In recent years, self-heating instant hot pot has become a best-selling food, which has both the delicious taste of hot pot and the rapidity of instant food, and is deeply loved by consumers.

However, when eating self-heating hot pot, many foodies have encountered a "strange thing". When using self-heating hot pot, an alarm is often triggered.

This article picture "Political and Legal Channel" micro signal

The netizen named @ Grandpa even caused a smoke alarm because he used a self-heating hot pot in a German hotel, and also attracted the German fire brigade and was eventually fined.

In order to find out why the self-heating hot pot will cause the alarm, the reporter bought several self-cooking products that are common in the market. On the outer packaging of a product, the reporter found the introduction of the special heating package for food and the instructions for use.

Investigation on journalists’ purchase of various products

The spontaneous combustion package contains aluminum powder.

On the outer packaging of several self-cooked products purchased by the reporter, only one of them indicates the components of the heating package, showing that the main components are calcium oxide, aluminum powder and sodium bicarbonate, and the main reason why the self-heating package can heat itself is that calcium oxide reacts with water to generate calcium hydroxide and release a lot of heat. It is worth noting that after aluminum powder reacts with water, it will produce a small amount of hydrogen.

　

Shang Zhaocong, Executive Deputy Director of National Chemical Product Safety Quality Inspection Center:

We have done a lot of experiments. After that, basically, each heating package can produce 40 liters of hydrogen at standard atmospheric pressure, so the combustion limit of hydrogen in the air is 4% to 75.6%. If the content exceeds 4%, then hydrogen will cause the risk of combustion or explosion.

According to experts, hydrogen is a combustible and reducing gas. Pure hydrogen burns quietly in the air, while impure hydrogen may explode when burning. Experts told reporters that in a relatively closed state, many people use this heating package together, which requires special attention to avoid hydrogen deflagration. In this regard, the person in charge of the manufacturer said that there was absolutely no danger, and at the same time admitted that it was indeed the trace hydrogen generated when the heating package was heated.

Aluminum powder reacts with water to produce hydrogen.

Manufacturer’s response: No danger.

Person in charge of heating package manufacturer:

It doesn’t matter. If it’s dangerous, it can’t be so hot in the market. Don’t think so dangerous, these big companies are doing it every day.

The heating package generates heat when it meets water.

Incomplete reaction will have hidden dangers.

In order to verify the safety of self-heating products, the reporter randomly opened two self-heating products for testing.

The heating bag used for the first time generates heat quickly after it meets water. Not only that, the reporter also found that putting the same heating bag into water repeatedly can also generate heat.

The reporter then cut off another reusable heating bag and threw it into the garbage bag, and then poured a small amount of water. It can be seen that after the heating bag meets the water, the garbage bag gradually expands, and the chemicals in the heating bag also boil in the bag after meeting the water. Experts said that it is a safety hazard to discard the heating package at will before it is uncertain that it will release all the heat.

He Shaopeng, National Chemical Product Safety Quality Inspection Center:

For example, if we throw it in the trash can or it rains, the rain will generate hydrogen when it enters the trash can, and then in a semi-closed environment, for example, if cigarette butts or other fire sources are introduced, there may be risks of explosion or burning.

The heating package in the closed space meets water.

Expansion and explosion of mineral water bottle

Subsequently, the reporter tested the explosion possibility of the heating package. The reporter cut open the unused heating bag and poured the gray chemicals inside into the mineral water bottle. It can be seen that these chemicals begin to boil when they meet water, and the heat generated makes the bottle body change obviously.

In fact, many self-heating products have operating instructions and safety reminders on the outer packaging, such as "Be careful of steam burns", "Don’t let children operate independently", "Only add cold water", "When your hands are wet, please don’t touch the heating bag", "If you need air transportation, please check it with luggage", which also shows that there will be great safety hazards if you use this kind of products improperly.

Experts gave five suggestions for use:

1. The vent hole on the cover of "self-heating food" should not be blocked, otherwise it will easily cause explosion;

2. Be sure to use the heating package in strict accordance with the instructions to avoid accidental injury;

3. If you use a glass dining table at home, it is best to add a heat insulation pad under the "self-heating food";

4. "Self-heating food" belongs to aviation dangerous goods, so don’t carry it or check it by plane;

5. "Self-heating food" should be kept out of children’s reach to prevent danger.

(The original title is: "Online consumption of self-heating hot pot causes smoke sensor alarm? The reporter also bought a few boxes … ")

　　Xinhua News Agency, Wuhan, December 1st　Title: A tree, a grass, a steelyard — — In memory of Shen Yinluo, former chairman of Hubei Provincial Political Consultative Conference (I)

　　Xinhua News Agency reporter Tan Yuanbin

　　On February 20th this year, Shen Yinluo, former chairman of Hubei Provincial Political Consultative Conference, died in Wuhan due to illness at the age of 96. From setting foot on the battlefield of anti-Japanese national salvation, to leading WISCO to create brilliance, and then to taking the leadership position in Hubei Province, I was unwilling to publicize my Shen Yinluo all my life, but after my death, it caused strong repercussions in Jingchu.

　　"He doesn’t care about his family, but only knows how to work." Shen Yinluo’s widow Cao Junmin said. In the living room of Shenyang, there are two bottles of earth under the portrait of Shen Yinluo, which were brought back by Shen Yinluo’s niece from Yan ‘an, Shaanxi and Wuxian, Jiangsu. One bottle is "holy earth" and the other is "native land".

　　Red gene, green heritage. Shen Yinluo struggled for the cause of the party and the people all his life, and was deeply cherished and commemorated by the broad masses of cadres and people, leaving a valuable spiritual wealth. Hubei Provincial Party Committee is carrying out learning activities from Shen Yinluo among cadres in party member.

　　He is like a tree, "insisting that the green hills will not relax."

　　In 1937, 17-year-old Shen Yinluo left his hometown and set foot on the battlefield of resisting Japan and saving the nation. He arrived in Yan ‘an in 1938 and joined the Communist Party of China (CPC) in the same year. During his stay in War of Resistance against Japanese Aggression, he participated in the "Hundred Regiments War"; During the War of Liberation, he participated in the "Central Plains Breakthrough".

　　After the founding of New China, Shen Yinluo successively held leadership positions in the 41st Army of the People’s Liberation Army and Wuhan Iron and Steel Company, and later held important leadership positions in Hubei Provincial Committee and Hubei Provincial Political Consultative Conference.

　　From March 1961 to October 1982, Shen Yinluo worked in WISCO for 21 years and 7 months, and served as deputy manager and manager, deputy director and director of the company’s revolutionary Committee, second secretary and manager of the company’s party Committee, and first secretary of the party Committee. When I first arrived in WISCO, it coincided with three years of natural disasters. The Soviet Union terminated aid construction and withdrew experts, and a large number of projects in WISCO stopped construction and production. Shen Yinluo was ordered by the crisis to bring the army’s good tradition and style into WISCO and lead WISCO on the right track.

　　Cao Junmin still remembers that during the Cultural Revolution, although Shen Yinluo was repeatedly hit, he never complained in front of his family. At that time, he put forward a slogan: "WISCO can’t be chaotic, the stove can’t be turned off, and production can’t stop."

　　It is Shen Yinluo’s greatest contribution to WISCO to implement the central government’s decision to deploy and introduce a 1.7-meter rolling mill. Previously, the quality of steel produced in China was not high, which was called "noodles" and "belts". High-end products such as strip steel, sheet steel and silicon steel are totally dependent on imports, which not only costs a lot of foreign exchange, but also is blocked by developed countries.

　　As the general representative of Chinese technical negotiation, Shen Yinluo spared no effort to overcome all difficulties and won the contract. Subsequently, as the main leader of the engineering headquarters, he led a hundred thousand construction troops to participate in the battle.

　　At the end of 1981, the 1.7-meter rolling mill project passed the national acceptance and was officially put into production. It has changed the structure of steel products in China and become a model for China to introduce and digest international advanced technology.

　　During his tenure as an important leader of the Hubei Provincial Party Committee and the Hubei Provincial Political Consultative Conference, Shen Yinluo was strict with himself and worked hard for the cause of the party and the people. After retiring, Shen Yinluo always cares about the development of Hubei, actively exerts the waste heat, and makes suggestions. The day before his death, his eyesight was severely impaired, and he asked his secretary to read him the new Central Document No.1.

　　It is the lofty ideals and beliefs of communist party people that support Shen Yinluo. "In Shen Lao, we have seen the political quality of a party member cadre with firm belief and infinite loyalty to the party." Liu Yanhong, deputy director of the Organization Department of Hubei Provincial Party Committee and director of the Bureau of Retired Veteran Cadres, said.

　　He is like a grass, rooted in the soil of the people.

　　"Come on, Yin Shi, I’ll give you some rice!" For more than 40 years, Chen Yinshi, an associate professor at the Party School of Wuhan Iron and Steel Company, still remembers this call. That year, as an ordinary young worker, he had a meeting with a group of WISCO personnel such as Shen Yinluo in Beijing. At lunch, everyone crowded around a big round table for dinner, with Chen Yinshi sitting in the corner and Shen Yinluo sitting opposite him. "I was just about to get up and add rice. Manager Shen stood up and naturally reached for the bowl."

　　Keeping close contact with the masses, Shen Yinluo persisted all his life. Wang Guolian, a retired cadre of WISCO, said that Shen Lao’s memory is very good. He can remember the names of great families after one or two contacts, and the workers are willing to tell him anything.

　　A bicycle, a yellow military satchel, a notebook and a pen, Shen Yinluo’s footprints are all over Shili Steel City and Baili Mine of WISCO. He ate, lived and worked with the workers for several months, jumping into slag pits, moving ore, eating cold meals, and working hard and dirty.

　　When he goes to factories and mines to check production, he always goes to the canteen to have a look, telling the logistics staff to arrange the food, saying, "There is steel in the food, and the workers can only concentrate on refining steel when they are full."

　　After retiring, he went deep into grassroots research, including running in the countryside for 102 days in 2002, reaching the junction of Hubei and Shaanxi as far as possible.

　　Putting the masses in a prominent position, Shen Yinluo is consistent. Last year, Shen Yinluo, as a veteran of the Anti-Japanese War, won the medal for the 70th anniversary of the victory of China people’s War of Resistance against Japanese Aggression and a 5000-yuan solatium. He immediately entrusted the Bureau of Retired Veteran Cadres of Hubei Provincial Party Committee to transfer solatium to the needy people in the old revolutionary base areas. In the end, the solatium was divided into two parts, which were sent to Min Xinzhou and Zhao Zhiliang, martyrs of the Red Army in Hong ‘an County, Huanggang City, Hubei Province.

　　"He left before he met the benefactor!" Min Xinzhou said. Min Xinzhou fell from the sky last year, and his spine was injured, so he couldn’t work. His lover suffered from mental illness and couldn’t take care of himself. "Shen Lao’s financial assistance is to help us tide over the difficulties."

　　When the staff of the Bureau of Retired Veteran Cadres of Hubei Provincial Party Committee helped to sort out Shen Yinluo’s relics, they found 106 donation receipts in an envelope, many of which were donated in the name of Cao Junmin, with a total amount of more than 140,000 yuan, but the donations without receipts were unknown.

　　"Shen Lao always has the masses in his heart." Wang Shengtie, former chairman of the Hubei Provincial Political Consultative Conference, who was in charge of agricultural work in the province, said that seeing good experiences in newspapers and periodicals involved the interests of farmers. Mr. Shen wrote them in strokes and sent them to him by letter. "I have worked in the provincial government, provincial party Committee and provincial political consultative conference for 11 years, and I received a publication sent by Shen Lao at least once a month on average."

　　He is like a steelyard, and he has a good style of seeking truth and being pragmatic.

　　"On September 5, at 6: 40 in the morning, I visited the vegetable wholesale and retail markets and found that the price difference between wholesale and retail was 50% to 100%. The wholesale price of Chinese cabbage is 0.20 yuan/kg and the retail price is 0.40 yuan/kg; Chili pepper wholesale 0.80 yuan/kg, retail after classification 1.6 yuan/kg; The retail price of eggplant is 1.50 yuan/kg. Exotic vegetables come from Henan. " This is a note on people’s feelings written by Shen Yinluo in 1996, when he retired.

　　Touching the truth, telling the truth, making practical moves and seeking practical results, Shen Yinluo opposes formalism and emphasizes seeking truth and being pragmatic. Chen Ming, his last secretary, said that Shen Lao was most disgusted with cadres who spoke Mandarin but failed to take practical actions.

　　At the end of the 20th century, Hubei Province once took over the farm management right, which triggered a series of problems such as farmers’ petition, and the farm directors, local leaders and ordinary people were very anxious. At that time, Shen Yinluo, who was over 80 years old, conducted research on this and spent more than 120 days traveling to all provincial state-owned farms in the province.

