U.s. Department of Commerce

Business Opportunities in Hong Kong U.s. Department of Commerce

Amid a weak, uneven global economic recovery, the Hong Kong economy grew moderately in 2013. Hong Kong, a Special Administrative Region of the People?s Republic of China (PRC) since its reversion in 1997, has proven in past economic crises to be exceptionally resilient. Dominant and sustained drivers of economic growth include private consumption (retail), logistics and business services, financial services, real estate development (bolstered by ongoing public infrastructure works), and tourism. Hong Kong has benefited from continued economic integration with mainland China?s strong economy. In particular, Beijing?s policy of opening its service sector and gradually expanding the scope of the offshore renminbi (RMB ? the PRC?s currency) market in Hong Kong and the sustained high numbers of mainland Chinese visitors have strengthened Hong Kong?s economy. Hong Kong is an ideal platform for doing business in Asia, especially for mainland China. Hong Kong is a free port that does not levy any customs tariff and has limited excise duties. Its strong rule of law and respect for property rights make it a strategic platform for U. S. companies, especially small- and medium-sized firms, seeking to do business in Asia. Hong Kong?s statutory trade promotion body, the Trade Development Council, seized upon this unique positioning to create the Pacific Bridge Initiative in late-2010, the first such agreement with a foreign government affiliate to explicitly support the U. S. National Export Initiative (NEI). Hong Kong?s businesses enjoy close links to mainland China and the rest of Asia. According to Hong Kong Government statistics, there are 1,339 subsidiaries of U. S. parent companies in Hong Kong, making the United States the largest source of subsidiaries in Hong Kong. Among those U. S. subsidiaries, 822 are regional headquarters or regional offices.