Page 174 - AmCham South China 2026 Special Report on the State of Business in South China

China (Hainan) Cross-border E-commerce The rollout of these new cross-border
Comprehensive Pilot Zone 143 e-commerce comprehensive pilot zones
underscores China¡¯s commitment to positioning
On 22 April 2025, the State Council of China itself at the forefront of global digital trade. By
approved the establishment of cross-border leveraging regulatory innovation, technology and
e-commerce comprehensive pilot zones in 15 targeted support measures, the initiative aims
new cities and regions, including the entire island to create an adaptive and forward-looking trade
of Hainan. environment. For businesses engaged in cross-
border commerce, these developments offer
The establishment of the China (Hainan) Cross- new opportunities for growth, market access and
border E-commerce Comprehensive Pilot Zone operational efficiencies in one of the world¡¯s most
aims to accelerate the digital transformation of dynamic e-commerce ecosystems.
trade, support the modernization of traditional
industries and reinforce the role of e-commerce
in the global market. A major focus of the new Summary
initiative is to encourage local governments to
implement and tailor policy frameworks that Amid an unstable global trade environment,
facilitate experimentation in digital trade, logistics Hainan is emerging as a linchpin for cross-
infrastructure, regulatory mechanisms and regional collaboration and supply chain resilience
enterprise-level innovation. ? a strategic stronghold for boosting China¡¯s
domestic consumption and external economic
In September 2025, Hainan government issued engagement. The province is actively encouraging
the Implementation Plan for the Cross-border foreign investment, expanding pilot zones for
E-commerce Comprehensive Pilot Zone 144 , opening up the services sector and further
targeting an average annual growth rate of liberalizing key areas such as telecommunications,
20% in the scale of cross-border e-commerce health care and education. Notably, 2025 marks a
imports and exports by 2030, cultivating a cross- pivotal moment for the Hainan FTP as it enters
border e-commerce ecosystem that highlights the critical phase of island-wide special customs
the characteristics of Hainan FTP, creating a operations. This positions Hainan as a strategic
distinctive Hainan brand on the map of China¡¯s junction for domestic and international economic
cross-border e-commerce and establishing a circulation, leveraging high-level openness to
development pattern that complements and drive domestic reform and providing a pivotal
coordinates with other provinces. The pilot platform for China¡¯s deeper participation in
zone will benefit from a variety of national-level Asia-Pacific economic integration. With strong
incentives aimed at reducing operational burdens policy support, competitive costs and growing
for cross-border e-commerce businesses. These innovation capabilities, Hainan is set to become
include VAT and consumption tax exemptions a major hub for international businesses during
for retail export goods, simplified enterprise the 15th FYP period.
income tax verification procedures and automatic
application of favorable retail import policies. The
government is also encouraging public-private
collaboration in the establishment of overseas
warehouses, which are critical to expanding
delivery networks and enhancing customer
experience in foreign markets.

143 Department of Commerce of Hainan, https://
dofcom.hainan.gov.cn/dofcom/0400/202506/54e34f88
0ab4459c8718618042722ab1.shtml
144 Government site of Hainan, https://en.hainan.
gov.cn/hainan/szfwj/202509/ba94d92189004e908e-
b326a3efd3b497.shtml

174 175