Foreign
China refines duty-free, tax refund policies for better consumption experience

By Wang Guan, Yan Bingjie
At the bustling Qianmen Gate in Beijing, a major attraction for foreign tourists renowned for its rich cultural heritage,a foreign exchange goods duty-free shop of Sinopharm China National Service Cooperation (Sinopharm CNSC) will soon be transformed into a downtown duty-free shop.
Downtown duty-free shops refer to those approved by China’s State Council to operate within Chinese urban areas and sell duty-free goods to travelers set to leave the country. According to a staff member with the shop of Sinopharm CNSC, this transformation will provide departing tourists with a wider range of shopping options.
Duty-free shops are more appealing than franchisesbecause they sell products at lower prices. Downtown duty-free shops, in particular, offer consumers imported goods that are exempt from customs duties, import value-added tax (VAT) and consumption tax, as well as goods of Chinese brandsthat are eligible for VAT refunds or exemptions, all at significantly discounted prices. Unlike airport duty-free shops, they are more conveniently located and offer flexible shopping hours.
According to the interim measures for the administration of duty-free shops in cities issued by Chinese authorities, a duty-free store will be opened in each of China’s eight cities, namely Guangzhou, Chengdu, Shenzhen, Tianjin, Wuhan, Xi’an, Changsha and Fuzhou, starting Oct. 1 this year.
Another 13 foreign exchange goods duty-free shops shall be transformed into downtown duty-free shops within 3 months from the commencement of the new rules, and shall begin to operate only after passing the customs inspection.
The rules also stipulated that duty-free shops in cities are for travelers who will be departing the country by air or international cruise within 60 days. These travelers can purchase at these stores without a shopping limit, but they must comply with Chinese customs regulations that the quantity of items carried by travelers entering and exiting the country shall be for personal use and of a reasonable quantity.
“Downtown duty-free shops will bring new development opportunities for tourism and retail industries. They offer a more convenient shopping experience and are attractive to tourists, thereby driving the development of related industrial chains and creating new growth drivers,” said Ye Yindan, a researcher with the Bank of China’s research institute.
As more countries are included in China’s visa-free transit policy, “China travel” is becoming increasingly popular, leading to a growing consumption enthusiasm of overseas tourists.
Apart fromdowntown duty-free shops, the departure tax refund policy is also an important tax incentive measure introduced by China to facilitate overseas tourists in response to international trends.
Departure tax refund refers to the partial refund of indirect taxes to a foreign tourist who has purchased goods in the destination country. In recent years, the Chinese tax authorities have continuously improved departure tax refund services to further enhance the convenience for overseas tourists. So far, more than 20 provinces, autonomous regions, municipalities directly under China’s central government, and cities under separate state planning in China, have introduced departure tax refund policies.
Moreover, Beijing, Shanghai, Sichuan, and other regions provide the instant departure tax refund service, which allows overseas travelers to get an instant tax refund from the merchants after shopping.
After shopping at stores that provide the service, eligible overseas travelers can be rebated with the equivalent amount of RMB at the specific tax refund point. The service can fully meet the practical needs of overseas travelers and effectively improves their consumption experience.
Since the beginning of this year, the departure tax refund business in Beijing has maintained a high growth trend. As of now, the number of overseas travelers applying for tax refund has increased by 2.1 times from a year ago, and the sales of tax refundable goods by 1.5 times year on year.
At a service counter at the SKP Beijing department store, a South Korean tourist and his friends were having their tax refunded. According to Ma Tao, tax manager of the department store, hundreds of shops in the mall can handle departure tax refund business, which covers a variety of daily necessities such as clothing, shoes, bags, cosmetics, and watches.
In addition to fashionable items, specialty products by time-honored Chinese brands are also favored by many foreign tourists.
“Thanks to the development of China’s tourism industry and our increasing overseas influence, we are dealing with more departure tax refund businesses than before, with the majority of tax refundable goods being traditional Chinese medicine (TCM) and medicinal herbs,” said Zhang Rui, deputy manager with a drug store of Tong Ren Tang, a TCM manufacturer established in the 17th century, in Dashilan commercial area, Beijing.
An official with Shanghai Municipal Tax Service of China’s State Taxation Administration noted that they will continue improving the distribution of stores providing departure tax refund service and focus on inbound consumption scenarios, so as to make tax refund more accessible and promote the high-quality development of tax-free and refundable economy.
Foreign
Judge blocks Trump from deporting non-citizens using wartime law

A federal judge has temporarily halted the Trump administration’s attempt to deport migrants allegedly linked to the Venezuelan gang Tren de Aragua under a wartime law.
US District Judge James Boasberg issued a restraining order preventing the administration from using the Alien Enemies Act of 1798 to expel undocumented migrants accused of gang ties. The order initially protected five individuals challenging the deportation but was later expanded to all affected noncitizens in US custody.
Boasberg also directed that any planes carrying these migrants be returned to the United States. “Any plane containing these folks that is going to take off or is in the air needs to be returned,” he ruled. The restraining order will remain in effect for 14 days or until further court action.
The Trump administration invoked the Alien Enemies Act, citing Tren de Aragua as a terrorist organization that has “unlawfully infiltrated the United States” and is engaging in hostile actions. However, civil rights groups, including the ACLU, argue that the gang’s activities do not meet the legal definition of an invasion.
The Justice Department has appealed the ruling, while the case continues in court.
Foreign
China’s new chapter in global innovation

