TASS:

How has the Hainan Free Trade Port (FTP) performed in areas such as trade facilitation and duty-free shopping since it officially launched island-wide special customs operations? Thank you.

Wang Jun:

As you know, in a few days, it will be one month since the Hainan FTP officially launched island-wide special customs operations. Since the launch, related policies have been steadily implemented. Movements across the "first line" and "second line" have been smooth and efficient, and overall operations have remained stable and orderly. The results are mainly reflected in three aspects:

First, policy benefits have begun to deliver tangible results. From Dec. 18, 2025, to Jan. 10, 2026, customs authorities processed 18,000 metric tons of cargo at the "first line" in accordance with direct release measures. Zero-tariff imports reached 460 million yuan, with tariff exemptions totaling 62.128 million yuan. Local enterprises, hospitals and research institutions have gained access to zero-tariff materials and equipment. Meanwhile, enterprises in sectors such as tourism and transportation can benefit from zero-tariff aircraft, vessels, and vehicles for commercial use. During the same period, customs authorities processed 56.816 million yuan in goods sold to the mainland under the tax exemption policy for the processing value-added at the "second line," exempting 2.301 million yuan in import duties. This has encouraged Hainan enterprises to extend their industrial chains and boost value-added production.

Second, the appeal of opening-up policies has grown significantly. Attracted by the benefits of island-wide special customs operations in the Hainan FTP, a growing number of enterprises are choosing to do business in the province. From Dec. 18, 2025, to Jan. 10, 2026, 4,709 foreign trade enterprises filed for registration in Hainan. This 24-day figure matches the total for an entire quarter in 2024. The total number of registered foreign trade companies in Hainan now exceeds 100,000. The launch of island-wide special customs operations has driven rapid growth in Hainan's foreign trade. During the same period, the total value of goods imports and exports across the island reached 21.42 billion yuan, up 19.6% year on year. Among these, imports rose 13.3% and exports jumped 31.6%.

Third, offshore duty-free shopping continues to gain momentum. Following a round of policy adjustments, the number of duty-free product categories available to outbound shoppers in Hainan has expanded from 45 to 47, with new additions including digital photography equipment, micro drones and other electronic products. At the same time, eligibility has been expanded to include all travelers departing from Hainan Island. From Dec. 18, 2025, to Jan. 10, 2026, a total of 585,000 people made outbound duty-free purchases in Hainan, up 32.4% year on year. Total sales reached 3.89 billion yuan, a 49.6% increase. On average, about 24,000 people made duty-free purchases in Hainan every day, with daily sales averaging 160 million yuan, both higher than levels recorded before the launch of island-wide special customs operations.

The launch of island-wide special customs operations marks a major milestone in the development of the Hainan FTP. Customs authorities will continue to monitor and evaluate the implementations of these operations, further optimize regulatory services, and strike a proper balance between facilitation and effective oversight. These efforts aim to build the Hainan FTP into a special customs regulatory area that is internationally competitive and globally influential. Thank you.

Shou Xiaoli:

Thank you to our two speakers and to all our media friends for participating. That concludes today's briefing. Goodbye, everyone!

Translated and edited by Liu Sitong, Li Congrong, Wang Xingguang, Xu Kailin, Liu Caiyi, Zhu Bochen, Zhang Tingting, Xiang Bin, Cui Can, Li Huiru, Huang Shan, Li Xiao, Fan Junmei, Zhang Rui, Ma Yujia, Zhang Junmian, Zhou Jing, David Ball, Jay Birbeck, and Tudor Finneran. In case of any discrepancy between the English and Chinese texts, the Chinese version is deemed to prevail.