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What does it mean for Hainan to complete the preparations for island closure by the end of 2024? What changes will it bring to Hainan?
Recently, Feng Fei, acting governor of Hainan Province, said in the Government Work Report? Fourteen or five? During this period, Hainan will initially establish a free trade port policy system. Complete the tasks related to the first phase of the system arrangement of the free trade port, strive to have the hardware conditions for customs clearance by the end of 2023, and complete the customs clearance preparations by the end of 2024. Hearing this news, I believe everyone will be confused. What exactly is customs clearance? And what does customs clearance mean to all consumers outside the island? Now I tell you, in fact, customs clearance is a technical term in the customs field. It means that when goods that have not gone through customs formalities are transported from one customs area to another customs area for customs formalities, they must use the supervised means of transport registered by the customs, sealed by the customs at the place of departure and unsealed by the customs at the destination, that is, they are under customs supervision all the time. ?

Why should we have the hardware conditions for customs clearance in 2023 and complete the customs clearance preparation before the end of 2024? At that time, the imported goods we often bought generally went through the following steps: foreign suppliers issued export declaration forms to the customs after receiving the goods from the importers, and then the goods were transported to the warehouses designated by the customs of the importing countries by the corresponding qualified carriers, such as Maersk, Sinotrans and COSCO. And submit the import declaration form to the local customs. During this period, the goods are completely under customs supervision and cannot be sold normally. Importers don't have to pay any customs duties. Only when the customs check is correct will the customs documents to be paid to the importer be printed out, and the latter can complete the delivery and sales after paying the relevant taxes and fees. ?

If Hainan is closed, the economy of Hainan Island will be self-contained. Foreign goods can enter Hainan Island directly without paying customs duties. Hainan natives are free to buy low-priced duty-free goods, which is a zero-tariff privilege granted by the state to Hainan Island, but all goods are not allowed to leave Hainan, otherwise they will have to pay customs duties. ? In the future, goods produced in other parts of the mainland will need to go through corresponding export procedures when they are exported to Hainan Island. ?

This model is basically similar to Hong Kong and Macao at present, and the biggest difference is that Hainan will not completely liberalize its foreign exchange policy. In a sense, Hainan is expected to become another free trade port for China to bid for Hong Kong in the future. Secondly, if the whole island of Hainan Island is closed, the variety of goods will become more and more abundant, the market competition will become more and more fierce, and consumers can enjoy more affordable prices. This will bring a huge consumer market to Hainan, and it is also a huge change for Hainan.