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Revised regulations on Shanghai FTZ outline new opening-up measures

english.pudong.gov.cn/chinashftz Updated: 2025-09-30

On the 12th anniversary of its establishment, the revised regulations on the China (Shanghai) Pilot Free Trade Zone officially came into force on Sept 29. This marks a significant milestone as the first local legislation specifically tailored for a free trade zone (FTZ) in China.

The original regulations, implemented in August 2014, played a pivotal role in driving Shanghai FTZ to become a ground for testing new systems, exploring new paths in the nation. It generated a series of innovative reform measures and served as a model for FTZ legislation across the country.

The revised version consists of 10 chapters and 69 articles. They focus on the innovative reform measures implemented by the Shanghai FTZ over the past decade and aim to showcase the zone's development achievements and confidence to domestic and foreign business entities through systematic and integrated institutional arrangements.

In terms of creating a new hub for an open economy, the regulations summarize and consolidate relatively mature institutional experiences such as the negative list management for foreign investment access, overseas investment filing management, and the construction of an international trade "single window".

They also provide institutional arrangements for ongoing innovative measures, including new forms of trade in goods, full-process digitization of cross-border trade, and the supply of medicines and medical devices for international voyages.

Regarding financial openness and innovation in cross-border service systems, the regulations outline specific measures to support the development of scientific and technological, green, and digital finance, tailored to the characteristics of the Shanghai FTZ. In terms of full industrial chain development, they clarify the industrial layout and development directions for key sectors such as biomedicine and AI under the new circumstances.

To foster data flow and cultivate advantages in the digital economy, the regulations establish a mechanism combining negative lists and operational guidelines for the compliant export of data.

In terms of optimizing post-border regulations and enhancing the business environment, the regulations clarify institutional measures in areas such as government procurement, intellectual property protection, and ecological environmental protection. They also make provisions regarding the right to choose communication networks, in line with the latest World Bank assessment indicators for the business environment.