Hunan free trade zone introduces a new model for goods clearance

Photo shows Yueyang area of the China (Hunan) Pilot Free Trade Zone (Hunan pilot FTZ) in central China's Hunan province.

In the Yueyang area of the China (Hunan) Pilot Free Trade Zone (Hunan pilot FTZ) in central China's Hunan province, cargo trucks are lined up to enter the comprehensive bonded zone. Driver Gan Baowang smoothly navigated his truck toward the checkpoint, passing through within moments.

To address challenges such as cumbersome declaration processes, prolonged waiting time, and inefficient procedures for goods and personnel entering and exiting the bonded zone, the Yueyang area of the Hunan FTZ has implemented a new, streamlined management model.

"When goods move into the comprehensive bonded zone, if issues such as discrepancies in vehicle information arise, the backend system immediately sends alerts to enterprises, while staff direct vehicles to designated inspection areas for rapid handling," explained Chen Yu, director of the innovation and coordination department of the administrative committee of the Yueyang area.

"As a result, the time spent at checkpoints has been reduced from 30 to 50 minutes to approximately 40 seconds," said Chen.

This advancement in trade facilitation serves as a prime example of how the Hunan pilot FTZ is building itself into an inland hub for reform and opening up through institutional innovation. Since its inception five years ago, the FTZ has actively explored new paths in industrial development and opening up, yielding significant achievements.

Foreign merchants visit the permanent exhibition hall of the China-Africa Economic and Trade Expo in Changsha, central China's Hunan province. (Photo from Changsha Evening News)

Over the past five years, the Hunan pilot FTZ has seen the establishment of 54,700 new enterprises, attracted 575 major projects with a total investment of 767.37 billion yuan ($108.95 billion), and generated 109 institutional innovation outcomes, seven of which have been promoted nationwide.

The FTZ, comprising three areas, leverages their respective advantages and pursues differentiated development priorities, according to Hu Songqiang, an official with the Hunan provincial department of commerce.

Through domestic reform and international collaboration, the Hunan pilot FTZ has leveraged its strengths in fostering cooperation with Africa to advance China-Africa economic and trade relations.

Platforms such as the China-Africa Economic and Trade Expo and the Pilot Zone for In-depth China-Africa Economic and Trade Cooperation have yielded substantial progress in this regard. At the Gaoqiao Grand Market in the Changsha area of the FTZ, a diverse range of African goods, including South African wine, are displayed. Additionally, the Chenzhou area has launched four air routes to Africa, while the cargo value transported via the Hunan-Guangdong-Africa rail-sea intermodal transport service has exceeded $500 million. Yueyang has also become home to the headquarters of the Pilot Zone for In-depth China-Africa Economic and Trade Cooperation, expanding investment in the primary processing of African agricultural products.

"As trade exchanges continue to strengthen, we are committed to providing better services for Hunan enterprises seeking to expand globally," said Deng You, deputy director of the Yuhua administrative committee in the Changsha area of the Hunan pilot FTZ. He noted that the Changsha area has promoted the establishment of the China-Africa Technical Measures to Trade Research and Evaluation Base, which aids enterprises in penetrating new markets.

"The base provides professional training and personalized consulting, enabling enterprises to gain a comprehensive understanding of market access standards and policy procedures in target countries," a representative of the base explained.

Since its establishment, the base has been guided by Changsha customs in conducting 430 evaluations of technical trade measures. Of these, 120 evaluation opinions have been adopted by the Research Center for International Inspection and Quarantine Standards and Technical Regulations under the General Administration of Customs of China, with six receiving formal responses from notified countries. These evaluations cover products with annual exports to Africa valued at over 2.9 billion yuan.

Chinese and foreign merchants communicate at the fourth China-Africa Economic and Trade Expo in Changsha, central China's Hunan province, June 14. (Photo/Lin Daohui)

So far, 14 cities and prefectures in Hunan have established paired cooperation mechanisms with 28 African countries. According to Changsha customs, trade between Hunan and Africa grew at an average annual rate of 14.3 percent from 2021 to 2024, ranking first among central and western regions of China. In the first 11 months of this year, Hunan's imports and exports with Africa reached 53.99 billion yuan.