Goods from African Nations Enjoy Zero-Tariff Entry to Hainan Under China's Expanded Tariff Exemption Policy
Hainan has completed its first import benefiting from China's expanded zero-tariff policy covering all 53 African countries with which it has diplomatic relations, marking another step in deepening China-Africa trade cooperation.
"This shipment is now subject to zero tariffs," said Liu Shuhua, a representative of Hainan Xingguang Active Carbon Co., Ltd., as a consignment of imported palm shell activated carbon arrived at the company's facility on July 15. Imported from Nigeria, the shipment is the first in the Hainan Free Trade Port to benefit from the new policy.
According to Haikou Customs, China began implementing zero tariffs on imports from 20 African countries that maintain diplomatic relations with China but are not classified as least developed countries on May 1. Together with the 33 least developed African countries already covered by preferential treatment, goods from all 53 African nations with diplomatic ties to China are now eligible for zero-tariff treatment, further expanding opportunities for China-Africa economic and trade cooperation.
Since the policy took effect, Yangpu Customs, a branch of Haikou Customs, has helped businesses navigate the new procedures through online and in-person policy briefings and one-on-one guidance, while continuing to streamline customs clearance services.
Xingguang’s 252-ton shipment of Nigerian palm shell activated carbon was successfully cleared under the supervision of Yangpu Customs, and qualified for tariff exemptions.
The clearance process, however, encountered an unexpected hurdle.
Although the shipment met all eligibility requirements, a technical failure in Nigeria's certificate of origin issuance system delayed the issuance of the required certificate, preventing the company from immediately claiming the zero-tariff benefit.
After receiving the company's request for assistance, Yangpu Customs promptly guided it to submit an Import Goods Declaration of Origin Qualification and provide a security deposit, allowing the shipment to be released under a guarantee while awaiting the certificate. Once the certificate of origin was obtained, customs quickly completed the deposit refund procedures, ensuring a seamless process from cargo release to reimbursement.
"The guaranteed release mechanism solved the problem of the delayed certificate of origin," Liu said. "It helped us avoid port storage charges while allowing us to enjoy the tariff exemption."
The expanded zero-tariff policy is expected to significantly reduce the cost of African products entering the Chinese market while creating new opportunities for Hainan's foreign trade enterprises. Products such as cocoa from Côte d'Ivoire and Ghana, coffee and avocados from Kenya, and citrus fruits and wine from South Africa, which previously faced tariffs ranging from 8 percent to 30 percent, are now eligible for full tariff exemptions provided they meet relevant rules of origin and quarantine requirements.
Africa has become an increasingly important trading partner for Hainan. During the 14th Five-Year Plan period (2021-2025), the province's trade with Belt and Road partner countries reached CNY 608.65 billion (about USD 84.8 billion), up 24.7 percent and accounting for 53.8 percent of Hainan's total foreign trade. Trade with emerging markets, including Africa, the Middle East and Latin America, has maintained strong growth.
Haikou Customs stated that it will continue to identify eligible enterprises, strengthen policy guidance, optimize certificate verification and deposit refund procedures, and ensure that businesses fully benefit from the expanded zero-tariff policy, thereby helping Hainan companies explore emerging markets and promoting high-quality foreign trade development.
Copyright 2021 Foreign Affairs Office of Hainan Province. All rights reserved.
Copyright 2021 Foreign Affairs Office of Hainan Province.
All rights reserved.