Translated with AI
On December 18, Hainan, China, will become a separate customs zone. Experts have already called this a significant milestone in the process of reform and opening up, as well as a new starting point for strengthening China's cooperation with the world. Hainan has extensive experience in implementing such reforms: in 1988, it became one of China's first special economic zones, and in 2018, the establishment of a pilot zone and free trade port was announced there. The goal of the new regulations is to further promote openness and ease of trade, increase investment, and encourage cross-border capital flows. To this end, a unique system has been developed, incorporating three key principles: an open first line, a controlled second line, and free trade throughout the island.
Dual Circulation: A New Driver of Economic Growth
The open first line means the free trade port will be widely open to international interaction. The controlled second line was introduced to address the tariff discrepancy between the island and mainland China due to the lifting of import restrictions. This scheme is designed for goods flowing from Hainan to other regions of China, creating a favorable investment environment. This will make it much easier for foreign companies to enter the Chinese market and use Hainan to expand their presence in global markets.
Openness Dividends: Sharing the Fruits of Development
Another advantage of the new policy will be the ease of opening representative offices and processing facilities in Hainan. Hainan could become not only a "super hub" for goods from various countries, including Russia and Central Asia, but also, thanks to the preferential policy, a hub for processing raw materials from around the world into finished products and their subsequent distribution both within China and internationally.
Unique Resources: New Heights in the Development of Science and Tourism
The new policy will make it easier to establish research institutes on Hainan. Hainan's unique human resources and innovative environment will benefit anyone willing to operate on the island in any sector, whether trade, science, or education. Naturally, the tourism industry also has great potential. The tropical island has long been a favorite destination for visitors from Russia and Central Asia, and the new policy will introduce new benefits, allowing more people to combine business trips with leisure.
On the way to the future: together for a better tomorrow
The establishment of a separate customs zone in Hainan is not an end point, but a new starting point. Hainan is on a path of continually expanding openness, offering increasingly innovative mechanisms and high-quality services, becoming a unique window for sharing opportunities. This allows for a new level of interstate cooperation in all areas—from energy and agriculture to science and culture—and for sharing the fruits of development, which resonates with China's vision of creating a community with a shared future for mankind.
Wang Xiaobo
CGTN correspondent
