(Yicai Global) May 10 -- Construction has begun on three major industrial projects in Hainan province after China unveiled plans to convert the southern island into a free trade zone.
The facilities, including an ecological project by Tencent Holdings Ltd., a platform for developing online games and a smart sports industry base, are expected to produce an economic output of CNY10 billion (USD1.6 billion) each by 2020, state-owned news agency Xinhua reported. All three are based at the Hainan Resort Software Community, expecting to combine to cover a square kilometer of land with combined investment of CNY5 billion.
The developments will be the first batch to start construction after the central government announced that Hainan would become a free trade zone and pledged support for the province to build an internet industry worth CNY100 billion by 2020.
Tencent and the software park will team up to build Tencent Eco-Village, combining the park's ecological advantages with Tencent's online resources to create an internet innovation and entrepreneurial hub.
The State Administration of Radio and Television will work with the provincial government to build the gaming port, which will be the only national-level facility for the video game sector. They hope to build a public service platform for gaming firms from China and around the world, and help these companies distribute their products in other countries.
The sports base is a joint project by the General Administration of Sport and Hainan government, who will look to offer an alternative entertainment and shopping option for tourists to the province, and help build the region into an international center for tourism and consumption.
Editor: James Boynton