Secretary for Commerce & Economic Development Algernon Yau yesterday attended the China Forum, organised by Business France, in Paris, as he wrapped up a week-long visit to France.
Speaking at the forum, Mr Yau remarked that Asia is currently contributing 60% to global economic growth. He added that Asia, and in particular the Mainland market, presents a unique opportunity for businesses looking to expand their horizons globally.
He outlined that as a super connector between foreign investors and the Mainland, Hong Kong serves as a perfect springboard for French businesses to tap into the Mainland market.
Mr Yau said that in 2024 Hong Kong’s total trade amounted to US$1,350 billion, making the city the world’s fifth-largest trading entity. Each year, he added, Hong Kong channels a massive volume of trade between the Mainland and the rest of the world.
The commerce chief stated that under the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA), the most liberal free trade agreement ever offered by the Mainland, Hong Kong enterprises and professionals enjoy the most preferential access to the Mainland market. CEPA is “nationality neutral” and does not impose any restrictions on the source of investments.
Mr Yau encouraged the French business sector to set up companies in Hong Kong as this would allow them to enjoy preferential treatment under CEPA in entering the Mainland market.
He added that Hong Kong has a simple and low tax system and has no restrictions on the flow of capital.
In addition to the Mainland market, Mr Yau explained that French businesses can access the Southeast Asian market by using Hong Kong as a base for their regional operations in Asia. He mentioned that Hong Kong is also deepening its trade ties with the Middle East and Association of Southeast Asian Nations countries, and is reaching out to Central Asia to explore new markets.
Mr Yau stressed that Hong Kong already has strong links with France, adding that the French community is one of the largest and most successful in Hong Kong. He said he believes there is still significant trade potential between Hong Kong and France and that this can bring better synergy and mutual benefits.
During his stay in Paris, Mr Yau also paid a courtesy call on Minister of the Chinese Embassy in France Chen Dong and briefed him on Hong Kong’s economic and trade situation, including new initiatives such as the reduction of liquor duty.
Mr Yau also visited the headquarters of Elior Group SA to learn about the company’s operations and business development. He then hosted a dinner for representatives of the France Hong Kong Business Association to interact with local enterprises and exchange views on how to enhance co-operation between Hong Kong and France.
Before proceeding to Paris, Mr Yau visited a wine cellar in Armagnac and met Armagnac trade representatives to promote Hong Kong’s advantages as a liquor trading hub.
Mr Yau will depart for Hong Kong today.
