Free Trade Zone Development Research Articles

Research on Business Environment Issues in Guangdong Qianhai Free Trade Zone

At a time when China's economy is entering a new normal and realizing high-quality medium-speed growth, it is inextricably linked to the forty-two years of reform and opening up. As a pioneer of reform and opening up, Guangdong Province has been at the forefront of domestic economic development, demonstrating courage and practice in response to the changes of the times. As China's relationship with the world economy grows closer, changes in the international economy have prompted the deepening of regional economic integration and international trade. The application of free trade in international trade has been increasing, and FTAs have been widely practiced globally. As the world's second largest economic complex, China is still in the developing stage of free trade zone reform and practice compared with other developed countries. Wang Linghao (2019) pointed out that China's value and status in the global economy is increasing, and the development of free trade zones can help to enhance China's position in the global industrial chain. He emphasized that the influence of free trade can be enhanced through the development of free trade zones and the influence of the "Belt and Road" policy. Wang Under the guiding ideology of deepening reform and opening up of FTZs, China has promoted the experimentation and construction of Guangdong Qianhai FTZ and Hainan FTZ. Although the specific research on the business environment of Guangdong Qianhai FTZ has not yet formed a scale, it can be seen from the development research of other domestic FTZs that the business environment has an important impact on the construction of free trade zones. Therefore, this paper will deeply analyze the current situation and relevant initiatives of the business environment in Guangdong Qianhai FTZ from various aspects.

Внешнеэкономические связи и приграничное сотрудничество приграничных регионов Дальневосточного федерального округа как фактор обеспечения их динамичного развития

The article analyzes common approaches to solving the problem of developing the Far East by expanding promising foreign economic relations. The authors analyzed the regulatory framework and strategic planning documents on the development of the Far East region, highlighted key projects aimed at expanding foreign economic cooperation of the boundary regions. The development of the West-East international transport corri-dor is highlighted as key strategies; increasing the carrying capacity of the Baikal-Amur and Trans-Siberian railways, reorienting gas exports to the Asia-Pacific countries. Preferential regimes, reduction of the tax burden, simplification of bureaucratic procedures, reduction of the loan rate for small businesses, and development of free trade zones are effective mechanisms for developing investment attractiveness for foreign investors.

Exploring Stakeholder Significance and Impact at Tanjung Moco Port within the Tanjung Pinang Free Trade Zone

The Tanjungpinang Free Trade Zone has been operational for over 15 years, but this area has yet to fully harness the potential and benefits of Free Trade Zone regulations due to the absence of a free port serving as a crucial connectivity node between the Tanjungpinang Free Trade Zone, export destinations, and the hinterland area. The aim of this research is to analyze the role of Tanjung Moco Port as a Free Port within the Tanjungpinang Free Trade Zone. This research was conducted using qualitative methods, which involved literature reviews and interviews with BP Tanjungpinang Area officials and business stakeholders operating in the Tanjungpinang Free Trade Zone. The study's findings reveal that maritime connectivity offers several advantages that align with the Tanjungpinang Free Trade Zone's development plans. Through an analysis of needs and supply chains, the study underscores the significance of Tanjung Moco Port's existence to support logistics activities.
 Keywords: Free Port; Free Trade Zone; Tanjung Moco; Tanjungpinang; Logistic

Development of Free Trade Zones to Sustain Intermodal Transportation

Development of Free Trade Zones to Sustain Intermodal Transportation

Construction Scheme and Talent Policies of Free Trade Zones in China

Free Trade Zones (FTZs) are the important product of deepening reform, expanding opening up and promoting high-quality economic development under the unified deployment of the CPC Central Committee and the State Council of the People’s Republic of China. As the core competitiveness of FTZs, talents play an important role in the construction and development of FTZs, and the formulation of talent selection policies are vital in talent introduction. This article mainly discusses the construction scheme and talent policies of FTZs in China for reference of relevant departments.

