Page 162 - AmCham South China 2026 Special Report on the State of Business in South China

Hainan

The economy Market highlights

at the southernmost tip Hainan is accelerating the construction of a
Located of China, Hainan faces ¡°4+3+3¡± modern industrial system with distinctive
Guangdong across the Qiongzhou Strait to the local characteristics. This system is led by high-
north and Vietnam across Beibu Bay to the west. level opening up through free trade port (FTP)
Its neighbors in the South China Sea include the construction and powered by new quality productive
Philippines, Brunei and Malaysia. Hainan became forces to build a modern industrial framework.
a province and a special economic zone in 1988.
2
The island covers 35,400 km of land and about 2 Shifting from traditional retail to new
2
million km of maritime area, with total population consumption models, Hainan¡¯s tourism sector
126
of 10.5 million . has grown steadily in recent years, with strong
expansion of duty-free shopping. In 2024, Hainan
Hainan maintained stable economic momentum received a record-high 97.21 million tourist visits,
during the 14th FYP period, achieving remarkable up 8% YoY. Total tourism revenue exceeded
progress. Its GDP grew from RMB553.2 billion RMB204 billion (US$28.3 billion), rising 12.5% .
129
in 2020 to over RMB794 billion in 2024. Thanks The island welcomed 1.11 million inbound tourists
to expanded global ties, Hainan attracted more over the same period, surging 115.6% YoY .
130
than RMB102.5 billion in foreign investment From a cross-border e-commerce perspective,
over the past five years, with an average annual Hainan has become an ideal destination for duty-
increase of 14.6%. The number of new foreign- free shopping, with duty-free sales reaching
funded enterprises surged by an average of 43.7% RMB30.9 billion . In H1 2025, foreign arrivals and
131
annually, reaching 8,089 . In H1 2025, its economy departures rose 48% YoY to 663,000, with visa-
127
continues to see robust growth, with GDP rising free entries jumping 76% to 269,000. Visa-free
4.2% YoY to RMB370 billion . travelers now account for nearly 90% of all foreign
128
arrivals, surpassing pre-pandemic 2019 levels
Hainan has entered a new era with the official by 6.6%. During the same period, the province¡¯s
launch of island-wide special customs operations international aviation network has expanded
in December 2025. More than a policy adjustment, rapidly, with three international airports handling
this marks a comprehensive, systematic and 2,800 visa-free transit passengers .
132
institutional upgrade designed to position Hainan
as a gateway of the highest level of openness, Leveraging its FTP policies and unique launch site
connecting China with the world. The new customs resources, Hainan has been advancing its ¡°space+¡±
regime will significantly reduce operating costs for economy in the past few years. By the end of
enterprises, foster innovative business models and
attract greater international capital and high-end 129 Government site of Hainan, https://www.hainan.
talent in the years ahead. gov.cn/hainan/jdsj/202501/1de40e7e38634019945632
7d4f16fa1b.shtml
126 Government site of Hainan, http://en.hainan.gov. 130 People.cn, http://hi.people.com.cn/n2/2025/0124/
cn/englishgov/AboutHainan/abuothainan.shtml c231190-41120390.html
127 People.cn, http://hi.people.com.cn/n2/2025/0809/ 131 https://finance.eastmoney.com/a/202501023285794233.
c231190-41317549.html html
128 Hainan provincial bureau of statistics, https:// 132 Government site of Hainan, https://www.hainan.
stats.hainan.gov.cn/tjj/ywdt/xwfb/202507/ gov.cn/hainan/szfxwfbh/202507/7d7bb61efa86411883
t20250725_3902846.html c694670ddb5cda.shtml

162 163