By Gu Yekai, Liu Yiqing, People’s Daily
At a smart construction project site managed by China State Construction Engineering Corporation, a quiet technological revolution is underway. Amid cranes and concrete, engineers are deploying advanced artificial intelligence (AI) systems that could fundamentally reshape the construction industry.
Li Fengjian, an AI specialistwith Xianyuan Technology, detailed how the company’s latest intelligent system – built on a large model – adapts to complex construction environments.”Engineering machinery equipped with intelligent agents can adjust its operations automatically in response to weather conditions,” Li explained, adding that a spatiotemporal sensing network further enhances the system, providing real-time tracking of both personnel and materials throughout the construction site.
In February this year, Xianyuan Technology rapidly integrated its self-developed model with DeepSeek-R1, effectively blending a general-purpose framework with industry-specific models. This integration, Li noted, has produced a solution capable of delivering expert-level performance in challenging, dynamic environments. The firm is based in the Shanghai Foundation Model Innovation Center, aburgeoning AI incubator that now hosts over 200 innovative enterprises.
China’s technological transformation extends well beyond the construction sector. Overthe past three decades, the country has evolved from its initial forays into internet connectivity to becoming a key player in global digital innovation.
Here, a steady stream of technological innovations are emerging, from the early days of emails and web browsing to the cutting-edge technologies represented by DeepSeek and the dynamic evolution of social media.
Wu Jianping, an academician at the Chinese Academy of Engineering and headof the Zhongguancun Laboratory, pointed out that while China had introduced only one internet standard before 2005, it now contributes to over 200 worldwide. Such strides illustrate the country’s concerted push toward high-level technological self-reliance – a journey marked by both persistence and determination.
Beyond the digital realm, China is makingsignificant inroads in aerospace, new energy, and other high-tech sectors. It has transitioned from being a follower to standing shoulder-to-shoulder with global leaders, and in some areas, even taking the lead. Wu attributed these achievements to a dynamic ecosystem of policy reforms and talent cultivation that encourages creativity and technical expertise at every level.
Amid intensifying international competition, collaborative research and the integration of new technologies with traditional industries are central to China’s high-quality economic development.
Mei Linhai, a researcher at China’s State Key Laboratory of Cognitive Intelligence, remarked that the age of AI calls for continuous exploration. “In this era, everyone is an innovator. Only by persistently pushing the boundaries can we remain at the forefront of both technological and industrial development,” Mei observed.
In the field of general-purpose AI, Mei emphasized that independent innovation is paramount. He advocates for a self-driven industrial ecosystem that leveragesbreakthrough technologies to boost productivity and unlock new possibilities, Mei said.
Foreign
Chinese democracy in action:a village bench meeting shapes national law

By Wei Zhezhe, Liu Botong, People’s Daily
In a modest corner of Jiangmen, south China’s Guangdong province, residents of Weidong village are experiencing firsthand a form of democracy that starts at the grassroots level and reverberates all the way to Beijing.
Wu Tengxin, a local villager who relies on a scooter for daily mobility after contracting polio, recalls a time when the village’s public spaces were ill-equipped for people with disabilities. Now, thanks to a simple suggestion made during a meeting, his everyday life has changed.
In November 2022, a team from a local legislative outreach office – a branch of China’sNational People’s Congress (NPC) – visited Weidong village and set up a “bench-style meeting.” Residents, including the elderly and those with disabilities, gathered to voice their concerns about inadequate accessibility.
Amid the conversation, Wu offered a straightforward proposal: “I hope rural accessible facilities can be improved to make mobility easier for people with disabilities and the elderly.” His words were relayed verbatim to lawmakers.
The response was swift. On June 28, 2023, at the third session of the 14th NPC Standing Committee, legislators passed a law on building a barrier-free living environment. The law stipulates that improvements”shall align with social and economic development levels, coordinate urban and rural progress, and gradually narrow the gap in infrastructure between urban and rural areas.”
Today, Wu observes that the village’s main roads and public squares have been upgraded with accessibility features that make getting around considerably easier.
This episode illustrates what Chinese officials call “whole-process people’s democracy” – a system where citizen input is woven into every stage of policy development.
Jilie Ziri, head of Abuluoha village in Butuo county, southwest China’s Sichuan province, remarked that for young generations in China, democracy has become a lived experience. “Villagers are the masters of village affairs,” he said, emphasizing how active villager participation has injected new vitality into local governance.
Experts point to consultative democracy as a cornerstone of this process. Tao Kaiyuan, vice chairman of the Central Committee of the China Association for Promoting Democracy and vice president of the Supreme People’s Court, underscores the important role of the Chinese People’s Political Consultative Conference, whose members hail from every stratum of society and bring a wealth of expertise and connections.
Their regular forums, field research, and public consultations have created robust channels for citizens to contribute ideas and forge consensus.”This approach gathers collective wisdom and transforms public voices into policy,” Tao said.
Another crucial manifestation is the effectiveness of China’s political party system. Under the leadership of the Communist Party of China, Chinese democratic parties actively fulfill their duties, offering recommendations that often translate into concrete policy decisions. This integrated approach demonstrates the unique strengths of China’s political system and the advantages of whole-process people’s democracy.
Tao emphasized that whole-process people’s democracyhas evolved into an efficient and dynamic democratic practice – one that not only reflects the essence of socialist democracy but also presents a pioneering model of political civilization, contributing Chinese wisdom and solutions to global governance and democratic development.
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