　　After the investigation, he wrote a report to the Hubei Provincial Party Committee and the provincial government. After in-depth study, the Hubei Provincial Party Committee and the provincial government re-delegated the farm management right and mobilized the local enthusiasm.

　　"Shen Lao knows all about some major construction at the grassroots level, the planning in the province, the strategic layout of the country, and the resource characteristics of various cities and States. Even the places he visited decades ago are clear to him." Chen Ming said.

　　Shen Yinluo gave suggestions to the Hubei Provincial Party Committee and the provincial government. If you are not sure, you will definitely consult relevant experts and cadres first to find out the situation. Every time he goes out for research, he takes notes carefully.

　　"He is such a person who is strict with himself with the standards of Communist party member everywhere." Cao Junmin said.

The starting price of the 2021 Porsche Cayenne is RMB 2.43 million, and the guide price of the highly anticipated TURBO GT model is RMB 2.48 million. The bare car price of this model is enough to attract people’s attention.

In terms of power performance, despite the similarities with Audi Q, the Cayenne is equipped with a 6-cylinder V6 engine with an output of 290 HP and a 6-speed automatic manual transmission with a top speed of 227 kilometers per hour. However, the fuel consumption is slightly high, which is 19 liters /100 kilometers.

The charm of Cayenne is not limited to performance, and its luxurious temperament is hard to ignore. As an SUV, its design is unforgettable and embodies the unparalleled luxury style of Porsche brand. However, for consumers who pursue cost performance, Cayenne has many optional accessories, such as lane keeping system, which costs an extra 7,200 yuan, and even the front door replacement price is expensive, about 60,000 yuan.

If you are pursuing environmental protection, the Porsche Cayenne plug-in hybrid version Cayenne SE-Hybrid is also available. This model uses green brake calipers and Michelin tires with low rolling resistance, giving drivers a greener choice.

To sum up, the Porsche Cayenne is undoubtedly a desirable luxury SUV, but its high price and optional cost also reflect the brand positioning. If you are a loyal fan of Porsche or have endless pursuit of luxury experience, Cayenne is undoubtedly your ideal choice.

　　[Domestic spy photos] A few days ago, we obtained the brand-new declaration information from Lifan, and the car was internally code-named "CY02C" or positioned in a car. According to the rear picture, the new car may be named "Lifan Pengfei".

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　　　Friendly reminder:I hope enthusiastic netizens can take photos of your new car spy photos and send them to our corresponding mailbox: diezhao@autohome.com.cn. I look forward to hearing from you and becoming a member of the "spy".

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　　According to the declaration, the appearance of the new car adopts Lifan’s latest family-style design language, and the hexagonal large mouth air intake grille and open-corner headlight group on the front face are both popular designs. At the same time, the lower bumper is tough, the fog lights on both sides are simple in design, and the overall front face style is very attractive. From the side, the B, C and D columns of the new car are blackened to create the visual effect of the suspended roof. The rear design of the car body is simple, and the silver anti-scratch guard under the bumper is surrounded by the black bottom around the car body, which makes the car look as wild as an SUV.

　　The body size of the new car is 4390/1820/1715mm, which is 2610mm, and the size is close to the entry compact SUV. According to different vehicle configurations, the new car will be equipped with tires with specifications of 215/60 R17 and 225/55 R18, and a variety of rim shapes will be available. In addition, the new car will also be equipped with skylights, etc.

　　In terms of power, Lifan Pengfei will be equipped with a 2.0L naturally aspirated model LF483Q with a maximum of 141 horsepower (104kW). According to the spy photos previously exposed, the new car transmission system will be manual and optional. (Text/car home zhang xiaodan)

Up to now, the transaction amount involved exceeds 60 billion yuan (the contract transaction amount after the margin is leveraged), involving tens of thousands of people, and the initiator Zhang Yong was finally formally prosecuted by the procuratorate. 　　On the 20th, relevant persons of Shangcheng District Procuratorate in Hangzhou, Zhejiang Province confirmed that the review of Century Gold and Zhang Yong and others illegally operating gold futures by Shangcheng District Procuratorate had ended. "Zhang Yong was prosecuted for the crime of suspected illegal business operation and capital evasion, and on the 16th, Century Gold was also accused of the crime of illegal business operation." The Shangcheng District Procuratorate said that Zhang Yong’s case will be heard by the local court at a later date. [detailed]

□ 　　Zhejiang Century Gold Company began to illegally operate gold futures in July 2005 under the decision of the legal representative Zhang Yong. Zhang Yong instructed Wang Jianping, an employee of his company, to design and develop an online gold futures trading system, and through vigorous publicity, attracted a large number of customers from all over the country to speculate on gold futures. The gold speculation business is conducted through the company’s network system, which is not in line with the international gold market, but only roughly according to the floating quotation of the international real-time gold price. [detailed]

□ 　　　As early as November-December, 2006, Shangcheng Public Security Bureau received feedback from more than 30 people in the province. They said that Century Gold Company, on the 8th floor of a building in Zhonghe Middle Road, set up an online gold electronic trading platform privately in June, 2005 in order to seek illegal benefits, and set up rules of the game with reference to the basic characteristics of futures business such as margin system, capital amplification leverage mechanism and forced liquidation, and extensively recruited customers to conduct online gold futures trading, which caused many people huge losses. [detailed]

□ 　　On January 12, 2007, Shangcheng Public Security Bureau officially accepted the case. The first question before the police is to characterize this case. "What is the nature of this behavior?" On January 31, 2007, Zhejiang Securities Regulatory Bureau of the State Securities Regulatory Commission, Hangzhou Central Sub-branch of the People’s Bank of China and other relevant departments received relevant reports on the petition of Shangcheng Public Security Bureau. On February 13th, Zhejiang Securities Regulatory Bureau of the State Securities Regulatory Commission officially replied that the behavior of Century Gold Co., Ltd. could not be recognized as gold futures trading. [detailed]

After a large number of investigations, it was found that Century Gold Company set up a "gold product sales and repurchase (reverse repurchase) system" platform with the nature of illegal futures on the Internet without obtaining the qualification of futures operation, but this is actually a closed inner market, in which Century Gold Company plays multiple market roles, and all the funds bought and sold by everyone are inside this system. 　　The company collects trading commissions in various names and devours a lot of customers’ funds through forced liquidation. [detailed]

□ 　　Guo is over 60 years old this year. After retirement, he returned to Zhuji from Beijing to support the elderly. Two years ago, he couldn’t resist the temptation of "making a steady profit without losing money, making a lot of money easily" and was pulled into the century gold by the salesman and became a "gold speculator". 　　At the beginning, Guo didn’t "play" much, and invested more than 100,000 yuan, but it soon disappeared. At the suggestion of "investment consultant", he increased the deposit again and again, and later even sold the house for the aged, but the result of such "investment" was to lose nearly 2.4 million. [detailed]

□ 　　As for the investigation and punishment of "Century Gold" being late, it is not certain that there are human factors, but the absence of system supervision is certain. Because after the public security department submitted the materials to the Zhejiang Banking Regulatory Bureau, it was difficult for even the banking regulatory bureau to determine whether it was illegal. [detailed]

"He is an extremely smart person, a typical high IQ crime." Police officer Gu said. 　　There are three lawyers employed by Zhang Yong. The proposed Customer Agreement has three samples, one of which is more detailed than the other. Zhang Yong changed the "deposit" in the original agreement to "deposit" after consulting a lawyer; Change "forced liquidation" to "default disposal"; He also changed the "commission" into "overnight fee" and "network usage fee" in order to cover up the essence of his futures business. Over the years, Zhang Yong has spent four or five million yuan on consulting fees for lawyers alone. [detailed]

□ 　　Ironically, in late September, 2006, Zhang Yong said confidently and calmly to the media: "What we are doing is something that no one has ever done before, which must be guaranteed by a high sense of social responsibility and good professional quality. The public interest is greater than everything else. " [detailed]

　　CCTV News:According to the website of the Ministry of Finance, 2021 is the first year to implement the 14th Five-Year Plan and start a new journey of building a socialist modern country in an all-round way. In the first half of the year, under the strong leadership of the CPC Central Committee with the Supreme Leader as the core, all localities and departments conscientiously implemented the decision-making arrangements of the CPC Central Committee and the State Council, continued to consolidate and expand the achievements of epidemic prevention and control and economic and social development, solidly carried out the "six guarantees" work, fully implemented the "six guarantees" task, and accurately implemented macroeconomic policies. China’s economy continued to recover steadily and steadily, and science and technology were actively promoted, and reform and opening up efforts were intensified. People’s livelihood was effectively guaranteed and high-quality development was achieved. In the first half of the year, the GDP increased by 12.7% year-on-year, with an average growth of 5.3% in two years, and the main macro indicators were in a reasonable range.

　　Under the strong leadership of the CPC Central Committee, the Ministry of Finance adheres to the guidance of the Supreme Leader’s Socialism with Chinese characteristics Thought in the new era, adheres to the general tone of striving for progress while maintaining stability, based on the new development stage, implements new development concepts, constructs a new development pattern, conscientiously implements the requirements of "improving quality, increasing efficiency and being more sustainable", maintains the continuity and stability of macro policies, does not make sharp turns, maintains the necessary support for economic recovery, and takes into account the needs of steady growth and risk prevention. Reasonably arrange the scale of deficit, debt and expenditure, adjust and optimize the expenditure structure with greater efforts, strengthen the overall planning of financial resources, strengthen the management of local government debt, promote the sustainable development of finance, and ensure a good start in the 14 th Five-Year Plan.

　　(1) Maintain moderate expenditure intensity and enhance financial sustainability. This year, deficit ratio is arranged at around 3.2%, which is lower than last year. The deficit scale is 3.57 trillion yuan, which is 190 billion yuan lower than that in 2020. We will coordinate the needs of macro-control and guard against financial risks, improve the inter-cycle adjustment mechanism, effectively guarantee the key tasks set by the CPC Central Committee and the State Council, and leave policy space for dealing with new risk challenges in the future. The national general public budget expenditure exceeded 25 trillion yuan, an increase of 1.8%, which enhanced the financial security of major national strategic tasks and promoted the economic operation to remain in a reasonable range. The arrangement of new special bonds was 3.65 trillion yuan, a decrease of 100 billion yuan over the previous year, and local government debt risks were actively prevented. Special anti-epidemic bonds will no longer be issued, and expenditures on infrastructure construction such as local public health and basic livelihood will be guaranteed through normal channels.

　　(2) Continue to reduce taxes and fees to stimulate the vitality of market players. We will continue to implement the institutional tax reduction policy, extend the implementation period of some phased policies such as value-added tax concessions for small-scale taxpayers, and implement new structural tax reduction measures. Highlight the strengthening of tax incentives for small and micro enterprises, while continuing to implement policies such as inclusive tax reduction for small and micro enterprises, further increase tax relief for small and micro enterprises and individual industrial and commercial households, vigorously support manufacturing and technological innovation, and enhance the vitality and development potential of enterprises. It is estimated that the new burden reduction for market players will exceed 700 billion yuan throughout the year.

　　(3) establish a normalized direct mechanism to improve the efficiency of financial funds. Improve the management system of direct funds, expand the scope of direct funds, and bring 27 transfer payments into the direct scope as a whole, with a total amount of funds reaching 2.8 trillion yuan, an increase of 1.1 trillion yuan over the previous year. Improve the monitoring system of direct funds, keep a close eye on the distribution, disbursement and use of direct funds, and further improve the performance of financial funds. By the end of June, 92.5% of the direct funds have been released, and all the qualified funds have been released. At the same time, speed up the establishment of an all-round and full-coverage budget performance management system, promote the substantive embedding of performance management into the budget management process, strengthen the application of performance results, and make good use of limited financial funds.

　　(4) Increase the transfer payment and firmly grasp the bottom line of "three guarantees". In the case of limited actual financial resources, the central government arranged 8,337 billion yuan of transfer payments to local governments this year, including 7,501.8 billion yuan of general transfer payments, an increase of 7.8%, which was significantly higher than last year. Increase the sinking of financial resources, the central financial transfer payment funds to the central and western regions and difficult areas, support the normal operation of local areas, especially difficult areas, as well as the provision of public services and the development of people’s livelihood, and enhance the local "three guarantees" guarantee capacity.

　　(5) Vigorously support scientific and technological innovation and accelerate the development of the modern industrial system. Efforts will be made to improve the quality and efficiency of economic development and support the accelerated cultivation of a complete domestic demand system. Vigorously promote scientific and technological innovation, strengthen investment in basic research, promote key core technology research, support the improvement of independent innovation capability, accelerate the development of modern industrial system, and promote the modernization level of industrial chain and supply chain. Support the development of foreign investment and foreign trade.

