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The Hainan FTP Encouraged Industries Catalogue — Do You Qualify?

Being on the Hainan Free Trade Port's encouraged-industries catalogue is a key condition for the 15% corporate tax. Here's what it covers and how to align your business.

China-based · Hainan FTP specialists
Income test
60%
from encouraged activities
key to the 15% rate
The Hainan Free Trade Port encouraged industries catalogue is the list of business activities the FTP actively promotes — and being in it is one of the conditions for the reduced 15% corporate tax. It spans tourism, modern services and high-tech sectors, plus Hainan-specific additions, and your business scope must align with it, with at least about 60% of your income coming from encouraged activities. The catalogue is updated over time, so what qualifies can change. Whether your activity is on it — and how to frame your business scope so it qualifies — is exactly what HCSG checks before you register.
What it is

The Hainan encouraged industries catalogue, explained

What the catalogue does, in plain terms.

A promoted list

Activities Hainan wants

It defines the business activities the FTP actively encourages and rewards.

A 15% gateway

One of the conditions

Being on it is a condition for the 15% corporate tax — with the 60% income test.

A scope decision

Align from day one

Your registered scope must match it — far cheaper to set right than to amend later.

The catalogue moves — and the details matter

Categories are broad, the catalogue is updated over time, and whether a specific activity counts can be a matter of how your scope is described. That's why a quick check before you register is worth far more than a correction afterward. HCSG checks your activity against the current catalogue and frames your business scope so it qualifies — the line-by-line detail is something we work through with you.

The timeline

How long the 15% rate runs

A confirmed window now, and a wider one later — not a cliff edge.

Now

Confirmed through 31 December 2027

The 15% corporate rate for qualifying companies — and the matching 15% cap on individual income tax for high-end, in-demand talent.

From 2035

It widens, not ends

As the FTP completes its build-out, the 15% corporate rate is planned to extend to nearly all FTP enterprises, and the talent tax break to all residents over 183 days.

Early movers establish their position now — while the rate is confirmed and before requirements tighten. HCSG gets you set up and qualified.

How we help

How HCSG handles this for you

We turn 'might qualify' into a scope that does.

Check your activity

We compare what you do against the current encouraged-industries catalogue.

Frame your scope

We word your registered business scope so it aligns and supports the 60% test.

Track changes

As the catalogue updates, we flag what it means for your eligibility.

Tie it to the rate

We connect your scope to the 15% claim so the eligibility actually pays off.

The outcome: a business scope built to sit inside the catalogue — not a guess you discover was wrong at tax time.

Good to know

Questions founders ask us

Specific, net-new answers — not a repeat of the guide above.

What kinds of business are on the encouraged catalogue?+
Broadly tourism, modern services and high-tech, plus Hainan-specific additions. Categories are wide, but whether your exact activity counts depends on the detail — which we check for you.
How do I know if my activity qualifies?+
It depends on how your activity maps to the catalogue and how your scope is described. We compare what you do against the current list before you register.
What is the 60% income test?+
To get the 15% rate, roughly 60% or more of your main-business income should come from encouraged activities. It's worth designing your scope and operations around from the start.
Does being on the catalogue guarantee the 15% rate?+
It's one condition, not the whole thing — you also need genuine substance and to claim the rate correctly. We make sure all the pieces line up.
Can the catalogue change after I register?+
Yes, it's updated over time. We track changes and flag anything that affects your eligibility so you're not caught out.
What if my business does several things, only some encouraged?+
That's where the 60% income test and your scope wording matter. We help structure the business so the encouraged activities carry enough of your income.
Can I change my scope later to qualify?+
You can amend scope, but it's a formal step and timing matters for your tax position. Setting the right scope at registration is cheaper and cleaner — which is what we do.
How does this connect to the 15% corporate tax?+
The catalogue is the 'what you do' condition; substance is the 'how real you are' condition. Meet both, claim correctly, and the 15% rate applies — we handle the whole chain.
In this series

Keep reading

Published by the HCSG Publishing Department. This guidance reflects the current Hainan Free Trade Port policy framework and HCSG's advisory practice. For your specific situation, contact our team for a tailored consultation. Reviewed and maintained by the HCSG Publishing Department · Updated June 2026.

Not sure if your business is on the catalogue?

Tell us what you do and we'll check it against the current encouraged-industries list — and frame your scope to qualify.

China-based team · Hainan FTP specialists

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