The Free Trade Zone in Zhuhai is expanding every year. Established in 1996, the FTZ is one of the 13 active zones in China and the only one in the west bank of the country. It is becoming one of first class FTZ in the world by 2020.
It is estimated to have yielded 1.69 billion Yuan ($270 million) in GDP and 1.3 billion Yuan ($208 million) in value added output of industrial business above expected size in the first half of this year. The year-to- year rise is between 10% and 12% annually.
Recently after a reform in its management methods of settlement of foreign exchange capital investments, the FTW offers even friendlier environment for foreigners willing to invest. The new rules make sure that there is minimum loss when transferring foreign exchange capital. This system protects each investor from fluctuating exchange rates.
The zone is to become a comprehensive bonded new town combining an international trade exhibition platform, regional logistics hub, bonded processing base and bonded commercial housing base. The beginning has started with the 20 level Chiao Kuang Business Center in Zhuhai-Macao Cross-Border.
Live Science Park to be created by Singapore in Zhuhai’s Free trade zone Doumen district.
A Singapore-headquartered fund management company will build a Singapore Life Science Park in the zone costing 12 billion to 15 billion Yuan ($1.92 billion to $2.4 billion) to cover a headquarters economy, medical treatment and health rehabilitation, medical R&D centre and other industries. The ground of the project will combine bio-pharmaceuticals, medical apparatus, massive health industry, medicine logistics and e-commerce in its territory.
AVIC International Holdings LTD will make the zone’s biggest aviation parts exchange centre in China. But this is not the only project in the city. Statistics show that the number of high-end projects since last year reached 179. These include a couple of Fortune Global 500 Companies and Top 500 Companies from China. The total investment exceeds 30 billion Yuan ($5 billion).
The expansion of the FTZ will include leading enterprises from the aerial maintenance and training sector, precision machining, electronic parts manufacturing, medicine and medical apparatus, warehousing and logistics.
The Zhuhai-Hong-Kong-Macao bridge is almost done. It should be oppened by 2016.
Once the Zhuhai-Hong Kong-Macao Bridge is finished it will create a historic trade bond in the delta. The FTZ will become a Macao-facing logistic delivery centre taking advantage of its preferential policies – “free trade zone”, “24/7 customs clearance dedicated checkpoint” and “special export tax reduction policy”.
By 2020 Zhuhai will have one of the greatest environments in the world for investment. The bridge with Hong Kong will make sure that it takes no more than 30-40 minutes drive to one of the most important financial centers in the world. The special rules in the Free Trade Zone will encourage many of the biggest companies in the world to invest and create their centers of operation in this place. And this is just the beginning. With growth that keeps pushing higher than 10 % each year, Zhuhai will become one of the most important points in China’s future economic development.