Premier Li Keqiang pledged on Wednesday that China will continue to reduce the tax burden and cut fees on companies this year as part of efforts to help improve their competitiveness.
Li said tax and fees cuts are expected to reach 1 trillion yuan this year.
Reducing costs of enterprises means the government needs to "tighten its belt", he said.
"The central government is required to take the lead in reducing government expenses in order to leave room for cutting costs of enterprises," Li said.
Costs of broadband access, electricity and logistics will be further reduced, he added.
Li said such efforts will help improve the enterprises' competiveness.
Li stressed that China will not reduce import goods or retreat from opening-up process in order to support domestic enterprises.
China will continue its opening-up policy and introduce more advanced technology to support the development of domestic businesses, he said.
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