Hainan is preparing to enter the free trade port regime, and from December 2025, the island will become a separate customs zone. According to the Zhongguo Xinwenwang information resource, companies from Russia, Asia, Africa and Latin America will be able to save up to 20% by eliminating duties, VAT and excise taxes on imports of raw materials and equipment. After the "customs closure", the list of duty-free imports will increase from 1,900 to 6,637 items.
For residents of Hainan, a preferential income tax rate of 15% is set instead of the national 25%, and highly qualified specialists will be able to pay income tax no higher than 15%. The Chinese authorities call these measures key to attracting companies from the global South, which need lower costs and easier access to the Chinese market.
The advantages are illustrated by practical examples: a textile company will be able to import Egyptian flax duty-free, produce fabrics and supply them to mainland China duty-free, provided they are processed at least 30%. All this, the authorities emphasize, forms a new international center for trade and investment from Hainan.
