Hong Kong - Switzerland Global Enterprise

Transcription

Hong Kong - Switzerland Global Enterprise
Hong Kong – The Latest Swiss Business Hub –
Operation Goes Live October 15th, 2012.
Hier Bild platzieren
(weisser Balken bleibt nur bei Partner-Logo)
Osec point of view – why a SBH in Hong Kong?
-
Osec checks every 1-2 years their countries of priority, by updating & optimizing
the needs of Switzerland and those of the Swiss SME’s.
-
Our recent analysis has shown that the Swiss Business Hubs (excluding RSA)
are still at the right place. At the same time, the analysis shows that we have
some gaps.
-
An important cornerstone of Swiss Foreign Trade Policy is the bilateral free
trade agreement. Recently, there have been several agreements completed.
More important ones will follow.
-
Osec will increase its activities in countries with FTA, so that the Swiss export
industry can have a better benefit from this agreement. With the opening of the
SBH in Hong Kong, Osec is already pursuing this strategy.
-
This path will be continued in 2012 consistently, as the external network is
representing a real USP of the government-sponsored export promotion.
Osec point of view – why SBH in Hong Kong?
-
The opening of an SBH supports the official foreign trade policy of Switzerland,
which sets a base for the exporters on the lines of the FTA. This is then
developed by Osec using targeted promotions.
-
The time factor is relevant: the EU countries do not have an FTA with HKG.
Thus, Swiss companies have a comparative advantage which should be
exploited (Window of Opportunity).
-
The opening of a SBH in HKG is in line with Osec’s strategy as Osec wants their
presence felt strongly in countries like Hong Kong.
-
The opportunities that exist in Hong Kong (especially through the FTA) must,
however, be actively promoted. Otherwise they are perceived in Switzerland
(especially in SMEs) as being too little.
-
On top of this Location Promotion can be pushed strongly in Hong Kong.
Which Status has Hong Kong ?
• With regards to Hong Kong SAR, China follows the principle “one
country - two systems"
• This allows Hong Kong to maintain its status of a Special Administrative
Region, however directly reports to the Central Government in Beijing
who allows great deal of autonomy especially in foreign trade.
• Exceptions to this autonomy, are defense and foreign affairs.
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4
Trade between Switzerland and Hong Kong.
• According to the Hong Kong Census and Statistics Department,
Switzerland was the 12th largest trading partner of Hong Kong in 2011.
Switzerland was Hong Kong's 9th largest supplier and 19th largest
export market.
• In 2011, Swiss exports to Mainland China (CHF 8,831 million in value)
and Hong Kong (CHF 7,902 million in value) accounted for 8% of global
Swiss exports. Hong Kong, next to China, was Switzerland’s second
largest market in Asia. On the other hand, Swiss imports from China
(CHF 6,299 million) and Hong Kong (CHF 1,643 million) totaled CHF
7,942 million. Switzerland got a trade surplus worth CHF 8,791 million
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5
Economic trends – 2nd half 2012.
Business climate
GDP:
Investments:
Private Consumption:
Foreign Trade:
according to the government the GDP will increase by 1 to 3% in 2012. Growth is
expected to be at the upper end of the scale.
Large investments into infrastructure projects ensure a continued boom.
Consumer spending remains one of the main drivers of the economy.
Foreign trade slowed down at the beginning of the year, and will continue to soften
compared to previous years.
Sectors
Machinery:
Chemicals:
Deliveries to South China will most likely recover during the 2nd half of the year.
The petrochemical industry across the Pearl River Delta continues to expand.
Consumer Goods:
The demand for high quality consumer-, luxury & lifestyle goods e.g. watches &
jewellery is still booming.
Especially the industry across South China is using less semi-finished goods.
Hospitals will have to be equipped with high-end quality standards.
Waste management, renewable energy, smart buildings are in high demand.
Weaker foreign trade may give the industry sector some headache.
Source: GT & Invest
Excellent opportunities for niche and high-end products, food security is an issue.
