State-level economic, tech zones playing key role in foreign trade and investment

Amid rising protectionism and unilateralism that are disrupting the global trade order, China's state-level economic and technological development zones are playing an increasingly vital role in stabilizing foreign trade and investment, officials said at a policy briefing on Tuesday.

Officials made the remarks at a policy briefing hosted by the State Council Information Office, where they emphasized the significance of a newly released work plan by the Ministry of Commerce aimed at deepening reform and innovation in national economic and technological development zones to advance high-quality development through high-standard opening-up.

The plan outlines 16 targeted measures across four key areas. It encourages foreign investments in sectors such as biomedicine and high-end manufacturing and supports the export of digital services.

It also promotes the development of integrated industrial clusters that link domestic and foreign trade, backs the establishment of international logistics hubs, and calls for the effective implementation of tax deferral policies on reinvested profits by foreign-invested enterprises.

By 2024, China had established 232 state-level development zones. These zones hosted over 60,000 foreign-invested enterprises and 99,000 foreign trade firms with import and export records, contributed a combined GDP of 16.9 trillion yuan ($2.35 trillion) and recorded total imports and exports of 10.7 trillion yuan — accounting for 24.5 percent of the country's overall trade.

Also, the development zones collectively achieved $27.2 billion in actual FDI in 2024, accounting for 23.4 percent of the national total.

"With a high degree of industrial concentration and rich application scenarios for advanced technologies, the zones are expected to continue serving as pioneers in international cooperation and competition," said Ling Ji, vice-minister of commerce and deputy China international trade representative.

They will further integrate into the global industrial chain and leverage both domestic and international markets and resources, he said.

To ensure sound implementation, regulatory bodies such as the State Administration for Market Regulation are also stepping up support mechanisms.

In line with a pilot-first approach, the regulator will encourage zones to tailor policy implementation to regional characteristics and industry needs, said Peng Xinmin, director general of the department of laws and regulations of the State Administration for Market Regulation.

"Efforts will focus on streamlining government services, particularly those that are frequently accessed by enterprises and the public to significantly improve administrative efficiency," he said.

Moreover, the regulator will further standardize administrative enforcement and minimize unnecessary disruptions to the normal production and operations of businesses.

"These measures aim to stimulate market vitality through regulated and transparent enforcement, and provide a solid legal foundation for promoting high-quality economic and social development," Peng said.