New policies for Pingtan FTZ to spur business

Officials expect the three new FTZs will further boost economic reform, promote trade and facilitate investment in new areas, as the world's second largest economy moves away from its unsustainable export-dependent model.

"Customs clearance in Pingtan is fast and efficient. The same procedure used to take me 30 percent more time," said Bai, a businessman from Taiwan selling products for babies.

Different form the other FTZs, the Pingtan zone is focused on trade with Taiwan. However, all zones must adhere to the negative list approach, which details 122 prohibited or restricted areas for foreign investment, ranging from Internet news services, production of radio and television programs to non-ferrous metal mining. This number has been reduced from 139.

Foreign investors are subject to the same rules and regulations for new investment as domestic firms.

Zhang Shuyu, a finance researcher with the University of International Business and Economics, said the FTZs could be key "supporting points" for the Belt and Road Initiative.

"More such zones and opening-up policies are needed in central and west regions," Zhang said.

Wang Shouwen, assistant minister of commerce, has said that the new zone will not just copy the Shanghai version but will break fresh ground in areas such as investment administration, trade regulation and financial systems.

The FTZ fever has caught the attention of officials across the country, with many pushing for their regions to be included in the next batch of FTZs.

Dragged down by a housing downturn, softening domestic demand and unsteady exports, the once sizzling economy has entered a "new normal" of slower but efficient growth.

China's second-quarter GDP expanded 7 percent year on year, unchanged from the first quarter, the National Bureau of Statistics announced on Wednesday.