In August 1980, the People's Congress passed "Regulations for The Special Economy Zone of Guangdong Province" and officially designated a portion of Shenzhen, Zhuhai, Shantou as The Special Economy Zone (SSEZ).

What is Special?

The word "Special" mainly means special economic systems and policies. That is, the central government gives SEZs special policies and flexible measures, allowing SEZs to utilize a special economic management system.

1. Special tax incentives for foreign investments in the SEZs.

2. Greater independence on international trade activities.

3. Economic characteristics are represented as "4 primacies":

1) constructions primarily relies on attracting and utilizing foreign capitals;

2) primary economic forms are Sino-foreign joint ventures and partnerships as well as wholly foreign-owned enterprises;

3) products are primarily export-oriented;

4) economic activities are primarily driven by market.

SEZs are listed separately in the national planning (including financial planning) and have province-level authority on economic administration. SEZ's local congress and government has legislation authority.

Editor: Catherine