Investment
Free Trade Zone
A free trade zone should be evaluated against the activities, goods, customers, people and regulatory needs of the proposed China operation. Zone status is not a substitute for a business case; the decision depends on whether specific measures improve the actual operating model after substance, cost and implementation are considered.
Testing Whether an FTZ Supports the Operating Model
01
Define the operating requirement first
State the transactions, logistics flows, licences, facilities, workforce and customer access the location must support before reviewing zone claims.
Location brief: Activities / Goods / Customers / Facilities / People
02
Test each claimed benefit
Record the legal or administrative basis, eligibility, responsible authority, application steps, conditions, duration and financial value for each relevant measure.
Benefit record: Measure / Eligibility / Authority / Conditions / Value
From Zone Comparison to Location Decision
03
Compare total location economics
Include premises, labour, logistics, management access, compliance, incentives and the cost of maintaining required substance.
Location model: Operating cost / Logistics / Talent / Benefit / Substance
04
Verify delivery before commitment
Obtain written clarification where appropriate and assign owners for applications, conditions and ongoing evidence. Marketing statements should not carry the investment decision.
Decision evidence: Source / Confirmation / Owner / Timing / Ongoing duty
FTZ Decisions Before Site Commitment
Guide
Guidance on China FTZ operating fit, zone comparison, eligibility, substance, location economics and implementation.
Comparison
Comparisons of zones and operating scenarios across activities, logistics, access, cost, conditions and execution risk.
Review
Reviews of claimed benefits, legal basis, eligibility, substance, facilities, workforce and delivery responsibility.
FAQ
Answers to management questions on FTZ purposes, locations, activities, benefits, applications, costs and ongoing conditions.
Resources
Location briefs, zone comparisons, benefit records, authority correspondence, cost models and decision papers.
Tool
Tools for zone screening, benefit validation, location economics, condition tracking and project readiness.
Case
Examples of how companies tested FTZ options against real operating requirements rather than zone branding.
News
Developments affecting free trade zones, local measures, administrative practice and location assumptions.
How to Use the China Free Trade Zone Hub
Use Guide to frame the work, Comparison and Review to test alternatives and risk, and FAQ and Resources to prepare the working file. Tool and Case support the management recommendation; News confirms whether the underlying assumptions remain current.
Management should select an FTZ only where verified measures improve the approved operating model after full cost and conditions. Material assumptions should be confirmed with current official information and qualified local advisers.