Following is a question by the Hon Wu Yingpeng and a written reply by the Secretary for Innovation, Technology and Industry, Professor Sun Dong, in the Legislative Council today (July 8):

Question:

     The country's 15th Five-Year Plan clearly sets out the nurturing and strengthening of emerging and future industries, accelerating the development of the next-generation intelligent, connected new energy vehicle industry. There are views that Hong Kong could lead the way in shifting towards green transport locally and help the country's new energy vehicle industry go global. In this connection, will the Government inform this Council:

(1) in the past five years, (i) of the number of enterprises related to the Mainland's new energy vehicle industrial chain that have listed on the Hong Kong stock market and the amount of capital they have raised; and (ii) of the list of key enterprises engaged in the related fields of intelligent driving, new energy and AI that have set up businesses in Hong Kong, as compiled to date by the Office for Attracting Strategic Enterprises (OASES), and among which, the figures on the business areas involved, the number of jobs created, the amount of investment attracted and the economic value generated;

(2) how the Government assesses Hong Kong's role in attracting Mainland new energy vehicle enterprises to list in Hong Kong, in promoting international co-operation within the industrial and supply chains, and in facilitating an efficient logistics system; whether the Government has any plans to refine the OASES policies further and offer land and tax incentives to attract more leading national-level enterprises in the new energy vehicle supply chain (including those supplying batteries, chips and software) to establish regional headquarters or research and development centres in Hong Kong; if so, of the details; if not, the reasons for that;

(3) in planning the Northern Metropolis, whether the Government has set aside land for an "advanced manufacturing and testing base for intelligent connected vehicles" in order to attract the clustering of enterprises from across the entire industrial chain; if so, of the details; if not, the reasons for that;

(4) whether the Government has any plans to strengthen co-operation with the Guangdong-Hong Kong-Macao Greater Bay Area (Greater Bay Area) in the new energy vehicle industrial chain, for example by jointly establishing test sites, data-sharing platforms and demonstration zones for intelligent connected vehicles to achieve complementary advantages with Hong Kong in standard setting, testing and certification, and international recognition; if so, of the details; if not, the reasons for that;

(5) as intelligent connected vehicles rely heavily on map navigation, AI algorithms and vehicle-road coordination data, and in light of the need to ensure national security and personal privacy, whether the Government has any plans to collaborate with relevant Mainland authorities to explore the establishment of a "cross-border compliant data flow mechanism" for intelligent vehicle data and unified security certification standards within the framework of the Greater Bay Area, with a view to supporting the research, development and practical application of cross‑border autonomous driving technology; if so, of the details; if not, the reasons for that; and

(6) whether the Government will consider encouraging Hong Kong's higher education institutions and research institutions to collaborate with Mainland automotive manufacturers, focusing on breakthroughs in key core technologies such as battery technology, autonomous driving and solid batteries, so as to support the upgrading of the Mainland's new energy vehicle industry; in its talent recruitment policies, will the Government consider introducing specific preferential and facilitative measures (e.g. in the areas of taxation, housing and education) for high-calibre international innovation and technology talents in fields such as automotive engineering, in-vehicle software and the Internet of Things; if so, of the details; if not, the reasons for that?

Reply:

President:

     The Government has been actively integrating into the overall development of the country, meeting the country's needs with Hong Kong's strength. As an international financial centre and innovation and technology (I&T) hub with the unique advantage of "one country, two systems", Hong Kong can not only accelerate its local green transition in transport to implement the Climate Action Plan 2050, but also play a dual role as a two-way springboard to bring in and go global, thereby facilitating the internationalisation of the country's new energy vehicle industry chain.