Public Policy Evaluation on the Implementation of Free Trade Zone (FTZ) Using Enclave Model in Karimun Island

Implementation of Public Policies on the Establishment and Development of Free Trade Zones by Enclave Model on Karimun’s Island according to Law No. 36 of 2000 aims to encourage international trade traffic activities that bring foreign exchange to the Country and able to provide great influence and benefits for Indonesia, to be able to open the widest possible employment opportunities, increase tourism and investment, both foreign and domestic, currently are over the age of ten years. Various problems have arisen in policy implementation so far which are closely related to the Policy itself, starting from the Formulation process to its implementation. Referring to these conditions, this research aims to analyze comprehensively how the policy formulation process and effectiveness in the implementation of the Free Trade Zone on Karimun Island as well as the Policy Evaluation as intended in order to formulate a more effective and targeted policy alternative model. This study uses a qualitative research method by evaluating policy implementation using a model developed by George C. Edwards III, that policy implementation is influenced by four variables, namely communication, attitudes, sources, and bureaucratic structures. The research results obtained that two models of application or implementation of the Free Trade Zone status, namely the Comprehensive Model which applied in Batam and the Enclave Model which applied in Bintan and Karimun. Especially the Enclave model which is applied at Karimun still not optimized in its implementation. The implementation of FTZ on Karimun Island for ten years has not been running perfectly and need of improvements in terms of legal regulations and the organizational structure of the implementing institution, namely the Region Concession Body. In terms of performance, the Policy Implementer, BP Kawasan Karimun in recent years has not been able to bring in new investors and the value of imports is only slightly lower than the value of exports so that the increase in foreign exchange from exports is insignificant. Answering this problem, the researcher proposes a Theoretical Model for the Application of the Status of the Free Trade Zone through the Multi Stages Plan where with this model the implementation of the policy will be more effective and right on target Keywords: FTZ, Economic, Karimun, Enclave DOI: 10.7176/PPAR/11-3-05 Publication date: April 30 th 2021

The impact of the free trade zone on green total factor productivity ——evidence from the shanghai pilot free trade zone

The green development of free trade zones conforms to the theoretical principles of sustainable development and is key to promoting regional transformation and upgrading. By using synthetic control methods (SCM) based on microscopic data, this paper investigates the net effect of the establishment of the China (Shanghai) pilot free trade zone (SPFTZ) on green total factor productivity (GTFP) in Shanghai. The results show that the SPFTZ has promoted the GTFP in Shanghai. As far as time trend is concerned, the effects of this promotion become more apparent after a short-term period of slow growth. In terms of impact paths, the main driving force of policy is technological progress. Therefore, the SPFTZ should improve GTFP and create greater incentives for technological innovation. Institutional innovation for green development should play a central guiding role in the construction. We need continue to explore other green development models as well as means of creating higher levels of economic openness.

Research on the Revelation of Copy Strategy of the Innovation Model of the Tax Policies in Shanghai FTA—Take Heilongjiang Province as an Example

This paper is aimed at the wise call proposed by the central government to set up replicable tax policies in Shanghai FTA, and quotes the urgent need to copy to all parts of the country apply to regional economic construction and Free Trade Zone Development. For this reason, Take Heilongjiang Province as an example, Methods of Literature retrieval, Investigation and research, analogical analysis and judgment reasoning are applied, The real meaning, structure, policy formulation and implementation experience and application environment of tax policy of the tax policies in Shanghai FTA are teased out, and the prerequisite to copy the tax policies in Shanghai FTA, that is, the construction of need situation for trade developing environment in other provinces and regions is analysed, the instructive principles and detailed strategies for copying the tax policies in Shanghai FTA are discussed, which bears universal guiding meaning for copying the tax policies in Shanghai FTA nationwide. Finally, it clarified the important inspirations of the provinces and regions to replicate the tax policy model of the Shanghai Free Trade Zone. It emphasized that the consciousness of duplicating the content and structure of the policy model was eliminated, and the idea of simply “copying” the tax policy model was transformed into the effective integration of the national tax policy and the introduction of research talents and tax Services, etc., apply what they have learned, and avoid Simple copying and blind application.

