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Business people in Montreal yesterday (February 10, Montreal time) learnt how they could make use of the new opportunities and right timing that Hong Kong offered to expand their business to the Asia Pacific area, especially through Hong Kong to Mainland China.
Speaking at a breakfast seminar entitled "Hong Kong: Your Gateway to China" organised by the Board of Trade of Metropolitan Montreal, Associate Director-General of Invest Hong Kong Mr Charles Ng shared his insights on how Canadian companies could make use of the ample business opportunities in Hong Kong.
He told the audience that unlike the United States and Europe, the Asian market was recovering rapidly from the financial crisis and many Asian companies were bouncing back and had the money to purchase and invest.
Mr Ng said while Mainland China had a four trillion Renminbi capital investment plan in the public sector, Hong Kong had one for US$9 billion. The public sector investment plan in China included housing, high-tech industries, energy conservation and pollution control, and Hong Kong's focus would be on the development of highways and rail links, as well as a cultural district and cruise terminal.
Mr Ng pointed out that Hong Kong was an ideal market entry into Asia, as it was the world's seventh and Asia's second largest Foreign Direct Investment (FDI) recipient. The city was also the second biggest outward investor in Asia, after Japan. "More than 6,600 foreign, Mainland Chinese and Taiwanese companies have offices in Hong Kong, among which 3,580 are regional offices and regional headquarters," he said.
Under the principle of "One country, two systems", Hong Kong had become the window for Chinese companies to globalise. "It is also the largest Initial Public Offering capital raising centre in the world," he said. "In 2009, a total of US$31 billion was raised through new listings in Hong Kong, which was the top global IPO fund raising centre for the year."
Mr Ng added that Hong Kong's position as a place to invest for Canadian businesses was strengthened by the strong Canada-Hong Kong business ties. Canadian trade with Hong Kong was more than US$5.07 billion in 2008. More than 45 Canadian companies had their regional headquarters or offices in Hong Kong, covering various sectors including telecommunications, professional services, banking and finance, insurance, technology, education, transportation and hotel. Some good examples of Canadian companies in Hong Kong included Domtar, Lululemon, and Manulife Financial.
More than 1,500 different kinds of products that were manufactured in Hong Kong enjoyed tariff-free entry into the Mainland market under the free trade agreement signed between Hong Kong and Mainland China.
Ends/Thursday, February 11, 2010
Issued at HKT 16:18
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