Island province lines up as free trade hub

Foreign and Chinese companies are scrambling to explore new opportunities in Hainan as the island province prepares to officially begin its special customs operations next month.

- -MA SI AND CHEN BOWEN

The Haikou International Duty-Free City in Haikou, Hainan province.

(PROVIDED TO CHINA DAILY)

Hainan Free Trade Port will implement major favorable tariff policies from Dec 18, with the proportion of products eligible for zero tariffs rising from 21% to 74%.

International organizations, company executives and experts have talked of the importance of the changes amid rising trade protectionism, saying it fosters free trade and reinforces economic globalization.

Chinese business leaders, including Yu Minhong, chairman of New Oriental Education and Technology Group, in Beijing, Liu Yonghao, chairman of the animal husbandry company New Hope Group, in Chengdu, Sichuan province, and Li Shufu, chairman of the automaker Geely, in Hangzhou, Zhejiang province, recently led delegations to Hainan to explore potential opportunities and negotiate deals with local companies.

They were joined by executives of technology companies such as Unitree Robotics of Hangzhou.

In recent weeks more than 40 key agreements have been sealed, covering sectors such as biopharmaceuticals, high-end manufacturing, the digital economy, tropical agriculture and aerospace technology.

Each project signifies deeper industrial chain integration and upgrading, demonstrating the active participation of private companies in the Hainan Free Trade Port's development.