China News Service, September 24. According to the website of the General Administration of Customs, up to now, through the supervision system, the customs has imposed punishments on 219 passengers who violated regulations on Hainan’s outlying islands’ duty-free shopping for “no purchase of outlying island’s duty-free goods within three years” and 364 people at the same time. Passengers who attempt to take duty-free commodities out of the quarantine area shall be intercepted and discouraged, the customs supervision regulations shall be preached, and they shall be supervised to carry duty-free commodities off the island.

Data map: Customers line up to scan the health code and take their temperature to enter the duty-free shop.

Photo by Luo Yunfei

  Driven by the new tax-free shopping policy for Hainan’s outlying island tourists, which was officially implemented on July 1, the tax-free economy has set off a boom. The phenomenon of using tax-free policies to seek arbitrage has risen, which is contrary to the original intention of the new policy for outlying islands.

With a "zero tolerance" attitude, the customs has made a heavy blow to resolutely purify the operating environment of Hainan's outlying island duty-free market, by strengthening information management methods, updating high-tech supervision equipment, and strictly implementing the punishment of "no purchase of outlying island duty-free goods within three years".

Statistics show that among the above-mentioned 219 illegal passengers, 28 were carrying duty-free goods out of the island in violation of regulations, and 191 were selling duty-free goods for profit.

While intensifying investigations and punishments, the Customs will work with local governments to regulate market sales and effectively prevent "sets of purchasing agents."

  The "Announcement on Hainan’s Outlying Islands Passengers’ Duty-Free Shopping" jointly issued by the Ministry of Finance, the General Administration of Customs, and the State Administration of Taxation clarifies: "Individuals who resell, purchase, or smuggle duty-free goods in violation of the provisions of this Announcement shall be included in their credit records in accordance with laws and regulations. Purchasing duty-free commodities on outlying islands; those that constitute smuggling or violation of customs supervision regulations shall be dealt with by the customs in accordance with relevant regulations. If a crime is constituted, criminal responsibility shall be investigated according to law.”

  The General Administration of Customs stated that it will continue to tap the potential, strengthen supervision, expand the scope of application of high-tech supervision equipment, strictly implement punishments such as qualification penalties, and form a deterrent to illegal acts such as "buying agents" and gradually explore and steadily advance the Hainan Free Trade Port. The construction of a free trade port with Chinese characteristics creates a clean development environment.