Over the past five years, the Hainan Free Trade Port has rapidly emerged as one of China’s most dynamic destinations for international investment. Official data shows that entities from 176 countries and regions have invested in the island province, with 8,089 foreign-funded enterprises established during this period—an average annual increase of 43.7 percent. The actual use of foreign capital reached 102.5 billion yuan, or about 14.2 billion US dollars, growing 14.6 percent annually. These figures reflect the growing confidence of global investors in Hainan’s open business environment and policy advantages.

At a recent Global Enterprise Conference held in Haikou, 20 companies signed agreements to expand operations in Hainan, including the French market research group Ipsos. According to Liu Lifeng, Chairman of Ipsos China, the company chose Hainan because of the Free Trade Port’s unique combination of openness, location, and supportive policies. “Hainan’s business environment and future development potential are highly attractive,” said Liu. “We plan to use Hainan as a base to serve both Chinese clients going global and international companies entering the Chinese market.”

Haikou National High-Tech Industrial Development Zone

Beyond trade and headquarters investment, Hainan is also attracting projects in advanced and emerging industries. Baiwei Gene Biotechnology (Hainan) Co., Ltd. recently set up offices in the Haikou National High-Tech Industrial Development Zone, becoming the first foreign-funded enterprise in the Free Trade Port to focus on stem cell therapy research and production since the government opened this field to foreign investment. In addition, Singapore’s Perennial Group signed an agreement to establish the first wholly foreign-owned hospital in Sanya, marking a new step in international cooperation in healthcare and medical tourism.

Hainan’s advantages are both geographic and strategic. Situated at the crossroads of China’s domestic market and Southeast Asia, the island offers companies a platform to access a vast consumer base while becoming integrated with Asia-Pacific and global value chains. Preferential policies such as zero tariffs on raw materials, production equipment, and yachts, along with tax exemptions for processing and value-added exports have further boosted trade and investment confidence. Over the past five years, the province’s trade in goods has grown by an average of 31.3 percent and trade in services by an average of 32.3 percent, with economic openness rising to 35 percent.

As Hainan prepares for island-wide special customs operations, expectations are high. Province officials have pledged to strengthen international promotion, organize targeted investment missions, and develop the “Invest in Hainan Free Trade Port” brand. By deepening cooperation in trade, technology, and services, Hainan aims to become a leading hub for global investment and innovation in the Asia-Pacific region—a true gateway between China and the world.