GBA and Hainan deepening cooperation to boost innovation and sustainable growth

Two of China's most dynamic economic regions, the Guangdong-Hong Kong-Macao Greater Bay Area and the Hainan Free Trade Port, are deepening cooperation to boost innovation and sustainable growth.

The High-Quality Collaborative Development Exchange Conference opened on Monday in Haikou, Hainan province, bringing together government officials, business leaders, and researchers from both regions.

Held under the theme "Sharing new opportunities in the Free Trade Port, writing a new chapter for high-tech zones," the meeting focused on advancing collaboration in institutional reform, industrial integration, and talent exchange.

The collaboration is designed to leverage the unique strengths of each region. The GBA, a powerhouse of finance and technology, offers robust capabilities in advanced manufacturing and scientific research. Hainan Free Trade Port operates as a vast testing ground for trade and investment liberalization, with policies such as island-wide special customs operations and a streamlined tax regime.

"The key is to move from physical proximity to 'chemical fusion'," said Zhu Yuanbing, a researcher at the Guangzhou Institute of GBA. "By integrating institutional innovation, both sides can achieve a multiplier effect and create a super economic zone."

The collaboration will allow Hainan's open policies to attract global resources, while the GBA's industrial networks can channel them efficiently across China. Joint innovation models are also emerging, for example, combining Hainan's strengths in deep-sea and aerospace research with the GBA's capabilities in technology application and commercialization, according to Zhu.

On-the-ground cooperation is already taking shape. The Guangzhou High-tech Industrial Development Zone and the Mei'an Ecological Science and Technology New Park in Haikou are co-developing an advanced manufacturing park, supported by a 1-billion-yuan ($140 million) Hainan–Guangdong Industrial Investment Fund.

Three two-way incubators and liaison offices have also been established in Guangzhou and Shenzhen to support industrial transfers and investment.

To attract high-tech enterprises, the Haikou National Hi-Tech Industrial Development Zone has introduced measures including a "zero rent" policy for eligible start-ups and a "Fund First, Equity Later" model. The latter offers early-stage financial support for technology projects, which can later be converted into equity once businesses mature, reducing risk during the commercialization phase.

"We provide full-chain services, from R&D support and workspace to financial empowerment," said Xu Mingqian, deputy director of investment promotion at the zone.

Founded in 1991, the Haikou National Hi-Tech Industrial Development Zone is Hainan's only national-level high-tech zone, focusing on tourism, modern services, biopharmaceuticals, and advanced manufacturing.