The 29 sq km zone in the Chinese financial hub has promised free trade, greater financial opening and fewer government controls over business activities.

Coastal provinces and regions, including Guangdong, Fujian, and Tianjinare among the most likely sites to host the next FTZs, and their applications are likely to be approved before the end of this year, Reuters reported, citing two unnamed sources with local governments.

The negative list system, an innovative approach introduced in Shanghai to provide easier market access for foreign companies, could be improved in a Tianjin FTZ, Xinhua's Economic Information Daily reported.

The FTZ expansion plans sparked rises in the share prices of likely new sites, with Tianjin Harbor and Tianjin Marine Shipping Corp increasing by more than 7 percent in Shanghai trading on Tuesday.

Prior to news on the zones, the State Council approved the expansion of Tianjin Harbor, with an added 1,120 square kilometers of new water area, and more than 70 new berths.

Bai Ming, a researcher at the Ministry of Commerce, said the expansion plans laid a solid foundation for Tianjin to explore opportunities for an FTZ.

"With the integration of Beijing, Tianjin and Hebeiprovince, more and more resources will be mobilized to give more chances to a Tianjin FTZ," said Bai.

More than 20 provinces and cities prioritized the development of an FTZ in their government work reports this year, and experts suggested the second batch of FTZs could have distinctive differences to the first in Shanghai.