The Ministry of Finance, the General Administration of Customs and the State Administration of Taxation issued a notice on the policy of bunkering bonded oil and locally produced fuel oil on domestic vessels in the Hainan Free Trade Port for domestic and foreign trade.

Hainan Provincial Department of Finance, Department of Transportation, Department of Commerce, Haikou Customs, State Administration of Taxation Hainan Provincial Taxation Bureau, Hainan Maritime Safety Administration:
In order to implement the "Overall Plan for the Construction of Hainan Free Trade Port", the policy on refueling bonded oil and locally produced fuel oil for domestic ships in domestic and foreign trade transport in Hainan Free Trade Port is hereby notified as follows:
1. Before the whole island is closed, domestic ships that use Yangpu Port as a transit port for domestic and foreign trade transport are allowed to refuel the bonded oil required for this voyage at Yangpu Port; the export tax rebate policy is implemented for the local fuel oil required for this voyage at Yangpu Port. Local fuel oil production enterprises in Hainan Province shall apply to the tax department for export tax refund (exemption) with the fuel oil export goods declaration form (with the words "for refueling domestic ships in domestic and foreign trade transport" in the remarks column) and other relevant materials. The above-mentioned bonded oil and locally produced fuel oil subject to the export tax rebate policy are collectively referred to as "tax-free oil". The tax-free oil required for this voyage refueled by domestic ships stipulated in this article is exempt from customs duties, value-added tax and consumption tax.
2. Domestic ships that carry domestic and foreign trade on the same ship refer to ships that have obtained the "Domestic Water Transport Business License" and "Ship Business Transport License" issued by the transportation authority (the business scope includes "domestic water cargo liner transportation"), and have been registered with the customs, and carry both domestic and foreign trade container cargo.
This voyage refers to the voyage from the departure port loaded with foreign trade goods to Yangpu and from Yangpu to the destination port. Among them, the departure port is the first domestic port for loading foreign trade goods for transshipment to Yangpu; the destination port is the domestic port for the final unloading of foreign trade goods transshipped from Yangpu.
3. The amount of tax-free oil required for this voyage = this voyage mileage × (fuel consumption rate × rated power ÷ rated speed). The voyage mileage shall be based on the "China Coastal Navigation Mileage Table". The fuel consumption rate shall be based on the data in the "Ship Propulsion Machinery and Engine Manual". The rated power shall be based on the data in the "Ship Inspection Certificate". The rated speed shall be based on the data in the "Ship Experiment Comprehensive Report" or "Hull and Equipment Manual".
4. The transportation authority of Yangpu Port shall determine the amount of tax-free oil refueling for eligible ships in accordance with the above formula. Tax-free oil operating enterprises shall refuel tax-free oil in accordance with the refueling amount determined by the transportation authority. Ships can apply for cumulative refueling for multiple voyages. Tax-free oil operating enterprises shall submit relevant information and materials on refueling of tax-free oil to the tax department.
5. The operation and supervision process of tax-free oil shall be implemented in accordance with relevant regulations.
6. This notice shall be implemented from the date of publication. After the release of the "Overall Plan for the Construction of Hainan Free Trade Port" and before the release of this notice, the fuel oil that has been tried out for domestic ships in the same ship for domestic and foreign trade transportation can be implemented in accordance with the relevant provisions of this notice.

Ministry of Finance Ministry of Transport Ministry of Commerce
General Administration of Customs State Administration of Taxation