New Milestone for Hainan Int'l Ship Registry

Marking the establishment of the first domestically flagged shipped eligible for export tax rebate, the Hainan International Ship Registry recently completed the successful ownership and nationality registration procedures for the "Green Shanghai” cargo vessel. This further upgrade to the shipping policy dividends of the Hainan Free Trade Port’s Port of Yangpu comes in the form of a 49,000 ton dry cargo ship with a length of 225 meters, a width of 32.26 meters, and a 21 meter draft.

Picture: CCTV News

The Green Shanghai serves global trade on major routes in Asia, Europe, the Americas and Africa. Owned by a special purpose subsidiary of CITIC Financial Leasing Co., Ltd. in Yangpu and chartered to Yangpu COSCO Shipping Special Transport Co., Ltd., the Green Shanghai is the first ship in the country to be sold by a domestic shipbuilding enterprise to a financial enterprise, as well as being the first Port of Yangpu registered ship capable of enjoying value-added tax refunds on international and cross-regional shipping.

Picture: CCTV News

Solving a policy blind spot in the field of shipping finance, this is the first time the beneficiaries of the VAT refund for newly built ships have been expanded from traditional transport companies to financial leasing institutions. The successful registration of the "Green Shanghai" opens up space for financial leasing companies to expand their shipping finance business in the FTP, and has greatly broadened the source channels of ships for "China, Port of Yangpu.” As a helpful example that can serve to attract more financial leasing companies to set up special purpose companies in Yangpu, this will help form a ship leasing industry cluster effect, and enhancing the influence of the FTP in the international shipping marketplace.