Hainan launches trial for island-wide customs system

Hainan provincial authorities launched a trial of round-the-clock special customs operations on Tuesday, 30 days ahead of their official start. The trial was announced by Feng Fei, Party secretary of the province.

The island-wide special customs operations are scheduled to take effect on Dec 18 as a key step in China's efforts to increase economic openness.

Under the new customs system, the proportion of imported goods eligible for zero-tariff status will increase sharply from 21 percent to 74 percent. This expansion will cover about 6,600 product categories, up from the current 1,900, and these goods can circulate tax-free among qualified businesses within Hainan Free Trade Port.

The operations framework designates eight ports as first-line entry points for the expedited clearance of qualified imports. Another 10 second-line customs ports will handle goods moving from Hainan to China's mainland.

Goods manufactured by encouraged industries in Hainan that undergo at least 30 percent value-added processing will be eligible to enter the mainland without tariffs.