The newly revised Regulations of China (Zhejiang) Pilot Free Trade Zone (hereinafter referred to as "the Regulations") were deliberated and adopted at the 35th Meeting of the Standing Committee of the 13th Zhejiang Provincial People's Congress on March 18th and come into force on May 1st this year. "This 'Basic Law', which guarantees the construction and development of Zhejiang Pilot Free Trade Zone, receives a major revision after four years of its first adoption. The Regulations will support and encourage the Pilot Free Trade Zone in reform and innovation and provide sustained impetus for high-quality development of the Zone." An official of the Legislative Affairs Committee of Zhejiang Provincial People's Congress introduced. What are the features and highlights of the revised Regulations and how will it contribute to the high-quality development of Zhejiang Pilot Free Trade Zone? To this end, the reporter interviewed relevant officials of Zhejiang Provincial People's Congress and Zhejiang Provincial Department of Pilot Free Trade Zone.

Consolidate Innovative Measures

On April 1st, 2017, Zhejiang Pilot Free Trade Zone was officially launched. On December 27th of the same year, the Regulations of China (Zhejiang) Pilot Free Trade Zone was reviewed and approved by the Standing Committee of Zhejiang Provincial People's Congress. On August 30th 2020, the State Council approved the expansion of Zhejiang Pilot Free Trade Zone to set up additional sub-zones in Ningbo, Hangzhou and Jinyi (Jinhua Yiwu) on the basis of the existing zone in Zhoushan with an area of 120km². With the expansion, new reform items, plans and policies should be subject to laws and regulations. As a result, the revision of the Regulations was started.

The reporter notes that the newly revised Regulations adds the functional division of the four sub-zones and requires each sub-zone to highlight is own features based on its functional orientation, strengthen coordination and realize mutual reinforcement. "The Regulations clarifies the different functional orientation of each sub-zone and requires each sub-zone to adhere to innovative and differentiated development. At the same time, it is required to refine coordinated innovation mechanism, promote policy synergy and complementarity between the pilot free trade zone and coordinated innovation zone, so as to create multiplying effect and form a new pattern of all-round opening up." Yin Lin, Deputy Director of the Legislative Affairs Committee of Zhejiang Provincial People's Congress introduced.

Photo Credit: Zhejiang Provincial Department of Pilot Free Trade Zone

In addition, the Regulations specially absorbs and adds some reform trial measures. Many provisions in the Regulations are refined by innovative measures in Zhejiang Pilot Free Trade Zone, such as "Overseas Warehouse" "Barter Trade" "Yiwu-Xinjiang-Europe Freight Train".

In the Regulations, the allocation of commodity resources, the promotion of new international trade, the construction of international shipping and logistics hubs, the demonstration of digital economy development and agglomeration of advanced manufacturing industries are elaborated in single chapters and the five functional orientations is fully illustrated. "The sub-zone can consolidate existing reform achievements according to the Regulations and protect new explorations in an innovative way so that people are encouraged to have a try."

Three Distinctive Golden Business Cards

One of the biggest highlights of the revised Regulations is that the regional characteristics of Zhejiang are more obvious. "Zhejiang Pilot Free Trade Zone has been empowered with five functional orientations after the expansion, three of which can be called 'golden business cards'." An official of the Legislative Affairs Commission of the Standing Committee of Zhejiang Provincial People's Congress told the reporter that the Regulations focuses on building three golden business cards, namely the Oil and Gas Free Trade Zone, the Digital Free Trade Zone and the Hub Free Trade Zone, to strengthen the guarantee of rule of law and ensure that Zhejiang's advantages and features are highlighted. In this revision, the Regulations takes the Digital Free Trade Zone as the leading initiative. The overall requirements for the construction of the Digital Free Trade Zone are defined in the general provisions. In relevant chapters, digital platform construction, digital trade promotion, digital finance innovation and digital supervision services are further stipulated.

Photo Credit: Zhejiang Provincial Department of Pilot Free Trade Zone

Digital form runs through the whole text of the Regulations. Focusing on building the Zhejiang Model of the National Digital Pilot Free Trade Zone, the Regulations stipulates "strengthening the formulation of international rules and standards in the digital economy, promoting the digital transformation of traditional industries, and developing digital industries, digital trade, digital logistics and digital finance". At the same time, the Regulations also combines relevant contents of digital economic development into a chapter, and makes provisions on promoting new digital infrastructure, promoting digital industry agglomeration, and developing information technology industry. "We hope to facilitate the development of enterprises in the Pilot Free Trade Zone through digital governance." An official of Zhejiang Provincial Department of Pilot Free Trade Zone said.

Further Release Reform Dividends

The revised Regulations fully combines factor guarantee with project promotion, making many people feel reassured. "This revision of the Regulations will make it further aligned with advanced international rules, create a high-quality market-oriented, law-based and international business environment, attract business and promote the introduction of projects, so as to help Zhejiang Pilot Free Trade Zone achieve high-quality development." An expert of Zhejiang Provincial Department of Pilot Free Trade Zone said.

Source: Zhejiang News client