CHINA. In a big boost for Hong Kong and Macau retailers, residents entering Mainland China from the two Special Administative Regions are to benefit from a sharply increased duty-free allowance, the Ministry of Finance, General Administration of Customs and State Administration of Taxation of the People’s Republic of China announced yesterday (27 June).
Under the revised policy, residents aged 18 and above entering Mainland China from Hong Kong or Macao will be able to carry luggage items purchased for personal use worth up to CNY12,000 (US$1,650) without incurring any duties.
An additional allowance of CNY3,000 (US$412) for additional goods purchased at port entry duty-free stores will be retained, bringing the total duty-free allowance to CNY15,000 (US$2,060).
In view of the revised provisions, aimed at establishing closer economic and trade relations between Mainland China and the Special Administrative Regions of Hong Kong and Macau, this policy update – effective from 1 July – is expected to benefit countless travellers, promoting smoother cross-border movement and encouraging more frequent visits.
In a statement, the Hong Kong Special Administrative Region Government said: “It is roughly estimated that the new arrangements will bring additional shopping expenditure to Hong Kong of somewhere between HK$8.8 billion (US$1.1 billion) and HK$17.6 billion (US$2.3 billion), generating value-added of between HK$2.7 billion (US$345.8 million) and HK$5.4 billion (US$691.4 million).”
Hong Kong Special Adminstrative Region Chief Executive John Lee said he was grateful to the central government for its care and support for Hong Kong and for introducing various measures to promote the city’s economic development.
The Hong Kong Government will carry out promotional efforts to inform Mainland visitors and related trades about the new arrangements. Additionally, the Hong Kong Tourism Board will hold a summer promotional event on 11 July to distribute offers covering sightseeing, transport, dining and consumption discounts.
For residents travelling through the Guangdong-Macao In-Depth Cooperation Zone in Hengqin, the policy offers further clarity. When entering from Macau (through the ‘first line’) existing regulations will apply. However, when moving from the zone into Mainland China (via the ‘second line’) the duty-free allowance of CNY12,000 for luggage items will be applicable, aligning with the broader announcement.
These new measures will come into force on 1 July at six major ports (belonging to Luohu, Futian, Shenzhen Bay, West Kowloon Station of the Guangzhou-Shenzhen-Hong Kong Express Rail Link, Gongbei and Zhuhai Highway Port of the Hong Kong-Zhuhai-Macao Bridge). Following a month-long initial phase, the policy will expand to all entry ports from 1 August, with the exception of the ‘first line’ port in Hengqin. ✈️
