Global organization sets up APAC headquarters in Hainan province

The World Free Zone Organization, a global nonprofit organization, is setting up its Asia-Pacific headquarters in Haikou, capital of Hainan province, to further support the development of free trade zones in China, according to city authorities.

Listed as one of the construction projects for the China (Hainan) Pilot Free Trade Zone, the nation’s 12th and largest FTZ, the new headquarters will be located in the 298-square-kilometer Jiangdong New District, a comprehensive and innovative zone designed to demonstrate Hainan’s efforts in deepening reform and opening-up.

China announced plans to transform the whole of Hainan Island into a pilot free trade zone in April 2018. As part of this, it granted Hainan more autonomy than the other 11 FTZs in the country, with an aim to make Hainan the flag bearer of the country’s reform and opening up.

Hainan has taken a large number of measures since last year to improve its business environment to attract both domestic and overseas investors.

“The WFZO Asia-Pacific headquarters will be dedicated to providing relevant services to governments, enterprises and investors, promoting development of the relevant industries of China’s free trade zones and liberalization of two-way investment,” said Li Guanglian, director-general of the China office for the Dubai-based international organization.

Co-founded by 14 free trade zones, including the China (Shanghai) Pilot Free Trade Zone, Dubai Airport Free Trade Zone and the American Industrial Free Zone, in 2014, WFZO has members from more than 100 countries and regions and maintained stable relations with important international organizations such as the World Trade Organization.

Li said the new headquarters will help facilitate the process of global economic integration and make Haikou a window for exchanges and cooperation between China and the rest of the world.

According to the WFZO development plan, the Haikou headquarters will be the administrative management center for the Asia-Pacific region and conduct part of the headquarter businesses. It will open an area for the world’s major free trade zones and related enterprises to set up offices and establish an international free zone research institute to carry out research and training.

WFZO also plans to establish a Hainan open university for free trade zones, a media center and an information hub. In addition, Haikou will be made the permanent host city for the World Free Trade Zone (China) Forum and a freetrade zone development fund will be established.

Statistics from the provincial government showed that in 2018, more than 150 foreign-funded companies were established in Hainan, an increase of 94 percent year-on-year. They include such big names as Thomas Cook, Ernst & Young and PricewaterhouseCoopers. Meanwhile, leading domestic businesses such as Alibaba, Tencent, JD and China Tourism Group have set up headquarters or regional headquarters in Hainan.