People shop at a duty-free store in Haikou, south China's Hainan Province, Jan. 1, 2026. China's economy kicked off 2026 with robust momentum, as evidenced by bustling economic activity in the year's first days. (Xinhua/Yang Guanyu)

South China's Hainan Free Trade Port (FTP), the world's largest FTP by area, reported smooth and orderly operations during the first month of island-wide special customs operations, as the latest data showed the number of newly registered foreign trade enterprises in Hainan rose to 5,132, underscoring the strong growth potential of the FTP.

As of January 17, 2026, Haikou customs supervised 7.5 billion yuan ($1.05 billion) worth of zero-tariff goods at the "first line," and 85.87 million yuan worth of goods processed in Hainan and sold to the mainland under the value-added tax exemption policy at the "second line."

For zero-tariff and bonded goods that do not involve licensing or inspection requirements, customs authorities have implemented direct release measures, streamlining import declaration items from 105 to 33, a move that has significantly improved customs clearance efficiency, the customs announced on Sunday. 

China on December18, 2025, launched island-wide special customs operations in Hainan FTP, allowing freer entry of overseas goods, expanding zero-tariff coverage and more business-friendly measures, according to Xinhua News Agency. 

Officials describe the special customs system as "Freer Access at the First Line," referring to freer trade between Hainan and areas outside Chinese mainland's customs borders, and "regulated access at the second line," which involves applying standard customs controls for goods moving from Hainan to the mainland, said the report. 

Benefiting from the policy dividends and the growing "magnet effect" of the greater opening-up brought by the FTP, more foreign trade enterprises have chosen to establish operations on the island. Over the past month, 5,132 new foreign trade enterprises were newly registered in Hainan Province, according to a post by General Administration of Customs on Sunday. 

Hainan FTP has also attracted a rising number of travelers entering and exiting through the island's ports. Haikou Customs processed 311,000 inbound and outbound travelers via Hainan's airport ports, marking a 48.8 percent year-on-year increase, the post announcement read. 

Alongside a new round of adjustments to the offshore duty-free policy, the number of duty-free product categories has expanded from 45 to 47, with newly added items including digital photography equipment and micro-drones, among other electronic products. The scope of eligible shoppers has been expanded to include travelers departing from Hainan FTP.

As of January 17, 2026, Haikou Customs processed 48.6 billion yuan in offshore duty-free shopping sales, up 46.8 percent year-on-year. The number of duty-free shoppers reached 745,000, marking an increase of 30.2 percent, while the total number of duty-free items purchased rose 14.6 percent to 3.49 million, official data showed.

Global Times