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According to the General Plan for the Construction of Hainan Free Trade Port issued by the State Council of China on June 1, 2020, the whole island of Hainan will start customs closure operation in due course before 2025. Through the management of the import and export of goods with "first-line liberalization and second-line control", Hainan Free Trade Port will be exempted from import duties on most imported goods. Hainan Free Trade Port will become a duty-free area, which will promote the development of tourism, retail, logistics and processing and manufacturing industries in Hainan. At present, Hainan is in the preparatory stage of customs closure operation.

Yangpu Economic Development Zone, located in the northwest of Hainan Island and about 130km away from Haikou City and 260km from Sanya City respectively, was established in 1992, covering an area of 114.78 square kilometers (accounting for about 3/1000 of Hainan's land area). So far, it has become a comprehensive economic development zone integrating port logistics, industrial and commercial activities. The foreign trade cargo throughput of Yangpu Port accounted for 76% of the province in 2021, and the total industrial output value of Yangpu accounted for 33% of the province in 2020. As the forerunner and demonstration zone of Hainan free trade port, Yangpu Economic Development Zone focuses on the manufacturing of high-end consumer goods and bonded maintenance and remanufacturing industries. The area has introduced a number of related key projects, such as health products production, amber jade processing, bonded maintenance and remanufacturing of printing equipment, leisure boats, and so on. These projects not only enjoy the zero tariff, low tax rate (15% of corporate income tax and up to 15% personal income tax) and simple tax policy of Hainan Free Trade Port, but also make use of the developed shipping conditions of Yangpu Port and the import and export convenience policy of "first-line liberalization and second-line control".

The General Administration of Customs, the Ministry of Commerce and the Ministry of Ecology and Environment of  China added support to enterprises in the comprehensive bonded area to carry out the maintenance business of 11 types of products, such as aero-engines, drones and vertical pianos, on December 30, 2021.

The advantages of developing vertical piano maintenance business in Yangpu Development Zone are as follows:

First, the product needs to rely on sea container transportation, which can make full use of the shipping advantages of Yangpu Port and reduce freight.

Second, the tariff rate on the import of pianos is 10%, and the replacement of some spare parts for second-hand pianos when manufacturing can also enjoy the duty-free policy of value-added processing first implemented in Yangpu Development Zone (that is, goods containing bonded imported materials and processing value-added more than 30% in Yangpu Free Trade Zone are exempted from import duties for domestic sales out of the area), so as to save customs duties.

Third, whole Yangpu Economic Development Zone is now starting the bonded policy, with sufficient land and factories to develop export-oriented processing industries.

Fourth, the repair of the product is mainly the process steps such as appearance repair, spare parts replacement and tuning, which is not high relative to the industrial matching requirements, which is conducive to the rapid landing of the project.

Fifth, the landed enterprises in Yangpu can make use of foreign resource channels to provide second-hand piano resources and sales channels, hoping to cooperate with strong production and technical parties.

To sum up, the vertical piano maintenance project invested in Yangpu Development Zone will help the industry to make full use of Hainan free trade port policy to reduce operating costs, expand import and export trade, and enhance company awareness and brand value. Enterprises and associations related to piano production and remanufacturing are welcome to inspect investment in Yangpu Economic Development Zone, which is the pilot and demonstration zone of Hainan Free Trade Port.