Thread by @BeijingChannel

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Recently news saying #Beijing is now allowing goods from the NE province of #Jilin can be shipped to another Chinese port via #Haishenwai, or #Vladivostok, without paying import duty has generated some buzz on social media.
world.huanqiu.com/article/4CuTnb…

The excitement is mostly due to historical reasons and the prospect that the move may boost Jilin's economy. This thread will explain what the news actually means and its context. /2

The “Cross-border transportation of domestic trade goods” policy refers to shipping goods from one 🇨🇳 location to another via a designated foreign port. It began in '07 to enhance the connectivity of the landlocked NE region, especially the provinces of #Heilongjiang & Jilin. /3

Prior to the policy, goods from these two provinces headed south must be transported to the Dalian port in Liaoning, and the policy effectively gives the two provinces closer accessibility to cheaper sea transport.
Here's a map showing where everyone is in the neighborhood. /4

The policy has four key components. The place of origin, the designated foreign port, the re-entry port, and the type of goods covered.
Here is a timeline of how the policy evolved. /5

1. In '07, The General Administration of Customs launched the program, allowing HLJ goods to transit via Haishenwai (Vladivostok), Vostochny, or Nakhodka, and re-enter at Shanghai, Ningbo, or Huangpu. Notice the policy was enacted at the request of HLJ. /6
gov.cn/zwgk/2007-02/2…

2. In '10, GAC expanded the program, allowing goods from Jilin to transit via the DPRK port of Rajin and re-enter through Shanghai or Ningbo. /7
customs.gov.cn/customs/302249…

3. In '14, GAC approved Jilin goods to re-enter through the ports of Huangpu, Quanzhou, Shantou, and Yangpu. /8
mofcom.gov.cn/article/b/g/20…

4. In '15, GAC approved HLJ goods to re-enter through the ports of Quanzhou, Shantou, Yangpu, Tianjin, and Dalian. /9
mofcom.gov.cn/article/b/g/20…

5. In '16, GAC further expanded the program to allow HLJ goods to transit via Slavyanka port and re-enter through the ports of Nansha, Yantian, Shekou, Fuzhou, Zhanjiang, Xiamen, and Taicang. /10
customs.gov.cn/customs/302249…

6. In '20, GAC approved Jilin goods to transit via Slavyanka Port & re-enter through Qingdao. While the GAC notice does not mention this, reports suggest the port of Zarubino was added as a transit port for Jilin goods too. /11
customs.gov.cn/customs/302249…
gov.cn/xinwen/2020-05…

7. This brings us to the latest, Jilin goods approved to transit via Haishenwai (Vladivostok) and re-enter at Zhoushan & Jiaxing ports.
Therefore, this is not the 1st time Haishenwai (Vladivostok) was included, nor the 1st time Jilin gained access to a nearby foreign port. /12

It's an incremental addition to what is already an expansive network existing since '07. The addition will likely improve Jilin's integration with SE economic hubs, but suggestions that the change is an indicator of geopolitical shifts are unfounded. End