Letters | Hong Kong is well-poised to boost China’s trade and investment

Readers discuss Hong Kong’s assets regarding China’s place in global commerce, why people must be alert to avoid potentially fatal scams, and consumer safety in Canada’s drug market

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Customers check out BYD’s electric vehicles at a showroom in Budapest, Hungary on May 27. Photo: Bloomberg

Published: 11:30am, 2 Jun 2024

I was happy to read about Financial Secretary Paul Chan Mo-po promoting Hong Kong with gusto at a lunch in San Francisco this week (“Hong Kong is more entrepreneurial, open and diverse than Singapore, finance chief Paul Chan tells US businesses”, May 29).

Indeed, Hong Kong’s common law system and capabilities as a financial hub are assets that will not only spur the city’s growth but also serve the nation well – whether in Greater Bay Area integration or cooperation in the Belt and Road Initiative.

After making a trip last month to Hungary as part of a joint Hong Kong-mainland business mission to explore opportunities for trade and investment, I am more convinced than ever that Hong Kong has a key role to play. In Hungary, for instance, Hong Kong’s status as a leading offshore renminbi centre could come in useful.

Thanks to investments from leading Chinese companies, including Contemporary Amperex Technology Limited (CATL) and BYD, Hungary is becoming a manufacturing hub for electric vehicles (EVs) and lithium batteries in central and eastern Europe. China has become the number one source of foreign investments there. Businesspeople and government officials I spoke to believe EV manufacturing’s contribution to Hungary’s gross domestic product will only increase.

And following President Xi Jinping’s visit to the country early last month, Hungary is even more committed to strengthening diplomatic ties with China.

Hong Kong surely has a role to play here. Local business stakeholders in Hungary I’ve spoken to were well aware of Hong Kong’s strengths in professional services and our common law system.