Under the framework of the Mainland and Macao Closer Economic Partnership Arrangement (CEPA), the Mainland government recently announced an increase in the duty-free allowance for domestic visitors entering the country from Macao for their own luggage. According to the Announcement on Increasing the Duty-free Allowance for Baggage and Articles Carried by Resident Passengers Entering Hong Kong and Macao (No. 7 [2024]) jointly issued by the Ministry of Finance, the General Administration of Customs and the State Administration of Taxation, the duty-free allowance for reasonable self-use baggage obtained overseas by Macao resident passengers aged 18 or above will be increased from RMB5,000 to RMB12,000 from 1 July 2024. In addition, they can also purchase duty-free goods up to RMB3,000 at the port entry duty-free shops, and the total amount of the two can be released duty-free if the total amount of the two does not exceed RMB15,000. For residents who frequently travel between the two places or passengers entering the Co-operation Zone at specific ports, the duty-free policy will be implemented in accordance with the current regulations.
On behalf of the Macao SAR Government, the Chief Executive of the Macao Special Administrative Region, Ho Iat Seng, expressed his heartfelt thanks to the Central Government for this measure to benefit Macao. Ho Iat Seng said that this policy adjustment is a concrete embodiment of the central government's positive response to Macao's social demands, and once again demonstrates the central government's deep concern and firm support for Macao. The increase in duty-free quota will undoubtedly greatly promote the growth of tourism consumption in Macao, thereby promoting the prosperity of the community economy, bringing tangible benefits to small and medium-sized enterprises, including the retail sector, and contributing to the sustainable and healthy development of the Macao SAR economy.
With the strong support of the Central Government, Macao was awarded the title of the most satisfying destination for mainland outbound tourists in the first quarter. The Chief Executive took this opportunity to express his deep gratitude to the Ministry of Commerce, the Ministry of Finance, the General Administration of Customs, the State Administration of Taxation and the Hong Kong and Macao Affairs Office of the State Council for their long-term support and assistance to Macao. He said that the Macao SAR Government will continue to work closely with all sectors of society to fully implement the Central Government's policy of benefiting Macao, so as to make Macao, the "golden business card" of an international metropolis, shine even brighter, and repay the care and support of the Central Government.
At the same time, the Hong Kong SAR government also announced this good news. A spokesman for the HKSAR Government said that the Central Government has actively responded to the HKSAR's proposal to increase the duty-free quota for Mainland residents entering the Mainland from Hong Kong to RMB12,000, and to retain the policy of purchasing an additional RMB3,000 of duty-free goods at duty-free shops at the port, bringing the total quota to RMB15,000. This new policy will be implemented on a trial basis at some ports from July 1 and will be fully extended to all ports from August 1.
John Lee, Chief Executive of the Hong Kong Special Administrative Region, expressed his gratitude for this and said that this is an important measure taken by the central government to support Hong Kong's economic development and promote economic and trade exchanges between the two places. The new policy will enhance the shopping experience of Mainland residents in Hong Kong, promote tourism development and inject new vitality into the local retail market.
According to statistics, the number of visitors to Hong Kong continued to rise in the first five months of this year, with mainland visitors accounting for a significant proportion. The new policy is expected to generate additional HK$8.8 billion to HK$17.6 billion in shopping spending for Hong Kong, increasing economic output by about HK$2.7 billion to HK$5.4 billion. In addition, the Central Government has also introduced a number of measures to support Hong Kong and benefit Hong Kong, such as adding new cities under the Individual Visit Scheme and extending the period of stay for business endorsements, to fully support Hong Kong's transition from governance and prosperity.
The HKSAR Government will actively promote the new policies and collaborate with relevant industries to launch more preferential activities to attract more Mainland overnight visitors to Hong Kong for tourism and spending. The Hong Kong Tourism Board (HKTB) will also launch the "Hong Kong Fun in Summer" summer campaign on 11 July, offering more than HK$100 million in special offers to support large-scale consumer promotion activities and jointly promote the development of Hong Kong's tourism industry and related industries.