Xiangyu Group is both the developer and builder of Xiangyu Free Trade Zone. By the year 2001, the 1.1km2 land and auxiliary warehouses and factories developed under Phase I Project of the F.T.Z have almost been sold out. The F.T.Z logistics area built to match the needs of modern logistical services ranks the top among all free trade zones across the nation, highly remarked with its special functions and advantages.

At present, the Phase II Project of the F.T.Z, which covers an area of 1.1km2, is under construction. The project is expected to be integrated with Phase I Project, so that an all-round and multi-functional modern port logistical service area will be developed to meet the demand of economic growth of Fujian Province as well as Southeastern coastal regions.

With massive land development activities in the free trade zone, real estate, property management and project supervision have emerged and are integrated under the brand of "Xiangyu Construction".

Container terminal operations and logistics services are newly-introduced industries for Xiangyu Group, which are also expected to play a very important role in the future development of the Group. One of the targets of Xiangyu Group is to become one of the major service providers at Xiamen Port.

In 2002, Xiangyu Group and Hong Kong New World Infrastructurecooperated and implemented asset restructuring at Xiangyu Harbour District of Xiamen Port. Integrated operation of the five container terminals in the harbor by Xiamen Xiangyu Quay Co., Ltd. was realized, followed by a supportive logistics platform in the rear area of Xiangyu F.T.Z.. Currently the touch of the terminal operating company has extended to major ports and cities across the nation, and it has emerged to become an influential logistics service provider in southern Fujian.

Xiangyu Group will continue to pursue the approach of capitalization to enhance growth of container terminal operations and logistics services.

Xiangyu Group is listed among the Top 500 import & export trading companies in China. Foreign trade and economic cooperation is one of the traditional industries that Xiangyu Group engages in. As one the major enterprise groups undertakingforeign trade and economy in Xiamen, Xiangyu Group is also among the designated operating units released by MOFTEC after China's entry into the WTO. The Group will maintain its strengths in brand, funds, cargo control and operation of commodities in bulk, based on which its own core competitiveness in terms of trade will be formed to facilitate steady and sustainable growth of the Group.