Background:

    1.       Two years after the release of the Outline Development Plan for the Guangdong-Hong Kong-Macao Greater Bay Area (hereinafter referred to as “the Outline”, issued on February 18, 2019), specified documents are necessary to take new economic status into considerations.

    2.       With 2 years’ general development piloting in the Guangdong-Hong Kong-Macao Greater Bay Area (hereinafter referred to as “the GBA”), further actions and measures are expected to be taken to facilitate the Outline’s implementation.

Current Status and Facts:

    1.       The Central Committee of the Communist Party of China and the State Council successively issued Master Plan of the Development of the Guangdong-Macao Intensive Cooperation Zone in Hengqin (hereinafter referred to as “the Hengqin Plan”, issued on September 5, 2021), and Plan for Comprehensively Deepening the Reform and Opening up of Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone (hereinafter referred to as “the Qianhai Plan”, issued on September 6, 2021) 

    2.       Both plans aim at facilitating a comprehensive and integrated development of the GBA.

    3.       The main content of the Hengqin Plan:

      a)         Impetus for Macao’s appropriate economic diversification and general development.

      b)         Specify goals for the next 24 years in 3 stages (2021-2024, 2024-2029, 2029-2035)

      c)         The Intensive Cooperation Zone will focus on industries such as: scientific and technological R&D, high-end manufacturing, cultural tourism, convention and exhibition, commercial and trade, and modern financial services.

      d)         Promote safe and orderly cross-border flows of internet data.

    4.       The main content of the Qianhai Plan:

      a)         Expand current Qianhai area to 120.56㎡ (previously 14.92㎡).

      b)         Industrial focuses on: AI, healthcare and medical, financial technologies, smart city, IoT, new energy and materials, as well as marine science and technology.

      c)         Actively attract venture capitals, science and technological capitals and R&D institutions.

      d)         Legally and appropriately facilitate market access for in internet-connected products. 

      e)         Enhance the scope of opening-up for financial and legal affair agencies and institutions.

Possible Impact and Suggestions:

    1.       A sign of China’s determination on continued globalization.

    2.       Easier market and talent access for MNCs and foreign investors, especially those in the mentioned industry in the GBA

    3.       MNCs or foreign enterprises deeply involved in the international trade and manufacturing shall expect lower operational cost and cross-border barriers with the enhancement of free trade zone service in the GBA.

    4.       Clear welcoming notes for global financial and technological institutions.

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