On December 18, the Hainan Free Trade Port (FTP), the world's largest by area, officially launched its special customs operations.

Under these operations, the Hainan FTP will implement a special supervision model: freer access at the first line, regulated access at the second line and free flows within the island. The "first line" refers to Hainan's connection with overseas markets. "Freer access at the first line" allows overseas goods to enter the island more conveniently, with most benefiting from zero tariffs and expedited clearance. The "second line" refers to the customs boundary between Hainan and the mainland, where goods will undergo standard customs oversight to ensure fairness and prevent smuggling. The two-tiered customs system enables freer trade between Hainan and areas outside China's customs borders.

This move fully unlocks the province's policy package, featuring zero tariffs, low tax rates and streamlined procedures—for businesses, individuals and key industries—signaling a leap in China's trade and investment liberalization.

In 1988, Hainan Island was elevated from a part of Guangdong Province into both a province and China's largest special economic zone. This gave it a unique mandate to pioneer deep reform and high-level opening up.

In April 2018, the Central Government tasked Hainan with steadily developing an FTP with Chinese characteristics. The 2020 plan outlined its path: to learn from global models while reflecting a distinct Chinese approach. And it follows a clear timeline:

Establish the core policy system, focusing on trade and investment liberalization, and prepare for special customs operations by late 2025; mature the FTP's institutions, creating a new highland for the further opening up of China's economy, by 2035; and build a fully realized, high-level FTP with strong international influence by mid-century.

In today's times of transformation, marked by rising protectionism and headwinds against economic globalization, the Hainan FTP stands as a decisive commitment to high-level opening up.

More than a domestic milestone, this FTP represents a strategic shift to attract global investment and entrepreneurship. It will serve as a benchmark for facilitating the cross-border flow and optimal allocation of global resources.