Hainan, the tropical gateway at China’s southern tip, is at a pivotal moment in its opening-up journey. This year, the Hainan Free Trade Port launched special customs operations featuring a three-line model: 'freer access at the first line, regulated access at the second line, and free flow within the island.'
Under the first line, goods arriving from overseas enjoy streamlined clearance and reduced duties, slashing waiting times and lowering costs for importers. The second line governs shipments bound for the Chinese mainland, ensuring that businesses meet regulatory standards while maintaining efficient export routes. Within the island, the third line guarantees tariff-free movement of goods, fostering a seamless supply chain across Hainan’s ports and marketplaces.
Feng Fei, secretary of the CPC Hainan Provincial Committee, highlights the impact: "This model balances openness with oversight. We’re cutting red tape for global brands and startups, while upholding quality controls for goods reaching the Chinese mainland."
For industries from e-commerce and high-tech manufacturing to marine tourism, the new customs framework promises faster market access and improved competitiveness. International investors can tap into Hainan’s duty-free zones and special economic clusters, leveraging the island’s strategic position in the South China Sea.
By pioneering this regulatory design, Hainan aims to attract capital and talent, bolster innovation, and sharpen its edge as a global trade hub. As the model matures, businesses worldwide will be watching closely to see how "first line, second line, island-wide flow" transforms operations on and beyond Hainan’s shores.
Reference(s):
cgtn.com
