Jun. 4 – Chongqing Municipality located in southwest China has begun building a free trade area, the first of its kind to be located deep inland.

The Cuntan Bonded Area is strategically found between the Cuntan Harbor and the Jiangbei International Airport. The 8.37 square kilometer area will be constructed in three phases, finishing in 2015 with a total investment of an estimated RMB10 billion.

The first part phase should be completed by the end of the year and will include 2.67 square kilometers at a cost of RMB3 billion. Companies investing in the area will be qualified for preferential policies such as tax rebates for exports and free tax for trading within the area.

Vice Mayor Huang Qifan said the bonded area will help development Chongqing’s exports-oriented economy and expedite the opening up of central and western inland cities.

Chongqing is a municipality under Sichuan Province. Geographically remote because of its inland location, Chongqing’s industries are oriented for the local market unlike the coastal cities of China.