Hainan FTP dividends take tangible, impressive shape--China

BEIJING, March 28 (Xinhua) -- Since the landmark start of island-wide special customs operations on Dec. 18 last year, China's Hainan Free Trade Port (FTP) has seen its institutional openness dividends taking tangible shape, injecting fresh dynamism into global trade and investment.

The dividends of the world's youngest and largest FTP in south China's island province of Hainan are evident in the initial outcomes. In the course of the past 100 days, the foreign trade of the Hainan FTP exceeded 80 billion yuan (about 11.6 billion U.S. dollars), up 32.9 percent year on year. It saw an increase of 737 foreign-funded enterprises, including Siemens Energy (Hainan) Co., Ltd. The number of visa-free inbound passengers jumped by over 54 percent.

Currently, the share of zero-tariff items in the Hainan FTP has surged to 74 percent, compared with 21 percent prior to the special customs operations. Zero-tariff goods processed in the FTP may be sold to the mainland duty-free if their local processing generates an added value of 30 percent or more.

These data underscore the vitality unleashed by the FTP and the strong appeal of its institutional dividends to global stakeholders.

Representing the highest level of opening up in the world today, FTPs play a special and important role in connecting markets, promoting investment, maintaining the stability of industrial and supply chains, and advancing free trade. In doing so, they contribute to enhancing global stability.

The Hainan FTP has tremendous growth potential in free trade and investment. Its unique location along the Belt and Road links domestic and international markets. China aims to build the Hainan FTP into an important gateway that leads the country's opening up in the new era.

As the preliminary outcomes have shown, the Hainan FTP is emerging as a new frontier of China's opening up and a fresh hub for global cooperation. In building the Hainan FTP, China will continuously enhance the level of opening up in key areas such as trade, investment and the flow of factors, and gradually establish a policy and institutional system that is compatible with a high-level free trade port.

Unilateralism and protectionism are on the rise, and the international economic and trade order is facing serious challenges. Adhering to openness and inclusiveness, and promoting win-win cooperation, are more important than ever for stabilizing the global economy.

The Hainan FTP is an opportunity for China and also for the rest of the world. With the certainty of its expanding institutional opening up, the Hainan FTP is well-positioned to unleash even greater momentum for free trade and an open world economy.