Latest news with #ChineseManufacturers'AssociationofHongKong
RTHK
08-05-2025
- Business
- RTHK
HK firms ready to fight trade turmoil: industry groups
HK firms ready to fight trade turmoil: industry groups Wingco Lo said Washington's volatile trade policies have eroded the trust that anchored a once solid relationship between Hong Kong and the US. Photo: RTHK Steve Chuang said trade tensions are nothing new for Hong Kong firms, citing the opening round of tariffs during the first Trump administration. Photo: RTHK Hong Kong firms are well-positioned to weather trade disruptions brought by US tariffs, with some already pivoting to emerging markets such as the Middle East and the Global South, according to two industrial groups. The Chinese Manufacturers' Association of Hong Kong, which represents more than 3,000 companies, said while the United States remains an important trading partner for the SAR, things have now become unpredictable. "Rising geopolitical risks and volatile trade policy have eroded much of the trust that once anchored this relationship," the association's president Wingco Lo told RTHK. "There's a clear pivot towards the emerging regions, including the Middle East and Global South, such as Asia, Africa and Latin America. "These markets are increasingly attractive, not only as a way to spread risk, but also to tap into rising consumer demand and more stable trade environments." Lo said Middle Eastern nations are also trying to diversify their economies and wean off their reliance on oil exports. "These countries are rolling out ambitious urban development projects, and Hong Kong's strength in urban planning, construction, (information and communications technology) and fintech makes us a natural partner," he said. Lo is among dozens of Hong Kong and mainland business leaders joining Chief Executive John Lee's delegation to Qatar and Kuwait this Saturday. Lo outlined areas where the SAR can shine in the Middle East. "As capital from the region looks for global investment opportunities, services like asset management, insurance, legal and compliance, which are areas where Hong Kong excels, are in greater demand than ever," he said. Steve Chuang, chairman of the Federation of Hong Kong Industries who is also on the delegation, said SAR firms have been looking for new markets since US President Donald Trump first took office in 2017. 'Asean [nations] have become the biggest trade partner to China, so that reduces our independence to the Western markets. And I think Hong Kong's business, they are really looking forward to build the new network. And the Middle East as a part of the Global South becomes critical because this market is a new emerging market,' he said. Chuang added Hong Kong and mainland enterprises should complement each other by utilising their unique strengths. "We play different roles. They (mainland firms) may be very good in technology, but we can offer them the right platform and to provide the financial services, we provide the legal services, we are very good in connecting to the world," he explained. "That can really reflect Hong Kong as a super connector and a super value adder."
South China Morning Post
19-04-2025
- Business
- South China Morning Post
Peru port could be an answer to US fees on Chinese ships: Hong Kong experts
The impact of US port fees on Chinese ships docking in the country may be mitigated by using a Peruvian port for the Latin American market, Hong Kong industry leaders have said, warning that the levy will only cause damage. Advertisement The remarks made on Saturday were in response to the new port fees announced by US President Donald Trump's administration on all Chinese-owned, operated and built vessels docked in the United States, with the industry leaders also saying businesses should diversify to and cultivate other markets, such as the Middle East. 'The measures often cause damage to others without any gains for themselves,' said Wingco Lo Kam-wing, president of the Chinese Manufacturers' Association of Hong Kong. 'Most large vessels are Chinese-made. The measure could potentially hit [the US' own] logistics, causing prices of goods to rise, affecting not only us but the rest of the world. As for their tariffs, it's not only affecting us but the world. For manufacturers exporting to the US, especially those with production in Hong Kong could bear the brunt.' He highlighted that only about HK$6 billion (US$773 million) worth of Hong Kong-made products were exported to the US a year, which accounted for less than one per cent of the city's HK$9 trillion import and export business. Advertisement Trade between the US and China – including that with Hong Kong – has been continuously declining, according to Lo, with the US being China's third-largest trading partner after Asean and the European Union.
South China Morning Post
08-04-2025
- Business
- South China Morning Post
Hong Kong manufacturers at risk of job cuts, closure over Trump tariffs: experts
Washington's decision to impose reciprocal tariffs on Chinese goods could force Hong Kong manufacturers to cut jobs or even close down, as many businesses are set to struggle to navigate global trade frictions, analysts have warned. Advertisement Experts also said the sweeping tariffs would create a vicious cycle where consumption in the US would greatly diminish due to rising prices for imported goods, resulting in Hong Kong exporters struggling to survive the drop in demand and the risk of interest rate increases. 'The US' sweeping tariffs have targeted all Chinese, wherever they are. No matter where Chinese exporters relocate, they will be subject to the high tariffs there,' Dennis Ng Kwok-on, vice-president of the Chinese Manufacturers' Association of Hong Kong, told the Post. 'There is no way out now, and nothing can be done. Chinese manufacturers have moved to other places such as Vietnam and Cambodia to ward off this risk, but now this is inescapable. 'Hong Kong's manufacturers are set to face staff cuts or even bankruptcies as they can't stomach the massive tariffs themselves and will pass on the extra cost to consumers, which will drive business down.' Advertisement Ng said the only way out could be for such companies to move to Mexico, which was excluded from the latest US tariffs. Mexico is still subject to prior tariffs. Executive Councillor and lawmaker Jeffrey Lam Kin-fung said a lot of firms in the process of relocating their production lines to Southeast Asian countries had immediately put the move on hold.
