Page 100 - 2018 Special Report on the State of Business in South China
P. 100
Hainan Province
An Island of Tourism and Agriculture 16, while the upper value limit for duty-free commodities
was increased from RMB5,000 to RMB8,000. Moreover,
Hainan Province includes over two three additional categories of commodities have been
hundred islands off of China’s added to the duty-free list, namely, beauty and health
southern coast in the South China Sea, with Hainan care products, tableware and kitchen appliances, and
Island (30 miles off the coast of Guangdong) accounting toys - expanding the scope of duty-free commodities to
for 97 percent of provincial land area. China’s smallest 21 categories.
province and largest special economic zone, Hainan is
at the same latitude as Hawaii, Bali and Phuket and has In an effort to bring the huge potential of the duty-
developed into one of China’s prime resort areas, earning free policy into full play, construction of the world’s
the nickname “oriental Hawaii.” largest duty-free shopping center has begun in the
resort city of Sanya. With an investment of RMB3.45
Although the service industry accounted for 53.7 billion, the Haitang Bay International Shopping Center
percent of GDP in 2016, Hainan also has the largest has attracted a vast number of top-end and flagship
primary sector of all of China’s provinces, through the stores to its 125,000 square meter complex after opening
important contribution of its fisheries and tropical cash in September 2014.
crops like coconuts, pepper, coffee, tea and rubber.
The accumulative value of the duty-free goods
Economy purchased per one-time visitor departing from Hainan
Island is limited to RMB8,000 and the allowable quantity
While many of the tourists who travel to Hainan of each individual type of good is as shown in the Annex
are Chinese, the government is attempting to change below. As long as the import duty of the goods has been
this – the State Council has announced a strategic plan paid, each visitor may also purchase one product priced
to make Hainan a world-class international tourist over RMB8,000.
destination by 2020. The government plans to have in
place 325 tourist projects and 110 five-star hotels by the Hainan Island occupies 42.5 percent of the nation’s
end of 2020, as stipulated in Hainan’s 13th Five Year Plan. total tropical landmass used for agriculture, forestry,
animal husbandry and fishery. Major agricultural
The most valuable government policies issued in industries include natural rubber, coffee, tobacco,
connection with promoting Hainan as an international tropical flowers and tropical fruits such as coconuts,
tourist destination are the island’s duty-free policies, watermelons and bananas. Hainan is also developing
post-departure tax refunds, and visa exemptions for aromatic vegetables into a major industry.
qualified tourists from 26 countries and regions.
The province is home to 70 percent of China’s
Since April 2011, tourists have been able to purchase titanium reserves and is a major salt production center.
duty-free commodities at duty-free stores in the Main exports include aquatic products, furniture and
province and leave the island by air, greatly increasing wood, electrical and electronic products, and iron and
tourism and high-end consumption. Having recognized steel. Hainan’s main import and export trading partners
the tremendous benefits brought to the local economy are the E.U., ASEAN, the U.S. and Japan.
by the policy, the Chinese central government loosened
previous restrictions in October 2012. The minimum age
for purchasing duty-free commodities was lowered to
100
An Island of Tourism and Agriculture 16, while the upper value limit for duty-free commodities
was increased from RMB5,000 to RMB8,000. Moreover,
Hainan Province includes over two three additional categories of commodities have been
hundred islands off of China’s added to the duty-free list, namely, beauty and health
southern coast in the South China Sea, with Hainan care products, tableware and kitchen appliances, and
Island (30 miles off the coast of Guangdong) accounting toys - expanding the scope of duty-free commodities to
for 97 percent of provincial land area. China’s smallest 21 categories.
province and largest special economic zone, Hainan is
at the same latitude as Hawaii, Bali and Phuket and has In an effort to bring the huge potential of the duty-
developed into one of China’s prime resort areas, earning free policy into full play, construction of the world’s
the nickname “oriental Hawaii.” largest duty-free shopping center has begun in the
resort city of Sanya. With an investment of RMB3.45
Although the service industry accounted for 53.7 billion, the Haitang Bay International Shopping Center
percent of GDP in 2016, Hainan also has the largest has attracted a vast number of top-end and flagship
primary sector of all of China’s provinces, through the stores to its 125,000 square meter complex after opening
important contribution of its fisheries and tropical cash in September 2014.
crops like coconuts, pepper, coffee, tea and rubber.
The accumulative value of the duty-free goods
Economy purchased per one-time visitor departing from Hainan
Island is limited to RMB8,000 and the allowable quantity
While many of the tourists who travel to Hainan of each individual type of good is as shown in the Annex
are Chinese, the government is attempting to change below. As long as the import duty of the goods has been
this – the State Council has announced a strategic plan paid, each visitor may also purchase one product priced
to make Hainan a world-class international tourist over RMB8,000.
destination by 2020. The government plans to have in
place 325 tourist projects and 110 five-star hotels by the Hainan Island occupies 42.5 percent of the nation’s
end of 2020, as stipulated in Hainan’s 13th Five Year Plan. total tropical landmass used for agriculture, forestry,
animal husbandry and fishery. Major agricultural
The most valuable government policies issued in industries include natural rubber, coffee, tobacco,
connection with promoting Hainan as an international tropical flowers and tropical fruits such as coconuts,
tourist destination are the island’s duty-free policies, watermelons and bananas. Hainan is also developing
post-departure tax refunds, and visa exemptions for aromatic vegetables into a major industry.
qualified tourists from 26 countries and regions.
The province is home to 70 percent of China’s
Since April 2011, tourists have been able to purchase titanium reserves and is a major salt production center.
duty-free commodities at duty-free stores in the Main exports include aquatic products, furniture and
province and leave the island by air, greatly increasing wood, electrical and electronic products, and iron and
tourism and high-end consumption. Having recognized steel. Hainan’s main import and export trading partners
the tremendous benefits brought to the local economy are the E.U., ASEAN, the U.S. and Japan.
by the policy, the Chinese central government loosened
previous restrictions in October 2012. The minimum age
for purchasing duty-free commodities was lowered to
100
