Strategic agreements boost Hainan-GBA connectivity, business

Accelerating coordinative cooperation between the Guangdong-Hong Kong-Macao Greater Bay Area and the Hainan Free Trade Port would help benefit businesses from the two sides, a senior Party official of Hainan province said.

"Over the years, the linkage development between the Hainan Free Trade Port and the Guangdong-Hong Kong-Macao Greater Bay Area has reached a new level, with continuous improvement of linkage mechanisms, steady improvement of basic connectivity, and continuous integration of innovation and industrial chains," said Wang Bin, publicity chief of Hainan.

Wang made the remarks during a press conference on Hainan's high-quality development and establishment of the Hainan Free Trade Port in Guangzhou, the capital of Guangdong province, on Friday.

The governments of Guangdong and Hainan have signed a series of strategic cooperation agreements to foster the coordinative development of the free trade port and the GBA, according to Wang.

Several infrastructural linkage projects have made breakthroughs, with the country's first normalized operation of drone logistics route already being opened between Haikou, the capital of Hainan, and Xuwen county of Zhanjiang, in the western part of Guangdong.

Also, international cargo routes linking Hainan's Haikou and Sanya to Shenzhen of Guangdong, Singapore and Malaysia have opened, helping effectively promote the linkage development of the free trade port, the GBA and Southeast Asian markets.

Foreign investment in Hainan has increased over the years, with the number of newly established foreign-funded enterprises in the province growing at an average annual rate of 65 percent since 2018.

There are currently 6,543 foreign-funded enterprises operating in the province, according to Wang.

"The establishment of the policy system and the construction of the Hainan Free Trade Port have also yielded tangible benefits for local businesses and residents alike," said Wang.

For example, the implementation of the zero-tariff policy for the import of raw materials, vehicles, yachts and self-use production equipment has resulted in a cumulative import value of 20.2 billion yuan ($2.8 billion), with the value of tax reduction and exemption amounting to 3.81 billion yuan.