Xi Jinping's Fujian Years: Pioneering Reforms and China's Growing Support for Private Sector and Opening Up

Before Xi Jinping rose to become China's top leader, his career included over seventeen years of service in east China's Fujian Province—a region he has dubbed his "second hometown." During this formative period, Xi played a significant role in shaping policies that bolstered private sector growth and further opened up the economy, laying crucial groundwork for what would later become pillars of his economic philosophy.

Reflecting on these experiences, Xi has noted, "Some of the thoughts and explorations I made while working here are still being thought about and deepened in my later work, and some of them have been put into practice on a larger scale across the country." His tenure in Fujian thus proved to be not only a testing ground but also a source of enduring policy innovation.

'Jinjiang Experience' vital for private economy

Between June 1985 and October 2002, Xi visited Jinjiang—then an emerging industrial powerhouse in Fujian—seven times. The county-level city was already leading economic development among its peers, thanks to a burgeoning private sector that faced both opportunities and growing pains. Xi’s approach was hands-on: he conducted extensive research on local private enterprises, consistently encouraging them to embrace market orientation and foster innovation.

Xi's engagement with business leaders often went beyond ceremonial meetings. He probed for details about their adoption of new technologies, development of fresh products, and challenges in an evolving market. A notable example occurred during his 2000 visit to Fengzhu Knitting Bleaching and Dyeing Industry Co., Ltd. Pleased by the company's preparations to go public, he urged entrepreneurs to transition from family-run operations to joint-stock systems—a move considered bold at the time. Fengzhu completed its joint-stock reform the same year and listed on the Shanghai Stock Exchange in 2004. This milestone made it the only Jinjiang-based company on the domestic main board at that time.

Today, Jinjiang stands as one of China's top county-level economies, boasting more than 320,000 market entities and 52 publicly traded companies with a combined market capitalization approaching 400 billion yuan (about $55.6 billion). Private enterprises now account for over 90 percent of Jinjiang’s GDP, tax revenue, and employment—a testament to the success of the so-called "Jinjiang Experience."

According to senior researchers, the "Jinjiang Experience" began as a localized model for economic growth but has since been adopted throughout China. Over the past two decades, its principles have spread from Quanzhou to all of Fujian, been refined in Zhejiang, and promoted nationwide. Experts describe the model as continuously demonstrating both its theoretical soundness and practical effectiveness within China’s evolving economy.

Xiamen SEZ key for reform and opening up

From 1985 to 1988, Xi held a series of senior positions in Xiamen—serving as a member of the Communist Party’s municipal committee, vice mayor, and executive vice mayor—during a pivotal moment for the city, which had been designated one of China’s first four special economic zones (SEZs). It was there that Xi gained invaluable experience in municipal-level leadership and direct participation in reform and opening up.

Determined to champion change, Xi advocated for the principle of "small government, big society," an unprecedented concept at the time. Recognizing Xiamen’s status as a bridge for international trade, he led delegations abroad to study successful models and organized China's first seminar on export processing zones and free ports.

Under sustained efforts, the Xiamen SEZ evolved from an export processing zone into a bonded port and ultimately a pilot free trade zone, further deepening its integration with the global economy. In a visit to the Xiamen Pilot Free Trade Zone in October 2024, Xi noted that "the requirements for reform and opening up, both in depth and breadth, are higher than ever before."

He called upon local authorities to adapt actively to changing circumstances, to promote institutional reforms, and to strive for breakthroughs in China's pursuit of high-level openness and economic modernization. As Fujian continues to serve as a bellwether for broader national reforms, the legacies of Xi’s policies are evident in the province’s robust private sector and its dynamic role in global trade.