Private firms make beeline to Hainan FTP

As Hainan Free Trade Port approaches its island-wide special Customs operations next month, private enterprises are increasingly aligning their strategies with the province's development vision, attracted by its unique policy advantages and growth potential.

Gao Yunlong, chairman of the All-China Federation of Industry and Commerce, said at a meeting held in Haikou on Friday that the Hainan FTP is vital for China and the global economy. He urged private enterprises to shoulder more responsibilities and contribute to establishing Hainan as a new hub for high-standard opening-up and development.

Feng Fei, Party secretary of Hainan, outlined key incentives for businesses, emphasizing the Hainan FTP's preferential policies, modern industrial system, open cooperation networks, and optimized business environment.

"Choosing Hainan means choosing opportunities; investing in Hainan means investing in the future," Feng said, noting that Hainan will commence island-wide special Customs operations on Dec 18.

Corporate leaders echoed this optimism.

Nan Cunhui, chairman of CHINT Group, said that since signing a strategic cooperation agreement with the Hainan provincial government in 2023, the company has established its overseas investment headquarters in the province and invested in clean energy projects, including photovoltaic and wind power stations in Haikou, Sanya, and Danzhou.

"The exponential growth in clean power demand, driven by artificial intelligence and computing technologies, aligns with Hainan's low-carbon development goals," Nan said, pledging further investments in green hydrogen storage, zero-carbon industrial parks, and smart city initiatives.

Zhu Jianmin, chairman of Oxiranchem Group, highlighted the efficiency of Hainan's business environment. Despite challenges, the company completed and put into operation its Yangpu-based project by the end of 2023. "The Hainan FTP's tax policies, unique geographical location and logistics advantages have enabled us to source raw materials globally and target ASEAN markets effectively," Zhu said.

Zhong Lizhao, chairman of Yongdao Group, announced a planned total investment of 3.3 billion yuan ($467 million) in Hainan, covering projects such as an international settlement center, eco-friendly equipment manufacturing, and blue carbon research. "Hainan's policies and regional advantages resonate with our development strategy," he said, adding that the firstphase projects are already underway.

Li Shufu, chairman of automaker Geely, said: "Launching island-wide special Customs operations is a signature project of the Hainan Free Trade Port, and will provide a rare development opportunity for the growth of the private economy."

Hainan is poised to become a gateway for private enterprises seeking global expansion, innovation-driven growth, and sustainable development, experts said.

Fang Aiqing, president of the China Council for International Investment Promotion, said the special Customs operations will see the implementation of more favorable zero-tariff policies for goods, relaxed trade management measures, convenient travel arrangements, and a more efficient and precise regulatory model.

"This is not only a Hainan model for China's special economic zones, but also a valuable contribution to global free trade port development," Fang said.