Chinese President Xi Jinping has emphasized the need to adopt high standards in developing the Hainan Free Trade Port (FTP), signaling renewed momentum for one of China's most ambitious economic reform projects. During a Thursday inspection in Sanya, Hainan Province, Xi reviewed progress on the FTP initiative and outlined strategic priorities to strengthen its role in regional and global trade networks.
Vision for Economic Innovation
As general secretary of the Communist Party of China Central Committee, Xi stressed that the FTP must serve as a "key gateway for domestic and international dual circulation" – a reference to China's economic strategy balancing internal growth and global engagement. The project aims to establish Hainan as a hub for cross-border investment, advanced logistics, and high-tech industries by 2025.
Strategic Implications
Analysts suggest the FTP's development aligns with broader efforts to position southern China as a competitive alternative to traditional Asian trade hubs. Since its 2018 launch, the port has introduced zero-tariff policies on select goods and streamlined business registration processes, attracting over $20 billion in new investments last year.
The initiative holds particular significance for ASEAN-focused trade, with Hainan's geographical proximity to Southeast Asia enabling faster customs clearance and maritime connectivity. Recent infrastructure upgrades, including a new international airport terminal in Haikou, further support this vision.
