South China's Hainan Free Trade Port (FTP) has seen more rapid development in both consumption and industry since the launch of its special customs operations across the entire tropical island province on Dec 18, 2025.
According to the Haikou Customs, from Dec. 18, 2025 to Jan. 17, 2026, the duty-free sales supervised by customs reached 4.86 billion yuan, up 46.8 percent year on year, and the number of shoppers rose 30.2 percent year on year to 745,000.
As a result of application of preferential policies extended to the island province, the beneficiaries of duty-free shopping were expanded to include travelers departing China from Hainan, a measure that could save money for foreign tourists who previously were not allowed to buy duty-free products when departing China from Hainan.
"It's very convenient. You buy and you pick it on the airport. So, we think it's very convenient. We are for the first time in China and we are very delighted to begin with your country. Everything is tidy. Everything is good [well] organized," said a Croatian tourist.
The launch of island-wide special customs operations in the Hainan FTP, the world's largest FTP by area, has allowed freer entry of overseas goods, expanded zero-tariff coverage and more business-friendly measures.
The two-tiered special customs system in application in the Hainan FTP features "freer access at the first line," facilitating trade between Hainan and areas beyond China's customs borders, and "regulated access at the second line," which involves standard customs controls for the Chinese mainland.
A "second line" port in the provincial capital city of Haikou has also been expanded to handle the increasing trade volume boosted by the island-wide special customs operations, with the local authorities saying that since Dec 18, 2025, about 2,500 to 2,600 trucks are transporting goods at the port every day.
Between Dec. 18, 2025 and Jan. 17, 2026, the value of "first line" imported zero-tariff goods was 750 million yuan (about 107 million U.S. dollars); the value of processed and value-added goods sold domestically through the "second line" was about 85.9 million yuan, according to the Haikou Customs.
"Given the fact that the tonnage of container ships berthing here for port operation tends to become larger and larger in future, if a 200,000-ton-class vessel berths at the port, we need to prepare a larger area to transfer and store the loaded and empty containers," said Yang Xiaobin, deputy director at the bureau of transport and shipping of the Yangpu Economic Development Zone.
Industrial development in Hainan is also boosted by the island-wide special customs operations, with transnationals, including Siemens Energy, busy setting up operations in the Yangpu Economic Development Zone in Danzhou City of Hainan. Siemens Energy had previously built an innovation center in Danzhou. On the very day of the start of special customs operation in the Hainan FTP, Siemens Energy launched a gas turbine assembly base and service center in the city.
"As you can see here, on this piece of land, which covers an area of merely 14.67 hectares, we will build an extended industrial chain mainly led by Siemens Energy," said Li Rui, deputy general manager at the energy development department of Yangpu International.
Over the past month, a total of 5,132 new foreign trade entities were registered. The total number of registered foreign trade market entities in Hainan has now surpassed 100,000, according to official data.
Island-wide special customs operations help boost consumption, industrial development in south China's Hainan FTP
