In its early days, Hainan was the ultimate rural backwater. It was here that the Chinese would banish high officials who fell from favor in the Forbidden City. For its first 1,000 years, this island province about the size of Maryland had a sum total of 18 recorded tourists. A New Situation Things have changed. Tourism now accounts for 80 percent of the local economy, most of it focused in Sanya at the other end of the island, near the Lingshui military base.
People come for the climate.
The temperature here never drops much below 70 degrees. And they come for the wide open spaces. Even though some 8 million people live on Hainan, it remains the least populated province in China. Aside from beaches, karaoke bars, and a thriving sex industry, the island's big attractions include more exotic fare. For instance, tourists flock to the nightclubs of Wanning to see performances by dancing dwarves and Thai transvestites.