China's Hainan Free Trade Port (FTP) is gearing up to launch its island-wide special customs operation, aiming to bring faster trade, new incentives, and greater opportunities.
Such special customs operation will be implemented across the Hainan Island as of Dec. 18, a major milestone in the opening-up drive of the world's second-largest economy against the headwind of rising protectionism worldwide.
The expansion project at Yangpu Port, Hainan's global shipping hub, is making rapid progress over the past few months. It includes over 100 sub-projects within 13 major categories, with many tasks scheduled for completion by November.
"[I] come to the port every day. By the end of this month, we need to complete the quality verification for three container yards. We are racing against time to finish the project as soon as possible to ensure we are fully prepared for the island-wide customs closure," said Li Junzheng, general manager of the Engineering and Technology Department of Hainan Harbor and Shipping International Port Co., Ltd.
Li also said that Yangpu Port will be able to accommodate the largest container vessels in the world after this expansion. The project was aimed to prepare for the upcoming doubling of zero-tariff products at Yangpu following the implementation of island-wide special customs operation.
The range of zero-tariff goods will expand from the current 1,900 tariff lines to about 6,600, accounting for about 74 percent of all taxable goods, with an increase of nearly 53 percentage points compared with the level before the implementation of the special customs operation. Currently, the exit process of goods from the island is becoming increasingly smooth.
"We are racing against time to accelerate the transformation of the free trade port's policy advantages into tangible development results, so as to ensure that businesses and the public can truly benefit sooner," said Li Wen, director of the Supervision Department of Yangpu Customs under Haikou Customs.
Currently, various work on the island-wide special customs operation is proceeding smoothly. All equipment at the eight open ports and 10 second-tier hubs on the island are getting ready for operation, with trial operations of the second-tier hubs now in full swing.
Six special customs policies and 13 supporting provincial regulatory documents have all been issued, and various tasks are making progress in an orderly manner, said officials.
"Hainan FTP will focus on the mission of expanding high-standard opening up during the 15th Five-Year Plan (2026-2030), using the island-wide special customs operation as a new starting point for its development. We will continue to strengthen the institutional framework of the free trade port, and attract more high-end factors such as capital, technology, talent, and data to gather in Hainan. Aligning closely with the strategic positioning of building 'three zones and one center,' we aim to create China's highest-level 'open testing ground,' providing new market opportunities and platforms for regional and even global enterprises," said Wang Fengli, deputy director of the Office of the Free Trade Port Working Committee at the CPC Hainan Provincial Committee.
Hainan FTP gears up for island-wide special customs operation