China and South Asia Logistics Industry Development Based on Marine Water Conservation

Liu, L., 2019. China and South Asia logistics industry development based on marine water conservation. In: Guido-Aldana, P.A. and Mulahasan, S. (eds.), Advances in Water Resources and Exploration. Journal of Coastal Research, Special Issue No. 93, pp. 1066–1072. Coconut Creek (Florida), ISSN 0749-0208.The term “One Belt and One Road”, firstly initiated by the Chinese Government, has brought new opportunities for the effect of China on South Asian countries in the economic and trade cooperation. From 2005 to 2016, the scale of goods trade between South Asian countries and China increased significantly, and South Asia gradually became an important trading partner of China. The structure of China's export products to South Asian countries has not changed much and most of which are technology and capital-intensive processed products. However, the elements of China's import products has changed a lot under marine water conservation and tends to be diversified and rationalized. This paper analyzes the complementarity and competitiveness of trade between China and South Asian countries by applying existing indicators, e.g., revealed comparative advantage index (RCA), trade integration index (TII), trade complementarity index (TCI), export similarity index (ESI) and trade competitiveness index (CI).The results show that China's trade with South Asian countries is more complementary than competitive, and there is great potential for international logistics between China and South Asian countries. According to the situation of marine water conservation, we should make use of trade complementarity to improve the structure of foreign trade, strengthen trade negotiations and advance the development of free trade zones, as well as strengthen infrastructure construction and promote connectivity, in order to increase international trade value and promote logistics industry in China and South Asian countries.

The Linking of Strategic Planning and Innovation to the Performance of Public Organization in Indonesia

The purpose of this study is to develop a model that relates directly and indirectly to the performance achievement of Free Trade Zone Development Agency in Indonesia including the construct of strategic planning and the role of innovation as mediation in supporting the relationship of independent variables and dependent variable. The proposed mpdel was tested using SmartPLS ver. 3.0 for data processing. Data was collected from questionnaires completed by 109 samples who were seating as executives/head of department of Free Trade Zone Development Agencies in Indonesia. The four hypotheses tested in this study conclude that the construct of strategic planning has negative effect and not significant to the performance of the agencies, but indirectly has a significant effect on performance if it through innovation as a mediation. Strategic planning directly have significant relation on innovation, and innovation also evidenced to have strong influence in achieving organization performance. This study indicates that the Agency may achieve great performance when they can practically set up a strategic planning and optimize innovation ability within the organization.