Electric & Electronic:
Medtech:
Greentech:
Logistics:
Food:
Economic trends compact Hong Kong.
Outlook (real change in %)
GDP
Investments
Consumption
Import
2012
3
3.3
4.2
2.9
2013
4.7
4
5.2
6.9
Market potential for Swiss Companies 2012
Machinery:
Chemicals:
Consumer Goods:
Electric & Electronic:
Medtech:
Greentech:
Logistics:
Infrastructure:
Food:
7
Source: GT & Invest
SWOT - Analysis
HELPFUL
HARMFUL
To achieving the objectives
To achieving the objectives
EXTERNAL
FACTORS
INTERNAL
FACTORS
STRENGTHS
 Excellent infrastructure
 Gateway for China business, especially
Pearl River Delta, service agreement
CEPA
 Low tax and contribution rate, low
government spending
 High degree of rule of law, low
bureaucracy and regulatory regulation
 Economic prosperity, low unemployment
 Internationalization of the Renminbi
 Large scale infrastructure
development
 Clearance of a competition law
 Government promotes new service
industries
 Expansion and reformation of
health system
OPPORTUNITIES
WEAKNESSES
 Vulnerability to external shocks
 No own manufacturing industry
 Lack of competition law leads to
oligopolistic structures
 R & D spending less than 1% of GDP is
way too low
 Imported inflation
 The pegging of the HKD to the USD
will be lifted midterm
 Brain drain due to poor environmental
record
 Overheated property market threatens
the entire economy
THREATS
Source: GT & Invest
I. Hong Kong – Introduction.
Land Area:
1’104 km²
Population:
7.1 Mio
Population
growth Rate: 0.421%
Religion(s):
mixture of local
religions 90%,
Christian 10%
Languages
Cantonese (official)
90.8%, English
(official) 2.8%,
Putonghua
(Mandarin) 0.9%
II. Hong Kong – Snapshot of the Economy 2011.
GDP
GDP /capita (PPP)*
Real GDP growth
Unemployment
External public debt
Inflation
USD 243bn
USD 35’580
+5%
3.4%
43.5% of GDP
5.3%
Gross foreign reserves
Total Export
Total Import
Current account balance
Budget surplus
USD 285.4bn
USD 427.9bn
USD 482.6bn
7% of GDP
-1.2% of GDP
Existing bilateral economic agreements
• FTA (EFTA – Hong Kong): signed June 2011
• Investment Protection Agreement: 1994
• Air Transportation Agreement:
• Double Taxation Agreement: signed in June 2010
Swiss trade of
goods with Hong
Kong
Exports
Imports
Trade balance
Major Exports
1.
2.
3.
Watches and clocks
Jewellery and precious stones
Chemical and pharmaceutical products
1.
2.
3.
Jewellery and precious stones
Watches and clocks
Machinery
Major Imports
CHF 7’902mio
CHF 1’643mio
CHF 6’259mio
52% of total exports from CH to Hong Kong
31%
5.7%
63% of total Imports from Hong Kong to CH
21%
6.3%
Switzerland.
Hong Kong.
Key figures 2011 (USD):
• Population:
8mio
Key figures 2011 (USD):
• Population:
• Population density:
192/km2
• Population density:
• GDP:
632bn
• GDP:
• GDP nominal/capita:
• Imports:
• Exports:
• FX Reserves:
79’981
174.7bn
197.6bn
384bn
• GDP nominal/capita:
• Imports:
• Exports:
• FX Reserves:
7.1mio
6’396/km2
243bn
35’580
483.9bn
429.0bn
287bn
11
Sources: GT & Invest, IMF
Switzerland and Hong Kong in International Rankings.
Switzerland
Hong Kong
WEF
(Global Competitiveness Index 2011)
1
11
IMD
(World Competitiveness Score Board 2012)
3
1
IFC / The World Bank
(Ease of doing Business Ranking 2012)
26
2
The Heritage Foundation
(Index of Economic Freedom 2012)
5
1
Transparency International
(Corruption Perceptions Index 2011)
8
12
2
70
City Ranking
(Mercer 2011)
Cost of Living
(Mercer 2011)
Source: WEF GCI; World Bank Group; IMD; KOF; Transparency International
Note: Number represents absolute ranks
(Zurich)
5+6
(Geneva+Zurich)
9
12
International and regional economic agreements.
