The Hainan Provincial Government delivered its annual Work Report on January 27, unveiling a roadmap for the Free Trade Port’s (FTP) continued expansion. Following a milestone year in 2025 that saw the official launch of island-wide special customs operations, Hainan has set a Gross Domestic Product (GDP) growth target of approximately 6% for 2026, signaling strong confidence in its high-level opening-up strategy.

Here are the key takeaways from the report:

1. 2025: A Year of Historic Milestones

The past year marked a turning point for the province with the formal initiation of island-wide special customs operations, a critical step in Hainan’s transformation into a world-class free trade port.

Economic Vitality: Industrial value added (above designated size) grew by 9.9%, while actual use of foreign capital surged by 19.9%, placing Hainan’s growth rates among the highest in China.

Market Growth: The "Zero-Tariff" policy benefits expanded significantly, with over 10,000 new entities enjoying the policy and 26,800 new market entities registered.

Tourism Boom: The island welcomed 1.5 million inbound tourists (a 35.2% increase) and surpassed 100 million total domestic and international visitors.

2. Economic Outlook: 2026 and Beyond

Looking ahead to the "15th Five-Year Plan" period (2026–2030), Hainan aims for an average annual GDP growth of over 6%. The province is focusing heavily on its four leading industries (tourism, modern services, high-tech, and tropical high-efficiency agriculture), which are projected to account for 73% of the regional GDP.

Key Targets for 2026:

GDP Growth: ~6%

Fixed Asset Investment: ~7% growth

Retail Sales: ~6% growth

Urban Unemployment: Controlled around 5.5%

3. Deepening Opening-Up & Improving Business Environment

Hainan is committed to creating a seamless environment for global investors and residents.

Customs & Travel: The province will push for the implementation of a "zero-tariff" policy on imported goods for island residents and expand the list of visa-free countries.

Aviation: Further relaxation of airspace controls and traffic rights is planned to boost connectivity.

Ease of Doing Business: Hainan will introduce a "One Certification, Multi-location Recognition" system for foreign enterprise registration and roll out 20 new measures to support businesses.

4. Innovation, Industry, and Infrastructure

Future Tech: The province is establishing innovation platforms for brain-computer interfaces, embodied AI, green hydrogen, and marine bio-manufacturing. Construction will also begin on Phase II of the prestigious Yazhou Bay National Laboratory.

Medical & Education: Hainan plans to introduce 100 new international innovative drugs and medical devices. In education, the Lingshui Li’an International Education Innovation Pilot Zone aims to host over 15,000 teachers and students, with plans to approve a new independently-run foreign university.

Major Projects: Infrastructure remains a priority with the start of the Zhanjiang-Haikou High-speed Railway and pre-construction work for the new Sanya Airport and Meilan Airport Phase III.

5. Talent & Lifestyle

Global Talent: Hainan is exploring new immigration policies for high-tech foreign talent to live and work on the island.

Urban Renewal: A "Cool City" initiative will launch, incorporating more green corridors and pocket parks.

Education: 40,000 new public school spots will be added in basic education.

6. Financial Reform

The report highlights a push to expand the cross-border use of the RMB and boost the volume of EF (Electronic Fence) Accounts to over 500 billion RMB. The province also aims to land three new financial leasing management project companies, solidifying its status as a financial hub.