　　(6) Do our best and do what we can to ensure and improve people’s livelihood. According to the financial situation and actual needs, reasonably determine the people’s livelihood policy and promote the management of people’s livelihood expenditure list. Establish and improve the incentive and restraint mechanism to improve the scientific management of people’s livelihood expenditure funds. Improve the redistribution mechanism and strengthen the bottom-up protection for low-income groups. Do everything possible to increase the scale of transfer payments from the central government to local governments, and tilt to financially difficult areas and underdeveloped areas to enhance the ability to protect basic people’s livelihood.

　　(seven) adhere to the government’s tight life, and further optimize the structure of fiscal expenditure. We will strictly control the budget expenditure, strictly examine the new fiscal expenditure, vigorously reduce or cancel inefficient and ineffective expenditure, and deeply tap the potential of saving expenditure. The central government took the lead in living a tight life, further drastically reduced non-urgent and non-rigid expenditures, further reduced general expenditures, and freed up more valuable financial resources to improve basic people’s livelihood and support the development of market players.

　　In the next step, the Ministry of Finance will resolutely implement the decision-making arrangements of the CPC Central Committee and the State Council, adhere to the general tone of striving for progress while maintaining stability, take the promotion of high-quality development as the theme, take the deepening of supply-side structural reform as the main line, take reform and innovation as the fundamental driving force, and take meeting the people’s growing needs for a better life as the fundamental purpose, accurately implement macro policies, enhance the effectiveness of proactive fiscal policies, and speed up the budget expenditure and the issuance of local government bonds in the second half of the year. Focus on supporting the real economy and promoting employment, further stimulate the dynamic vitality of market players, at the same time improve the inter-cyclical adjustment mechanism, maintain the continuity, stability and sustainability of macroeconomic policies, make overall plans for the convergence of fiscal policies this year and next, deal with possible cyclical risks, consolidate the stable and positive economic situation, and strive to complete the main objectives and tasks of economic and social development throughout the year.

　　First, the overall implementation of the budget is good, and the overall support capacity is continuously enhanced.

　　In the first half of the year, the national economy was steadily strengthened and improved. On this basis, fiscal revenue showed a recovery growth, expenditures in key areas such as people’s livelihood were strongly guaranteed, and budget implementation was generally good.

　　(1) Fiscal revenue resumed growth, and revenue quality was further improved.

　　In the first half of the year, the national general public budget revenue was 1,171.16 billion yuan, up 21.8% year-on-year and 8.6% compared with the same period in 2019, of which the central general public budget revenue was 5,462.4 billion yuan, up 23.2% year-on-year and up 5.9% compared with the same period in 2019; The revenue of the local general public budget at this level was 6,249.2 billion yuan, a year-on-year increase of 20.6% and an increase of 11.1% compared with the same period in 2019. Fiscal revenue in all parts of the country has generally rebounded, and the fiscal revenue in the eastern, central, western and northeastern regions has increased by 12.5%, 9.1%, 10.2% and 4.1% respectively compared with the same period in 2019.

　　Economic recovery has boosted the rapid growth of tax revenue, and the main taxes and taxes of most industries have basically recovered or significantly exceeded the pre-epidemic level. The national tax revenue was 1,046.1 billion yuan, a year-on-year increase of 22.5% and an increase of 8.7% compared with the same period in 2019. Domestic value-added tax, domestic consumption tax, enterprise income tax and import tax increased by 22.5%, 12.8%, 17.7% and 27.6% respectively, which were 5% (after deducting incomparable factors such as the reduction of VAT rate), 2.6%, 9.2% and 7.1% respectively compared with the same period in 2019. Solidly implement various fee reduction policies, intensify the rectification of illegal fees charged by various enterprises, and effectively implement the fee reduction policies.

　　(2) Maintain moderate expenditure intensity, and ensure strong expenditure in key areas.

　　In the first half of the year, the national general public budget expenditure was 12,167.6 billion yuan, a year-on-year increase of 4.5%, which maintained a strong expenditure. Among them, the central government has implemented the requirements of taking the lead in living a tight life and greatly reduced non-urgent and non-rigid expenditures. The expenditure of the central general public budget at this level has decreased by 6.9% year-on-year, and it has decreased by 2.4% after deducting the influence of some expenditure delays compared with last year. Local general public budget expenditure increased by 6.4% year-on-year.

　　Fiscal expenditure has been kept at a low level, and key expenditures such as the "three guarantees" of the national finance have grown rapidly, and basic livelihood expenditures have been well guaranteed. Expenditure on education, housing security, social security, employment and health increased by 10.1%, 15.1%, 8.2% and 3.8% respectively. As of July 15, the investment budget in the central budget was 470.5 billion yuan, accounting for 77.1% of the budget. Relevant departments strengthened communication and convergence to promote the project to form a physical workload as soon as possible.

　　(3) fully implement the government’s requirements for living a tight life, and make better use of financial resources.

　　We will continue to take the tight life as the basic principle of budgeting, adhere to the principle of keeping expenditures within the limits of revenues and expenditures, and strictly control the budgetary expenditure. Significantly reduce non-rigid expenditures that are not urgently needed, vigorously streamline official activities such as meetings, training, forums, and celebrations, strictly approve the "three public" budget, and free up more valuable financial resources for improving basic people’s livelihood and other key areas. Harden the constraints of budget execution, strictly implement the budget approved by the National People’s Congress, and strictly prohibit the allocation without budget or over budget. Strengthen supervision and guidance to local governments, urge local governments to be diligent and thrifty, strictly compile budgets, strictly implement various expenditure standards, resolutely refuse to open meetings that can be held or not, resolutely refuse to do training that can be held or not, timely adjust the use of projects that can be suspended, and strengthen the bundled use of funds that can be integrated as a whole to effectively improve the efficiency of financial fund allocation.

　　Two, fully implement the "six guarantees" task, and earnestly safeguard the overall situation of economic development and social stability.

　　Strengthen the pre-research and pre-judgment of the macro situation, focus on doing a solid job of "six stabilities" and fully implementing the task of "six guarantees", systematically plan fiscal and taxation policies and measures, adhere to the bottom line thinking, do a good job of cross-cycle and forward-looking regulation, consolidate and expand the prevention and control of epidemic situation and the achievements of economic and social development, and effectively promote the stable recovery of economic and social stability and the continuous improvement of people’s livelihood.

　　(A) to strengthen the employment priority policy, the development of the job market is more healthy and stable.

　　First, the employment fund guarantee is more solid. In 2021, the central government allocated 56.76 billion yuan of employment subsidy funds, an increase of 2.03 billion yuan over last year, to support the implementation of employment and entrepreneurship support policies. Take vocational skills training as a key measure to alleviate structural employment contradictions, and guide all localities to speed up the use of vocational skills upgrading action funds.

　　Second, the policy of aiding enterprises to stabilize their posts continued to exert strength. We will continue to implement the policy of stable return of inclusive unemployment insurance. In the first half of the year, we distributed unemployment insurance to 375,000 enterprises with 9.52 billion yuan of stable return funds, benefiting 9.429 million employees. We will continue to implement the policy of expanding the scope of employment by replacing training with industry, and support small and medium-sized enterprises to absorb the employment of key groups.

　　Third, the action of improving vocational skills has been steadily advanced. Cooperate with relevant departments to formulate and improve relevant policies and measures for vocational skills training, adjust the subsidy standards for vocational skills training, appropriately expand the coverage of subsidies for vocational skills upgrading actions, and reasonably relax the conditions for applying for subsidies. We will implement the new apprenticeship system for enterprises with China characteristics, and give vocational training subsidies to enterprises that carry out apprenticeship training according to regulations. For the poverty-stricken population, people with employment difficulties, and zero-employment family members who participate in vocational training, living expenses (including transportation expenses) will be subsidized according to regulations during the training period.

　　Fourth, the employment support system for key groups continued to improve. Do a solid job in the employment of key groups such as college graduates, migrant workers and retired military personnel. Co-ordinate the implementation of tax relief, business guarantee loans and interest subsidies, social insurance subsidies and other policies and measures to support key groups to start their own businesses and promote the unemployed to return to their jobs.

　　With the support of the above policies, China’s employment situation achieved overall stability in the first half of the year. The national urban survey unemployment rate averaged 5.2%, down 0.6 percentage points from the same period of last year, and 6.98 million new jobs were created in cities and towns nationwide, achieving 63.5% of the annual target.

　　(2) Give prominence to people’s livelihood, and steadily improve the level of basic people’s livelihood security.

　　First, the pension insurance benefits have been further improved. Raise the basic pension level of retirees by 4.5%. In the first half of the year, the central government issued subsidies for basic old-age insurance for enterprise employees, urban and rural residents and basic old-age insurance reform for institutions in 2021, totaling more than 780 billion yuan. The central adjustment ratio of the basic old-age insurance fund for enterprise employees will be raised to 4.5%, and the total scale of the central adjustment fund will reach more than 930 billion yuan, benefiting the central and western regions and old industrial base provinces by 215.2 billion yuan. Consolidate the long-term mechanism of basic old-age insurance for urban and rural residents to help the poor, and guide all localities to improve and implement the policy of premium payment for basic old-age insurance for urban and rural residents with difficulties.

　　Second, the level of medical security has steadily improved. Continue to improve the per capita financial subsidy standard for medical insurance for urban and rural residents, reaching not less than 580 yuan per person per year. In the first half of the year, the central government issued a total of 367.689 billion yuan of medical insurance subsidies for urban and rural residents in 2021. Give full play to the role of medical assistance in guaranteeing the bottom, and issue medical assistance subsidy funds of 30.69 billion yuan. Support the reform of local medical insurance informatization, fund supervision and payment methods, and promote the strengthening of medical insurance service capacity building. Improve the basic medical insurance outpatient mutual aid guarantee mechanism, establish a medical insurance treatment list system, and promote the normalization and institutionalization of drug centralized procurement.

　　Third, the guarantee of vaccines and vaccination fees in Covid-19 has been effectively implemented. Continue to do a good job in epidemic prevention and control, support free vaccination of residents, and finance at all levels will subsidize Covid-19 vaccine and vaccination expenses borne by the medical insurance fund according to the actual occurrence of 30%. For the co-ordination areas where the accumulated balance of employee medical insurance or resident medical insurance in the last year can be paid for less than 3 months, the proportion of financial subsidies can be increased after being reported to the provincial finance and medical insurance departments for approval, so as to ensure that the policy treatment payment of the insured personnel will not be affected. The central government will provide subsidies to the eastern, central and western regions at the rate of 30%, 40% and 50% respectively, and the central financial subsidy funds will be settled once every six months during this round of vaccination.

　　Fourth, the level of basic public health services has been significantly strengthened. In the first half of the year, the central government issued a subsidy of 65.394 billion yuan for basic public health services, supporting local governments to provide basic public health services such as health record management and health literacy promotion for all urban and rural residents. The per capita financial subsidy standard for basic public health service funds is higher than that of the previous year in 5 yuan, reaching 79 yuan per person per year.

　　Fifth, the treatment of special care recipients has been fully implemented. We will continue to raise the standard of pensions and living allowances for people with special care by about 10%. In the first half of the year, the central government issued a subsidy of 51.4 billion yuan for special care recipients in 2021, guaranteeing nearly 8.24 million special care recipients, ensuring that the living standards of special care recipients and other personnel are compatible with the level of economic development, and their living conditions are improving year by year. In 2001, 2.38 billion yuan of medical insurance funds for special care recipients were issued, which effectively guaranteed the implementation of medical treatment for special care recipients and supported local governments to solve the special difficulties of special care recipients outside the existing medical insurance reimbursement.

　　Sixth, the basic livelihood of the people in need is better guaranteed. Maintain the overall stability of the social assistance policy during the transition period of consolidating and expanding the achievements of poverty alleviation and effectively connecting with rural revitalization, and guide all localities to timely include those who have completely lost their ability to work or partially lost their ability to work and cannot obtain stable income through industrial employment in rural areas. In accordance with the regulations, it is included in the scope of assistance and support for rural low-income or extremely poor people. In the first half of the year, the central government issued a subsidy of 147.621 billion yuan to help needy people, supporting all localities to coordinate the work of subsistence allowances, assistance and support for destitute people, temporary assistance, assistance for vagrants and beggars, and basic living security for orphans. In the first half of the year, there were 7.73 million urban residents and 35.38 million rural residents, and the average standard of urban and rural residents’ subsistence allowances reached 694 yuan/person-month and 513 yuan/person-month respectively.

