The number of new market participants rose by 30,86% year-over-year to 310,200 in 2020, including 149,000 new businesses, with an annual increase of 113,71% on Hainan Island, located in southern China, according to data.
This increase was particularly evident following the release of a master plan for the free-trade port on the island. More than 73% of the market’s new business entities operate in the sectors of wholesale and retail trade, information and program transmission, software development and information technology services, as well as financial leasing and business services.
In recent years, Hainan has been implementing a series of measures to improve its business environment.
On June 1, 2020, a plan was announced to transform it into a high-level free-trade port, encouraging more Chinese and foreign investors to do business in Hainan.
More than 230,000 new market participants were registered between June and December, accounting for three-quarters of the annual increase in business activity.
