, regulatory restrictions, and whether local policies would increase operating costs. The proposed high-standard socialist market economy, which aims to foster a fairer market environment and promote dynamism among investors, precisely addresses the concerns of foreign investors and enterprises.

The third plenary session of the 20th CPC Central Committee sounded a clarion call for a new round of reform to achieve Chinese modernization, which will create a new form of human civilization, and further deepening reforms comprehensively is the key to effectively advancing Chinese modernization.

General Secretary Xi Jinping is the leader and helmsman in this new journey, who is pushing for reforms with extraordinary passion and talent at a critical juncture in China’s development, demonstrating a reformer’s commitment to his historic responsibility.

The author is vice-chairman of the Committee on Liaison with Hong Kong, Macao, Taiwan and Overseas Chinese of the National Committee of the Chinese People’s Political Consultative Conference and chairman of the Hong Kong New Era Development Thinktank.

The views do not necessarily reflect those of China Daily.