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The Area Of The New Duty-Free Zone At Meilan Airport In Hainan Will Be 10 Thousand Square Meters

The Area Of The New Duty-Free Zone At Meilan Airport In Hainan Will Be 10 Thousand Square Meters

The southern Chinese province of Hainan plans to open a new duty-free zone at Meilan international airport in Haikou. According to the portal "Nanhaiwan," the territory of 10 thousand square meters will be the largest duty-free complex in the country, located in the airport building.

The expansion of the duty-free zone will occur as a result of the completion of the second phase of the reconstruction of Meilan airport. About 33 thousand square meters (approximately 11% of the area) of the second terminal under construction will be used for commercial purposes, of which 10 thousand square meters will become a new duty-free zone. The terminal with an area of 296 thousand square meters will be put into operation by the end of 2020. 17.8 billion yuan (about $2.5 billion) was invested in creating its infrastructure.

In 2019, more than 1.26 million customers visited the duty-free zone of Meilan airport, which is 9.31% more than in the previous year. The revenue of this duty-free store last year was 2.31 billion yuan ($330 million), which is 9.13% more than last year.

Currently, four duty-free shops are open on Hainan - two of them are located in the administrative center of the province - the city of Haikou, the rest - in the city of Sanya and the coastal town of Boao in the Qionghai district in the North-East of the island. According to the latest data, their sales in May this year amounted to more than 1.9 billion yuan (about $279 million), which is 141% higher than the same indicator last year.

Since July 1, the Chinese authorities have increased the quota for one person to make purchases in Hainan duty-free stores from 30 thousand to 100 thousand yuan (from $4.2 thousand to 14.2 thousand). Besides, the government has removed the restriction on the maximum price per unit of goods, which previously was 8 thousand yuan ($1.14 thousand), and expanded the list of categories of consumer goods sold without duty, from 38 to 45. On the first day of the new rules taking effect, shoppers spent about 60 million yuan (about $8.57 million) in duty-free stores.

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