The yacht industry is shifting towards the Asian market, and with the end of the COVID-19 pandemic, there is an urgent need for the recovery and development of China's tourism industry. Against this backdrop, China has proposed the strategy of establishing a free trade port in Hainan. This analysis focuses on the advantages, disadvantages, developmental issues, and challenges facing the yacht industry in Hainan Province, proposing optimization strategies for the development of the yacht industry in Hainan and the development and construction of the Hainan Free Trade Port. Firstly, seizing policy and market opportunities to address the significant impact of the COVID-19 pandemic on the tourism industry and facilitate its recovery. Secondly, enhancing the weak infrastructure of tourism facilities to meet the challenges posed by an influx of tourists. Finally, improving the yacht industry supply chain, streamlining yacht import and export procedures, nurturing high-quality talent, and providing high-quality services. These measures are recommended to optimize the development of the yacht industry and the establishment of the Hainan Free Trade Port.