FORMATION OF INNOVATION-INVESTMENT INTEGRATION STRATEGY FOR INDUSTRY DEVELOPMENT UNDER GLOBALIZATION CONDITIONS

The main conditions of industry sustainable development in the globalization conditions include macroeconomic stability in the national space, competitiveness and the internal and external environment efficiency. Solving the strategic tasks that will ensure the industrial complex development, especially in the global macroeconomic space, essentially depends to a large extent on innovation, investment, and integration activities, representing the priority directions in the international environment transformation context. Scientific engineering and technological progress is the driving force enabling the industry development in the national macroeconomic environment. In this aspect of the globalization transformations context, a particularly important role is given to innovation, investment, and integration processes. The purpose of this article is justification of theoretic and methodical bases of forming of innovative-investment integrated strategy for Ukrainian economy’s industrial sector development under globalization conditions, aimed at supporting the priority achievement of the strategic orientations of the national economy in the context of the European vector of development, taking into account the influence of the factors of the internal and external macroeconomic environment. Methodology. Materials of periodicals, analytical reviews, statistical data, resources of the Internet are the informational and methodological basis of the investigation. The research is based on general scientific and special methods, such as: monographic investigation, generalization, systematization, decomposition, factor analysis, economic-statistical analysis, logical-meaningful modelling. These allowed outlining the basic features and principles of the native industrial economy sector innovative-investment integrated strategy forming under the globalization conditions. The results. Innovation-investment integration strategy is a strategic document for the priority development of the industrial sector of the national economy. This is the source of the accumulation of strategic information and management methods for the future sustainable position of the industrial sector of the country. The developed methodical principles of forming an innovation-investment integration strategy for industry development under globalization conditions provide a phased decomposition of the strategic purpose, which provides an opportunity to determine the most effective directions of industry development, taking into account the input and output parameters of the strategy. The strategy allows assessing the export potential of the national economy’s industrial sector, to form export-import orientations and an adequate mechanism of foreign economic activity under conditions of the free trade zone development with the European Union countries and other international environment countries. Practical implications. The process of forming an innovation-investment integration strategy in the national economy industrial segment will enable the development of appropriate elements of the macroeconomic environment under globalization conditions. Value/originality. The strategy elaborates on how strategic management of innovation and investment integration processes in the industry will take place to ensure its effective functioning. Innovationinvestment integration strategy allows assessing the export potential of the national economy’s industrial sector, forming an export-import strategy and an adequate mechanism of foreign economic activity under the free trade zone development with the European Union countries and other countries of the international environment.

PENGEMBANGAN INVESTASI WILAYAH PERBATASAN, INDUSTRI MARITIM DAN KAWASAN PERDAGANGAN BEBAS DALAM MENINGKATKAN KESEJAHTERAAN MASYARAKAT PESISIR DI PROVINSI KEPULAUAN RIAU

The purpose of this research to create the boder region of investment development model, the maritime industry investment development model and Free Trade Zone development model effect on increase the welfare of coastal communities.The research location is in the of Riau Islands Province at Batam, Bintan and Karimun in 2016 with 200 research data. Analysis of the research through modeling path diagram, goodness of fit test (GOF) and the test results prove that the model evaluation through feasibility test models of assessment criteria Goodness of Fit (GOF) proved to be a model drawn up by researchers is the model has fit so that the model is said to fit the observed data development investment has met the criteria GOF through the test. Analysis of the research through modeling path diagram, goodness of fit test (GOF) and the test results prove that the model evaluation through feasibility studies Goodness of Fit (GOF) proven models arranged by researchers is the model has fit so that the model is said to fit the observed data to develop investment meets the criteria GOF through Chi-square test, probability of> 0.05, CMIN / DF≤2,00, RMSEA≤0,08, GFI≥0,90, AGFI≥0,90, TLI≥0,90, NFI≥0,90, CFI≥ 0.95. The results of the research hypotheses prove that the investment development of boder region, maritime industry and Free Trade Zone significant effect on increase the welfare of coastal communities in Riau Islands Province at Batam, Bintan and Karimun.
 
 
 
 
 
 

The effects of applying alternative discounting methods on the economic feasibility test of Free Trade Zone development project

PurposeThe purpose of this paper is to examine the applicability of the alternative way of discounting, such as the hyperbolic discount method, for the economic feasibility test on Free Trade Zone development project that needs intergenerational analysis.Design/methodology/approachTo analyze the effects of applying alternative discounting method in the cost-benefit analysis, this paper uses the hyperbolic discount method and HM-Treasury’s method (Britain), as well as the traditional exponential discount method. Also, this study uses benefit and cost data from the actual feasibility test of the Free Trade Zone development project in Korea, to obtain better policy implication.FindingsFor the case of long-term analysis, using the exponential discounting method in the benefit-cost analysis could not give us balanced analytic results, because it discounts too much on future generation’s benefits. In contrast, if we use the hyperbolic discounting method, we could obtain better balanced results since it can control the generational effects. This paper also finds that for the results to be valid, the analysis period must be expanded long enough (a minimum of 100 years).Originality/valueThe major findings of this paper confirm the results of previous studies regarding long-term benefit-cost analysis. Also, the result of this paper is properly compatible with the findings of behavioral economics, such as the time inconsistency of preferences. However, no research has been done with the proper length of analytic periods for using hyperbolic discounting yet. To examine this matter, this paper performs benefit-cost analysis with actual data from the feasibility studies in Korea. To the best of the author’s knowledge, this is the first study to find the proper length of analytic periods that can be compatible with the hyperbolic discount method.

