Hainan expands duty-free categories to include pet supplies, small drones, and portable instruments

Travelers from Hainan province will have a wider array of duty-free goods to choose from under a policy expansion set to take effect Nov 1, including pet supplies, small drones, and portable instruments.

The changes, announced by the Ministry of Finance, the General Administration of Customs, and the State Taxation Administration on Friday, broaden the scope of the island's duty-free shopping program by increasing the number of product categories to 47.

Two new categories have been added: pet supplies and portable musical instruments. The home air purifiers and parts category is now small household appliances, which includes items like robotic vacuum cleaners. The wearable devices and other electronic consumer products category is now just electronic consumer products, adding digital cameras and accessories, as well as mini-drones. Computer mice and keyboards are now included as digital accessories under the tablet computer category.

Duty-free shops are now allowed to purchase certain Chinese-made goods, including silk scarves, clothing, coffee, ceramics, and tea, and sell them under the duty-free scheme. This will be treated as an export, making the goods eligible for VAT and consumption tax rebates.

In a separate change, any Hainan resident who has a record of leaving the province within a natural year will now have unlimited access for the rest of that year to buy duty-free goods for immediate pickup.

The minimum age for shoppers using the duty-free quota has been raised from 16 to 18.

The adjustments are designed to boost the province's appeal as an international shopping destination. The existing annual duty-free shopping quota of 100,000 yuan (about $13,800) remains in place for all eligible shoppers who hold valid exit-entry documents and have purchased tickets to depart from Hainan.