　　Seventh, the support policies for the renovation of dilapidated houses in rural areas continued to be optimized. The protection target will be adjusted from four types of key targets, such as poverty-stricken households who set up files during the 13 th Five-Year Plan period, to key targets such as rural low-income groups. In the first half of the year, the central government issued a subsidy of 9.946 billion yuan for the renovation of dilapidated houses in rural areas to support eligible targets to carry out the renovation of dilapidated houses and the earthquake-resistant renovation of rural houses.

　　Eight is to promote the high-quality development of education. Improve the guarantee mechanism of inclusive preschool education and expand the supply of preschool education resources. In 2021, 177 billion yuan will be allocated as subsidies for urban and rural compulsory education, supporting local governments to consolidate the funding guarantee mechanism for urban and rural compulsory education, and implementing the special post plan for teachers in rural compulsory education schools and the nutrition improvement plan for rural compulsory education students. About 156 million urban and rural compulsory education students will be exempted from tuition and fees and get free textbooks, about 25 million students from poor families will receive living allowances, and the nutrition improvement plan will benefit about 32 million rural students. We will continue to improve the basic conditions for running schools in rural areas and expand the supply of urban degrees in an orderly manner. Deepen the integration of production and education and school-enterprise cooperation in vocational colleges. Promote the construction of "double first-class" by classification and support the development of higher education in the central and western regions. Improve the student financial aid policy system, and achieve full coverage of all students, public private schools and students with financial difficulties.

　　Nine is to support the development of cultural undertakings and cultural industries. Continue to promote the integration of urban and rural public cultural service system, and improve the coverage and effectiveness of the cultural benefit project. Improve the management mechanism of relevant funds and funds, guide the introduction of more masterpieces, and support the prosperity and development of socialist literature and art. Strengthen the protection and utilization of cultural relics and the protection and inheritance of intangible cultural heritage, and carry forward the excellent traditional Chinese culture. Support the strengthening of international communication capacity building and promote Chinese culture to go abroad. Strengthen the supervision and management of state-owned assets of central cultural enterprises and promote the healthy and rapid development of cultural industries. Support the preparations for the Beijing Winter Olympics and Paralympic Winter Games and the preparation of the national team, and accelerate the construction of a sports power.

　　(3) Continue to provide relief for market players, and further consolidate the economic fundamentals.

　　First, we will extend the incentive and compensation policy for financing guarantee fee reduction for small and micro enterprises to 2023, and guide local governments to reduce the annualized guarantee rate for small and micro enterprises to 1.5% or lower, so as to promote the comprehensive financing cost of small and micro enterprises to decrease steadily and help solve the financing problems of small and medium-sized enterprises. In 2021, the 3 billion yuan award fund was issued in June.

　　Second, the discount on business guarantee loans will be accelerated. In May, 2021, the central government allocated 6.336 billion yuan of discount and bonus funds for business start-up guarantee loans, with a year-on-year increase of 65.9%, and the release time was four months earlier than the previous year. The subsidy funds were included in the direct funds of the central government, helping business start-up and employment accurately and quickly.

　　Third, the government financing guarantee continued to expand and reduce fees. Improve the loan risk sharing mechanism, promote the national financing guarantee fund to expand the scale of re-guarantee business and accelerate the progress of equity investment. In the first half of the year, the state financing guarantee fund added 321.53 billion yuan and 249,300 households with re-guarantee cooperation business, up by 36.6% and 90.3% respectively, and the accumulated re-guarantee cooperation business scale exceeded 1 trillion yuan. The average guarantee rate of cooperative institutions decreased to 0.85%, down by 0.16 percentage points compared with the same period of last year. Actively promote the cooperation of "general-to-general" bulk guarantee business of Yindan, and have achieved business landing in 11 national banks and 23 provinces (autonomous regions and municipalities), with a cumulative business scale of 9.852 billion yuan.

　　Fourth, government procurement promotes the development of small and medium-sized enterprises. We revised and issued the Administrative Measures for Government Procurement to Promote the Development of Small and Medium-sized Enterprises, refined and improved measures such as reserved shares and preferential price evaluation, expanded the share of small and medium-sized enterprises in government procurement contracts, and continued to increase the support of government procurement for small and medium-sized enterprises.

　　(4) Increase policy support to ensure food and energy security.

　　First, the ability to ensure food supply has been further improved. Improve the grain subsidy policy. We will implement policies such as subsidies for corn and soybean producers and support the minimum purchase price policy for wheat and rice. We will issue 120.485 billion yuan of subsidy funds and continue to implement the subsidy policy for farmland fertility protection. Arrange a one-time subsidy of 20 billion yuan for actual grain farmers to mobilize their enthusiasm. The central government allocated 17.98 billion yuan to local grain risk funds to support local grain reserves and maintain the stability of the grain market. Promote the expansion and bidding of agricultural insurance. We will expand the scope of full cost insurance and planting income insurance for three major grain crops: rice, wheat and corn, and gradually provide insurance coverage covering the full cost of agricultural production or planting income for all farmers in 500 major grain-producing counties in 13 major grain-producing provinces. Support the implementation of the strategy of storing grain on the ground and storing grain in technology, support the construction of 100 million mu of high-standard farmland, expand the implementation area of conservation tillage on black land from 40 million mu in 2020 to 70 million mu, and encourage the construction of modern irrigation areas with complete engineering facilities, advanced irrigation technology, good ecosystem and efficient management level. Implement flood control and drought relief water conservancy promotion projects. Support all localities to do a good job in the prevention and control of major crop pests and diseases, the prevention and control of red imported fire ants, flood control and drought relief, and the safety of flood control. In 2021, the sown area of summer grain in China was 26,438 thousand hectares, an increase of 265.5 thousand hectares over 2020, an increase of 1%, reversing the downward trend for five consecutive years; The total output of summer grain in China was 145.82 million tons, an increase of 2.967 million tons over 2020.An increase of 2.1%.

　　Second, the energy security capacity continued to improve. Adjust and improve the support policies for new energy vehicles. Adhere to the gradual subsidy retreat. In 2021, the subsidy standard for new energy vehicles will retreat by 20% on the basis of 2020, and the technical index system and technical requirements threshold will remain generally stable. Optimize the subsidy policy for renewable energy power generation, and issue a budget of 89 billion yuan for additional subsidies for renewable energy electricity prices to support renewable energy power generation such as photovoltaic and wind power. Accelerate the announcement of the subsidy list to confirm the right, and solve the financing problem of renewable energy power generation enterprises. From 2021, new centralized photovoltaic power stations, industrial and commercial distributed photovoltaic projects and onshore wind power projects will be added to realize cheap internet access, which will enter a new stage of large-scale popularization and application. Strengthen illegal supervision, clarify the corresponding suspension and reduction of subsidy funds for biomass power generation projects with substandard emissions, and force enterprises to strengthen emission control, achieve emission standards, and ensure the safety and effectiveness of subsidy funds. Support unconventional natural gas exploitation. A special fund budget of 6.01 billion yuan for clean energy development in 2021 was issued. According to the principle of "more subsidies in winter", a cascade reward method of incremental assessment was adopted to encourage local and enterprises to produce more gas. In the first half of the year, green and low-carbon energy continued to grow, and the installed capacity of wind power and solar power increased by 34.7% and 23.7% respectively. The sales volume of new energy vehicles reached 1.206 million, a year-on-year increase of 139%. Natural gas production increased by 10.9%, of which shale gas production increased by 25%.

　　(5) Optimize and upgrade the industrial chain supply chain, and continuously improve the economic quality and efficiency and core competitiveness.

　　First, support the upgrading of scientific and technological innovation capabilities. We will continue to focus on tackling key core technologies, fully guarantee the organization and implementation of major scientific and technological projects, and focus on solving a number of "stuck-neck" problems. Support the implementation of the national guiding fund for the transformation of scientific and technological achievements, guide social capital and financial capital into the field of innovation, and accelerate the transformation and application of scientific and technological achievements. Support more qualified enterprises to undertake national scientific research tasks, and encourage enterprises to become the main body of technological innovation decision-making, R&D investment, scientific research organization and achievement transformation. Significantly increase investment in basic research, focusing on the National Natural Science Foundation, and stably support scientific research institutes, scientific and technological innovation bases and scientific research talents in the field of basic research. In the first half of the year, the new kinetic energy of China’s economic development grew rapidly, and the sales revenue of high-tech industries nationwide increased by 33.6% year-on-year, with an average growth rate of 20.4% in two years, which was 5.3 percentage points higher than the national overall level.

　　The second is to accelerate the optimization and upgrading of the industrial chain. Focus on key industrial chains of manufacturing industry, support collaborative innovation of industrial chain and construction of public service platform around blocking points and breakpoints, and improve the modernization level of industrial chain supply chain. Optimize the pilot policy of insurance compensation for the first (set) of major technical equipment, improve the pertinence of the first (set) of major technical equipment guidance catalogue, simplify the fund declaration procedures, encourage local governments to introduce incentives for the first (set) application, and support the popularization and application of innovative products. Give full play to the role of government investment funds in the manufacturing sector, guide social capital to increase investment in integrated circuits, new materials, next-generation information technology and other fields, and ensure the safety of the supply chain of the industrial chain.

　　The third is to support the innovation and development of small and medium-sized enterprises. Arrange special award funds, focus on supporting the high-quality development of more than 1,000 state-level specialized and innovative "little giant" enterprises in batches, and accelerate the cultivation of a number of small and medium-sized enterprises that focus on market segments, focus on their main businesses, have strong innovation ability and good growth performance. Strengthen the construction of public service demonstration platform for SMEs. We will increase financial support for the development of inclusive finance, and implement the discount policy for business guarantee loans. Launch a special plan for patent transformation to meet the technical needs of SMEs and help them innovate and develop.

　　(6) Increase the scale of transfer payments from the central government to local governments, and firmly grasp the bottom line of "three guarantees" at the grassroots level.

　　First, the central government has further increased the scale of transfer payments to local governments. In the case of limited actual new financial resources, we will increase the scale of local transfer payments by reducing the level and adjusting the structure. In 2021, the central government transferred 8,337 billion yuan to local governments, a slight increase over 2020. General transfer payments increased by 7.8%, of which the transfer payments of common financial affairs increased by 6.1% and other general transfer payments increased by 9.2%, which was significantly higher than last year. Increase the intensity of balanced transfer payments and arrange balanced transfer payments of 1,908.7 billion yuan, an increase of 11% year-on-year; We arranged 337.9 billion yuan for the county-level basic financial guarantee mechanism, up 13.4% year-on-year, actively supported all localities to ensure basic livelihood, wages and operation, and improved the level of equalization of basic public services.

　　Second, the local "three guarantees" support capacity has been enhanced. We will increase balanced transfer payments, county-level basic financial guarantee mechanism and other transfer payments, and further tilt financial resources to areas with financial difficulties, strongly support local governments to increase available financial resources, and improve the "three guarantees" guarantee capacity. Up to now, 1,852.7 billion yuan of balanced transfer payments have been issued, and all the county-level basic financial security mechanism award funds have been issued. Judging from the monitoring situation in the first half of the year, the actual available financial resources in all counties and districts can guarantee the national standard "three guarantees" demand, and the guarantee situation is better than that in the same period of last year.

　　The third is to strengthen the supervision and guidance of local "three guarantees" work. From January this year, we will carry out monthly monitoring of local financial operations, focusing on strengthening local "three guarantees" monitoring, and urge and guide local verification and resolution of problems and risks found in monitoring at the first time. At the same time, constantly improve the monitoring system to ensure accurate and timely collection and analysis of various monitoring data, and strive to prevent and resolve the "three guarantees" risks.

　　Third, optimize and implement the tax reduction and fee reduction policy, and effectively stimulate the vitality of market players.

　　In accordance with the spirit of the Central Economic Work Conference and the deployment requirements of the government work report, we will optimize and implement the policy of tax reduction and fee reduction, comprehensively consider the needs of fiscal sustainability and the implementation of the policy of helping enterprises to bail out, implement relevant policies of tax reduction, resolutely reduce the tax reduction in place, and reduce the cost of enterprises in the real economy, optimize the development environment of enterprises, and stimulate the vitality of market players. In 2021, it is estimated that the annual tax reduction and fee reduction will exceed 700 billion yuan.

　　(1) The institutional tax reduction and fee reduction policy will continue to be implemented.

　　We will continue to implement institutional tax reduction policies such as reducing the value-added tax rate, retaining the value-added tax refund, and special additional deduction of personal income tax, and implement institutional fee reduction policies such as reducing the basic old-age insurance rate for employees, and continue to release the policy superposition effect.

　　(2) adjust the phased tax reduction and fee reduction policy by classification.

