Southern China's Hainan province was given a greater tax-free shopping quota in July as well as more choices for duty-free shopping. CGTN's Lu Sirui is in Sanya, where retail has seen a boom thanks to the new policies.

While the coronavirus pandemic continues to bash the global economy -- especially in the realm of retail -- duty-free malls of Hainan are showing signs of recovery. Young couples are driving the island's retail rebound who have a taste for cosmetic products, luxury watches, and jewelry.

Visitors from Shanghai "We like shopping here, because compared to other places, Hainan has really nice weather. Besides shopping, we also explored a bit. The only bad thing that's happened is even though we arrived early to shop, we didn't get the Cartier watch we wanted."

Visitors from Shanghai "We're here to buy things we forgot to get last night. I think the prices are acceptable, and the service is good too."

China has been beefing up its duty-free policies since July, as part of the country's ambitions to transform Hainan into a globally recognized Free Trade Port. The province has recorded around 2 billion yuan in duty-free purchases by tourists from July 1st to 27th, up more than 200 percent from the same period in 2019. During this time period, around 200 thousand tourists visited Hainan, over 40 percent since last year.

SHI WENPING Deputy General Manager, CDF MALL "People can't go abroad to shop this year because of the pandemic. But as it's a big market for luxury brands, China is able to consume what it produces. Our shop has the advantage of competitive prices, and we also are constantly working to improve our service. I believe these factors make Hainan attractive to domestic consumers."

LU SIRUI Sanya, Hainan Province "The free trade port's status is not all about industrial business. Expanded duty free shopping on the island is also one of the features. Domestic consumers can enjoy the benefits without traveling overseas. In fact, the tax free policy has been in place for a while now and it attracts consumers from across the country. But the updated policies are expected to add even more vitality to local retail.