•
Hong Kong is a free port which thrives on free trade. Its open door policy has
enabled the city to become the world's 10th largest trading economy and an
international financial and commercial centre serving the Asia-Pacific region and
China. The cornerstone of this approach is a strong and credible multilateral
trading system.
•
Hong Kong is a founding member of the World Trade Organization (WTO). Hong
Kong became a member of the Asia-Pacific Economic Cooperation (APEC) and
the Pacific Economic Cooperation Council (PECC) in 1991. Hong Kong belongs,
in its own right, to the Asian Development Bank (ADB) and the World Customs
Organization (WCO). Since April 1994, Hong Kong has been an observer in the
Trade Committee of the Organization for Economic Cooperation and
Development (OECD).
Hong Kong’s policy and priorities.
•
Hong Kong has concluded three free trade agreements with Mainland China
(the Closer Economic Partnership Arrangement CEPA), New Zealand and the
EFTA States (including Switzerland). The one with the EFTA States, signed on
21st June 2011, is Hong Kong's first free trade agreement with the European
economies.
•
Hong Kong signed an agreement for avoidance of double taxation with
Switzerland on 4th October 2011. Hong Kong is actively seeking to establish a
network of such agreements with its major trading and investment partners.
•
According to the HKSAR Government, both the free trade agreement with the
EFTA states and the agreement for avoidance of double taxation with
Switzerland have been approved by the Legislative Council in Hong Kong.
•
Furthermore, Hong Kong has signed investment promotion and protection
agreements with 17 countries including Finland, Kuwait, the Netherlands,
Australia, Denmark, Sweden, Switzerland, New Zealand, Italy, France,
Germany, Belgium-Luxembourg Economic Union, Austria, Japan, Korea, the
United Kingdom and Thailand.
Bilateral trade.
•
According to the Hong Kong Census and Statistics Department, Switzerland
was the 12th largest trading partner of Hong Kong in 2011. Switzerland was
Hong Kong's 9th largest supplier and 19th largest export market.
•
There has been a substantial quantity of Swiss products entering China via
Hong Kong in recent years (from US$ 518mio in 2005 to US$ 1,022mio in
2011). In this regard, Swiss exporters and manufacturers may make use of
Hong Kong as a known entrepôt and trade hub (which has a huge cluster of
traders who are experienced in the market of China) to do business with China.
Structure of Swiss Exports to Hong Kong.
Total CHF 7’902mio
2011
watches & clocks Mio CHF 4'086
5%
6%
jewellery & precious metal Mio
CHF 2'433
6%
52%
31%
chemical and pharmaceutical
products Mio CHF 454
machinery Mio CHF 393
miscellaneous Mio CHF 536
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16
Structure of Hong Kong’s Exports to Switzerland.
Total CHF 1’642mio
2011
watches & clocks Mio CHF 351
8%
2%
6%
21%
jewellery & precious metal Mio CHF
1'038
work of art and antiques Mio CHF 38
machinery Mio CHF 104
63%
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miscellaneous Mio CHF 112
17
Strukture of Switzerland’s Exports to Hong Kong.
2011
Uhren
3.9% 2.6% 1.9% 1.4% 1.2%
2.0%
2.4%
1.1% 0.4%
Bijouterie
Pharma
5.1%
Elektro Apparate
Chemie
63.1%
Präzisionsinstrumente
Industriemaschinen
14.0%
Nahrungs- und Genussmittel
Textilien, Bekleidung, Schuhe
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18
Swiss Exports to key focus countries.
Asia becomes more and more important!
59.5 % Europe
20.0 % Germany
7.5 % Italy
7.0 % France
4.5 % UK
21.7 % Asia
3.7 % China
3.5 % Hong Kong
3.2 % Japan
15.7 % America
11.1 % USA
3.1 % Africa/Oceania
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Figures
by June 2012 – FDF Department Switzerland
19
Top Swiss Export Markets till end of June 2012.
