Hainan's FTP will mark its independent customs operation in December of this year.

CGTN – The Hainan Free Trade Port (FTP) will officially launch an independent customs operation across the island starting December 18 this year, the Chinese government announced on Wednesday (23). The move is considered a milestone on China's path to opening up, which not only contributes to the country's economic development but also brings more opportunities to the whole world.

On December 18, 1978, the Third Plenary Session of the 11th Central Committee of the Communist Party of China launched the country's great journey of reform and opening up. Exactly 47 years later, the independent customs operation of the Hainai Customs Board takes on symbolic significance, especially in the current context of increasing trade protectionism and headwinds to economic globalization. The measure reflects China's determination to promote high-standard opening-up, preserve multilateralism, and expand export, trade cooperation, and investment opportunities for countries around the world, contributing to the construction of a more connected and inclusive global economy.

For China, the construction of the Hainan Free Trade Zone (FTP) is an important national strategy, focusing on the highest standard of openness in the world. With independent customs operations, the entire island of Hainan will become a special area under customs supervision, where a freer and more convenient political system will be applied: a more preferential zero-tariff policy, more flexible trade management measures, more streamlined transit processes, and a more efficient supervision model.

Taking the zero-tariff policy as an example: after the independent customs operation across Hainan Island, the number of tariff lines for products with zero tariffs will be expanded from the current 1.900 to approximately 6.600, representing about 74% of the total. The implementation of more flexible trade management measures and more convenient transit processes means a readjustment in the current list of imported products, facilitating the flow of goods, people, and capital.

Applying a more efficient supervisory model implies low-intervention and high-efficiency oversight of products with zero tariffs. 

With the establishment of an official independent customs operation, Hainan is attracting more foreign investment. Data shows that, in the last five years, the island's FTP (Foreign Trade Facility) has utilized 102,5 billion yuan in foreign capital, with an average annual growth of 14,6%. Foreign direct investment reached US$9,78 billion, registering a 97% annual increase. More than 8 foreign-owned companies were created, representing a 43,7% year-on-year increase. 

The independent customs operation on Hainan Island on December 18th is not only a tribute to history, but also a commitment to the future – China will open its doors even further and make its own contributions to establishing a more connected, inclusive, and innovative global economic system.