Issued by:    General Administration of Customs
Issue No.:    Shushuihanzi [2025] No. 81
Issue Date:    August 25, 2025
Effective Date:    December 18, 2025
Links:    http://www.customs.gov.cn/customs/302249/zfxxgk/zfxxgkml34/6699349/index.html
The Notice is formulated to standardize the customs tax collection and administration on “zero-tariff” goods and their processed products in Hainan Free Trade Port (“HN FTP”). Key provisions are as follows:
Beneficial entities importing goods not listed in the “Catalogue of Import-Taxed Commodities” from outside China via the “First Line” are exempt from import tariffs, import VAT and consumption tax (collectively “zero-tariff”). When such zero-tariff goods or their processed products are exported back via the First Line and fall under “Catalogue of Import-Taxed Commodities”, export duties shall be levied.
At the time of First-Line import declaration, a beneficial entity may voluntarily pay (i) import tariffs, import VAT and consumption tax, or (ii) only import VAT and consumption tax. Payment of all import taxes is deemed a waiver of zero-tariff treatment; the operator may not apply for zero-tariff importation of the same type of goods for 12 months from the day after full payment.
Zero-tariff goods and their processed products moving from HN FTP to the rest of China must be declared by the eligible operator, and import tariffs, import VAT and consumption tax on the imported materials shall be paid.
Zero-tariff goods and their processed products continue to enjoy zero-tariff treatment when transferred between eligible operators inside HN FTP.
If zero-tariff goods imported via the First Line belong to the four categories subject to restrictive measures, the operator must, when circulating them (or their processed products) within HN FTP, declare and pay the import tariffs, import VAT and consumption tax on the imported materials.
Zero-tariff imported operational vehicles, vessels, aircraft, yachts, self-use production equipment and spare parts already used for repair shall be placed under customs supervision in accordance with the law. Different categories will be subject to supervision periods ranging from 3 to 8 years. Upon expiry of the supervision period, supervision will be automatically lifted. If such goods are transferred between beneficial entities within HN FTP, the supervision period shall be calculated continuously. All other zero-tariff goods are not subject to a fixed supervision period but remain under customs supervision.
During the supervision period, any early release from supervision or diversion to other uses triggers an obligation to pay the import tariffs, import VAT and consumption tax that were originally exempted.