Country
Export
(Mio. CHF)
1. Germany
20’011
2. USA
11’065
3. Italy
7’531
4. France
7’005
5. UK
4’470
6. China
3’711
7. Hong Kong
3’489
8. Japan
3‘159
9. Austria
2’800
10. Spain
2’766
Source: Oberzolldirektion 2012
Biotech & Medtech.
-
Biotechnology & Pharmaceuticals
-
Medical & Healthcare Equipment
-
Traditional Chinese Medicine (TCM)
-
Medical Services in Hong Kong
-
Hong Kong’s per capita healthcare spend is among the highest in Asia
-
Research funding and infrastructure is in place to support R&D activities by
biomedical companies
-
Highly-skilled, multilingual and tech-savvy workforce
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Why Hong Kong?
•
Proximity to the fastest growing pharmaceutical market in Mainland China
•
Hong Kong has a well established and high quality medical infrastructure
•
Registration system of western drugs and traditional
•
Chinese medicines in place
•
Lucrative medical and healthcare services markets in
•
Hong Kong and Asia Pacific
•
World-class clinical trial services available
•
Significant resources including research funding and
•
university grants to support research and development
•
activities from the government
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Trends and Opportunities.
•
Hong Kong is becoming a regional centre for traditional Chinese medicine and is well
positioned to exploit the potential for the commercialisation and modernisation of TCM
and herbal drugs
•
Thousands of small to medium-sized GMP pharmaceutical manufacturers in the
Mainland are seeking strategic alliances, partnerships or M&As with overseas
companies
•
The two academic clinical trial centres have accreditation from (China State Food and
Drug Administration) SFDA to conduct clinical trial of pharmaceuticals for registration
purposes in the Mainland. This increases Hong Kong popularity as the regional
clinical trial centre
•
Increased health consciousness and popularity of herbal based medicines and health
supplements provides an effective platform for companies to develop their brands
regionally
•
Hong Kong has a population aging faster than the world’s average, implying a huge
and growing demand for medical services and products
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Electronics / ICT & Multimedia.
Electronics:
•
LCD Products
•
Computer, Tablets, Mobile Phones etc.
ICT:
•
Data Centres
•
Cloud Technology
•
Software and Services
•
Telecommunications
Multimedia:
•
Mobile Technology
•
Digital Entertainment Market
•
Gaming Industry
•
Cutting Edge Infrastructure
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Electronics / ICT & Multimedia.
Electronics:
-
Hong Kong is an important trading hub in Asia Pacific for electronic parts and components
-
The industry benefits from Hong Kong’s proximity to the Pearl River Delta - the world’s
electronics manufacturing hub
-
Hong Kong is an ideal testbed and launchpad for new electronics products and applications,
particularly for the Mainland China market
-
The electronics industry is the largest merchandise export earner of the city, accounting for
over 50 percent of Hong Kong’s exports
Multimedia:
-
Hong Kong – the Digital Hub of Asia Pacific
-
Hong Kong is one of Asia’s most innovative economies. Enabled by a superior internet
infrastructure, high mobile connectivity, an open and unrestricted online environment,
coupled with an abundant supply of creative talent, Hong Kong has become an ideal hub for
innovative digital products, content development and technological customisation. The city
is now home to a wide range of digital entertainment companies producing entertainment
and games software, mobile applications, computer animation and digital effects for the
video and film industries
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Electronics / ICT & Multimedia.
