The island of Hengqin in south China's Guangdong Province has announced a significant shift in its customs operations, allowing most goods to be moved tariff-free from the neighboring Macao Special Administrative Region (SAR). This new policy took effect at midnight in the Guangdong-Macao In-depth Cooperation Zone in Hengqin, located in the city of Zhuhai.
Hengqin, spanning 106 square kilometers between Macao and the Chinese mainland, aims to enhance economic integration through this initiative. Under the new mechanism, goods entering Hengqin from Macao will generally be exempt from tariffs, while those moving from Hengqin to the Chinese mainland will incur import duties unless they qualify for an added-value tax exemption.
Additionally, similar tax exemptions are now applicable to luggage and parcels entering Hengqin from Macao, making travel and trade between the two regions more seamless.
Li Weinong, director of the zone's executive committee, highlighted the policy's potential, stating, \"The new policy will effectively facilitate the flow of goods, personnel, capital, and information between Hengqin and Macao, and create valuable new space for Macao's new industries and business forms.\"
This move is part of a broader strategy to enrich the practice of \"one country, two systems\" in Macao and support the SAR's economic diversification. In 2021, China's central authorities decided to establish the Guangdong-Macao In-depth Cooperation Zone in Hengqin, positioning the island as a key growth area for Macao's economy.
By the end of 2023, the zone reported that 11,500 Macao residents were working or living in Hengqin, marking an annual increase of over 70 percent, according to the zone's statistics bureau.
Reference(s):
cgtn.com
