Joylangan · Karakalpak

Hainan Free Trade Port: New Trade Liberalization Measures for Foreign Founders

China's Ministry of Commerce and three other departments issued a notice with 16 measures to raise trade liberalization and facilitation in the Hainan Free Trade Port, covering goods trade, services trade, and new trade formats. Here is what foreign founders should note.

What Happened

China's Ministry of Commerce, together with the National Development and Reform Commission, the Ministry of Ecology and Environment, and the General Administration of Customs, has jointly issued a notice on further improving trade liberalization and facilitation in the Hainan Free Trade Port. The notice was published by the Ministry of Commerce's news office on October 29, 2026.

According to the announcement, the notice is intended to support high-standard construction of the Hainan Free Trade Port and to develop it into an important gateway for China's opening-up in the new era. It sets out 16 measures across three areas: upgrading goods trade, facilitating services trade, and encouraging new trade formats and models.

Three Areas of Reform

1. Goods Trade

The goods trade measures focus on key industries such as automobiles and new petrochemical materials. The notice calls for support measures including optimized bonded supervision, bonded delivery, and research and testing. It also emphasizes closer integration between trade and industry, with the aim of strengthening, supplementing, and extending industrial chains.

For foreign founders, this signals that Hainan's policy direction favors manufacturing-adjacent and processing-related activities that sit within these priority industries. If your business involves bonded operations, R&D, or testing in these sectors, the notice indicates that supporting measures in these areas are being refined.

2. Services Trade

In services trade, the notice calls for further autonomous opening in service sectors including medical care, insurance, and professional qualification recognition. It also calls for improving convenience for foreign nationals entering Hainan and practicing their professions there. The stated goal is to promote innovation and development in leading industries such as tourism and modern services.

This is directly relevant to founders in healthcare, insurance, and professional services, and to companies that need to bring foreign professionals into Hainan. The notice points toward smoother entry and practice arrangements for foreign personnel, though the specific implementing rules will determine how these commitments apply in practice.

3. New Trade Formats and Models

The notice encourages exploration and expansion of new formats such as bonded maintenance and remanufacturing. It also supports deeper comprehensive cooperation between the Hainan Free Trade Port and Hong Kong, and improved coordination with the Guangdong-Hong Kong-Macao Greater Bay Area, with the aim of stimulating new momentum for trade development.

For founders operating in circular economy, repair, or remanufacturing activities, bonded maintenance and remanufacturing are areas to watch. The reference to Hong Kong and the Greater Bay Area also suggests opportunities for businesses that structure operations across these regions.

Implementation and Risk Control

The notice states that relevant departments should uphold the overall leadership of the Party, balance development and security, and fully support, guide, and assist Hainan Province in implementing the policies to improve the quality and efficiency of foreign trade. Hainan provincial authorities are required to fulfill their primary responsibilities, improve working mechanisms, break down tasks, and ensure implementation. They are also required to establish and improve risk prevention and control systems, strengthen full-process supervision, and firmly hold the safety bottom line.

For foreign founders, the emphasis on risk control and full-process supervision is a reminder that liberalization measures will operate alongside regulatory oversight. Compliance planning should be part of any market entry or expansion strategy in Hainan.

Practical Takeaways for Foreign Founders

• Priority sectors: Automobiles, new petrochemical materials, tourism, modern services, medical care, insurance, and professional services are explicitly referenced in the notice.
• Bonded operations: Bonded supervision, bonded delivery, bonded maintenance, and remanufacturing are areas where the notice indicates policy support and exploration.
• Foreign professionals: The notice calls for greater convenience for foreign nationals entering Hainan and practicing professions there, which may matter for staffing plans.
• Regional linkages: Cooperation with Hong Kong and coordination with the Greater Bay Area are part of the policy direction, relevant to cross-regional business structures.
• Implementation details: The notice sets direction; specific procedures, eligibility criteria, and operational rules will be defined by implementing authorities. Founders should confirm details with local authorities or professional advisors before relying on any measure.

What the Notice Does Not Say

The source text does not provide tax rates, investment thresholds, processing times, or sector-specific licensing requirements. It does not guarantee approval of any application or offer investor protections beyond existing law. Founders should treat the notice as a policy signal rather than a complete operating manual.

Next Steps

Foreign founders considering Hainan should map their business activities against the three areas above, identify whether their operations involve bonded goods, services sectors named in the notice, or new trade formats, and then verify the applicable procedures with the relevant authorities. Because implementation is assigned to Hainan provincial authorities, local guidance will be the key reference for actual filings and operations.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.

Foreign founders can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535 for help registering and operating a company in China.