Published by ChinaMNC · Yanshan

Hainan Free Trade Port: New Trade Measures for Foreign Founders

China's Ministry of Commerce and three other departments have issued new measures to improve trade liberalization and facilitation in the Hainan Free Trade Port. Here's what foreign founders need to know.

Hainan Free Trade Port: New Trade Measures for Foreign Founders

Foreign entrepreneurs considering establishing a presence in China's Hainan Free Trade Port should note a recent policy development. In October 2026, four Chinese government departments—the Ministry of Commerce, the National Development and Reform Commission, the Ministry of Ecology and Environment, and the General Administration of Customs—jointly issued a notice to further enhance trade liberalization and facilitation in Hainan. The notice aims to support the high-standard development of the Hainan Free Trade Port and position it as a key gateway for China's opening-up in the new era.

The notice outlines 16 specific measures across three areas: optimizing goods trade, facilitating services trade, and fostering new trade formats and models. For foreign founders, these measures could affect how you structure your operations in Hainan, particularly if your business involves manufacturing, services, or innovative trade activities.

Goods Trade: Focus on Key Industries

In the area of goods trade, the measures target key industries such as automobiles and new petrochemical materials. The notice proposes support measures to optimize bonded supervision, bonded delivery, and research and testing. It also emphasizes strengthening the integration of trade and industry to help reinforce and extend industrial chains.

For foreign founders in manufacturing or logistics, these measures could mean more streamlined customs procedures and new opportunities for bonded operations, R&D, and testing within Hainan. This could be particularly relevant if you are setting up a production or distribution facility in the region.

Services Trade: Expanded Opening in Key Sectors

In services trade, the notice calls for further voluntary opening in sectors such as healthcare, insurance, and professional qualification recognition. It also aims to improve the convenience of entry and practice for foreign nationals. The goal is to promote innovation and development in leading industries such as tourism and modern services.

For foreign founders in these sectors, these measures may ease the process of bringing in foreign professionals and obtaining necessary qualifications. If you are planning to establish a service-oriented business in Hainan, these developments could reduce barriers to entry and operation.

New Trade Formats and Models

The notice also encourages exploration of new business formats such as bonded repair and remanufacturing. It supports comprehensive deepening of cooperation between Hainan Free Trade Port and Hong Kong, and seeks to enhance coordinated development with the Guangdong-Hong Kong-Macao Greater Bay Area. These measures aim to stimulate new momentum for trade development.

Foreign founders involved in circular economy activities or those looking to leverage Hong Kong's connections may find new opportunities in Hainan. The emphasis on regional cooperation could provide additional avenues for business expansion.

Implementation and Risk Management

The notice stresses that relevant departments must uphold the overall leadership of the Party, balance development and security, and fully support, guide, and assist Hainan Province in implementing the policies. Hainan authorities are required to fulfill their responsibilities, improve working mechanisms, break down tasks, and ensure implementation. They are also tasked with establishing a risk prevention and control system, strengthening full-process supervision, and effectively managing risks to safeguard security.

For foreign founders, this means that while the measures aim to facilitate trade, they will be accompanied by robust regulatory oversight. It is advisable to ensure compliance with all relevant regulations and to stay informed about specific implementation details as they are rolled out by Hainan authorities.

Practical Implications for Foreign Founders

If you are considering registering a company in Hainan or expanding your existing operations there, these measures could offer new possibilities. The focus on goods trade may benefit manufacturing and logistics companies, while the services trade measures could support businesses in healthcare, insurance, and professional services. The encouragement of new trade formats may open doors for innovative business models.

However, as with any regulatory change, the specifics matter. Foreign founders should monitor official announcements from Hainan provincial authorities for detailed implementation rules and timelines. It is also wise to seek professional advice to navigate the registration and operation processes.

Conclusion

The new notice from China's commerce and customs authorities signals a continued commitment to making Hainan Free Trade Port more open and efficient for trade. For foreign founders, it represents an opportunity to explore or expand operations in a region designed to facilitate international business. By understanding the measures and staying attuned to local implementation, you can better position your company to take advantage of the evolving landscape.

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

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