HAIKOU /China/, March 8. /TASS/. The Hainan Free Trade Port is one of the key topics of the government work report presented at the annual series of events of the National People's Congress (NPC, parliament) for seven years in a row. As stated in the document released during the current session of China's top legislative body, the country's authorities intend to "intensively promote the implementation of relevant cornerstone policies."
"We will make continuous efforts to build a first-class internationalized business environment that ensures adherence to market principles and the rule of law, so that foreign-invested enterprises can achieve greater success in their development," the report stresses.
Pei Guangyi, associate professor at the School of Economics and Management at Hainan Normal University, told Xinhua News Agency that Hainan will help "set the direction for [China's] openness policy in the new era" and "play an important demonstrative role" in working to deepen China's reform efforts. He said that amid growing uncertainty in international trade and economic relations, China's southernmost province "demonstrates the government's determination for transformation".
Chi Fulin, head of the China Institute of Reform and Development (Hainan), believes that Hainan's strategic system, which focuses on free trade, attracting investment, and expanding the list of preferential treatment, has "generally already taken shape". He likened the provincial government's policies at the current stage to the "early harvest" when the process of internationalization is becoming more obvious.
According to Zhang Chunsheng, secretary general of the Hainan Cross-Border E-Commerce Association, the Free Trade Port will be even more responsive to system innovations as the province transitions to a new customs inspection system, which will be different from those in other regions of the PRC. In addition, the process of financial liberalization will be strengthened and the movement of cross-border data flows will be accelerated. At the same time, a more comprehensive tax incentive system will be formed, and more powerful incentives will be created to attract domestic and foreign investment.
Free Trade Port and National People's Congress
In April 2018, Chinese President Xi Jinping announced the establishment of a pilot free trade zone and port on the island. The program aims to bring Hainan into the process of globalization and international division of labor, and lay a solid foundation for innovation. Local authorities are creating attractive conditions for investors and developing scientific and production infrastructure. According to the government's plan, the province's business climate will soon reach a national level, and by 2050 the region will become a unique international cluster with an advanced economy and will house campuses of leading universities, advanced laboratories and headquarters of global corporations.
The National People's Congress amends the Constitution and supervises its implementation, enacts amendments to the Criminal and Civil Codes, and enacts laws on state structure. Its powers include electing and dismissing the President of the People's Republic of China and the Premier of the State Council, their deputies, the heads of the Central Military Council, the Supreme People's Court and the Supreme People's Procuratorate, and the heads of ministries. The session runs from March 5 to 11 in parallel with a similar series of events of the National Committee of the Chinese People's Political Consultative Conference (the top advisory body), which traditionally begins its work a day earlier, on March 4, and concludes on March 10.