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Key strait between Hainan, mainland handles increasing passenger, cargo volume as Hainan further opens up

China

China

China

Key strait between Hainan, mainland handles increasing passenger, cargo volume as Hainan further opens up

2025-12-18 16:01 Last Updated At:23:57

A key strait connecting Hainan, southern China’s island province, and the rest of the Chinese mainland is handling increasing passenger and cargo volumes as island-wide special customs operations were launched on Thursday in the Hainan Free Trade Port (FTP).

The Qiongzhou Strait, which connects Hainan with south China's Guangdong Province, recorded growing transportation volume of passengers and vehicles in December. As of Wednesday, the two figures increased by 14.1 percent and 13.6 percent month-over-month, respectively. Specifically, its transportation volume of new energy vehicles surged 19.4 percent.

The strait also reported a 12.7 percent month-over-month increase in its RoPax vessel departures in December.

"The maritime department of Guangdong Province rapidly made specialized contingency plans and task lists, establishing a four-tier emergency response mechanism for vehicle congestion on the Qiongzhou Strait. Once the number of vehicles waiting to cross reaches the threshold, emergency berths will be activated, temporary routes will be opened, cross-regional traffic coordination will be implemented, and support for essential supplies will be ensured to guarantee efficient and safe transportation for both vehicles and passengers," said Xie Daoguo, deputy director at the Xuwen Maritime Affairs Office under Zhanjiang Maritime Safety Administration.

Launching island-wide special customs operations in Hainan FTP is widely seen as a landmark in China's efforts to promote free trade and expand high-standard opening-up.

Under the new arrangements, the tropical island of more than 30,000 square km has been designated as a special customs supervision zone, marking a new stage in the development of the Hainan FTP.

The share of zero-tariff products in the Hainan FTP has been raised from 21 to 74 percent, and the list of related items has expanded from 1,900 to over 6,600.

Zero-tariff goods processed in Hainan may be sold to the mainland duty-free if their local processing generated an added value of 30 percent or more.

Key strait between Hainan, mainland handles increasing passenger, cargo volume as Hainan further opens up

Key strait between Hainan, mainland handles increasing passenger, cargo volume as Hainan further opens up

The People's Bank of China launched on Friday a 500-billion-yuan (about 73.8-billion-U.S.-dollar) outright reverse repo operation through a fixed-quantity, interest rate bidding and multi-price winning bid method, in efforts to maintain ample liquidity in the country's banking system.

The winning bids of the operation are determined at various price levels. It will have a term of three months, or 92 days, with a maturity date set for Sept. 5, according to the central bank.

Outright reverse repo operations -- a tool the central bank introduced in October 2024 to manage liquidity in the national banking system -- are conducted each month with a term of no more than one year.

These operations have enriched the country's monetary policy toolkit, complementing previous measures such as temporary repos, temporary reverse repos, and the purchase and sale of treasury bonds.

China's central bank conducts 500-bln-yuan outright reverse repo operation

China's central bank conducts 500-bln-yuan outright reverse repo operation

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