According to a report in China Daily on February 7, 2026
Boosting Consumption and Local Free Trade Port Benefits
Hainan province is set to open five duty-free retail outlets for daily consumer goods across Haikou, Sanya, and Danzhou on Feb. 11, marking the first implementation of a new national policy aimed at lowering living costs and expanding the benefits of the island’s free trade port to residents.
The stores, three in Haikou and one each in Sanya and Danzhou, will allow eligible residents—including Chinese citizens with local identification or social security cards, and foreign nationals with valid residence permits—to purchase imported goods free of import tariffs, value-added tax, and consumption tax, up to an annual quota of 10,000 yuan ($1,440) per person. Products include food, beverages, household goods, and maternal and infant items.
Provincial authorities said the initiative aims to meet growing consumer demand, stimulate local retail activity, and align with festive spending during the Chinese New Year. Hainan plans to gradually expand the network until all cities and counties on the island are covered.
“The new duty-free outlets will tailor offerings to holiday demand and provide additional consumption incentives such as vouchers and payment discounts,” said Lu Wei, deputy director of the Hainan Provincial Department of Commerce.
This measure exemplifies China’s broader strategy to leverage free trade zones to enhance domestic consumption, attract retail investment, and strengthen regional economic ties.