Recently, numerous foreign trade vessels have docked at the Yangpu International Container Terminal in Hainan, unloading bulk materials like mineral sand and coconuts while loading industrial products such as coated paper and purified terephthalic acid (PTA) for shipment to Thailand’s Laem Chabang Port and Malaysia’s Port Klang.
In an interview, Xu Linxiang, Deputy General Manager of the Production Operations Center at Hainan Port and Shipping International Port Co., shared, “In the first three quarters of this year, we completed a total of 327,500 TEU in foreign trade containers, marking a year-on-year increase of 8.66%.” He noted that this year, Yangpu Port has launched direct foreign trade routes to the Middle East and Vietnam, bringing the total number of foreign trade routes to 25 and significantly boosting port throughput.
The bustling activity at Yangpu Port reflects the rapid growth of Hainan’s foreign trade. According to statistics from Haikou Customs, Hainan’s goods trade import and export totaled 205.95 billion yuan in the first three quarters of this year, reaching a historic high and increasing by 20.2% year-on-year.
Lu Jinsong, Deputy Director of the Statistical Analysis Division at Haikou Customs, pointed out that since the fourth quarter of 2023, Hainan’s foreign trade import and export scale has consistently shown year-on-year growth for four consecutive quarters. Since the release of the “Overall Plan for the Construction of Hainan Free Trade Port” in 2020, the number of registered foreign trade enterprises in Hainan has exceeded 70,000, contributing significantly to the trade growth.
Bai Ming, a committee member of the Academic Degree Committee at the Chinese Academy of International Trade and Economic Cooperation, commented, “Hainan’s growth in foreign trade far exceeds the national average, thanks to the gradual implementation of trade facilitation measures in the Hainan Free Trade Port and the continuous improvement of the business environment.” He emphasized that Hainan is aiming for high-level openness, creating a more favorable environment for foreign trade enterprises.
Since 2019, ASEAN has been Hainan’s largest trading partner for five consecutive years. This year, Hainan’s foreign trade volume with ASEAN reached a historical peak in the first three quarters. A representative from Hainan Jinhai Pulp Paper Co., Ltd. indicated that the company has seen a continuous increase in wood chip imports from ASEAN this year, attributed to simplified import and export procedures.
Yutao, Director of the Hainan Free Trade Port Research Center at the Chinese Academy of South China Sea Studies, noted that the combined effect of the Regional Comprehensive Economic Partnership (RCEP) and Hainan’s free trade policies has driven trade growth. As Hainan focuses on building “two bases” aimed at facilitating Chinese enterprises’ access to international markets and foreign enterprises’ entry into the Chinese market, the expected growth momentum will likely continue.
In addition to achieving rapid expansion, Hainan’s foreign trade has also improved in quality, with new products emerging in the first three quarters. Statistics reveal that the import value of meat increased by 143.5% during this period. Within the Yangpu Economic Development Zone, food companies have leveraged the Hainan Free Trade Port’s policy allowing for a 30% value-added exemption from tariffs for processed imported meat, resulting in a budding industry. Hainan Haojun Food Co., Ltd., which started production in April, has imported nearly 300 tons of pork, with General Manager Zhao Jinlong revealing that processed products like cured meat and pig stomach are now being sold to other regions in China, benefiting from the tax exemption on imports.
At the production site of Kandi Electric Vehicle (Hainan) Co., Ltd., electric golf carts are set to be exported to the U.S. market. Deputy General Manager Xiao Ye shared, “In the first three quarters of this year, we exported nearly 10,000 electric golf carts, and our next steps involve launching new products while focusing on expanding into Southeast Asia and the Middle East.”
Hainan is tapping into new foreign trade opportunities in sectors like environmental materials and biomedicine. Hainan Aoke Chemical Co., Ltd. began producing eco-friendly concrete additives—polycarboxylate superplasticizers—by the end of 2023, with products in the first three quarters reaching tens of thousands of tons, primarily exported to Europe, Southeast Asia, and South Asia.
“During the first three quarters, our export value increased by 92%, including numerous biopharmaceutical products like injectable Vancomycin hydrochloride,” said Zou Yinquai, Deputy General Manager of Hainan Puli Pharmaceutical Co., Ltd. He emphasized that the company is rapidly implementing its international development strategy, capitalizing on tax benefits and convenience in customs clearance, achieving an average of over ten new international registration approvals annually over the past three years, with export value experiencing double-digit growth for six consecutive years.
Yutao concluded that the construction of the free trade port is driving industrial upgrades in Hainan, characterizing the momentum in foreign trade as a transition from primary agricultural products to high-tech industrial goods.
