The Role of Hainan Free Trade Port in Shaping China’s WTO Commitments and International Trade Policies

Abstract

The establishment of the Hainan Free Trade Port (hereinafter HFTP) represents a key development in China's economic strategy, aligning closely with the nation’s commitments under the World Trade Organization (WTO). Officially launched in June 2020, the HFTP is designed to foster an open, modern, and competitive free trade environment, with ambitions to become a leading global trade hub by 2035. This initiative, however, presents complex challenges in balancing the innovative policies of the HFTP with China's existing WTO obligations. The unique regulatory framework of the HFTP, including zero tariffs and significant trade liberalization measures, raises critical questions about compliance with WTO principles, particularly regarding non-discrimination and fair competition. This research article studies the legal and economic implications of the HFTP within the context of China’s WTO commitments, analyzing both the potential benefits and challenges presented by this ambitious project. By examining the intersection of the HFTP with China's broader international trade policies, this study intends to provide insights into the changing dynamics of global trade and offer recommendations for harmonizing the HFTP’s objectives with international trade law.