China will extend its stamp duty exemption on offshore trading from April 2025 to December 2027, in a move aimed at supporting market liquidity and encouraging greater foreign investor participation.
The extension signals Beijing’s continued efforts to bolster confidence in its capital markets and attract longer-term international capital. The exemption primarily applies to trading activity conducted via Stock Connect schemes, which link mainland exchanges with Hong Kong, and has been a key tool in lowering transaction costs for offshore investors.
The move comes as Chinese authorities roll out a series of market-friendly policies to stabilise equities, ease capital flow restrictions, and support the broader economy amid a challenging global backdrop.