In 1992 the State Council of China gave permission for the establishment of post-1949 China's first ever transnational trading area. The area, located in the western bloc of the Manzhouli near the Russian border, is 10 square kilometers in size and was designed purely to increase the flow and liquidity of goods between China and Russia. Despite the construction problems and the difficulty of legislating for the region it has been a great success with many product warehouses, tax-free trading, an entertainment quarter and foreign exchange centers.
China Travel Guide
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