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China: Tax policies and list of taxable goods for Hainan free trade port

Effective December 18, 2025

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October 14, 2025

The Ministry of Finance, General Customs, and State Taxation Administration issued Announcement No. 12, detailing tax policies for goods entering and leaving the "first line" and "second line" of the Hainan Free Trade Port (HFTP), and Announcement No. 13 listing taxable goods, effective December 18, 2025.

Goods entering through the "first line" (which links the overseas market to the HFTP) are exempt from import duties and taxes unless listed as taxable. The "second line," connecting the HFTP to the mainland market, involves standard tax procedures, with exemptions for certain processed products.


For more information, contact a KPMG tax professional in China:

Nicole Zhang | nicole.ll.zhang@kpmg.com

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