The State Council General Office issued a notice on strengthening governance of
SMEs’ payment-collection difficulties. It mandates a monitoring system for large
enterprises’ accounts payable, prioritizing firms with large payables yet ample
cash or liquid assets. For large enterprises that deliberately lengthen payment
terms, sector regulators or supervisory departments together with the People’s
Bank of China (PBOC) and the State Administration for Market Regulation (SAMR)
will conduct joint interviews to urge rectification, with local governments
cooperating. Firms that refuse to correct after interviews will face coordinated
sanctions under law and regulation; those judged seriously untrustworthy will be
published on the Credit China website and subject to legal credit-discipline
measures.
