In view of the reckless tariff imposition by the US, including the further increase in the so-called reciprocal tariffs, the Hong Kong Export Credit Insurance Corporation (ECIC) today introduced measures to support the export trade in Hong Kong and help enterprises expedite their expansion into new markets.
From now until June 30 next year, the ECIC will extend the free pre-shipment cover for holders of the Small Business Policy (SBP), while offering a 50% discount on pre-shipment risks to cover premiums for non-SBP holders.
In addition, to reduce costs and assist exporters in tapping into Association of Southeast Asian Nations markets, the ECIC will reduce the premium rates for new markets, brining the rates in line with those for traditional major markets.
Secretary for Commerce & Economic Development Algernon Yau said: “The US has been repeatedly changing its policies, increasing tariffs within days and imposing the so-called reciprocal tariffs against Hong Kong notwithstanding that we have never implemented any tariffs. It is totally illogical and ungrounded, once again showing the US’ bullying act for suppressing its competitors.
“I call upon the business community to unite and face the challenges together, with a view to jointly counteracting the unreasonable coercion of the US.”
Further to the Policy Address initiative on increasing the maximum indemnity percentage of the ECIC to 95%, the measures rolled out by the ECIC today can help accelerate Hong Kong companies’ expansion into new and diversified markets, he remarked.
Since the US’ announcement of the so-called reciprocal tariffs last week, Mr Yau has met representatives of major local chambers of commerce, small and medium enterprise associations, as well as representatives of industries that are more affected by the tariffs, including the jewellery, textiles and garment, food, and aluminium industries, to listen to their views and discuss measures in response to the incident.
The bureau stressed that it will maintain close liaison with the business community to jointly respond to the US’ unreasonable coercion. It will also provide support to the small and medium enterprises through various funding schemes and support measures in managing cash flow, enhancing competitiveness and expanding into more diversified markets.
