On Jan. 4, according to Haikou Customs, the Hainan Free Trade Port's zero-tariff policy for pharmaceuticals and medical device imports reached one year of smooth implementation, and continues to offer substantial benefits. To date, the cumulative value of pharmaceuticals and medical devices imported under the policy has reached around 460 million yuan (USD 65.89 million) resulting in total tax reductions and exemptions of around 62 million yuan (USD 8.88 million).

The FTP policy states that medical institutions, medical education institutions, and medical research institutes registered and recognized as independent legal entities within the Boao Lecheng International Medical Tourism Pilot Zone are eligible for exemption from import duties, import value-added tax, and consumption tax on imported pharmaceuticals and medical devices within the scope of the policy. This reduces the operating costs of medical institutions and significantly alleviates the financial burden on patients.

"This policy is a real boon for medical institutions like ours registered in Lecheng. It not only reduces the cost of medication and medical devices for patients, but also greatly facilitates our company's cash flow," said Feng Jialong, a representative of Hainan Boao Super Hospital.

To ensure the implementation of the policy for pharmaceuticals and medical devices, Haikou Customs studied and optimized customs clearance procedures, conducted in-depth visits and research to understand the obstacles and pain points of different types of entities in importing needed items under the policy, and proposed solutions to ensure that those eligible could access policy benefits. Next, Haikou Customs plans to continue to optimize regulatory services, offer guidance on policy use, further promote policy dividends for imported pharmaceuticals and medical devices, and help the Lecheng Pilot Zone become a global hub for high-quality medical resources.