Invest Hong Kong sets 10-year record for number of overseas and Mainland companies setting up or expanding in Hong Kong (with photos/ video)

Invest Hong Kong sets 10-year record for number of overseas and Mainland companies setting up or expanding in Hong Kong (with photos/ video)
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     Invest Hong Kong (InvestHK) today (January 19) announced that the department has assisted 284 overseas and Mainland Chinese companies to set up or expand in Hong Kong in 2010. This was the 10th consecutive year that the Department beat its annual target for the number of completed projects. Together, these companies created 3,056 jobs in their first year of operation or expansion.

     Director-General of Investment Promotion at InvestHK, Mr Simon Galpin, said, "Last year's result was very encouraging. It demonstrated a strong vote of confidence in Hong Kong as a business location. Hong Kong's enduring advantages are key factors in their decisions to establish a base in the city.

     He continued, "We are optimistic for 2011 as there is a strong pipeline of live projects on hand, potential investors from overseas and Mainland China with concrete plans to set up or expand in Hong Kong."

2010 Annual Result Highlights

     Of the 284 completed projects, Mainland China continued to be the largest single source of investment into Hong Kong with a total of 52 projects, followed closely by the US with 51 projects, the UK (36), Japan (19) and Australia (16).

     In terms of breakdown by industry sectors, the top three sectors were "Transport and Industrial", "Tourism and Hospitality", and "Innovation and Technology", respectively.

     Hong Kong is an international city as evidenced by an increase in the number of countries as the source of inward investment. In 2010, the completed projects derived from 39 countries compared to 33 countries in 2009. In terms of company size, they came from a broad spectrum covering multinationals such as Deloitte, which has centralised its international tax consulting services to Asia-Pacific clients in Hong Kong to smaller high growth companies like InvestHK's 2000th project, integrated branding agency Start Creative from the UK.

     Mr Galpin said, "In 2010, Asia Pacific was booming as the economies in Europe and the US were in recovery after the global financial crisis. Hong Kong's unique geographical location at the heart of Asia and as a gateway to China has seen it benefit from this shift in economic gravity."

Looking Forward

     Among the 284 companies, the number that indicated the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA) as one of their investment considerations increased over 2009. On the back of expanded CEPA liberalisation measures among, for example, education services, innovation and technology, and cultural and creative industries, more than 30 percent of companies that InvestHK helped last year indicated that they had invested or accelerated their investment because of CEPA.

     Mr Galpin said, "In 2011, we have identified priority markets and sectors where we will strengthen our investment promotion efforts. These include the mature markets of the US and UK, and the BRIC economies of Mainland China and Russia. For the priority sectors, we plan to focus on the industries where Hong Kong has clear advantages including financial services, creative industries, and innovation and technology."

     Last year also marked a greater emphasis on green foreign direct investment (FDI), a global trend that resounded in Hong Kong when InvestHK and the Shenzhen Municipal Government won the United Nations Conference on Trade and Development "Green FDI" Award. The award was given for their collaboration in assisting Dupont Apollo to open the first Global Thin Film Photovoltaic Research and Development Centre in Hong Kong at the Hong Kong Science and Technology Parks, and a new manufacturing facility in Shenzhen.

About Invest Hong Kong

     Invest Hong Kong is the department of the Hong Kong Special Administrative Region (HKSAR) Government established in July 2000 to take responsibility for Foreign Direct Investment and support overseas and Mainland businesses to set up or expand in Hong Kong. It provides free advice and customised services to help businesses succeed in Hong Kong's vibrant economy. As it celebrates its 10th anniversary, Invest Hong Kong has completed over 2,100 investment projects creating more than 26,000 new jobs in the first year of operation or expansion and HK$57 billion of investment. For more information, please visit www.investhk.gov.hk.

For event photos, please visit http://www.flickr.com/photos/investhk/sets/72157625851213050

Ends/Wednesday, January 19, 2011
Issued at HKT 15:06

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