　　In 2020, the phased tax reduction and fee reduction policy to deal with the epidemic will be introduced, and the classification will be adjusted and orderly withdrawn. Extend the implementation period of policies such as reducing value-added tax for small-scale taxpayers introduced during the epidemic, and maintain the necessary support for economic recovery. Temporary and emergency policies involving epidemic prevention and control, supply and supply shall be stopped after expiration. Considering the demands of enterprises, the social security benefits of the insured and the ability of fund support, we will resume the normal collection of social insurance premiums in 2021, and extend the policy period of reducing unemployment and work-related injury insurance rates in stages to April 30, 2022. In 2021, the upper and lower limits of the social insurance payment base will return to normal in principle, and the provinces with real difficulties can make a two-year transition.

　　(3) The tax incentives for small and micro enterprises have been strengthened.

　　While implementing the inclusive tax reduction and fee reduction policy for small and micro enterprises, we will further increase the tax reduction and exemption for small and micro enterprises and individual industrial and commercial households. From January 1 this year, the annual taxable income of small and micro enterprises and individual industrial and commercial households will be reduced by half on the basis of the current preferential policies; From April 1st, the threshold of value-added tax for small-scale taxpayers will be raised from 100,000 yuan to 150,000 yuan in monthly sales.

　　(4) Support for manufacturing and scientific and technological innovation has been further increased.

　　We will continue to implement the policy of 75% pre-tax deduction of R&D expenses of enterprises, increase the deduction ratio of R&D expenses of manufacturing enterprises to 100%, allow enterprises to enjoy the deduction policy for half a year, and further encourage enterprises to increase R&D investment with preferential tax policies. From April 1st this year, manufacturing enterprises such as transportation equipment, electrical machinery and equipment, instruments and meters, medicine, chemical fiber, etc. will be included in the scope of the advanced manufacturing enterprises’ value-added tax refund policy, and the incremental value-added tax refund will be fully refunded on a monthly basis.

　　(five) resolutely prevent arbitrary charges, fines and levies.

　　Continue to clean up the standard fee fund, cancel the port construction fee, and lower the collection standard of airline civil aviation development fund. Comprehensively investigate the government funds and administrative fees related to epidemic prevention and control at various ports in various regions since 2020, intensify the rectification of illegal fees charged by various enterprises, seriously investigate and deal with problems such as setting up fees without authorization, raising collection standards, expanding the scope of collection, and arbitrarily apportioning, strictly control the unreasonable growth of non-tax revenue, and prevent weakening the dividend of tax reduction and fee reduction policy.

　　In the first half of the year, with the joint efforts of all parties, tax reduction and fee reduction measures were effectively implemented, which better helped enterprises to bail out their development. The vitality of market entities has been effectively enhanced, and the number of newly established tax-related market entities has reached 6.243 million, an increase of 27.3% compared with 2020 and 22.8% compared with 2019. The benefits of enterprises have generally improved, and profits have increased significantly. The sales revenue of enterprises nationwide increased by 34.4% year-on-year, an average increase of 15.1% over the two years in 2019, and the total profits of industrial enterprises above designated size increased by 66.9% year-on-year. Market participants’ confidence in future economic growth continues to improve. In June, the purchasing managers’ index (PMI) of manufacturing industry was 50.9%, which has been in the boom zone for 16 consecutive months.

　　Fourth, the direct mechanism of financial funds is normalized, and financial funds benefit enterprises and the people more accurately and efficiently.

　　Seriously sum up the effective experience of the direct access mechanism in 2020, normalize the implementation of the direct access mechanism of financial funds, expand the scope of direct access funds, optimize the distribution process, and strictly supervise funds. In the first half of the year, the normalized direct access mechanism was promoted in an orderly manner, and the implementation was good. The funds quickly reached the grassroots and units, and the expenditures in key areas were effectively guaranteed, which promoted the accurate implementation of the policy of benefiting enterprises and benefiting the people.

　　(1) The scale of direct funds exceeded 2.8 trillion yuan, and the implementation was generally good.

　　The first is to expand the scope of funds. The scope of funds was adjusted from new funds to stock funds, and 27 transfer payments were included in the direct scope as a whole. The total amount of funds reached 2.8 trillion yuan, an increase of 1.1 trillion yuan over the previous year, and the central government’s livelihood subsidy funds were basically covered.

　　The second is to improve the institutional system. A series of documents such as the Notice of the Ministry of Finance on Doing a Good Job in the Direct Mechanism of Financial Funds in 2021 were issued, and an institutional system covering the whole process of fund allocation, disbursement, use and supervision was established. We will continue to implement measures such as filing audit and beneficiary real-name registration system, effectively meet the supply and demand of funds, "precise drip irrigation", and further improve the scientific and normative management of funds.

　　The third is to optimize the distribution process. Considering the local actual situation, the allocation of funds is adjusted from all the arrangements to cities and counties to the needs of provincial overall planning, and the ability of provincial overall planning is moderately enhanced. According to the current financial system, the main body of project implementation, the beneficiaries of funds, etc., the local government can reasonably determine the budget allocation plan according to the fund management measures, and tilt the incremental funds to the grassroots level of cities and counties. By issuing in advance, pre-notification of indicators and other means, the local operation time will be increased from one week last year to less than 30 days stipulated in the budget law, leaving time for local governments to formulate detailed plans, prepare projects and fulfill the approval procedures.

　　By the end of June, the direct funds from the central government had been allocated 2.59 trillion yuan, accounting for 92.5% of the total. All the qualified funds had been allocated, and the outstanding funds were mainly the actual settlement funds, which was released earlier than last year. Local finance has allocated 2.506 trillion yuan to fund users, accounting for 96.8% of the funds allocated by the central government. Expenditure in various regions reached 1.635 trillion yuan, with the expenditure progress reaching 63.1%. From the level of expenditure, the provincial expenditure was 0.614 trillion yuan, accounting for 37.5%; The expenditure of cities and counties at the grass-roots level was 1.021 trillion yuan, accounting for 62.5%, which reflected the institutional arrangement of the normalized direct mechanism of "allocating and using funds according to the facts and inclining to the grass-roots level incrementally".

　　(two) strict supervision of funds, the use of financial funds more standardized and efficient.

　　First, upgrade the direct fund monitoring system, expand from data tracking to full-process management, comprehensively cover the indicator flow, cash flow and information flow, realize the full chain tracking and monitoring of funds from the source to the end, and synchronize the release, use and supervision of funds to ensure that the source of funds is clear, the flow direction is clear, the accounts can be checked and the accounts are consistent, further improving the standardization and effectiveness of direct fund distribution and use.

　　The second is to strengthen collaborative supervision. According to the expansion of direct funds, we will increase the member units of the inter-ministerial special working mechanism and improve the multi-departmental collaborative linkage working mechanism. Strengthen data information sharing, fully open monitoring system data to auditing, human resources and social security, civil affairs and other departments, strengthen the coordination of various departments in fund supervision, find problems in the implementation process in time, and ensure that funds are used in cutting-edge and critical places. Compacting the responsibilities of local governments at all levels, strengthening the supervision of the use of funds, improving the efficiency of the use of funds, and preventing funds from being misappropriated and deposited idle.

　　The third is to intensify the investigation and punishment of violations. Give full play to the local supervision advantages of the local supervision bureaus of the Ministry of Finance and conduct on-site verification of major doubtful issues. Establish and improve the notification and interview system for major issues, and seriously investigate the responsibility of those who violate laws and regulations. We will not tolerate any illegal acts such as false reporting, impersonation, interception and misappropriation, and we will find them together, investigate them together and hold them accountable together.

　　(3) Direct funds have achieved remarkable results, and local governments and market players have benefited significantly.

　　All localities resolutely implemented the spirit of the the State Council executive meeting and the requirements of the central government’s direct fund management policy, focused on optimizing the expenditure structure, highlighting the key points in the use of direct funds, promoting the flow of funds to the directions and fields that the masses hope and enterprises expect, effectively offsetting the impact of some phased policies, providing timely and powerful financial support for local governments to implement the "six guarantees" task, especially to ensure residents’ employment, market players, basic people’s livelihood and grass-roots wages and operations, and laying a solid foundation for the completion of this year’s major economic and social development goals. According to incomplete statistics, more than 70% of the total expenditure of direct funds in the first half of the year was used for local pension, compulsory education, basic medical care, basic housing and other basic livelihood aspects. In terms of supporting the insurance market players, the accumulated expenditure of relevant funds of Hui enterprises exceeded 270 billion yuan, benefiting nearly 580,000 market players of various types.

　　Five, improve the government debt financing mechanism, government debt management has been continuously strengthened.

　　Insist on improving the government debt management mechanism, open the "front door" and strictly block the "back door", earnestly prevent and resolve the local government debt risks, and effectively play the role of the government in regulating debt to promote the smooth operation of the macro economy.

　　(1) The task of issuing treasury bonds was successfully completed.

　　According to the decision of the CPC Central Committee and the State Council, no special anti-epidemic bonds will be issued in 2021. The Ministry of Finance made overall plans for the issuance of government bonds, reasonably controlled the scale and pace of issuance of government bonds (referring to domestic debts, the same below), successfully completed the issuance of government bonds in the first half of 2021, and the market operation was generally stable. In the first half of the year, 2,816.9 billion yuan of treasury bonds were actually issued, up by 10.8% year-on-year, of which 2,688.2 billion yuan was issued by book-entry treasury bonds and 128.7 billion yuan was issued by savings bonds, providing a solid guarantee for meeting the financing needs of the central government.

　　(2) The scale of local government special bonds was moderately reduced.

　　In view of the large scale of special bonds issued in 2020, the policy effect will continue to be released in 2021. This year, the special debt limit for local governments will be 3.65 trillion yuan, a decrease of 100 billion yuan from the previous year. Considering the needs of cross-cycle policy design and adjustment, combined with the project preparation, scientifically arrange the release and issuance rhythm of new special bond quotas and maintain support for key projects. In the first half of the year, a total of 1,014.3 billion yuan of special bonds were issued. After preliminary summary, about half of the new special bonds are invested in major projects in transportation infrastructure, municipal and industrial parks; About 30% invested in affordable housing projects and major projects in social undertakings such as health, education, old-age care and cultural tourism; About 20% invested in major projects in the fields of agriculture, forestry, water conservancy, energy, urban and rural cold chain logistics, which better guaranteed local reasonable financing needs, accelerated the filling of shortcomings in people’s livelihood areas such as health care, and better served the national strategy.

　　(3) The government’s debt financing mechanism has been continuously improved.

　　First, continuously improve the issuance mechanism of national debt. Scientifically coordinate the issuance of national debt with the management of central budget revenue and expenditure and treasury funds, and reasonably grasp the rhythm of national debt issuance. We will optimize the bidding and issuance rules of book-entry treasury bonds and improve the renewal mechanism of book-entry treasury bonds. Actively and steadily carry out the savings bonds (electronic) pilot of mobile banking sales, and broaden the sales channels in savings bonds.

　　The second is to reasonably determine the new debt limit. The National People’s Congress is requested to approve the new local government debt limit of 4.47 trillion yuan in 2021, a decrease of 260 billion yuan compared with the previous year. While maintaining active fiscal policy support and basically stable macro leverage ratio, it will leave policy space for coping with new risk challenges in the future.

　　The third is to improve local government debt projects and fund management mechanisms. According to the principle of "funds follow the project", do a good job in project reserve and preliminary preparation. Use information technology to implement penetrating supervision of special bond projects and strengthen the full-cycle and normalized risk monitoring of the projects. We will issue performance management measures for special bond funds, conduct "double monitoring" on the budget implementation progress and performance target implementation of special bond funds, suspend or stop funding for projects that seriously deviate from performance targets, and allow provincial governments to adjust their use in a timely manner according to procedures for projects that are difficult to build and implement in a short period of time due to insufficient preparation to ensure that legal bonds do not have any risks. Standardize the management of local government bond information disclosure platform and further promote the disclosure of local government debt information.

　　The fourth is to further improve the issuance of local government bonds. Continue to take the initiative to act as an agent for local bond issuance operations to ensure efficient and smooth financing of local bond issuance during the epidemic. Issued interim measures for the management of credit rating of local government bonds, put forward regulatory requirements for credit rating agencies of local government bonds, and promoted the healthy development of credit rating of local government bonds. We will fully open the counter issuance of local government bonds, encourage all localities to reasonably increase the frequency and scale of issuance, and guide seven provinces including Hebei and Sichuan to issue 4.36 billion yuan of local government bonds through the counters of commercial banks.

　　Fifth, the work of resolving the hidden debt risk of local governments should be done. Comprehensively strengthen the demonstration of project financial affordability and budget review, and all the financial expenditures are included in the budget management according to law. Improve the allocation mechanism of local governments and their departments to enterprises and institutions according to law, and prohibit local governments from increasing implicit debts in the form of corporate bonds. Establish a market-oriented and rule-based debt default disposal mechanism, steadily resolve the hidden debt stock, strengthen information sharing and collaborative supervision among departments, and find, investigate and hold accountable hidden debt problems discovered by auditing, accounting and supervision of various industries, and resolutely stop illegal borrowing. Steadily promote the work of supplementing the capital of small and medium-sized banks with special bonds.

