Xiangyu Bonded Area in Xiamen
China plans to launch three new pilot free trade zones to test greater opening-up and tap the economy's huge potential to hedge against mounting downward pressure next year. The new zones will be set up at sites in Guangdong and Fujian provinces and in Tianjin.
According to reports, the pilot free trade zone in Fujian is expected to cover an area of about 118.04 square kilometers. 4 areas in Xiamen, including the Xiangyu Bonded Area, Haicang bonded port area, Xiangyu bonded logistics park and the airport area, will be included in the free trade zone, covering an area of about 44 square kilometers.
As a special economic zone boasting duty-free areas and an export-processing zone, Xiamen is well-positioned to build a comprehensive free trade zone to facilitate trade, investment, offshore financial services and cross-Straits economic cooperation.
An FTZ is a measure used by the country to push economic reforms, which also helps reform the province. Since Fujian plays a key role in China's exchanges with Taiwan and the central government is planning to grow the province's economy to surpass Taiwan in 2020, an FTZ is likely to be a part of the stimulus policies planned for Fujian.
SOURCE: WOX Team
