Editor's note: Liu Chunsheng, a special commentator for CGTN, is an associate professor at the Beijing-based Central University of Finance and Economics. The article reflects the author's opinions and not necessarily the views of CGTN.

Amid a rapidly changing global economic landscape, China's regional development strategies are exerting increasingly crucial influence. The Third Plenary Session of the 20th Central Committee of the Communist Party of China emphasized the need to fully leverage the unique institutional advantages of "One Country, Two Systems" and further improve the mechanism system that enables Macao to better play its role in the country's opening up process. 

The policy of "One Country, Two Systems" provides Macao with a high degree of autonomy, allowing it to maintain its financial systems while fully utilizing the vast market and resource support of the Chinese mainland. This institutional cornerstone has become a key guarantee for Macao's economic development and has also established a solid and unique framework for Guangdong-Macao economic integration. Undoubtedly, the Hengqin Guangdong-Macao In-Depth Cooperation Zone has become the core driving force for promoting Macao's economic leapfrog development and industrial structure optimization and upgrading.

The series of special policies enjoyed by the Hengqin Guangdong-Macao In-Depth Cooperation Zone are like powerful magnets, laying a solid foundation for attracting massive capital, cutting-edge technology, and high-quality talent. 

For example, after the implementation of the enclosed operation, the scope of entities and goods that can enjoy tax exemption or bonded policies through the "first-line" imports has been significantly expanded. Goods that include imported materials and have a processing value-added of 30 percent or more are exempted from import tariffs when entering the mainland market through the "second-line". 

This measure has significantly reduced operating costs for enterprises, exponentially increasing their attractiveness to various enterprises, especially manufacturing enterprises, and prompting a flood of capital to flow into the cooperation zone. The policy innovation and implementation were the results of fully considering Macao's special status and development needs under the "One Country, Two Systems" framework, demonstrating the flexibility and adaptability of the system and opening up a unique policy channel for Macao to integrate into the overall national development.

The Hengqin cooperation zone has precisely targeted four key industrial development areas: Technology R&D and high-end manufacturing, traditional Chinese medicine (TCM) and other Macao characteristic brand industries, with those falling under including cultural tourism, exhibitions and commerce, as well as finance. The practice aligns closely with Macao's "1+4" strategy for moderate diversification and synergistic resonance.

In the sector of technology R&D and high-end manufacturing, the cooperation zone has strategically planned and constructed key scientific and technological infrastructure, successfully attracting national key laboratories from Macao-based universities to settle in. The move has greatly accelerated the transition from scientific research achievements in laboratories to market applications, spurring the emergence of a thriving industrial cluster. 

A large number of related enterprises and top talents have flocked to the area, injecting strong impetus into industrial upgrading. Macao has leveraged the mainland's scientific research capabilities and industrial resources to break through geographical and resource constraints, which is a vivid manifestation of regional coordinated development under "One Country, Two Systems" framework. Both parties have complemented each other's advantages and jointly explored innovative development models.

TCM,  among other regional brands traditional to the region have found opportunities in the cooperation zone. With strong policy support and the efficient construction of specialized parks, Macao's TCM enterprises can showcase their range and strength to a broader market, enhancing brand awareness and market competitiveness simultaneously, and attracting more capital to focus on this field.

In the cultural tourism, exhibition, and commerce industries, Hengqin, with its vast land resources resulting in lower accommodation costs and significantly reduced exhibition and related equipment costs, has deeply integrated with Macao's rich and diverse tourism resources, offering greater opportunities for the special administrative region to showcase itself to the world. As a result, the zone has attracted global tourists and business elites, injecting continuous vitality and wealth into the development of related industries.

In recent years, the cooperation zone has advanced modern infrastructure, creating an efficient transportation network. Projects like the Hengqin Bridge, Lianhua Bridge, and Hengqin Tunnel, along with the smooth operation of New Hengqin Port, have seamlessly connected Hengqin and Macao, reducing travel time and enhancing flow efficiency. Information infrastructure improvements have also been a focus, boosting regional information sharing capabilities and fostering a high-quality environment for businesses, attracting capital, technology, and talents alike.

The cooperation zone has introduced a new Guangdong-Macao collaboration mechanism, featuring joint management and shared responsibilities through a dual-director system and an executive committee. It has actively contributed to legal framework development, establishing an efficient operational structure that ensures a stable, transparent business environment. A delegated authority mechanism maximizes innovation and entrepreneurial drive, making the zone attractive for investment. This innovative cooperation model respects Macao's autonomy while fostering deep economic synergy between Guangdong and Macao, serving as a model for regional integration under the basic policy of "One Country, Two Systems".