　　Six, adhere to the priority development of agriculture and rural areas, and comprehensively promote rural revitalization to take new steps.

　　After winning the fight against poverty, it is necessary to comprehensively promote rural revitalization, which is a historic shift in the focus of the work of agriculture, rural areas and farmers. The financial department resolutely implements the spirit of the important instructions of the Supreme Leader General Secretary and the decision-making arrangements of the CPC Central Committee and the State Council, timely adjusts and optimizes the working mechanism and measures, effectively promotes the work of consolidating and expanding the achievements of poverty alleviation, supports the full implementation of the rural revitalization strategy, and strives to make hundreds of millions of farmers live a better life together.

　　(1) Consolidate and expand the achievements in tackling poverty.

　　First, retain, adjust and optimize the original special poverty alleviation funds of the central government. We will adjust and optimize the original special poverty alleviation funds of the central government to the subsidy funds for the central government to promote rural revitalization, and make it clear that during the transition period, the convergence funds will be tilted to support the key counties for national rural revitalization. In 2021, 156.1 billion yuan of bridging funds will be arranged, 10 billion yuan more than in 2020, and 70% of the total funds will be invested in the western provinces, and a number of key rural revitalization counties will be supported in the poverty-stricken counties in the western region.

　　Second, related transfer payments continue to be supported. For the relevant transfer payments that obliquely support 832 poverty-stricken counties during the period of poverty alleviation, they will continue to be implemented during the transition period; For the relevant transfer payments that are inclined to support deep poverty areas such as "three districts and three States" during the period of poverty alleviation, they will be gradually adjusted and optimized to support the key counties for national rural revitalization during the transition period.

　　The third is to continue to implement the policy of overall integration of agriculture-related funds in poverty-stricken counties. In conjunction with relevant departments, we issued the Notice on Continuing to Support Poverty-stricken Counties to Coordinate the Use of Financial Agriculture-related Funds, continued to optimize the main institutional arrangements for the poverty-stricken period, kept the overall scope of integrated funds unchanged, and made adjustments and improvements in highlighting the key points of the use of integrated funds, increasing the inclined support for poverty-stricken counties, and strengthening the supervision of project funds, effectively supporting poverty-stricken counties to consolidate and expand poverty-stricken achievements and promote rural revitalization according to local conditions.

　　(2) The rural revitalization strategy has been steadily advanced.

　　First, the quality and efficiency of agricultural development have been effectively improved. Support the protection of livestock and poultry germplasm resources and the establishment of seed industry parks, and explore and promote the development of large-scale seed enterprises with "integration of breeding, reproduction and promotion". Coordinate and support the creation of 50 national modern agricultural industrial parks, 50 advantageous industrial clusters and 298 strong agricultural towns to promote the revitalization of rural industries. Comprehensively promote the construction of cold storage and preservation facilities for agricultural products. Improve the national agricultural credit guarantee policy system and better solve the problems of "difficult financing" and "expensive financing" of new agricultural business entities.

　　The second is to support the steady progress of sustainable development in agriculture and rural areas. Study and implement the new round of fishery subsidy policy during the 14th Five-Year Plan to accelerate the high-quality development of fishery. We will allocate 16.805 billion yuan to continue to implement the third round of grassland ecological compensation policy. Start the pilot project of green farming and recycling agriculture, and further promote the pilot project of water system connectivity and water and beauty rural construction. We will implement the five-year action to improve the rural human settlements and implement the financial reward and compensation policy for the rural toilet revolution and the whole village. Increase subsidies for the maintenance of rural water supply projects and improve the level of rural water supply security.

　　Third, the comprehensive rural reform continued to deepen. Support the construction of "five reds and four haves" red beautiful villages, and create a physical textbook for the study and education of party history that preserves the initial mission. Continue to support and expand the village-level collective economy, improve the financial reward and compensation policy for rural public welfare undertakings, and continue to promote the modernization of rural governance system and governance capacity. We will further promote the pilot projects of comprehensive rural reform and rural complex construction, and support local governments to explore demonstration models for comprehensive rural revitalization according to local conditions.

　　Fourth, the government’s policy of purchasing agricultural and sideline products in poverty-stricken areas has been continuously optimized. Continue to promote the government procurement of agricultural and sideline products in poverty-stricken areas, give full play to the advantages of continuous and stable procurement of agricultural and sideline products by budget units, cultivate a number of rural characteristic industries and advantageous brands that can drive long-term and stable income increase, promote the revitalization of rural industries, and promote the development of poverty-stricken areas in a wider field and at a higher level.

　　Seven, increase investment in the field of ecological and environmental protection, pollution prevention and control battle has achieved remarkable results.

　　Thoroughly implement the supreme leader’s thought of ecological civilization, resolutely shoulder the political responsibility of supporting the fight against pollution and promoting the construction of ecological civilization, innovate mechanisms, increase investment, highlight key points, and further improve environmental quality. In 2021, the central government allocated 437.4 billion yuan to support pollution prevention and ecological civilization construction.

　　(1) The defence of blue sky, clear water and pure land is strongly guaranteed.

　　First, continue to promote the blue sky defense war. 27.5 billion yuan was allocated for air pollution prevention and control to support pollution reduction and carbon reduction. Further expand the scope of support for winter clean heating in the northern region, and add support to 20 cities including Lanzhou and Jiamusi through competitive evaluation, and continue to promote the green transformation of energy consumption. Continue to carry out in-depth treatment of coal-fired boilers and industrial furnaces in key areas, and support the coordinated control of "PM2.5+ ozone" pollution. From January to June, the average concentration of PM2.5 in 339 cities at prefecture level and above was 34 μ g/m3, down 2.9% year-on-year, and the air quality continued to improve.

　　The second is to continuously strengthen the defense of clear water. A total of 21.7 billion yuan was allocated for water pollution prevention and control, to promote water pollution control in river basins, water ecological protection and restoration, centralized drinking water sources and groundwater ecological environment protection, and the allocation of funds was tilted towards key river basins such as the Yangtze River and the Yellow River. 3.6 billion yuan was allocated for rural environmental improvement, focusing on rural domestic sewage treatment, supporting the treatment of black and odorous water bodies in rural areas, and speeding up the completion of outstanding shortcomings affecting rural human settlements. From January to June, the proportion of sections with excellent water quality (Class I-III) increased by 1.1 percentage points year-on-year, while the proportion of sections with poor water quality decreased by 0.7 percentage points year-on-year.

　　The third is to actively support the fight against pure land. We will allocate 4.4 billion yuan for the prevention and control of soil pollution, strengthen the source prevention and risk control of soil pollution, highlight the prevention and control of key areas, key industries and key pollutants, promote the safe use of agricultural land and ensure food security. Revise the Measures for the Administration of Soil Pollution Prevention Funds, actively guide the establishment of provincial soil pollution prevention funds, and promote the establishment of diversified investment mechanisms.

　　(2) Major ecological protection and restoration projects continued to advance.

　　First, the management of grass and sand system in landscape forest fields and lakes has been solidly promoted. In 2021, the central government allocated 9.9 billion yuan to continue the pilot projects of ecological protection and restoration of lakes and grasses in mountain forest fields such as Wuliangsuhai in Inner Mongolia and Three Gorges of the Yangtze River in Hubei, and started the first batch of 10 integrated protection and restoration projects of lakes and grasses in mountain forest fields during the Tenth Five-Year Plan period, such as the Jiulong River Basin in Fujian and the water conservation area in the upper reaches of the Yellow River in Gannan, Gansu, so as to make overall plans to promote the management, comprehensive management and source control of lakes and grasses in mountain forest fields, and effectively improve the quality and stability of the ecosystem.

　　The second is the in-depth implementation of marine ecological protection and restoration. In 2021, 4 billion yuan will be allocated for marine ecological protection and restoration, which will support the overall promotion of the "Blue Bay" rectification action, mangrove protection and restoration, coastal protection and restoration projects and the treatment of pollutants entering the sea, so as to enhance the ecological functions of urban bays and islands, improve the quality of marine ecological environment and enhance the marine ecological carbon sink capacity.

　　Third, the ecological protection and restoration of forestry grasslands continued to advance. In 2021, 103.9 billion yuan will be allocated for the transfer payment of forestry and grassland, the policy of full coverage of natural forest protection will be implemented, the returning farmland to forests and grasslands and grassland ecological restoration and management will be supported, wetland protection and restoration will be strengthened, and a nature reserve system with national parks as the main body will be built to promote biodiversity protection. Support large-scale land greening operations. Improve the policy of ecological rangers, implement compensation for forest ecological benefits, strengthen wildlife protection, and strengthen forest grassland fire prevention and forest pest control.

　　Fourth, the environmental restoration and management of abandoned mines left over from history has been promoted in an orderly manner. In 2021, 2 billion yuan will be allocated to support key areas covered by the national strategy, such as the Yellow River Basin and the Qinghai-Tibet Plateau, to carry out environmental restoration and treatment of abandoned mines left over from history, to restore damaged mountains and surface vegetation, and to reclaim and utilize abandoned land, to improve regional ecological conditions and living environment, and to enhance ecosystem quality and service functions.

　　(3) The ability to respond to emergencies such as natural disasters has been steadily improved.

　　First, the construction of aviation firefighting forces was actively promoted. Support forest and grassland fire prevention and extinguishing work, formulate and issue the Interim Provisions on the Management of Central Subsidy for Local Forest and Grassland Aviation Fire-fighting Charter Funds, strengthen the responsibility of local governments, and standardize the charter procedures. Cooperate with relevant departments to actively study the construction plan of forest fire fighting aviation force during the 14 th Five-Year Plan period.

　　Second, the effective implementation of natural disaster relief work. Quickly start the central mechanism for rapid allocation of natural disaster relief funds, and support the rescue and relief work and the resettlement of the affected people. Since the beginning of this year, a total of 4.934 billion yuan has been allocated for flood relief in Henan and 10 million yuan for earthquake relief in Yunnan and Qinghai provinces.

　　Third, the management level of the central emergency relief materials reserve has gradually improved. In conjunction with relevant departments, study and draft measures for the management of central emergency relief materials reserves, and clarify the management system and financial fund management regulations for the procurement, storage, call, supplement and write-off of reserve materials. Supervise and urge the storage of additional materials in 2020 to ensure the needs of disaster relief work.

　　Fourth, the comprehensive risk survey of natural disasters was carried out in an orderly manner. 1.48 billion yuan was allocated to actively support the first national comprehensive risk survey of natural disasters, which was mainly used for the relevant expenditures of the central government at the same level and the expenditures of cross-provincial (autonomous regions and municipalities directly under the central government) census work undertaken by the central departments, and appropriate subsidies were given to local governments through transfer payments.

　　Fifth, the ability to prevent and control extra-large geological disasters has been steadily improved. Arrange 5 billion yuan for the prevention and control of extra-large geological disasters, and support local governments to strengthen the comprehensive prevention and control system and prevention and control capacity building for the comprehensive management of extra-large geological disasters and the investigation and evaluation, monitoring and early warning of geological disasters in key areas.

　　Eight, coordinate the reform of fiscal and taxation system and financial management supervision, and steadily improve the level of financial governance.

　　Give full play to the breakthrough and leading role of reform, on the basis of the established framework of modern financial system, continue to deepen the reform of fiscal and taxation system, strengthen financial management supervision, further enforce financial discipline, and steadily improve the level of financial governance.

　　(1) Deepen the reform of the fiscal and taxation system and accelerate the establishment of a modern fiscal system.

　　First, the budget management system is more sound. It was submitted to the State Council for printing and distributing the Opinions on Further Deepening the Reform of Budget Management System, clearly strengthening the overall planning of financial resources, standardizing the management of budget revenue and expenditure, strengthening budget control and risk prevention, etc. Deepen the publicity of the budget and further improve the transparency of the budget. Improve the performance management system, accelerate the construction of an all-round, whole-process and full-coverage budget performance management system, promote the deep integration of performance management and budget management, and further improve the efficiency of financial resource allocation and use.

　　Second, the reform of the tax system continued to deepen. Implement the statutory principle of taxation and promote the smooth introduction of the stamp tax law. Actively promote the legislation of value-added tax, consumption tax, customs duties and other taxes. Promote and improve the local tax system, and combine the consumption tax legislation to study and promote the reform of the backward consumption tax collection.

　　Third, the financial system is improving day by day. We will implement the reform plan for the division of financial affairs and expenditure responsibilities between the central and local governments in the fields of education, science and technology, and ecological environment, and further clarify the scope of responsibilities between the central and local governments. Study and promote the reform of the financial system below the provincial level. At the same time, in accordance with the decision-making arrangements of the CPC Central Committee and the State Council, the mechanism of direct financial funds will be implemented in a normal way to expand the scope of direct funds.

