Since the pilot program for the processing and value-added duty-free policy in the Hainan Free Trade Port began on July 8, 2021, its effects have continued to expand.
According to data disclosed by Haikou Customs on July 11th, by the end of June 2026, the value of domestic sales of processed and value-added duty-free goods had reached 12.12 billion yuan, with 920 million yuan in import duties waived.
Currently, this policy covers 11 industry sectors, including pharmaceuticals and medical devices, food manufacturing, and rubber and plastic products.
Leveraging its early-adopter advantage, the Yangpu Economic Development Zone in Danzhou has established a health food industry cluster with an output value exceeding ten billion yuan.
Haikou Customs reported that since the Hainan Free Trade Port officially entered its 'closed customs operation' phase on December 18, 2025, the domestic sales value of processed and value-added duty-free goods reached 680 million yuan by June 30, 2026, with approximately 39.482 million yuan in tariffs exempted.
All four optimization measures have been implemented, with two registered enterprises using 'zero-tariff' raw materials for processing and value-added business, generating about 1.2 million yuan in domestic sales value.
The cumulative bonded processing and value-added pathway has been established, with one upstream enterprise importing raw materials to produce goods for further processing by a downstream enterprise, ultimately achieving duty-free domestic sales through value addition and realizing supply chain collaboration and sharing.
Six types of products, including rubber, coffee beans, and coconuts, have been certified as Hainan-origin goods.
Three enterprises have used these Hainan-origin goods to conduct processing and value-added duty-free business, with a domestic sales value of 28.39 million yuan.
Customs authorities noted that, overall, since the port's closure, the structure of benefits for processed and value-added duty-free goods has been gradually optimized, with rapid growth in the pearl and rubber industries, adding vitality to the policy's expanding impact.
At the production facility of Hainan Jingwei Latex Silk Co., Ltd., imported latex from Southeast Asia is blended with Hainan's own latex.
After undergoing processes like latex dissolution, drying and vulcanization, and wire drawing, it is transformed into latex silk products, which are sold nationwide without incurring import tariffs.
A company executive stated that utilizing the processing and value-added duty-free policy has saved them approximately 3 million yuan in operational costs this year.
An official from the Haikou Customs Tariff Department explained that the processing and value-added duty-free policy helps position the Hainan Free Trade Port as a national 'frontline processing base' and 'regional value-added center'.
To support business development, Haikou Customs has implemented three support measures: issuing facilitative measures for value-added rate calculation, adopting a convenient 'second-line' domestic sales clearance system, and establishing a dedicated service mechanism for processing and value-added enterprises.
Particularly, the 'batch shipment, centralized declaration' clearance model can reduce overall enterprise clearance costs by more than 50%.
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