Elephant News:

Ms. Sun mentioned earlier that special customs supervision areas, as new highlands of opening up, contributed nearly one-fifth of the country's total import and export volume. Could you introduce the efforts by customs in promoting the construction of special supervision areas? Thank you.

Sun Meijun:

Thank you for your question. I would like to invite Mr. Wang to answer this question.

Wang Jun:

Thank you for your interest in special customs supervision areas. Special customs supervision areas are designated zones approved by the State Council and subject to enclosed management. The customs supervision model can be summarized as "freer access at the first line, regulated access at the second line, and free flow within the areas." There are two reasons why they are "special." First, the policies are favorable. Imports into the areas can enjoy bonded and duty-free treatment with relatively relaxed license and permit requirements, while exports into the areas can enjoy tax rebates. The combined effect of multiple policy dividends has created a powerful catalyst for the development of enterprises. Second, they have comprehensive functions. Within the areas, bonded processing, bonded logistics, bonded testing and bonded maintenance can be carried out. The aggregation of diverse business forms has created a strong engine for the growth of foreign trade. During the 14th Five-Year Plan period, 19 new special customs supervision areas were established, bringing the total to 174. At the same time, the layout has been further optimized, achieving full coverage across all provinces, autonomous regions and municipalities nationwide. Through our commitment to innovative supervision and optimized services, we have steadily developed the special customs supervision areas into a key growth driver for China's opening up. The trade value in 2024 increased by more than 30% compared to 2020. The main achievements can be summarized as the following "four major platforms":

The first is a platform for receiving cross-border industries. The special areas have attracted a large number of international manufacturing giants with advanced technology and high added value, simultaneously driving domestic investment, boosting the surrounding economies and promoting the rapid development of supporting industries. For example, leveraging its special customs supervision areas, Chongqing has built the world's largest laptop manufacturing base. This ecosystem is spearheaded by six internationally renowned brands and supported by a network of more than 2,300 local upstream and downstream enterprises. One out of every three laptops in the world is made in Chongqing.

The second is a key platform for open development. For central and western provinces and municipalities such as Henan, Sichuan and Chongqing, which are neither coastal nor border areas, foreign trade has grown notably in recent years by leveraging their special customs supervision areas. The import and export value of special areas accounts for more than half of their local foreign trade. It can be said that the special customs supervision areas have strongly promoted the formation of a new pattern of opening up featuring links running eastward and westward, across land and over sea.

The third is a platform for cultivating emerging business models. In recent years, new models of business such as testing and maintenance, financial leasing, and futures delivery have thrived in special areas. This has facilitated deep integration between the manufacturing sector and producer services, continuously extended the value chains and industrial chains to the high end, and enhanced the momentum for innovation-driven development.

Fourth, the special customs supervision areas serve as pilot platforms for institutional innovation. Of the 68 customs reform measures from the free trade zone pilot programs promoted by the State Council, 18 originated in special customs supervision areas, highlighting their role as testing grounds for institutional innovation.

The promotion of transformation and upgrading of special customs supervision areas towards diversified functions, high-end industries, trade facilitation, and coordinated management will continue and further contribute to and serve China's high-standard opening up and high-quality development.

Thank you.