Hainan Free Trade Port Officially Launches Island Wide Lockdown!

On July 23, Wang Changlin, Deputy Director of the National Development and Reform Commission, stated at a press conference of the State Council Information Office that the specific time for the closure of Hainan Free Trade Port has been approved by the Central Committee of the Communist Party of China and is scheduled to be officially launched on December 18, 2025.
Wang Changlin stated that on December 18, 1978, the Third Plenum of the Eleventh Central Committee of the Communist Party of China launched the great journey of reform, opening up, and socialist modernization. The launch of the closure operation on December 18th has significant symbolic significance and demonstrates to the world China's unwavering determination and confidence in expanding high-level opening-up. In the next few months, we will make urgent preparations to help business entities fully understand the customs clearance policy and conduct relevant business tests.
Opening up the 'first line', controlling the 'second line', and allowing freedom within the island
Wang Changlin stated that the closure of the entire island is a landmark project in the construction of Hainan Free Trade Port, an important measure to further expand opening up, and has milestone significance. The Hainan Free Trade Port will implement a liberalization and facilitation policy system with the basic characteristics of "opening up the 'first line', controlling the 'second line', and allowing freedom within the island" for the entire island's customs operation.
Opening up the "front line" means treating Hainan Free Trade Port as a "front line" with other countries and regions outside China's customs territory, and implementing a series of free and convenient entry and exit measures;
Controlling the 'second line' means treating the relationship between Hainan Free Trade Port and the mainland as a 'second line', and implementing precise management for the content that has been opened up in the 'first line';
Freedom within the island refers to the relatively free circulation of various factors within the Hainan Free Trade Port.
Implement a more favorable "zero tariff" policy for goods
Wang Changlin introduced that in accordance with the requirements of the overall plan for "establishing a policy and institutional system for free trade ports in steps and stages", and combined with the actual development of Hainan, we have formulated the current customs clearance policy measures in conjunction with relevant parties, which can be summarized as "four more measures":
One is to implement a more favorable policy of "zero tariffs" on goods. The proportion of "zero tariff" goods imported from the "first line" will be increased from 21% to 74%, allowing for duty-free circulation among beneficiaries on the island. Goods with a processing value-added of 30% can be sold to the mainland without tariffs.
The second is to implement more relaxed trade management measures. Open arrangements will be made for some of the prohibited and restricted imported goods in the "frontline" import direction nationwide.
The third is to implement more convenient transportation measures. Using the existing 8 open ports on the island as "first-line" ports, import goods that meet the conditions will be released directly; Set up and operate 10 "second tier ports" such as Haikou New Port and Haikou South Port, and take various convenient measures for the innovative passage of goods entering the mainland.
The fourth is to implement a more efficient and precise regulatory model. Implement low intervention and efficient precise supervision on "zero tariff" goods, goods subject to relaxed trade management measures, etc., to ensure the smooth implementation of various opening-up policies. The relevant policy documents will be gradually released to the public later and will be implemented from the date of the island's closure.