The Research of World Top Port Evaluation Index System Based on the Development of Free Trade Zones

With the reference of the relative researches and experts’ interview of ports constriction, this article is trying to construct the World Top Port evaluation index system. By making the questionnaire basing on integrated development in free trade zones (FTZ), applying reliability and validity analysis, the World Top Port evaluation index system is designed including port macro environment of free trade zones, economic output of free trade zones and ports, port infrastructure, laws and regulations, talent and technology and safety and security. The construction of the index system not only provides theoretical basis to build strong and world-class ports in China, but also has great significance for China to improve the port competitiveness.

РАМКОВА УГОДА АСЕАН З ТОРГІВЛІ ПОСЛУГАМИ ЯК ПОШТОВХ ДО РЕГІОНАЛЬНОЇ ЛІБЕРАЛІЗАЦІЇ

Nowadays very dynamic and ambitious structural changes transform the global economy and international trade. Particularly noteworthy is not only the speed of global changes, but the coverage which affects almost the entire economic world. The Association of Southeast Asian Nations economies are no exception to these trends. While their rapid growth over the past few decades, largely driven by high exports of industrial products, services sector and trade in services began to gain importance recently. This article analyzes the volume, dynamics and structure of trade in services in the Association of Southeast Asian Nations with respect to the Framework Agreement on Trade in Services (AFAS) geography and development of free trade zones involving ASEAN. A comprehensive analysis of trade in services of individual sectors was performed. As a factor that contributes to international trade the Framework Agreement on Trade in Services was analyzed. Moreover free trade zones involving ASEAN were pointed out. This article analyzes the importance of comprehensive measures to successfully promote trade in services both within the region and with the rest of the world.

The Effect of Employing Hyperbolic Social Discount Rate onto the Economic Feasibility Test for Free Trade Zone Development Project

The Effect of Employing Hyperbolic Social Discount Rate onto the Economic Feasibility Test for Free Trade Zone Development Project

Research agenda for understanding transboundary ecosystem changes and eco-security in Southwestern China

The longitudinal range-gorge region (LRGR) in Southwestern China, characterized by longitudinal mountain ranges and deep valleys, includes the basins of four major international rivers: the Yuanjiang-Red, Lancang Mekong, Nujiang Salween and Irrawaddy. This region is classified as one of the world’s biodiversity hotspots, and provides an important ecological and economic corridor linking China and Southeast Asian countries. Over the past half century, it has served as a resource base for timber and minerals needed to fuel economic development, which resulted in rapid and drastic changes in ecosystem and species diversity. Proposed and ongoing development programs, such as China’s Great Western Development campaign, Greater Mekong Subregional Economic Cooperation (GMS) and China-ASEAN free trade zone development (“10+1”), threaten to bring unprecedented disturbance to the region’s ecosystems. Present and emerging threats to eco-security have caught tremendous attention worldwide. Therefore, studies on such problems are critical for enhancing ecosystem health and transboundary eco-security. This paper indicates several multi-disciplinary and cross-sector studies on transboundary resources in this region that will meet three major national needs: 1) identifying core scientific issues of ecological development and infrastructure construction in high plateau and mountainous areas for the Western Development campaign; 2) developing maintenance mechanisms and control methodologies for transboundary eco-security and resource base development; 3) providing scientific grounds for multi-lateral diplomacy, trade and economic cooperation, and conflict resolution as part of China’s opening-up to south Asia. The key subjects to be solved include dynamics and major drive forces of this area, ecological effects caused by major projects construction, and transboundary eco-security and its controlling. The research projects proposed in this article will develop theories on ecosystem change and transboundary eco-security, and provide a scientific basis for national and international development strategies.