　　Fourth, reforms in the fields of state-owned assets and state-owned enterprises have been steadily advanced. Deepen the reform of state-owned assets and state-owned enterprises, and implement the work related to the three-year action of state-owned enterprise reform. Improve the system of state-owned assets management, and promote the improvement of the reporting mechanism of state-owned assets management. Carry out a special action to register the property rights of state-owned financial capital. Study and improve the authorized management system and incentive and restraint mechanism of state-owned financial capital, and promote the reform of state-owned key financial enterprises.

　　(2) Optimize financial management and significantly improve the level of fully performing financial functions according to law.

　　First, the financial and legal system is more sound. Issued the "Several Measures of the Ministry of Finance on Implementing the Spirit of the Fifth Plenary Session of the 19th CPC Central Committee and the Spirit of the Central Working Conference on Governing the Country by Law in an All-round Way" to give full play to the service and guarantee role of the financial rule of law in the reform of the fiscal and taxation system. The Legislative Work Rules of the Ministry of Finance and the Administrative Measures for the Formulation of Administrative Normative Documents of the Ministry of Finance were revised and completed, and the fiscal legislative work and policy-making procedures were more scientific and standardized. Promote the promulgation and formal implementation of regulations on the management of administrative state-owned assets. We will promote the legislative work of the government procurement law (revised), the accounting law (revised), the regulations on the management of state-owned financial capital (formulated), and the measures for the evaluation and management of state-owned assets (revised) in an orderly manner. We will steadily push forward the formulation and revision of financial regulations in the fields of budget review, government procurement, social assistance and financial management. Timely carry out post-legislative evaluation of budget law. Strengthen legislative research and tackling key problems in key areas of finance, and give better play to the leading and promoting role of financial law construction in financial reform.

　　Second, the "streamline administration, delegate power, strengthen regulation and improve services" reform in the financial sector was further promoted. Continue to streamline the examination and approval items. Up to now, the administrative examination and approval items at the department level have been streamlined by 88%, and only three administrative examination and approval items have been retained at the department level, continuously improving the financial administrative efficiency. In accordance with the principle of "legal rights and responsibilities, equal rights and responsibilities", we will steadily promote the preparation of the list of rights and responsibilities of the Ministry of Finance, sort out the legal basis, the way of performing responsibilities and the situation of pursuing responsibilities one by one, and lay the foundation for fully performing financial functions according to law. Further standardize administrative law enforcement procedures, explore online administrative punishment hearings, and continue to promote the implementation of the three systems of administrative law enforcement publicity, record of the whole process of law enforcement and legal review of major law enforcement decisions in our department.

　　(3) Strengthen financial supervision and promote the continuous improvement of the market economic order.

　　First, the supervision system and mechanism are more perfect. Study and draft "Guiding Opinions on Strengthening Accounting Supervision", further promote the revision process of accounting law and CPA law, compact the main responsibilities of various regulatory departments, and promote the development of accounting supervision as a chess game. Resolutely obey and serve the inner-party supervision, and pay attention to the organic integration and coordination of accounting supervision, NPC supervision, audit supervision and other supervision to form a joint force of supervision.

　　Second, the supervision is constantly increasing. Strengthen policy tracking and efficiency, focus on key areas such as the implementation of fiscal and taxation policies, prevention and resolution of local government debt risks, improvement of fund performance, disclosure of budget and final accounts, and illegal fees charged by enterprises, and flexibly use various means such as supervision and inspection, special governance and performance evaluation to ensure the effective implementation of major fiscal and taxation policies of the central government and modern fiscal and taxation system reform measures, and resolutely prevent financial funds from becoming "Tang monk meat". We will fully implement the government’s request to live a tight life, resolutely investigate and deal with the unhealthy trend of using financial funds to build buildings and halls in violation of regulations, seriously investigate and deal with all kinds of extravagance and waste, and never let financial discipline be a "scarecrow."

　　Third, accounting audit supervision has been further strengthened. Adhere to "zero tolerance" to crack down on financial fraud, strictly supervise accounting firms engaged in securities business, improve the quality of accounting practice, and promote the maintenance and standardization of market economic order.

　　IX. Prospects for fiscal policy

　　The Ministry of Finance will adhere to the guidance of the Supreme Leader’s Socialism with Chinese characteristics Thought in the New Era, implement the spirit of the Central Economic Work Conference and the deployment of the government work report, adhere to the general tone of striving for progress while maintaining stability, implement the new development concept completely, accurately and comprehensively, adhere to the proactive fiscal policy to improve quality, efficiency and sustainability, maintain the continuity, stability and sustainability of fiscal policy, make overall plans for fiscal policy convergence this year and next, effectively improve policy efficiency and capital efficiency, maintain economic operation in a reasonable range, and strive to complete economic and social development throughout the year.

　　(1) Improve quality and efficiency, implement a proactive fiscal policy, and better play a key role in stabilizing the economy.

　　Further implement the normalized direct access mechanism of financial funds, strengthen monitoring, analysis and judgment, ensure the smooth operation, accuracy and efficiency of the normalized direct access mechanism, speed up the progress of fiscal expenditure, strengthen the expenditure guarantee in key areas, and effectively improve the efficiency of fund use. Moderately speed up the issuance of local government special bonds, make good use of local government special bond funds, guide local governments to strengthen project reserves, and promote the formation of physical workload at the end of this year and early next year. Strengthen the fund performance management of special bond projects and improve the efficiency of bond fund allocation and use. We will implement the detailed tax reduction and fee reduction policy, strengthen policy propaganda, intensify the rectification of illegal fees charged by various enterprises, resolutely refuse to collect "excessive taxes and fees", follow up the monitoring, analysis and judgment of the effect of tax reduction and fee reduction, and timely study and solve outstanding problems reflected by market players.

　　(two) to strengthen the overall planning of financial resources, and enhance the financial security of major national strategic tasks.

　　Support the expansion of effective investment, ensure the demand for funds for key projects, optimize the arrangement of government investment, and enhance the stamina of investment growth. Promote regional coordinated development and new urbanization with people as the core, and strive to improve the level of equalization of basic public services. Support the full implementation of the rural revitalization strategy, and promote the effective connection between consolidating and expanding the achievements of poverty alleviation and rural revitalization. Strengthen pollution prevention and ecological construction, and promote key ecological protection and restoration, peak carbon dioxide emissions and carbon neutrality in an orderly manner.

　　(3) Focus on safeguarding and improving people’s livelihood, and constantly enhance people’s sense of gain and happiness.

　　Do everything possible to stabilize and expand employment, and continue to support the employment assistance for key groups. Strengthen the basic livelihood security, support the solution of the most direct and realistic interests of the masses such as education, old-age care and medical care, and continue to do a good job in funding for vaccination and epidemic prevention and control. Fully implement the government’s request to live a tight life and save money for the people. Strengthen the evaluation of the financial affordability of people’s livelihood policies, improve the standardization and transparency of people’s livelihood expenditure management, and enhance the sustainability of people’s livelihood policies.

　　(four) to promote innovation and industrial upgrading, and ensure the stability of the supply chain of the industrial chain.

　　Support the acceleration of self-reliance in science and technology, strengthen the national strategic scientific and technological strength, increase investment in basic research, lay a solid foundation for key core technologies, and accelerate the transfer and transformation of scientific and technological achievements. Promote the strengthening of the resilience of the industrial chain supply chain and support the high-quality development of the manufacturing industry. Stimulate the innovation vitality of enterprises and talents, support the development of inclusive finance, and strengthen the incentive and guarantee of innovation.

　　(V) Actively prevent and resolve risks in key areas and promote sustainable financial development.

　　Strengthen supervision and accountability, and continue to focus on preventing and resolving the hidden debt risks of local governments. Grasp the bottom line of the "three guarantees" at the grassroots level, strengthen the implementation of local responsibilities, increase the sinking of financial resources, and strengthen support for difficult areas on the basis of continuing to increase the central government’s financial support for local areas. Actively play the role of accounting supervision, strengthen policy tracking and efficiency, be strict in financial discipline, and maintain a good market economic order and business environment.

　　(6) Further deepen the reform of the fiscal and taxation system and accelerate the establishment of a modern fiscal system.

　　Continue to deepen the reform of budget management system, strengthen budget constraints and performance management, accelerate the construction of expenditure standard system, further standardize expenditure management, optimize expenditure structure, and strengthen medium-term fiscal planning management. We will implement the reform plan for the division of financial powers and expenditure responsibilities between the central and local governments, and accelerate the study and promotion of the reform of the financial system below the provincial level. Implement the statutory principle of taxation and actively promote tax legislation such as value-added tax, consumption tax and customs duties. Constantly improve the modern tax system, improve the local tax and direct tax system, steadily promote the reform of the consumption tax collection link of some backward items and steadily delimit the localities. Promote the reform of non-tax revenue as a whole. Continue to deepen the reform of state-owned assets and state-owned enterprises, and promote the reform of key state-owned financial institutions.

On June 6th, Lyriq Ruige, the first pure electric vehicle under the Cadillac brand of SAIC-GM, officially opened.

According to reports, a total of three models are sold this time, namely, the rear-drive long-life luxury version, the rear-drive long-life premium version and the four-wheel drive high-performance premium version, with a price range of 439,700-479,700 yuan.

As the pioneering work of Cadillac’s electric transformation, Cadillac has always emphasized that LYRIQ Ruige is a good car that breaks through itself and creates with users. However, an interesting phenomenon is that many innovative electric vehicles in this market often encounter concentrated doubts from potential car owners at the crucial point where they really need to be finalized and delivered. Cadillac believes that products really need to break through innovation, but enterprises should keep the basics of buying and selling.

"Cadillac does not make excessive commitments, nor will it give consumers corresponding active compensation after failing to make previous commitments due to some force majeure." On June 6th, Pan Mengmeng, head of new energy strategy department of SAIC-GM, told the The Paper reporter.

Affected by the epidemic in Shanghai, the delivery time of LYRIQ sharp song was a little later than expected. According to the official, LYRIQ Ruige will be delivered to users from late September to early October this year. The first delivery models are the rear-drive long-life luxury version and the rear-drive long-life premium version, and the delivery time of the four-wheel drive version will be longer, which is expected to start at the end of the year.

Pan Mengmeng said that in order to give consumers mature products, some software functions of LYRIQ Ruige still need some verification time. If the products finally delivered to consumers are not finished products, Cadillac’s solution is to take the initiative to introduce some compensation rights. For example, "A new generation of Super Cruise and 360-degree high-definition panoramic images and related functions may not be opened at the time of delivery". In order to compensate for the lack of user experience, Cadillac will provide five-year free maintenance for some users who can’t use these two functions when they get the car. The value rights and interests are about 9,000 yuan.

In addition to active compensation, the final pricing of Cadillac LYRIQ is somewhat unexpected. In order to resist the survival pressure brought by soaring raw material prices, raising the terminal price is the choice that car companies have to make this year. Faced with the current situation of the industry, despite the difficulties, Cadillac decided not to raise prices, "the choice and pre-sale price remain consistent in configuration and price."

Pan Mengmeng said, "Since Ruige is Cadillac’s first pure electric product, we must ensure the high satisfaction of customers. This is our initiative, and the starting point is to provide customers with a quality experience."

It is reported that in order to better meet the needs of Ruige customers, Cadillac will also build experience stores in various cities, continue to explore the direct mode, and connect more closely with users through the "Cadillac IQ" online APP.

Pure electric IQ space, direct marketing system and energy-supplementing system are all new attempts made by Cadillac in sharp songs, and to a certain extent, Cadillac is adapting to market changes. When everyone is running on the same track, what kind of people can run longer? Cadillac’s answer is focus, focus on itself, not the game.

"Although all friends are on the same track as us, for all players on this track, the primary goal is to consider how to meet the needs of different consumer groups. We hope to bring more derivative value to consumers through products, services, rights and interests, and the whole brand, and give consumers a value-for-money experience. " Pan Mengmeng said.

　　　 1905 movie network news On the evening of June 7th, on the Super Speaker program, Le Jia, the tutor, got drunk at the scene of the program. As a result, he got drunk out of control, and his mouth was full of swearing. Three hours after the incident, Le Jia sent Weibo a response: "A clear conscience is much more important than becoming a successful person." But the Weibo was deleted by Le Jia. On the morning of June 9th, Cui Wanzhi, a disciple of Le Jia, posted a long microblog, saying that Le Jia was drinking this time to give himself a strong drink, and wrote affectionately, "Meeting Master Le is a blessing for my life".

