China's State Council has approved an expansion of the Zhoushan Port Free Trade Zone (FTZ) in Zhejiang, adding 0.98 sq km to support the development of commodity trading and marine fuel-related activities.

The newly incorporated land covers areas on Shulanghu and Huangzeshan islands, increasing the FTZ’s total planned footprint to 6.12 sq km. Authorities said the expanded zone will prioritise bonded mixed-ore operations, bonded fuel oil supplies for ships, and biofuel blending.

Following the expansion, the FTZ will comprise four sections: a 2.55 sq km main area within the Xingang Industrial Park of the Zhoushan Economic Development Zone, a 2.76 sq km Qushan port area, a 0.74 sq km Konggang port area and a 0.072 sq km Huangzeshan port area.

Over the past decade, the zone has built specialised clusters focused on bulk commodity storage, logistics, oil and gas trading and aviation services, driving rapid growth in commercial activity.

Officials said the main island alone has attracted more than 10,000 trade enterprises, generating cumulative trade volumes of around 700bn yuan, equivalent to roughly $101bn.

In 2025, total import and export value across the FTZ reached 57.42bn yuan, placing it 36th among China’s 171 comprehensive bonded zones.

The latest expansion forms part of wider efforts to position Zhoushan as a major hub for bulk commodity trading and allocation within the China (Zhejiang) Pilot Free Trade Zone.