Home / Business / News Tools: Save | Print | E-mail | Most Read | Comment
China opens new free-trade harbor area to boost ASEAN trade
Adjust font size:

China opened a new bonded harbor on Thursday in a major step toward a free trade zone operation with the Association of Southeast Asian Nations (ASEAN).

The Yangpu Bonded Harbor Area is China's fourth such facility to have preferential tax rates. The harbor, with a first phase of 2.3 sq. km., will cover 9.21 sq. km. when its three stages are completed. It is located in the Yangpu Economic Development Zone (YEDZ), in south China's Hainan Province. It has passed an inspection by the General Administration of Customs.

The three other bonded harbor areas are in Yangshan of Shanghai, Dongjiang of Tianjin and Dayaowan of Dalian, Liaoning Province.

Speaking at a ceremony to launch the Yangpu port, Vice Governor Jiang Sixian promised to make good use of policies involving the port and help turn Hainan into a free trade zone.

Li Lanxue, chief of Haikou Customs, said the Yangpu port would offer tax breaks on imports and rebates on domestic commodities. Inter-company transactions will be exempt from value-added and consumption taxes, in addition to preferential policies in YEDZ.

"The bonded harbor zone will focus on transfer, storage, logistics, processing and trade in energy and raw materials, and will eventually become an ASEAN-oriented business center," said Li.

YEDZ is on the 150-sq-km Yangpu Peninsula in northwestern Hainan, 40 km. north of the provincial capital, Haikou. It covers 30 sq. km.

Established in 1992, the zone was meant to be an export-oriented industrial district focusing on advanced technology and the development of tertiary industry. The 1997 Asia financial crisis, however, had a negative impact on the zone, from which it never fully recovered.

To attract overseas investors, YEDZ has been allowed to offer incentives. The zone's statistics show that domestic and foreign companies have signed investment deals worth 40 billion yuan (about 5.88 billion U.S. dollars) since the Yangpu Bonded Harbor Area was approved for construction in October last year. The deals involve services such as shipping and logistics.

(Xinhua News Agency November 20, 2008)

Tools: Save | Print | E-mail | Most Read
Comment
Pet Name
Anonymous
China Archives
Related >>
- China-ASEAN trade up nearly 27%
- China posts 26% growth in trade with ASEAN in Q1
- China, ASEAN become 4th-largest trade partners
- China-ASEAN trade forum opens
Most Viewed >>
- Global car giants bet heavily on China
- China ranks No.1 holder of US bonds
- Shanghai Disneyland 'certain' to go ahead
- China to overhaul dairy industry
- New oil pricing measures to be in place in '20 days'
- Output of Major Industrial Products
- Investment by Various Sectors
- Foreign Direct Investment by Country or Region
- National Price Index
- Value of Major Commodity Import
- Money Supply
- Exchange Rate and Foreign Exchange Reserve
- What does the China-Pakistan Free Trade Agreement cover?
- How to Set up a Foreign Capital Enterprise in China?
- How Does the VAT Works in China?
- How Much RMB or Foreign Currency Can Be Physically Carried Out of or Into China?
- What Is the Electrical Fitting in China?