Legal basis: Law of People's Republic of China (PRC) on State-owned Assets of Enterprises.
Article 5 The state-funded enterprises mentioned in this Law refer to wholly state-owned enterprises and state-funded companies, as well as state-owned capital holding companies and state-owned capital shareholding companies.
Article 6 the State Council and the local people's governments shall, in accordance with the principles of separating government from enterprise, separating government from business, and not interfering with the independent operation of enterprises according to law, perform the responsibilities of investors according to law.
Article 7 The state shall take measures to promote the concentration of state-owned capital in important industries and key areas related to the lifeline of the national economy and national security, optimize the layout and structure of the state-owned economy, promote the reform and development of state-owned enterprises, improve the overall quality of the state-owned economy, and enhance its control and influence.