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2025-12-18
The full island closure of Hainan Free Trade Port will officially start
Many people may be curious
What exactly is a closure?
What is being 'closed' in the closure?
Actually
Closure is not the same as isolation
It refers to the entire Hainan Island
To build a special area for customs supervision
Implementing a policy of 'opening the first line' and 'controlling the second line'
Characterized by 'freedom within the island'
Liberalization and facilitation policy system
The full island closure of Hainan Free Trade Port
What policies and benefits are there?
For ordinary people
What kind of impact will it have?
Let's listen together
Hainan Free Trade Port Research Institute
Interpretation by Director Chi Fulin
What is different about Hainan after the customs closing? What impact does it have on you and me?
After the customs closing operation, the 'zero tariff, low tax rate, and simplified tax system' will gradually create conditions for full implementation. For enterprises, this means a broader range of benefits and lower thresholds.
After the customs closing operation and the simplification of the tax system in Hainan Free Trade Port, the intensity of tax incentives like 'zero tariff' will be greater, and enjoying these policies will also be more convenient. The number of 'zero tariff' products will significantly increase, covering about 74% of product tax categories, benefiting key industries such as pharmaceuticals and high-end food processing. The scope of beneficiaries is also broadly expanded, essentially covering all types of enterprises and institutions on the island with actual import needs. In addition, Hainan implements a 'double 15%' tax incentive policy, meaning that eligible enterprises and core talents can enjoy a 15% income tax reduction. These tax incentives are also one of the core attractions of Hainan Free Trade Port policies.
Secondly, after the customs closing operation, expanding tourism in Hainan and boosting tourism consumption is also very positive news. According to the current customs closing system design, except for some goods entering the mainland from Hainan Free Trade Port that need to be inspected, most goods as well as all personnel, items, and transportation vehicles entering and leaving Hainan Island will still be managed according to existing regulations, with no changes before and after the customs closing. Everyone traveling to Hainan Island for business or leisure will be the same as now, and no additional documents are required.
Therefore, whether for domestic tourists, investors, or the general public, everyone will enjoy a better experience and better services.
Q: What is the core purpose of the customs closing operation? What to do, and how to do it?
The core purpose of the customs closing operation is to leverage Hainan's geographical advantages and its unique role in the context of the accelerating evolution of the current century-old changes, making Hainan an important open gateway focused on ASEAN.
During the '14th Five-Year Plan' period, if Hainan can lay the foundation for an important open gateway, it will have a decisive impact. How to truly play a role? There are several important things.
First, Hainan should become a strategic hub for China-ASEAN economic and trade cooperation. Hainan's advantages lie not only in its unique high-level open policies but also in the concrete measures it has taken, such as the 'two headquarters base' policy, which allows companies investing from ASEAN to set up headquarters in Hainan before investing in mainland China; and companies from mainland China can establish headquarters in Hainan before investing in ASEAN.
Secondly, we need to accelerate the implementation of core policies, improve work efficiency, and enhance the legal environment, which I think is very important.
Thirdly, Hainan's industrial development mainly relies on modern high-tech industries, the tourism industry, and various service industries as the leading sectors. The '14th Five-Year Plan' suggests that during the deployment of expanding high-level opening up, it explicitly states that 'the focus should be on expanding market access and opening fields in the service industry.' For Hainan, it is essential to improve the management system of the negative list for cross-border service trade. In the coming years, if the negative list for cross-border service trade in Hainan Free Trade Port continues to shrink, it will enhance Hainan's investment attractiveness, so this negative list is very important.