Dalian, the Chinese mainland's eighth largest port city, is stepping up efforts to build its bonded zone into a zone-port interactive area (ZPIA), a move expected to help the city to become Northeast Asia's shipping and logistics hub, reported China Daily.

"We will set up a ZPIA named Dalian International Logistics Park, which will combine the current Dalian Bonded Zone with Dayaowan port," said Zhang Shikun, director of the management committee of Dalian Bonded Zone.

Dayaowan port is one of Dalian's four major terminals, which mainly deals with container cargoes.

Another two port terminals-dealing with shipments of crude oil and ore will also be incorporated into the ZPIA in the future, Zhang said.

But he did not reveal whether the fourth terminal handling grain cargoes falls in the ZPIA blueprint as well.

"Preferential policies will be extended from the bonded zone to this 1.5-square-kilometre logistics park, which is to be established late this month," he said.

Rebates will be granted on the entry of domestic goods flowing into the logistics park, rather than the current practice of providing refunds after those goods leave China.

Goods circulated within the park are exempted from value-added taxes and consumption duties.

The director believes the establishment of such a ZPIA will help attract more overseas investors and build Dalian into Northeast Asia's shipping and logistics hub.

Source: China Daily