A high-level dialogue themed on "Building Trust in the Shifting Global Landscape" is held during the Boao Forum for Asia (BFA) Annual Conference 2025 in Boao, south China's Hainan Province, March 26, 2025. [Photo/Xinhua]

As the world economy faces mounting uncertainty and rising protectionism, China is reaffirming its commitment to openness, with the Hainan Free Trade Port (FTP) emerging as an important gateway driving the country's opening up in the new era.

At the Boao Forum for Asia (BFA) annual conference, officials and experts underscored the significance of the Hainan FTP, as preparations accelerate for its independent customs operations, scheduled to begin by the end of 2025.

"Following the launch of independent customs operations, the Hainan FTP is expected to further improve the free and convenient flow of trade and investment with the rest of the world, while forging even closer ties with China's vast domestic market," said Liu Xiaoming, governor of south China's island province of Hainan.

Local officials said that preparations for the independent customs operations, a milestone in the construction of the Hainan FTP, have entered a critical sprint stage. All 31 checkpoint facility projects required for the operations have been completed, laying a solid foundation for the efficient movement of goods, people, and other key factors.

Hainan is China's first province to transform an entire island, spanning 34,000 square kilometers, into a free trade port that serves as a testbed for the unrestricted flow of goods, services, capital and data.

"The mission of a free trade zone or port is to break down barriers, not to build high walls, and to create opportunities, not to monopolize the benefits," Liu said, adding that Hainan is willing to cooperate with other global FTPs in areas such as logistics, industries and green development.

Hainan FTP is also a frontier for the innovation of regulations and mechanisms, according to Zhou Xiaochuan, vice chairman of the BFA.

As a key platform, the FTP can offer opportunities for countries worldwide, particularly those in Asia, to explore China's vast market -- home to over 1.4 billion people.

"I think the FTP has great possibility to help international businesses get attracted to China and expand not only to serve China but also the rest of the world," said Carl F. Fey, professor of strategy at BI Norwegian Business School.

By the end of 2024, Hainan was home to 9,979 foreign-invested enterprises, 77.3 percent of which were established after June 2020, when China released its master plan for the Hainan FTP. The number of countries and regions investing in the province has grown from 43 in 2018 to 174 today.

BFA Chairman and former UN Secretary-General Ban Ki-moon called China's decision to build the Hainan FTP "a courageous move that takes vision and leadership."

Highlighting the significance of Hainan alongside other global FTPs from Dubai, Singapore and Hong Kong, Ban added that such models demonstrate what trade and openness can deliver for growth, well-being, and sustainability at a time when globalization faces headwinds.

The Organization for Economic Cooperation and Development recently revised its global GDP forecast downward, from 3.3 percent to 3.1 percent for 2025 and 3 percent for 2026, citing higher trade barriers in several G20 economies and increased geopolitical and policy uncertainty weighing on investment and household spending.

Participants at the forum hailed the Hainan FTP as a prime example of China's higher-level opening up.

Since 1978, China's commitment to reform and opening up has transformed it from an impoverished nation into a market-oriented economic powerhouse, driving high-quality development and creating opportunities shared with the rest of the world.

"Regardless of changes in the external environment, we should remain steadfast in our commitment to opening up," said the Chinese government work report released early this month. "We should steadily expand institutional opening up and take the initiative to open wider and advance unilateral opening up in a well-ordered way, to promote reform and development through greater openness."

In late 2024, China granted zero tariff treatment to 100 percent of tax lines from all the least developed countries that have established diplomatic relations with China.

Since last year, the country has introduced measures to expand opening up in sectors such as value-added telecommunications and healthcare, completely removed foreign investment access restrictions in manufacturing, and reduced nationwide foreign investment access restrictions from 31 to 29 items.

"We will ensure national treatment for foreign-funded enterprises in fields such as access to production factors, license application, standards setting, and government procurement," the government work report said.

Thanks to these efforts, nearly 90 percent of surveyed respondents expressed that they were "very satisfied" or "relatively satisfied" with the business environment in China in 2024, an increase of 2.1 percentage points compared to 2023, according to a report released by the China Council for the Promotion of International Trade.

China's opening up at a high level, undoubtedly, is of great significance and will bring new opportunities for Asia and the world at large, Ban said.

China's GDP grew by 5 percent year on year in 2024, ranking among the world's fastest-growing major economies and continuing to contribute about 30 percent to global economic growth.

Looking ahead, Zhou Xiaochuan expressed confidence that as the Chinese government accelerates the rollout of core policies for the Hainan FTP, the province will play an increasingly vital role in a changing world, strengthening Asia's ties and supporting broader global cooperation.