The State Council, or Cabinet, has given approval for a bonded area for Pudong International Airport, a local official said Saturday.
Jiang Liang, governor of the Pudong New Area, told reporters that the tax-free zone covers an area of about 4 square kilometers.
Chen Xuyuan, president of Shanghai International Port (Group) Co., said the move will help promote Shanghai to build itself into an international center of shipping.
Pudong now has two harbors, one airport and three bonded areas.
The Pudong International Airport handled 2.63 million tonnes of cargo last year, ranking third in the world.
(Xinhua News Agency August 9, 2009)