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Regulations to boost growth in Xinjiang

By Mao Weihua in Urumqi and Zhao Ruinan | China Daily | Updated: 2025-06-25 00:00
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The Xinjiang Uygur autonomous region will implement two new local regulations on July 1 aimed at boosting economic development and expanding regional openness. One of the regulations is China's first local legislation to specifically focus on port economic development.

Approved in late May, the Xinjiang Uygur Autonomous Region Port Economic Development Promotion Regulations and the China (Xinjiang) Pilot Free Trade Zone Regulations are designed to integrate the rule of law with economic growth.

Li Yuehong, head of the economic legislation department of the Legislative Affairs Commission under the Xinjiang Regional People's Congress, said the goal is to "provide legal guarantees for the high-quality development of Xinjiang's port economies, which are vital for expanding both domestic and international trade".

Xinjiang currently operates 19 State Council-approved ports for foreign trade. Last year, these ports recorded a trade volume of 435.11 billion yuan ($60.6 billion), a figure expected to exceed 450 billion yuan this year.

The China (Xinjiang) Pilot Free Trade Zone, launched in November 2023, includes three key areas: Urumqi, Kashgar and Horgos. It is the first FTZ in China's northwestern border regions.

Liu Jianwei, deputy director of the budget office from the regional legislative body, said the new regulations will help unleash the potential of port economies, achieve higher levels of openness and support the high-quality development of the core area of the Silk Road Economic Belt.

Xu Henghuan, general manager of Xinjiang Lugangtong International Trade Logistics Co, located in Horgos, noted that Horgos has already seen a "cluster effect", with vehicles primarily exiting through road ports. By the end of May, the company's car exports had already surpassed its 2023 total, with trade volume exceeding 3 billion yuan. The company currently exports around 200 vehicles daily.

Xu added that the two regulations also propose accelerating key projects such as the capacity expansion and transformation of the Alashankou and Horgos railway port stations.

"In the near future, the continuous enhancement of railway transport capacity will give enterprises a greater competitive edge," he said.

The upcoming China (Xinjiang) Free Trade Zone regulation is a comprehensive framework for the construction of the region's free trade pilot zone. It aims to provide robust legal guarantees for system and mechanism reforms and institutional innovation within the free trade pilot zone.

Zhang Yongjiang, director of the Legislative Affairs Commission under the Xinjiang Regional People's Congress, highlighted that the regulation focuses on core aspects such as investment openness, trade facilitation, financial services and characteristic industries, specifying a more open management model in the free trade zone. It also encourages innovative cross-border renminbi business and provides institutional safeguards for bold explorations and pilot initiatives.

Wang Enpei, chairman of Zhongda Shijia (Xinjiang) Cross-Border E-commerce Trading Group Co, said the new regulations will attract companies engaged in cross-border e-commerce through policy guidance and industrial ecosystem construction.

"This will drive Xinjiang to become a hub for cross-border e-commerce targeting Central Asia, Russia and even Europe, greatly boosting our confidence and market competitiveness," he said. "Next, we will further accelerate the construction of overseas warehouses in Central Asia and actively expand into overseas markets."

 

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