China's centrally administered state-owned enterprises (SOEs) are embracing opportunities in Hainan Province as the southern Chinese island is building a pilot free trade zone (FTZ).
A total of 21 central SOEs have signed cooperation agreements to develop in Hainan Province, said Hao Peng, chief of the State-owned Assets Supervision and Administration Commission (SASAC) of the State Council.
The China Tourism Group Corporation (CTGC) has moved its headquarters to Hainan, while other central SOEs, like the China Electronics Technology Group Corporation, have established their regional, international or settlement headquarters in the province, with registered capital of 35 billion yuan ($4.95 billion).
Projects playing supportive roles in Hainan FTZ have been launched. An international energy trading center launched by China Huaneng Group Co., Ltd. and other enterprises is expected to be in operation this month. Haikou international tax-free city, a tourism shopping project with an investment of 12.8 billion yuan ($1.82 billion) by the CTGC, was moving forward smoothly, Hao said.
China announced plans in April 2018 to build a pilot FTZ covering the whole island of Hainan Province and explore the establishment of a free trade port with Chinese characteristics.
Hao noted that the government would support and safeguard central enterprises to invest and develop in Hainan FTZ. The SASAC would provide them with more guidance and platforms for information exchange, he said.