A glimpse of Hainan Free Trade Port

A staff member is busy at the workshop of the Hainan Well Lead Medical Technology Development Co., Ltd. in Haikou, south China's Hainan Province on May 21, 2025. (Xinhua/Yang Guanyu)

In June 2020, China released a master plan to build the whole of Hainan Island into a globally influential and high-level free trade port by the middle of the century.

Many favorable policies have since been issued to support the development of the Hainan Free Trade Port (FTP), including the implementation of zero tariffs and the easing of market and foreign investment access. In addition, China exempted tariffs on goods imported to and processed in Hainan and then sold elsewhere in China if the processing trade entities in Hainan meet a 30 percent value-added threshold. The policy was first implemented as a pilot at the Yangpu Free Trade Port Zone in July 2021 and has since been gradually expanded to the whole island, powering the industrial development of the Hainan FTP.

Five years on, with a slew of favorable policies taking effect and continuous opening up, Hainan has gained a strong momentum of development and is making great strides towards becoming a free trade port with world influence.

An aerial drone photo taken on May 27, 2025 shows a view of the AUSCA International Oils and Grains Co., Ltd., located within the Yangpu Free Trade Port Zone under the Yangpu Economic Development Zone in Danzhou, south China's Hainan Province. (Xinhua/Yang Guanyu)

Staff are busy at the workshop of the Hainan Well Lead Medical Technology Development Co., Ltd. in Haikou, south China's Hainan Province on May 21, 2025. (Xinhua/Yang Guanyu)

An aerial drone photo taken on May 21, 2025 shows a view of the Hainan Well Lead Medical Technology Development Co., Ltd. in Haikou, south China's Hainan Province on May 21, 2025. (Xinhua/Yang Guanyu)

An aerial drone photo taken on May 27, 2025 shows a view of the Yangpu Free Trade Port Zone under the Yangpu Economic Development Zone in Danzhou, south China's Hainan Province. (Xinhua/Yang Guanyu)

Staff are busy at the workshop of the Hainan Well Lead Medical Technology Development Co., Ltd. in Haikou, south China's Hainan Province on May 21, 2025. (Xinhua/Yang Guanyu)

Staff members pack the products at Hongyan food company located within the Yangpu Free Trade Port Zone under the Yangpu Economic Development Zone in Danzhou, south China's Hainan Province, May 27, 2025. (Xinhua/Jin Haoyuan)

An aerial drone photo taken on May 21, 2025 shows a view of the Hainan Well Lead Medical Technology Development Co., Ltd. in Haikou, south China's Hainan Province on May 21, 2025. (Xinhua/Yang Guanyu)

Staff are busy at the workshop of the Hainan Well Lead Medical Technology Development Co., Ltd. in Haikou, south China's Hainan Province on May 21, 2025. (Xinhua/Yang Guanyu)

A staff member works on the production line at the AUSCA International Oils and Grains Co., Ltd., located within the Yangpu Free Trade Port Zone under the Yangpu Economic Development Zone in Danzhou, south China's Hainan Province, on May 27, 2025. (Xinhua/Jin Haoyuan)

An aerial drone photo taken on May 28, 2025 shows a view of Hainan Xiangyuan Industrial Co., Ltd. in Ledong Li Autonomous County, south China's Hainan Province. (Xinhua/Yang Guanyu)

A staff member introduces the imported rubber raw materials to Sanya Customs officers at Hainan Xiangyuan Industrial Co., Ltd. in Ledong Li Autonomous County, south China's Hainan Province, on May 28, 2025. (Xinhua/Jin Haoyuan)

An aerial drone photo taken on May 27, 2025 shows a view of the AUSCA International Oils and Grains Co., Ltd., located within the Yangpu Free Trade Port Zone under the Yangpu Economic Development Zone in Danzhou, south China's Hainan Province. (Xinhua/Yang Guanyu)

Customs officers learn about the production situation at a warehouse of AUSCA International Oils and Grains Co., Ltd., located within the Yangpu Free Trade Port Zone under the Yangpu Economic Development Zone in Danzhou, south China's Hainan Province, on May 27, 2025. (Xinhua/Jin Haoyuan)

A staff member introduces the production of the enterprise to Sanya Customs officers at Hainan Xiangyuan Industrial Co., Ltd. in Ledong Li Autonomous County, south China's Hainan Province, on May 28, 2025. (Xinhua/Jin Haoyuan)