China's Hainan pilot free trade zone to introduce new policies for opening-up

The Hainan pilot free trade zone will introduce 30 policies already applied in other pilot free trade zones, according to a notice issued by the Ministry of Commerce (MOC) and 17 other agencies.

The move aims to boost the development of Hainan pilot free trade zone and implement a plan issued by the central government in October last year on building the southern province of Hainan into a pilot free trade zone, the MOC said.

The 30 policies can be classified into four aspects.

First, to facilitate investment and trade, 12 policies will be piloted in Hainan, including allowing foreign law firms to establish joint ventures with Chinese counterparts.

To open up the financial sector, seven policies will be implemented to support private capital entering the financial sector and strengthen strategic cooperation with the offshore Chinese currency (RMB) market.

To accelerate the development of the shipping sector, seven measures will be implemented to allow foreign ships to be chartered for temporary transportation under specific conditions and to facilitate international ship management enterprises to engage in seafarer assignment service.

In other aspects, the notice proposes to establish a complementary mechanism of public credit information and financial credit information and to establish a new model of intensive and economical use of land.

Hainan was approved in April 2018 to build a pilot free trade zone covering the whole island and explore the establishment of a free trade port with Chinese characteristics.