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China plans to turn Hainan into an international transport hub by 2025

Digital technologies will be widely introduced into the system of logistics services
Meilan International Airport in Haikou Li Tianping/Hainan Daily
Meilan International Airport in Haikou
© Li Tianping/Hainan Daily

HAIKOU, July 24. /TASS/. The Chinese authorities plan to turn China's Hainan into a national and international transport hub by 2025, accordign to plan for the development of logistics in the region for the period of the fourteenth five-year plan (2021-2025).

A joint document by the Hainan Transport Administration and the Chinese State Committee for Development and Reform states that in five years, the island will complete the creation of the basic infrastructure for international transport. Digital technologies will be widely introduced into the system of logistics services. The region will become a stronghold for sea and air transport. According to the plan of the Chinese authorities, Hainan will become a "national warehouse" for two markets — Chinese and global.

A "modern logistics and economic belt" will emerge on the west coast of Hainan. It will connect the administrative center of the province Haikou in the north of the island with the Yangpu port area in the northwest and Sanya in the south of the region. These areas, together with Dongfang City on the west coast, will become the four main logistics clusters. Also, seven large logistics parks will be set up on Hainan. Three of them will be built in the north of the region, two in the east, one each in the south and in the central part of the island.

Hainan's logistics infrastructure will be integrated into China's Belt and Road Initiative. The province will establish direct contacts with major harbors and airports in Australia, Africa, Europe, South and Southeast Asia. In addition, Hainan's transport hubs will be linked to railways in mainland China, further diversifying the region's trade routes.

The Hainan authorities intend to consistently optimize the province's business climate, promote duty free policies and simplify customs clearance procedures. The island will expand the flight options for foreign airlines. Foreign airlines from one country will be able to operate between Hainan and a third party. The provincial government hopes to establish an international e-commerce and trade logistics center on the island using high-tech product parts.

On April 13, 2018, Chinese President Xi Jinping announced the creation of a pilot free trade zone and port on Hainan. The goal of the program is to involve the island in globalization and international distribution of labor, to lay a solid innovation base. The provincial administration creates attractive conditions for investors, forms an advanced research infrastructure. According to the government plan, by 2050, this region will become a unique cluster with an advanced economy, with the campuses of leading universities, advanced laboratories and the headquarters of world corporations.