A border trade zone between China and the Democratic People’s Republic of Korea (DPRK) has been approved, according to the Chinese provincial government on Monday.
The area is located in the border city of Dandong, northeast China’s Liaoning Province.
The Guomenwan border trade zone is due to cover 40,000 square meters of land.
It is expected to open in October.
Residents living within 20 kilometers of the border will be able to exchange commodities with people from the DPRK.
They also enjoy a duty-free policy on goods purchased for less than 8,000 yuan, about 1,288 U.S. dollars per day.
Dandong is the key hub for trade, investment and tourism between China and the DPRK.
There are more than 600 border trade enterprises in the city, and trade with the DPRK accounts for 40 percent of the city’s total trade turnover.