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China's third batch of pilot free trade zones (FTZ), which may include five to eight new locations, is expected to be finalized after the upcoming "two sessions," the Economic Information Daily reported on Tuesday, citing industry insiders.

Insiders disclosed that since the first two batches of FTZ are located in coastal areas, considering balanced regional development, some of the new batch may be located in inland regions, and one possibly in a border area.

The final decision will come out in the first half of this year, maybe as early as mid-March when the “two sessions” conclude.

Compared with the previous FTZ in Shanghai, Guangdong, Fujian and Tianjin, the inland zones will focus more on synergy with China’s national strategies, including building the Silk Road Economic Belt and the 21st Century Maritime Silk Road.

The new zones will also need to explore new development modes for other inland areas.

The Economic Information Daily source also said that it is hard to choose the final locations since many places are competing for the privilege.

So far, 21 provinces, autonomous regions and cities have filed applications, and at least 16 included the application in their working plan for 2016.

Experts estimate that Hubei, Shaanxi, Henan, Sichuan and Chongqing will probably be selected since their schemes highlight the characteristics of inland areas while also bringing their own individual advantages into play.

Hubei, for example, is located in the key area of the Yangtze River economic belt, and emphasizes innovation-driven development.

Shaanxi, a major province along the Belt and Road area, is trying to make use of transportation and technology to build itself into a new heartland along those routes.

Lu Jinyong, professor at the University of International Business and Economics and also one of the drafters of the Tianjin FTZ application, said that the inland free trade zones should draw inspiration from but not be identical to the existing coastal zones.

He further explained that new FTZ should help promote the reforms in all inland areas. They should also be closely connected with national strategies like the Belt and Road initiative, supply-side reform and de-capacity.