(ATF) China's Tianjin Municipality has received approval to set up three new comprehensive bonded areas in its Binhai New Area, according to local authorities Wednesday.
Comprehensive bonded areas are special commercial zones that enjoy favourable tax policies and are managed by customs officials.
The State Council, China's cabinet, approved the upgrade of the Tianjin Export Processing Zone, Tianjin Dongjiang Free Trade Port Zone, and Tianjin Bonded Logistics Park to comprehensive bonded areas.
Now, Tianjin has four comprehensive bonded areas covering 13.41 square km.
Comprehensive bonded areas are significant to developing foreign trade, attracting foreign investment, and promoting industrial transformation and upgrade, said Liu Xintong, deputy director of Tianjin Customs, at a news briefing.
Taking advantage of the location and policies, the zones will focus on aircraft and ship leasing, supply chains of the automobile import trade, inspection and maintenance industry, service trade, and other industries.
Huang Chunyan, deputy director of the Tianjin Commission of Commerce, said at the news briefing that Tianjin will take advantage of the policies on the comprehensive bonded zones to promote the open economy to a higher level.
Total imports and exports by comprehensive bonded areas across China reached 2.9 trillion yuan (about US$ 407 million) in 2019, up 11.9 % year on year, contributing 30 % to growth of the country's foreign trade.