ICT:
•
Data Centres, Cloud Technology, Software and Services, Telecommunications
•
Sophisticated ICT infrastructure–broadband networks cover virtually all commercial
buildings and households
•
Business-friendly environment with no restrictions on technology imports and robust IP
protection
•
Strategically located in the centre of Asia - regional IT projects can be effectively rolled out
and managed from Hong Kong
•
Enforces stringent IP protection and ranks 2nd in the Global Competitiveness Report 20112012 (World Economic Forum)
•
Strong government support for R&D initiatives (Innovation & Technology Fund has
supported over 2,600 projects valued at HK$ 6.1bn as at Oct 2011)
•
Reliable electricity supply of over 99.99% and is relatively free of natural disasters (ranks 4th
globally and 1st in Asia in the “Lowest-Risk Location for Data Centres Index" by Cushman &
Wakefield, Nov 2011)
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Why Hong Kong? Electronics
•
Hong Kong has a successful electronics industry that has attracted more foreign
investment than any other industry.
•
An important trading hub for electronic parts and components in Asia-Pacific
•
Close proximity to the Guangdong province, Mainland China’s manufacturing
heartland
•
World class technological infrastructure
•
An abundant supply of engineers, managers, administrators, technicians and skilled
workers
•
Strong collaboration between university institutes, government supported high-tech
facilities and research centres
•
Availability of government funds to support marketing and R&D activities.
•
World-class logistics infrastructure caters for efficient and effective sourcing and
distribution of components and products
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Why Hong Kong? ICT
•
Strategically located in the centre of Asia, so regional ICT projects can be effectively
rolled out and managed from Hong Kong.
•
Ranked 8th globally in EIU’s e-readiness survey. A mature and sophisticated market
ready for best-of-breed business applications.
•
Easy access to the high-growth Mainland China market.
•
Leading place in Asia for safeguarding intellectual property rights.
•
Top-notch telecommunications infrastructure, coupled with a fully liberalised market
offers the world’s most affordable internet connection and mobile services.
•
Staffed with mobile, tech savvy and multi-lingual professionals to drive business
growth in the Greater China and Asian region.
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Why Hong Kong? Multimedia
•
Hong Kong is one of the world’s largest TV and film exporters
•
It is one of the world’s largest art markets, and several major international arts and
culture venues are under development
•
An extensive cluster of media, multimedia, design and creative-related industries use
Hong Kong as their regional hub
•
The Hong Kong Government is focused on further developing the sector and building
up Hong Kong as Asia’s cultural and creative capital
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Trends and Opportunities. Electronics
•
Continues to be a popular sourcing centre for higher-end consumer products
•
Infortainment devices such as netbooks and smart phones are gaining popularity
among consumers
•
Mainland China’s manufacturing capability and demand for consumer products is
growing fast
•
A complete and effective supply chain for electronics industry in Hong Kong allows
cost-competitive production and timely introduction of products
•
Hong Kong is an ideal test bed and launching pad for new products, applications and
services for the Mainland market
•
World class logistics infrastructure to support short delivery cycle time and quick
responses to meet
•
customers demanding order and technical supports requests
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Advantages and Opportunities Multimedia.
•
Asia’s Most Innovative Economy
•
Rapid Growth of Mobile Technology
•
Ideal Gateway to China’s Digital Entertainment Market
•
Booming Gaming Industry in Asia
•
Cutting-edge Infrastructure
•
A World City for International Business
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Advantages and Opportunities ICT.
•
The number of Wi-Fi access points in Hong Kong is now more than 8,800 and the use
of the technology is growing rapidly. This provides opportunities for networking
solutions and wireless access service providers.
•
The availability and popularity of 3G services in Hong Kong illustrate the market
potential for mobile applications and content providers. Mobile broadband services
have a much bigger market for growth, especially with the increasing popularity of
smartphones and social networking media.
•
High broadband penetration rate in Hong Kong creates a demand for cutting edge
application service providers and offers new revenue streams for innovative
networking solutions
•
ICT spending in Asia Pacific (excluding Japan) will reach US$184mio in 2010,
registering a 7.7% growth with China being one of the growth engine
•
Green IT does not just help cost saving but its strategic value in sustainable growth is
gaining recognition, thus creating new business models and opportunities for different
market players
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Greentech / Renewable Energy & Sustainable Construction.
