Over the first half of 2025, the preferential policies of the Hainan Free Trade Port have resulted in benefits for over 10 billion yuan (1.39 billion USD) of products imported by Hainan companies and processed in Hainan Province.

Since 2023, the Department of Industry and Information Technology of Hainan Province, the Department of Commerce of Hainan Province, Haikou Customs, and Hainan’s key industrial parks have worked hand-in-hand to implement Hainan’s processing value-added tariff exemption policy, achieving remarkable results. The policy has been optimized to make it more attractive, resulting in a significant increase in the number of pilot declaring companies, companies eligible under the preferential policy, the total value of products imported, and the number of implementation scenarios. The number of pilot declarants reached 200, up 426%, and 123 qualified companies have been approved, an increase of 224%. A total of 48 companies have imported products under the policy, an increase of 153%, with cumulative domestic sales valued at 10.03 billion yuan, an increase of 122%. Total tariff exemptions of 840 million yuan have been made, an increase of 121%. From January through June, 2025, the value of newly added products enjoying the preferential policy totaled 3.16 billion yuan, a year-on-year increase of 4.42 times. Tax exemptions totaled around 233 million yuan, up 5.1 times over the previous year, and ten new application scenarios were added, bringing the total to 44.

The 48 companies that have benefited from the program involve 10 industry categories and 44 product application scenarios. These include eighteen agricultural and agricultural byproduct processing companies, thirteen pharmaceutical manufacturing companies, seven jewelry manufacturing companies, four food manufacturing companies, one general equipment manufacturing company, one special equipment manufacturing company, one chemical manufacturing company, one petroleum processing company, one rubber and plastic products company, and one textile industry company.

A total of 44 product types were involved in product application scenarios, including including beef and mutton products, pork products, sea cucumbers, edible oils, pearl jewelry, sapphire jewelry, food additives, coffee, polypropane, non-woven fabrics, and rubber products.

Hainan Province plans to continue to widen the application of the FTP value-added processing policies, to accelerate promotion of targeted investment in value-added processing, to focus on a variety of sub-industries to create typical use cases, to attract similar companies to form industry development clusters, and to develop the Hainan FTP value-added processing industry brand reputation.