What is the reason for the "closure" of the entire island of Hainan? What is the impact?
2023-04-03
Recently, "Hainan has initiated preparations for the operation of island wide customs closures", which has sparked heated discussions. At present, the preparatory work tasks for the operation of Hainan Island wide customs closures have made phased progress. The preparation for the operation of Hainan Island wide customs closures has been fully launched, ensuring that the hardware conditions for customs closures are available this year, that various preparations for customs closures are completed next year, and that the operation of Hainan Island wide customs closures will be achieved by the end of 2025. What does the operation of Hainan Island wide customs closure mean? What impact will it have on us? What is a seal? "Customs closure" is a customs term that refers to the fact that the entire island of Hainan becomes a "domestic and external customs" area, and preferential policies such as zero tariffs can be enjoyed within the island. In this specific area, the concept of "closing" can also be abbreviated as: first line release, second line control, and freedom within the island. "Frontline liberalization" refers to the free movement of goods, funds, personnel, and other elements between the free trade zone (port) and overseas countries, without customs supervision. "Second line control" refers to the entry and exit of goods from the free trade zone (port) into other areas of the country, which are included in the national customs clearance integration, subject to regular supervision, and subject to corresponding taxes, and included in trade statistics. It can be seen that the "first line" is external, the "second line" is internal, and the island is free. Li Shijie, president of the Hainan Open Economy Research Institute, explained this. Li Shijie: "First line liberalization" means that Hainan has opened up with other countries and regions outside the Chinese Mainland, and international goods can freely enter and leave Hainan, so that Hainan and the world can achieve a high degree of freedom in trade; "Second line control" refers to the fact that international goods entering the mainland are still subject to domestic regulation, ensuring the consistency of domestic trade. If goods enter the mainland, additional tariffs are required. "Closing the customs" is not "closing the island". On the contrary, the operation of closing the customs throughout the island means that the connection between Hainan Free Trade Port and the outside world will be smoother, and it is a higher level of openness. On the other hand, under the operation of the island wide customs closure, the connection between the Hainan Free Trade Port and the mainland in terms of goods, goods, and means of transportation is a "managed" connection, which also brings challenges and opportunities to the institutional construction of the Free Trade Port. △ What impact will the closure of the Boao coastal area in Hainan have? The impact of the operation of customs closure is mainly reflected in the following two aspects: Yang Lin, the second level chief staff member of the Shenzhen Reform Office of the Hainan Provincial Party Committee for Import and Export Trade (Free Trade Port Industry Committee Office), introduced that after the operation of customs closure, on the one hand, the vast majority of imported goods (excluding the taxed goods catalog) in Hainan Free Trade Port are duty-free; On the other hand, goods outside the prohibited and restricted list can be freely imported and exported, and Hainan's trade with other parts of the world will become more frequent, promoting the prosperity and development of import and export trade, and promoting Hainan's greater participation in the international division of labor. Li Shijie introduced that after the closure operation, on the one hand, imported goods can enjoy duty-free treatment when entering Hainan, so that consumers in the island can purchase international goods at lower prices; On the one hand, the opening up of personnel will also lead to a more open visa free policy for more countries, and more foreign talents will come to Hainan for business and tourism. What preparations need to be made for closing the customs in Hainan? In 2018, the Party Central Committee announced its support for Hainan to gradually explore and steadily promote Chinese characteristics
Edit：Hou Wenzhe Responsible editor：WeiZe
Source：china youth dairy
Special statement: if the pictures and texts reproduced or quoted on this site infringe your legitimate rights and interests, please contact this site, and this site will correct and delete them in time. For copyright issues and website cooperation, please contact through outlook new era email：lwxsd@liaowanghn.com
Economy
Recommended Reading Change it 
Home