•
Solar and wind technologies application engineering
•
Low emissions public transport
•
Waste treatment and recycling (almost 50 % of waste is already recycled)
•
Electric vehicles
•
Low emission building strategies and urban planning
•
Carbon audits and environmental services
•
Air and water quality improvement technologies
•
Consult on emissions reduction and trading
•
Structure deals (legal, auditing)
•
Finance projects
•
Build projects (contractors/engineers)
•
Supply the parts and technologies
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Why Hong Kong? Greentech / Renewable Energy
& Sustainable Construction.
Greentech:
•
The Hong Kong SAR (HKSAR) Government has launched various programmes and has committed to
introduce new measures to reduce GHG emissions and promote environmental protection.
•
This has created new business opportunities for environmental companies in green technology, renewable
energy, waste recycling recovery, construction and demolition waste disposal, electric vehicles, cleaner
technologies and processes for infrastructure projects and carbon audits. This is why the Government has
identified the Environment Industry as one of six key industries where Hong Kong has excellent
development potential.
Engergy and Renewable:
•
Hong Kong is a favourite place for dealmakers from around the world to meet, with events like the annual
Eco Expo bringing together energy and renewables professionals from around the world
•
It is a meeting place for organisations that need to offset the carbon footprint of polluting businesses in
countries with strict controls
•
As Asia’s financial and business services hub, Hong Kong is a great place to secure investment and find
the necessary professional expertise
•
Government support including tax incentives and public projects aims to encourage emissions reductions
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Opportunities Greentech.
•
A recent market research report by the Hong Kong Trade Development Council forecast the Hong Kong
environmental market could reach US$11.6bn by 2018
•
Starting from 2008, the HKSAR Government has provided funding of HK$93mio to the “Cleaner Production
Partnership Programme” over a period of five years helping Hong Kong-owned factories in the Pearl River Delta
region to improve energy efficiency, reduce air pollutant emissions and waste water treatment
•
Hong Kong is collaborating with the Guangdong authorities to transform the PRD region into a green area. The
region has more than 50,000 Hong Kong-owned factories that require annually about US$5bn of environmental
technology goods and services, a number that is estimated to double by 2018
•
A US$58mio Building Energy Efficiency Funding Scheme has been set up to incentivise building owners to conduct
energy-cum-carbon audits and improvement works to upgrade the energy efficiency of their buildings
•
A HK$300mio Pilot Green Transport Fund has been set up to encourage the conversion of conventional
transportation to more environmentally friendly transportation technology
•
Waiver of First Registration Tax on electric vehicles till end of March 2014 to encourage the use of electric vehicles
in Hong Kong
•
The introduction of accelerated tax deduction for environment-friendly facilities to Hong Kong companies to
encourage the improvement of their technologies. A 100 percent tax deduction for capital expenditure on
environmental protection machinery and the reduction of the depreciation period for environmental protection
installation from 25 years to 5 years
•
Buildings with integrated photovoltaics (PV) has become one of the fastest growing segments within the fast
growing PV industry
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Industrial R & D.
Industrial:
•
Hong Kong, once a major manufacturer of light consumer goods, has now been transformed
into a regional control centre for local and overseas companies looking to manufacture,
source and trade products. Starting in the late 1980s, mass production has moved out of
Hong Kong into southern China and other lower cost economies.
•
A typical business model today is to place high-value business services in Hong Kong.
These include design, R&D, prototype production, technology applications, quality control,
supply chain management, business development and product marketing
Research and Development:
•
The Hong Kong Government is determined to support innovation and technology companies
to grow and prosper in Hong Kong. It does this by:
•
investing in human resources
•
Providing state-of-the-art infrastructure
•
Offering funding support to R&D activities
•
Upholding an effective intellectual property protection system
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Why Hong Kong? Industrial R&D.
