Hainan's deep-water port gears up for customs upgrade

As Hainan, China's southernmost island province, gears up to launch island-wide special customs operations for the Hainan Free Trade Port (FTP) on Thursday, new policies are already catalyzing trade and reducing costs for businesses.

At Yangpu Port, one of Hainan's premier deep-water ports, a cargo ship laden with approximately 48,000 tons of soybeans from overseas exemplifies the tangible impact of these reforms.

The arrival of this massive shipment highlights the significant policy upgrades currently underway in the province.

After the ship docked at the pier, customs officers immediately conducted inspections, reflecting the increased workload as Hainan accelerates its transformation into a FTP. To meet the demands of this transition, officers are on standby around the clock, ensuring foreign grain is screened for contaminants. For the thousands of other incoming containers, the port utilizes electronic screening technology.

Selected shipments are processed through the H986, a domestically developed scanner that operates much like a giant X-ray machine, capable of examining a container in approximately 30 seconds.

As the official launch of Hainan's special customs operations on December 18 is around the corner, new reforms are being implemented to enhance efficiency.

"Zero-tariff imports and bonded goods that do not involve inspection, quarantine, or licensing requirements will be released directly," said Zhou Aiyu, head of the third section of supervision under the Supervision Division of Yangpu Port Customs.

These initiatives are aimed at accommodating the anticipated increase in trade volume, as more businesses begin to reap the benefits of the Free Trade Port reforms, including the company responsible for the soybean shipment.

Under a pivotal FTP policy introduced in 2021, goods that achieve over 30 percent value-added through processing in Hainan can enter the domestic market duty-free.

"Since July 23, 2021, when the company first started using the 30 percent value-added duty-free policy, it has already saved about 300 million yuan in import tariffs," said Zhang Hui, chair of the Ausca International Oils and Grains.

This shipment serves as a notable example of the positive outcomes resulting from Hainan's FTP reforms. Starting this month, with the initiation of island-wide special customs operations, the zero-tariff policy will expand to encompass more than 70 percent of commercial goods.

Hainan's deep-water port gears up for customs upgrade

China's Minister of Commerce Wang Wentao outlined the key priorities of the 32nd Asia-Pacific Economic Cooperation (APEC) Ministers Responsible for Trade Meeting, which opened on Friday in Suzhou, East China's Jiangsu province.

In an interview with CGTN ahead of the two-day meeting, Wang said free trade, digital cooperation and green economy are high on the agenda of the meeting.

"The key areas include advancing regional economic integration and the Free Trade Area of the Asia-Pacific, supporting the World Trade Organization (WTO) in strengthening digital cooperation and developing green economy. At present, the international situation is marked by intertwined turbulence and chaos, with intensified geopolitical instability. The rise of unilateralism and protectionism poses serious challenges to the international economic and trade order, disrupting global and Asia-Pacific development. Against this backdrop, all parties have higher expectations for this trade ministers' meeting, hoping that it can build consensus and deliver outcomes," Wang said.

This year marks China's third time hosting the APEC meetings and the 35th anniversary of its membership.

By 2025, China had become the largest trading partner of 13 APEC economies. Trade between China and APEC economies reached 3.7 trillion U.S. dollars, accounting for 57.8 percent of China's total foreign trade.

China has signed 24 free trade agreements or economic and trade arrangements with 31 countries and regions, including 15 APEC economies. In recent years, China has also completed upgrades of free trade agreements with APEC economies such as Singapore and Peru.

The minister said that China has always been a firm supporter and an important contributor to APEC.

"We have actively shared our vast market and development opportunities with all parties. China's door to the world will only open wider and wider. Facing the common challenges, China will continue to fulfill its responsibilities as a major country, further deepen reform, expand high-standard opening-up, and continue to provide new opportunities for the Asia-Pacific region and the world with its new achievements in Chinese modernization," the minister said.

China's Commerce Minister outlines priorities for 32nd APEC trade ministers' meeting