Because of the strength of Hong Kong’s competitiveness and its role as the “super-connector” between the mainland and the world, Carrie Lam, Chief Secretary for Administration, encourages Vietnam companies to tap the mainland market through Hong Kong and jointly explore huge business opportunities in “the Belt and Road Initiative”.

Strengthening traditional industries

At the “Luncheon on Opportunities for Hong Kong & Vietnam under ASEAN Regional Co-operation” hosted by the Chamber in Ho Chi Minh City, Lam presented Hong Kong’s competitive advantages to the audience. “Hong Kong’s rule of law and judicial independence; its free market principles; its legal system that protects rights and freedom; and its clean and efficient government are all superior qualities that can reinforce its existing advantages.” In the future, greater efforts will be made to fuel the development of traditional industries, such as the financial and logistics sector.

Professional services are another important sector in Hong Kong. With the signing of the new Agreement on Trade in Services under CEPA late last year, geographical coverage of services market liberalization is now extended to the entire Mainland. Lam says the government will step up external publicity to promote Hong Kong’s professional services, while developing Hong Kong into a centre for legal services and dispute resolution.

Building creative industries

Lam emphasizes the government’s commitment to developing creative industries. She points out that the Innovation and Technology Bureau, which came into operation earlier, has a mission of promoting the development of creative industries. Meanwhile, a number of non-government organizations in this field are doing their part to strengthen the talent pool of this sector. She indicates that the government is very keen on expanding Hong Kong’s creative industries. It is currently strengthening the development of necessary hardware, and large-scale cultural and art events are introduced to generate favorable milieu for the sector.

Soliciting talent to boost momentum

Lam says the government is actively soliciting mainland and overseas talent to provide impetus for Hong Kong’s sustainable development. “We have launched admission schemes for talent, professionals and entrepreneurs, including the Admission Scheme for the Second Generation of Chinese Hong Kong Permanent Residents introduced last year that aims to attract more people who are second-generation of emigrated Hong Kong citizens to return to the SAR.” Beyond soliciting talent, she says the government is also making efforts to attract overseas businesses to invest in Hong Kong, including startups which have immense potentials.

Growing economic and trade between Hong Kong and Vietnam

On the subject of Hong Kong-Vietnam collaboration, Lam points out that Hong Kong is Vietnam’s 10th biggest trade partner while Vietnam is Hong Kong’s 9th biggest trade partner. Vietnam is also our 3rd biggest trade partner amongst the ten ASEAN countries. These rankings demonstrate close economic and trade exchange. In 2015, trade turnover of commodities between Hong Kong and Vietnam totaled USD16 billion, representing a year-on-year growth of 16.7%. In the first four months of 2016, Hong Kong was the 6th biggest source of foreign direct investment for Vietnam, clocking total investments of USD196 million. Notably, Hong Kong is playing a bridging role to promote Sino-Vietnamese economic and trade activities. Last year, USD8.9 billion of China-Vietnam trade credits were transacted through Hong Kong, accounting for 9.3% of total trade between the mainland and Vietnam.

Hong Kong’s accession to ASEAN marks a new milestone

The ASEAN-Hong Kong Free Trade Agreement is expected to conclude by the end of this year. According to Lam, this is an important milestone in Hong Kong’s bid to establish closer economic and trade partnership with Vietnam and ASEAN members. Lam says, “In the future, Hong Kong will enjoy closer relationships with ASEAN members, including Vietnam. This will foster greater economic integration in the region.”