The evolution of global business is a never-ending process, with multinationals vying to maintain their competitive edge and tech start-ups seeking to disrupt industries and capture market share from incumbents. 

The 2024 iteration of fDi Intelligence’s Global Free Zones of the Year awards recognised the leading future zones, which are focused on creating environments to attract innovative companies and emerging industries. The survey asked zones to outline their main advantages and priority innovative industries, as well as their sustainability initiatives and efforts to boost transparency and improve governance. 

GLOBAL WINNERS

Winner: The Nanning Area of Guangxi Pilot Free Trade Zone, China

The Nanning Area is one of three that make up China’s Guangxi Pilot Free Trade Zone (FTZ). Covering 46.8 square kilometres, the Nanning Area targets innovative companies in the digital economy, modern finance and advanced manufacturing. The zone area has attracted investments from China’s burgeoning domestic microchip industry, which has had to respond to US trade curbs on Western tools and technology.

In the first phase of Huaxin Zhenbang’s project in the zone, the integrated circuit packaging and testing company has invested in six internal research and development (R&D) programmes. Other tenants have invested in developing production capacity for memory chips as part of the zone’s efforts to create an integrated semiconductor memory industry cluster. 

The zone has reward policies for the industry, including schemes to attract and retain talent and support for emerging manufacturing companies in establishing facilities. Tax reductions and financial support are also available for R&D projects in the Nanning Area zone.

Highly commended: Dubai Silicon Oasis, UAE

Start-ups and innovations are in the DNA of Dubai Silicon Oasis (DSO). Innovative activities are supported through dedicated facilities for research and development and academia. Dedicated technology testbed areas within the zone allow companies to pilot ideas and tech under development, such as autonomous vehicles and smart city solutions.

With extensive physical infrastructure, such as the Dubai Technology Entrepreneur Campus, DSO supports start-ups through acceleration programmes, mentorship, networking and financing, which comes from its Dh500m ($136m) venture capital fund. 

Alongside Dubai’s existing incentives, such as zero personal income tax, DSO provides access to a specialised talent network for prospective tenants. Events are regularly organised on site, including workshops and hackathons, to encourage knowledge sharing, networking and showcases of new tech. DSO also promotes sustainability through green building practices and renewable energy projects, with solar panels powering several of its buildings.

MIDDLE EAST

Winner: Dubai Silicon Oasis, UAE

See above.

Highly commended: Masdar City Free Zone, UAE

The ambitions of Abu Dhabi’s Masdar City Free Zone are embedded in its partnership with Mohammed bin Zayed University, which specialises in artificial intelligence and other advanced technologies. Incubation of spin-offs from research at the university aims to support high-tech companies of the future. Masdar City Free Zone focuses on supporting companies in the life sciences, cleantech and smart autonomous vehicle industries. 

Programmes are in place to help businesses set up. Recent entrants to Masdar City Free Zone include drug discovery company Prepaire Labs and Attentive Science, a contract research organisation. The 31.8-megawatt Khazna data centre launched in Masdar City Free Zone provides much needed digital infrastructure for its tenant companies. 

The zone has multiple programmes to support innovation in climate tech, which was facilitated by COP28 — hosted in the UAE at the end of 2023. This epitomises the zone’s focus on promoting progress towards net zero ever since it broke ground 15 years ago.

EUROPE

Winner: Kraków Technology Park, Poland

The Kraków Technology Park (KTP) reflects Poland’s appeal to multinationals seeking to innovate in Europe. Supported by the European Digital Innovation Hub, KTP helps manufacturing companies to explore industry 4.0 innovations and improve their competitive edge. The zone is also home to an incubation initiative and acceleration programme to help connect start-ups with established tenant companies within its borders.

As part of its prioritisation of the life sciences, ICT and future mobility industries, KTP has targeted companies embracing digital innovation, automation and green transformation. In the first half of 2024, KTP attracted 31 investments worth a total €253m. 

Among those setting up in KTP was US-based medical equipment specialist Stryker Poland Manufacturing which plans to create a minimum of 45 direct jobs. Engineering firm SBS Technology established a presence in KTP to support the growing needs of companies in the industrial machinery and electric vehicle battery industries.

Highly commended: Liverpool City Region Innovation and Freeport Zone

The UK has brought in several policies in recent years to encourage investment in specialised hubs across the country. The Liverpool City Region (LCR) was granted both an innovation zone and freeport with a host of incentives for companies in specific areas. This is to support innovation at its historic port, such as customs software and autonomous transport, as well as to support cutting-edge activities in life sciences and cross-sectoral areas such as advanced materials, robotics and artificial intelligence (AI).

The city’s Liverpool John Moores University has rolled out training programmes to train six PhD scholarships to develop skills in AI, computational intelligence and Internet of Things to address decarbonisation efforts. An estimated £45bn of investment will be required for LCR to reach net zero by 2035, according to Net Zero North West, a regional programme supporting energy investment.

Major investors have committed more than £100m to invest in LCR’s freeport, including real estate developers Tritax Symmetry, MiraStar and Harworth Group. Local pharmaceutical companies such as TriRx and AstraZeneca have both shown intent to invest in the city’s innovation zone too.

ASIA-PACIFIC

Winner: The Nanning Area of Guangxi Pilot Free Trade Zone, China

See above.

AMERICAS

Winner: ZPE Ceará Free Zone, Brazil

Many free zones are likely to be the hotbeds of innovation needed for the world’s transition from fossil fuels to lower carbon technologies, but ZPE Ceará in northeast Brazil truly epitomises this shift. Its strategic location next to Pecém Port and dedicated utilities infrastructure has led to several major investment pledges from companies seeking to produce hydrogen using electricity from renewable energy sources.

In recent years, Australia’s Fortescue Future Industries and Brazil’s Cactus Energia Verde have both announced plans to invest €5bn to create green hydrogen plants. ZPE Ceará offers tax exemptions and reductions, as well as simplified custom procedures, to help these investors reduce the large operational costs of these planned mega projects.

The zone’s targeted investments in infrastructure, such as automated gate systems and 4K video monitoring, is another example of how it embeds innovations into its activities. ZPE Ceará has a goal to be carbon neutral by 2050, investing in renewable energy sources such as solar and wind farms to help its decarbonisation efforts. It was also highly commended in fDi’s sustainability awards.

Highly commended: Zona Franca Metropolitana, Colombia

One necessary ingredient in creating an ecosystem ripe for innovative companies is sufficient infrastructure, both physical and digital. Zona Franca Metropolitana (ZFM) in Colombia’s capital Bogotá has these elements covered, with advanced facilities and a colocation services offered by Brazil-based Scala Data Centres and Odata Colombia.

Access to these services and high-speed networks has helped ZFM position itself for IT companies and outsourcing providers. Its location in the Bogotá metropolitan area also makes it primed to attract further investment from logistics providers. In March 2024, ZFM received certification as a carbon-neutral free zone from its environmental consultancy partner La Tercera Mirada.

Download the PDF to explore this year’s winners 

Visit the online hub for the Global Free Zones of the Year 2024 awards

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This article first appeared in the October/November 2024 print edition of fDi Intelligence