SANYA /China/, March 23. /TASS/. Chinese company Sanya Yuanding Performing Arts has successfully imported an amusement park ride to Sanya (Hainan province, South China). According to the Hainan Daily newspaper, the deal was the first since Hainan changed its preferential tax policy, which allowed the equipment to be imported to the island without customs duties.
In February, Hainan province abolished import duties on certain types of equipment used in the entertainment industry. The list of goods exempt from customs duties covers amusement ride machines, including roller coasters, as well as components for merry-go-rounds and waterpark equipment. The new measures apply to importers who are registered in the province and use the aforementioned products in the service sector. In addition, companies importing this equipment to the island from abroad are exempt from VAT and consumer tax on foreign products.
According to the Hainan Daily, Sanya Yuanding Performing Arts made an order to buy a NebulaZ amusement ride from an Italian company called Zamperla last year. the cost of the equipment amounting to €875 thousand (about $962 thousand) and delivery was expected to be made early this year. This ride arrived at the port of Haikou (the capital of Hainan province) and was released by the customs of the city on March 14, the article wrote.
Tax incentives helped the company save a considerable sum, about 1.25 million yuan (about $ 196,000), according to the article.
NebulaZ or in Chinese "Taikun Xinyun" (Space Nebula) is a thrill ride with four beams, which rapidly rotate. At the edges of each beam are stalls for passengers. On March 21, the ride was delivered to the city of Sanya. It is expected to be put into operation in June this year.
Gradually lifting trade barriers
As of December 1, 2020, Hainan has zeroed duties on a wide range of goods used in manufacturing and services, from agricultural products to liquefied natural gas to airplane and helicopter components. Eligible importing companies were allowed to import products related to 169 items of the customs nomenclature into the island without paying taxes. The list of goods exempt from taxes included rye, barley, oats, buckwheat, as well as sunflower seeds, hydrocarbons and chemical raw materials, various types of wood, boat motors, parts from boats and yachts, radar and aerospace equipment.
Last March, the Chinese government announced a duty waiver on technical equipment imported into Hainan for use in infrastructure construction, manufacturing, research and development, logistics, tourism, health care, and inspection and repair work. These measures apply to both machine tools, machines, instruments and other devices, as well as their components.