Le Jia disciple Cui Wanzhi sent Weibo the original text is as follows:

　　　 Last night (June 8th), I saw many netizens saying that Master Le was drunk, and even said that he was hyping himself. I felt very surprised, shocked and very sad. I knew that Master had put himself under great pressure and grievances for me, and I thought I could no longer remain silent.

　　　 Anyone who is familiar with the musician knows that speaking is something he loves and devoted his life to. He loves everyone in our Nirvana team. Every time I give a speech, he teaches me by hand and inspires me word by word. In the face of my game, he pays more behind the scenes than I do. I know in my heart that he always hoped that he could fulfill his promise to the man I made in the audition.

　　　 Master Yue believes that the quality of a speech mainly depends on how many people can be touched and how far the influence is. He doesn’t want me to just win sympathy points on the speaker stage, but to speak with real strength. His passion on the stage, I think, is that he has been worried that disabled people will suffer on this stage. He really hopes that I can go to the end, but I can go to today, in fact, I am very satisfied.

　　　 Yesterday’s first speech, my state was not very good. Before the last lecture, in order to let me completely lay down my burden and stimulate my fighting spirit and potential, Mr. Le did not hesitate to be strong with wine. He asked me to drink half a glass of wine and said to me, Wan Zhi, I hope you will devote yourself to this lecture, forget your achievements, and pass on the sentence "Being a good person is much more important than being a successful person" to all people, so that your son will be proud of having a father like you in the future. He is totally trying to inspire my potential in this way, so that I can play better in the final. When Master Le encouraged me and canvassed for me, he was a little emotional when he spoke. Everyone who studied with him knows very well that I appreciate his painstaking efforts, but this may make some unfamiliar friends misunderstand or unhappy. Please understand.
　
　　　 Thank you, Mr. Le Jia, for your careful guidance, companionship and encouragement over the past few months. Meeting Master Le is a blessing for my life.

Jin Dongxu, Jin Zhiyuan and Jin Xiulu

Jin Zhiyuan

　　Movie network news(Compile /Ben) Actor Jin Xiulu, who is famous for his comedy image in the Korean film industry, will challenge his self-image in the new film Romantic Paradise directed by Jang Jin, in which he will play a man who lives in pain after experiencing where will you go with his wife.　

　　According to Korean media reports, director Jang Jin praised Jin Xiulu’s performance at the media screening of Romantic Paradise on March 15th. He revealed that Jin Xiulu suffered a lot on the set, especially his inner pain made it difficult to grasp. He also said that Jin Xiulu’s performance in the film is completely different from the usual nonsense image.

　　Director Jang Jin also said that the plot setting of losing his wife made Jin Xiulu very upset. Whenever the filming was over, he always invited several people to drink together. Director Zhang said that he was happy to have an actor like Jin Xiulu, and at the same time he was satisfied that Jin Xiulu created a role that felt very different in the film.

　　The style of Jang Jin’s tenth work, Romantic Paradise, is quite different from the humorous films he directed before, and the new film focuses on humanity, emotion and emotion. The film will make the audience rethink the difference between heaven and reality, and the meaning of words such as life, death and love.

　　The film tells the tearful parting stories of three characters, one is Min Kui (Jin Xiulu), a lawyer who misses his deceased wife, the other is Zhi Xu (Jin Dongxu), a taxi driver who wants to find the first love for grandpa, and the other is Meimei, a girl who wants to live with her terminally ill mother forever (Jin Zhiyuan).

　　The film takes the unknown space of "heaven" as the theme of the film plot setting, so many reporters ask the actors how they feel about heaven.

　　Jin Xiulu said that he always thought that his dead father had been living happily in heaven. Jin Dongxu said that heaven is a place where you can feel happy, comfortable and warm. Jin Zhiyuan, the female No.1 actor, told reporters romantically that heaven is not a place to go after death. As long as you are with your lover, anywhere is heaven.

　　The film will be released in South Korea on March 24th.

[Movie Network]www.1905.com　Exclusive manuscript, please indicate the source.
　

Editor’s Note: This article comes from Tencent Technology (ID: qqtech) and is reproduced by 36Kr with authorization.

On March 19th, the PPT of iQiyi roadshow was exposed, and the company will be listed on NASDAQ next week.

The following is a detailed interpretation of PPT English documents of roadshows.

Iqiyi IPO issued 125 million American Depositary Receipts (ADSs) at a price range of $17 to $19, with one ADS =7 common shares.

Pricing date: March 28, 2018

Stock code: IQ, listed on Nasdaq Stock Market.

Use of raised funds: content acquisition and production; R&D investment; Working capital and general enterprise use

Locking period: 180 days

Underwriters: Goldman Sachs, Credit Suisse and Bank of America Merrill Lynch are joint lead underwriters; Huaxing Capital, Citigroup and UBS Investment Bank are joint deputy underwriters.

Gong Yu, founder and CEO of iQiyi, and Wang Xiaodong, CFO.

Eager to become a technology-based entertainment giant, bringing fun and joy to people and their families.

The online entertainment industry in China has been growing rapidly, and the economic growth is expected to continue. According to the data provided by iResearch, the entertainment demand in China has reached RMB 1.06 trillion in 2016, and it is expected to increase to RMB 2.769 trillion in 2022, with a compound annual growth rate of 17.3%.

On the other hand, the scale of China’s online video member service market has increased from 400 million yuan in 2012 to 12.1 billion yuan (about 1.9 billion US dollars) in 2016; It is estimated that it will reach RMB 73 billion by 2022, with a compound annual growth rate of 34.9%.

Paid content+content distribution = subscription mode

Benefits of subscription mode: increase content investment-attract more subscribers-and get higher revenue.

Iqiyi’s business model-supported by the ability to monetize an IP in various ways.

Premium video content+paid membership service

In the fourth quarter ended December 31, 2017, the average monthly mobile users of iQiyi were about 421.3 million, and the average daily mobile users were 126.0 million. The average monthly visiting users of PC are about 424.1 million, and the average daily visiting users of PC are 53.7 million.

In December 2017, users watched 9.2 billion hours of video content on the iQiyi platform, and each user watched 1.7 hours of video content on the iQiyi application every day on average. Aiqiyi also owns the Aiqiyi Bubble Community, a leading entertainment-based social media platform in China, which allows fans to follow and interact with celebrities and entertainment communities.

According to the total time spent by users, iQiyi ranks second in China mobile application market; According to the calculation of monthly average visiting users, iQiyi ranks fourth.

As of December 31, 2017, the number of iQiyi subscribers was 50.8 million; As of February 28, 2018, the number of subscribers has risen to 60.1 million, which is faster than that of global peers.

Collect users’ search and play habits, consumption habits and interaction, and get public opinion analysis, user analysis and personalized recommendation through intention recognition, behavior model and machine learning.

Iqiyi Bubble: Focus on social networks in the entertainment field by targeting topics through celebrity dynamic news and content.

Powerful network effect, users realize socialization when watching videos.

More user behavior data-better content production and refined marketing-increase user participation and spend more time.

Through innovation in content selection, distribution mode and content production, iQiyi has become a market leader.

According to the report of iResearch, the original content of iQiyi occupies 5 in the top 10 Internet variety shows in China and 6 in the top 10 online original dramas.

In 2015, iQiyi released a high-budget online original TV series "Tomb Notes", which generated more than 100 million traffic within 24 hours of its release, with a total traffic of more than 4 billion.

Since 2015, iQiyi has released several award-winning original dramas, including Old Nine Gates and Crime without a License. The above two series generated about 13 billion traffic.

The company also took the lead in launching a series of very popular Internet variety shows, such as Qipa Shuo, which was released in 2014 and is now in its fourth season, and Hip-hop in China, both of which generated 3 billion traffic.

The video playback volume of "Hip Hop in China" reached 3 billion times; The number of short videos played reached 8 billion times; It has occupied 36 seats in 50 hot topics of Sina Weibo.

The program has produced a huge economic effect, and the advertising position of the 60-second finale is RMB 45 million.

Predicting video traffic and movie box office are key benchmarks to help determine the cost of content.

Iqiyi’s content ecosystem and strong publishing and monetization capabilities attract and support different types of content partners and provide them with optimized return on investment.

The functions provided by iQiyi to content partners include: content management, user and traffic data, and revenue sharing information.

Iqiyi’s solutions for advertising partners include: video pre-positioning and pop-up advertisements, In-Feed advertisements and innovative advertisements based on content.

Through artificial intelligence, big data and cloud computing, iQiyi has the ability of intelligent creation, intelligent output, intelligent labeling, intelligent publishing, intelligent viewing, intelligent monetization and intelligent customer service.

Gong Yu, founder and CEO of iQiyi; Wang Xiaohui, Chief Content Officer; Alvin Tang, Chief Technology Officer; Wang Xiaodong, Chief Financial Officer; Wang Xiangjun, Chief Marketing Officer; Yang Xianghua, Senior Vice President; Senior vice president Duan Youqiao.

Iqiyi has technology and innovative genes, and is inclusive and respectful.

In the field of original content, iQiyi will recruit top talents, systematically produce phenomenal original content, and strengthen the relationship with upstream industry participants.

In terms of technological innovation, iQiyi will use artificial intelligence and big data to make content, enhance entertainment experience, introduce content recommendation, serve advertisers and content partners.

In the content provision ecosystem, iQiyi will expand the coverage of long tail content, increase the number of iQiyi partner accounts, and further develop content in new media formats.

In terms of user base, iQiyi will increase its appeal to users of different age groups, provide excellent and personalized experiences and strengthen content distribution.

In terms of monetization channels, iQiyi will increase the penetration rate of paying users, establish a multi-layer paying user system, expand In-Feed advertising services and develop other monetization channels.

The monetization opportunities of iQiyi include membership services, content publishing, online games, paid reading, online advertising services, copyright authorization, e-commerce and so on.

The total revenue of iQiyi in 2017 was RMB 17.3784 billion (about US$ 2.671 billion), an increase of 54.6% compared with RMB 11.2374 billion in 2016 and RMB 5.3186 billion in 2015.

Iqiyi’s membership service revenue in 2017 was RMB 6,536.0 million (about US$ 1,004.6 million), an increase of 73.7% compared with RMB 3,762.2 million in 2016 and RMB 996.7 million in 2015.

The proportion of membership service revenue in total revenue increased from 18.7% in 2015 to 33.5% in 2016, and further increased to 37.6% in 2017.

Iqiyi’s online advertising revenue in 2017 was RMB 8,158.9 million (about US$ 1,254.0 million), up 44.4% from RMB 5,650.4 million in 2016 and RMB 3,399.9 million in 2015.

The average revenue of iQiyi’s active users per mobile day in 2015 was RMB 60.2, which rose to RMB 89.6 in 2016 and RMB 137.9 in 2017, with a compound annual growth rate of 51.3%.

Iqiyi’s revenue per thousand visit hours in 2015 was RMB 85.8, which rose to RMB 118.5 in 2016 and RMB 158.7 in 2017, with a compound annual growth rate of 36.0%.

The total revenue cost of iQiyi in 2015 was RMB 6.042 billion, of which the content cost was RMB 3.694 billion, the bandwidth cost was RMB 1.167 billion and other costs were RMB 1.180 billion. In 2016, the total revenue cost was RMB 11.437 billion, of which the content cost was RMB 7.541 billion, the bandwidth cost was RMB 1.875 billion and other costs were RMB 2.021 billion. The total revenue cost in 2017 was RMB 17.387 billion, of which the content cost was RMB 12.617 billion, the bandwidth cost was RMB 2.190 billion and other costs were RMB 2.579 billion.

The gross profit margin of iQiyi was -13.6% in 2015, -1.8% in 2016 and 0.0% in 2017. Iqiyi’s revenue cost accounted for 113.6% of total revenue in 2015, 101.8% in 2016 and 100.0% in 2017.

The operating expenditure of iQiyi in 2017 was RMB 21,331.3 million (about US$ 3,278.6 million), higher than RMB 14,026.9 million in 2016 and RMB 7,746.2 million in 2015. Among them, the revenue cost was RMB 17,386.6 million (about US$ 2,672.2 million), higher than RMB 11,436.6 million in 2016 and RMB 6,041.8 million in 2015; Expenditure on sales, general affairs and administration was RMB 2,675.0 million (about US$ 411.1 million), higher than RMB 1,765.8 million in 2016 and RMB 1,204.5 million in 2015; R&D expenditure was RMB 1,269.8 million (about US$ 195.2 million), higher than RMB 824.5 million in 2016 and RMB 500.0 million in 2015.

The reasons why iQiyi is worth investing include: its leading position in the market; Have an advanced business model to capture market opportunities; A deep understanding of the entertainment industry in China; Top original production ability; Invest in content in an orderly and efficient manner.

China’s entertainment industry will become a trillion-dollar market.