On February 5, the Hainan Free Trade Port (FTP) launched a dedicated duty-free shopping policy for residents of Hainan Island aimed at lowering living costs and ensuring that those who live and work in Hainan share in the benefits of FTP development.

Under the policy, residents can purchase daily goods duty-free at dedicated shops, with an annual allowance of 10,000 yuan and no limit on the number of purchases (Note: this is in addition to the 100,000-yuan annual allowance under the current island-departure duty-free shopping policy). Those who qualify include Chinese citizens holding Hainan ID cards, residence permits, or social security cards, as well as foreign nationals living and working in Hainan with valid residence documents. Products focus on everyday essentials, such as food and beverages, personal care items, household goods, and maternity and baby products.

The province’s first five dedicated shops are set to open on February 11 in three cities: Haikou, Sanya, and Danzhou. In Haikou, stores are located in the Guomao, Chengxi, and West Coast commercial districts; In Sanya, in the Sanya CBD; and in Danzhou, in the Xiari Square shopping area.

According to the provincial government, enterprises of all ownership types, including state-owned, private, and foreign-invested companies, are eligible to operate under the policy. To ensure product quality and consistent operations, applicants must demonstrate stable import sourcing channels, effective internal management systems, and a strong credit history.

The policy is another concrete step by Hainan to promote high-standard opening-up while improving people’s livelihoods. The province will evaluate the initial stores and gradually increase their number to provide more convenient access to local consumers.