'China's Hawaii' lures top global brands with tax-free promise

Planned tariff exemptions in Hainan by 2025 to boost demand for luxury goods

20230516 brands in Hainan

cdf Haikou International Duty-Free City in Hainan province, China. Both foreign visitors and those from mainland China can purchase duty-free goods in the province. (Photo by Yusuke Hinata)

YUSUKE HINATA, Nikkei staff writer

GUANGZHOU -- Major overseas brands are establishing sales, logistics and processing strongholds in the resort island province of Hainan in southern China.

China wants to transform the island into a free port by the end of 2025, which will allow the world better access to the domestic market -- a plan that an increasing number of foreign companies is finding hard to resist.

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