Shenya DFS Yalong Bay, a world-class luxury retail, leisure, and entertainment destination in Sanya, South China's Hainan province, is scheduled for completion by 2026.

Chinese developer Shenya Group and luxury travel retailer DFS Group sealed a partnership agreement for constructing and operating the project during a signing ceremony in the coastal city this week.

Shenya DFS Yalong Bay, once operational, will cover an area of 190,000 square meters, and showcase an array of over 1,000 luxury brands.

From fashion and bags to beauty and perfume, watches and jewelry, as well as wine and liquor, high-end dining, and food and beverage options, the premier destination is on track to redefine the concept of luxury lifestyle.

The project's operational goal is to achieve an annual turnover of more than 10 billion yuan ($1.38 billion). By 2030, it is expected to draw in over 16 million tourists per year, contributing to the high-quality development of Hainan's tourism industry.

"This collaboration presents a rare and valuable opportunity for mutual cooperation. The project is set to significantly elevate the city's stature, fostering rapid expansion for Hainan province's tourism and luxury goods market, and yielding substantial economic benefits," said Li Zhong, chairman and general manager of Shenya Group.

"The completion of this venture is to hold immense significance, not only for the development of the Hainan Free Trade Port, but also for positioning China as an attractive investment destination for renowned enterprises from Europe and the United States. This, in turn, will bolster global confidence in China's robust and dynamic future development," he added.

Shenya DFS Yalong Bay "marks a truly exhilarating milestone for DFS, and I believe, for the entire Chinese travel industry", said Benjamin Vuchot, chairman and CEO of DFS Group.

"Yalong Bay represents a key entry point into Hainan, a region that the Chinese government aims to develop into the world's renowned free trade port. In addition to its strong policy backing, Hainan boasts opulent resort hotels, stunning white sand beaches, and top-tier medical infrastructure. Hence, we are confident that Hainan is well poised to emerge as one of the world's fastest-growing luxury markets, maximizing both domestic and international consumption," he said.

Vuchot added that Hainan is on track to establish itself as one of the world's most prominent duty-free markets, and the Shenya DFS Yalong Bay project will play a crucial role in the group's global portfolio.

"We anticipate that investments in passenger airport capacity, highways and port infrastructure will boost Hainan's tourism potential, fostering a substantial increase in tourism activities. As an exclusive luxury retail property in Yalong Bay, the project fills us with tremendous excitement and optimism for its future prospects," he said.

The Shenya DFS Yalong Bay project is expected to create over 3,000 high-end service industry positions in Sanya, and stimulate the growth of high-end logistics and transnational financial services.