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the ministry of finance, the ministry of commerce, the ministry of culture and tourism, the general administration of customs and the state administration of taxation recently issued the "notice on improving the policy on city duty free shops" (hereinafter referred to as the "notice"), which clearly stated that from october 1, 2024, the management of city duty-free shops will be standardized in accordance with the "interim measures for the management of city duty free shops" (hereinafter referred to as the "measures") to promote the healthy and orderly development of city duty-free shops.

according to the notice, the existing six city duty-free shops in beijing, shanghai, qingdao, dalian, xiamen and sanya will be subject to the measures from the date of implementation of the notice; the existing 13 foreign exchange commodity duty-free shops in beijing, shanghai and harbin will be transformed into city duty-free shops within three months from the date of implementation of the notice and start business after passing the customs inspection. at the same time, one city duty-free shop will be set up in each of the eight cities of guangzhou, chengdu, shenzhen, tianjin, wuhan, xi'an, changsha and fuzhou.

the measures specify that the sales targets of city duty-free shops are passengers (including but not limited to chinese passengers) who are about to leave the country by air transport or international cruise within 60 days. city duty-free shops adopt the method of advance purchase in the city and pick up the goods at the port of departure. after shopping in city duty-free shops, passengers should pick up the purchased duty-free goods at the duty-free goods pick-up point set up in the port of departure isolation area and take them out of the country at one time. city duty-free shops mainly sell consumer goods that are easy to carry. city duty-free shops are encouraged to sell domestic "trendy products" and include characteristic products with independent brands that help spread china's excellent traditional culture into the scope of business. the measures also stipulate management requirements such as the approval of the establishment of city duty-free shops and the method of determining the operating entity.