Currently, the Hainan Free Trade Zone is in full swing. What attracts consumers is that some duty-free commodities have already landed in the Hainan Free Trade Zone.
Compared with other import channels, consumers can save a lot of money. Today, the duty-free commodities in the Hainan Free Trade Zone have finally extended to the automotive sector.
Recently, the Ministry of Finance, the General Administration of Customs, and the State Administration of Taxation issued the ‘ Notice on the ‘Zero-Tariff’ Policy on Hainan Free Trade Port Vehicles and Yachts ‘.
The notice pointed out that the vehicles covered include automobiles, airplanes, and yachts.
In accordance with relevant laws and regulations, they will be exempted from import duties, import value-added tax, and consumption tax.
This also means that some imported cars can enter the Hainan Free Trade Zone without tariffs.
In this regard, some netizens joked that the Lamborghini Urus, which is priced at only 186,000 euros abroad, can be imported duty-free in the Hainan Free Trade Zone for 1.5 million.
However, it is worth noting that Articles 1 and 3 of the ‘Notice’ clearly specify that the objects that can enjoy ‘duty-free vehicles’ are limited to enterprises that meet the policy conditions of the Hainan Free Trade Port for their own use and are subject to customs supervision.
The notice did not specify whether “zero-tariff vehicles” can be transferred to private users.
However, the notice also pointed out: “If it is transferred to an entity that does not meet the conditions of the enjoyment policy, it shall pay import-related taxes as required.
Transfer of ‘zero-tariff’ vehicles and yachts shall be subject to domestic value-added tax and consumption tax.’
For duty-free vehicles, the zero-tariff catalog covers large passenger cars, trucks and trailers with more than 30 seats.
And small passenger cars with less than 9 seats. In terms of the energy category, traditional fuel vehicles, electric vehicles, and hybrid electric vehicles are among them.
The notice shows that the business types of enterprises that meet the registration requirements need to be engaged in transportation and tourism.
Companies not registered in Hainan can enjoy the zero-tariff policy on imported cars in the name of the operation.
The scope of these zero-tariff vehicles can be used for passenger and cargo transportation to and from the mainland, but at least one of the origin and destination must be in the Hainan Free Trade Port, and the cumulative duration of stay in the mainland does not exceed 120 days per year.
Passengers and trucks traveling from Hainan Free Trade Port to the mainland are not restricted by the number of days.
At the same time, if the ‘zero-tariff’ transportation vehicles are not registered, operate in accordance with the relevant regulations of the transportation and other competent departments, and are subject to supervision, they need to pay relevant import taxes in accordance with relevant regulations.
(Via)