-
Strong tradition of collaboration between the private sector, world-class
universities, government-supported facilities and research centres, offering
technology companies the ideal environment to reduce their business risks and
increase their chances of success
-
Best universities in Asia: three of our universities are ranked in Asia’s top five,
cultivating high quality engineering talent and researchers
-
Enforces stringent IP protection and ranks 2nd in the Global Competitiveness
Report 2011-2012 (World Economic Forum)
-
Strong government support for R&D initiatives (Innovation & Technology Fund
has supported over 2,600 projects valued at HK$ 6.1bn as at Oct 2011)
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Hong Kong’s Business Advantages. (1)
Strategic location and easy travel:
•
Four-hours flight time to all key business centres in Asia
•
Five-hours flight time to half of the world’s population
•
World-class airport serving 95 airlines and 150 cities worldwide, including 45 in
China
Proximity and close ties with Mainland China:
•
Almost one third of China’s exports pass through Hong Kong
•
The Pearl River Delta (PRD) region, immediately to the north of Hong Kong, is a
major international manufacturing region
•
Annual GDP growth in the PRD has topped 14 percent between 2000 and 2010,
fuelled by manufacturing
•
Hong Kong and overseas companies manage production in tens of thousands of
PRD factories
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Hong Kong’s Business Advantages. (2)
Business-friendly policies:
•
Rated the World’s Freest Economy by the Heritage Foundation, and No 2 by
The World Bank’s Ease of Doing Business survey
•
Internationally recognised legal system and independent judiciary
•
Zero tolerance for corruption
•
Free flows of capital, trade and information
•
World-class infrastructure: transport, logistics, communications
•
Dynamic workforce: multilingual, China expertise, ease of visas
•
Low and simple tax system
Business and Professional Services.
-
Industrial Testing
-
Executive Recruitment
-
Legal Services
-
Management Consulting
-
Non-Profit Organisations
- Trade and Investment Promotion Agencies
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Why Hong Kong?.
Hong Kong’s FDI Landscape
•
Hong Kong was the second largest source of FDI in Asia, after Japan, with FDI outflows
amounting to US$63.5bn in 2009.
•
Major economic activities of Hong Kong outward investment (at market value) in 2009:

Investment holding, real estate and various business services (73 %)
 - Wholesale, retail and import/export trades (8.9 %)
 - Banks and deposit-taking companies (4.1 %)
 - Manufacturing (2.8 %)
 - Transport and related services (2.7 %)
 - Others (8.6 %)
•
The Mainland is the most important destination for Hong Kong’s outward direct investment,
with a share of 45.8 % of the total position at the end of 2009.
•
Hong Kong is an ideal location from which to target prospective Mainland investment. In
2009, Hong Kong received a total amount of US$52bn FDI inflow, 36.4 % of which (US$24.7bn)
came from Mainland China.
•
More than 28 Mainland cities and provinces have established “window” investment
in Hong Kong, which are ideal targets for investment.
Copyrightcompanies
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Advantages.
•
Located within “five hours’ flight time to half the world’s population, Hong Kong offers convenient
access to major target markets in the region
•
The presence of a large number of expatriate decision makers who are increasingly looking for
investment opportunities aboard
•
A world class home base and a convenient centre for regional meetings and conferences
•
Free flow of information allows for transmission of sensitive material without censorship
•
Free flow of capital guarantees ease of “financial transactions”
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A pool of investment promotion talent is readily available
•
A cluster of international media and communication companies ensures that IPAs receive
maximum international coverage for marketing campaigns and initiatives
•
Hosting to more than 300 trade shows, conferences and exhibitions annually which attract some
500,000 participants, Hong Kong is a great location to showcase products, tourism and investment
opportunities.
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Opportunities.
•
Access to large cluster of international decision makers: by June 2010, Hong Kong was
home to 1,285 regional headquarters, 2,353 regional offices and 2,923 local offices
•
Proxy for investment out of Mainland China: an increasing number of Mainland enterprises
have been established in Hong Kong with their sights set on overseas markets, among which 99
are using Hong Kong as their regional headquarters and 162 have set up regional offices in Hong
Kong
•
Hong Kong entities of Mainland Chinese enterprises do not require further approval from
the Central Government to make overseas investments
•
Proxy for investment into Mainland China: by the end of 2010, 592 Mainland enterprises
had listed on the Hong Kong Stock Exchange (Main Board and GEM combined)
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