China (Fujian) Pilot Free Trade Zone was approved to set up by the State Council on Dec 31, 2014.
With a planned area of 118.04 square kilometers, the pilot free trade zone is composed of three districts respectively in Pingtan, Xiamen and Fuzhou.
The Pingtan district focuses on promoting the cross-Straits cooperation and developing the place into an international tourist spot, and implements freer and more convenient measures in investment, trade, funds, and personnel exchanges.
The Xiamen district emphasizes more on developing the demonstration area for cross-Straits emerging and modern service industries cooperation, the international shipping center in China's south-east coastal areas, and the cross-Straits financial services and trade center.
The Fuzhou district prioritizes the construction of the advanced manufacturing base, the platform for exchanges and cooperation among countries and regions along the 21st century Maritime Silkroad, and the demonstration area for cross-Straits service trade and financial innovation cooperation.
The establishment of this pilot free trade zone is of great significance to creating a more market-oriented and law-based business environment, boosting the cross-Straits cooperation and exchanges, deepening the reform and opening up, and promoting institutional innovation.
In the first half of 2018, there were 3,595 newly founded enterprises in the zone, with the registered capital totaling 197.96 billion yuan ($28.69 billion). The new foreign-invested enterprises were 348 and the contractual foreign investment amounted to 3.82 billion US dollars, respectively accounting for 33.1 percent and 40.8 percent of the province's total. The number of newly founded Taiwan-funded enterprises in the zone was 167, with a contractual investment of 259 million dollars, making up 30.4 percent and 27.7 percent of the province's total.
China (Fujian) Pilot Free Trade Zone has four advantages.
The Fujian FTZ’s first advantage is its unique location. Fujian province is located on the southeast coast of China very close to Taiwan, Hong Kong and Macao. And it is one of the most important platforms of China for connecting with Asia Pacific Region.
Second, Fujian has a good investment environment, as it is China's fastest growing and competitive emerging region with considerable foreign investment.
The third advantage of the Fujian FTZ is its industrial matching capacity. Located between the Pearl River Delta and the Yangtze River Delta, Fujian has already formed numerous superior industries.
Lastly, Fujian is one of the most developed provinces of education in China with 85 universities graduating more than 178,500 technical workers every year.