     According to the Environment and Ecology Bureau, in promoting local green transport transformation, the Government announced the Updated Version of the Hong Kong Roadmap on Popularisation of Electric Vehicles (the Updated Roadmap) in February 2026, setting out a series of pragmatic measures to facilitate the development of the electric vehicle (EV) market, with a view to achieving zero vehicular emissions before 2050. As mentioned in the Updated Roadmap, Chinese Mainland now stands as the world's largest and most dynamic EV market. Hong Kong will continue to promote EV adoption and actively seize the opportunities presented by our country's rapid advancement in the EV industry. The Government will provide policy support and co-ordination to enterprises seeking to promote EVs in Hong Kong, facilitating the implementation of their projects in Hong Kong. Leveraging Hong Kong's position as an international fintech hub, it will serve as a "bridgehead" for global expansion, facilitating the overseas growth of the country's EV industry while advancing the global popularisation of EVs.

     Having consulted the Environment and Ecology Bureau, the Financial Services and the Treasury Bureau, the Development Bureau, the Transport and Logistics Bureau, the Education Bureau, the Housing Bureau, and the Office for Attracting Strategic Enterprises (OASES), our reply to the question raised by the Hon WU Yingpeng is as follows:

(1) Hong Kong Exchanges and Clearing Limited (HKEX) has introduced a series of reforms to the listing regime in recent years, broadening the fundraising channels for enterprises and facilitating listing by different companies in Hong Kong. Notably, HKEX introduced the listing regime for specialist technology companies in 2023, enabling eligible specialist technology enterprises to list and raise funds under such new listing regime. According to HKEX's guidance, various sectors related to the new energy vehicle industrial chain (including the manufacturing and/or deployment of autonomous vehicles (AVs) and EVs and development of relevant enabling technologies, including the use of new energy solutions in electric vehicles, location technology) have been included in the acceptable sectors within the specialist technology industries. In the past five years, over 10 enterprises related to the Mainland's new energy vehicle industrial chain were listed in Hong Kong, with about $120 billion funds raised. The Government will continue to drive HKEX to enhance its listing mechanism and provide guidance to enterprises, thereby facilitating more high-quality companies to list and raise funds in Hong Kong.

     Since its establishment, the OASES has been proactively attracting enterprises of significant strategic value to Hong Kong. Focusing on core strategic industries such as "advanced manufacturing and new energy technologies", and "AI and data science", OASES identifies target enterprises, assesses their needs for setting up in Hong Kong, and provides tailored facilitation (one enterprise one policy) and one stop support for their establishment. To date, OASES has announced six batches of key enterprises, comprising a total of 124 companies that have established a presence in Hong Kong or expanded their operations, among them over 50 per cent are listed companies; over 70 per cent have set up global or regional headquarters in Hong Kong; and nearly 90 per cent have established or are establishing research and development (R&D) centres locally. Many of these enterprises are global industry leaders with cutting edge technologies, choosing Hong Kong as the location for their global or regional headquarters, R&D centres, or supply chain management hubs, thereby creating a notable clustering effect within Hong Kong's I&T ecosystem.

     In the area of intelligent driving, several enterprises with leading technological strengths have established in Hong Kong, including PCITECH, Baidu Apollo and WeRide, which are actively participating in local autonomous driving tests. Westwell and UISEE Technology have also deployed unmanned driving solutions at Hong Kong International Airport, further enhancing the local testing environment for intelligent driving.

     In the area of new energy technologies, multiple leading enterprises along the new energy vehicle value chain have established in Hong Kong, including CATL, Gotion High-tech, Guofu Hydrogen, Tianqi Lithium, NaaS Technology, and Li Auto. Their operations span upstream materials, midstream battery R&D, vehicle manufacturing and energy supplement networks, contributing to the development of a more complete new energy vehicle industry ecosystem in Hong Kong.

     In the area of AI and data science, strategic enterprises cover both computing power infrastructure and large model development, including Hygon, Arm China, Biren Technology, MetaX, Zhipu AI and MiniMax.

(2) The Government's policies to promote the development of strategic industries are not confined to existing land and tax arrangements. Rather, in line with the National 15th Five-Year Plan and Hong Kong's industrial development needs, the Government is strengthening its policy tools to attract more globally influential leading enterprises along the new energy vehicle supply chain to establish a presence in Hong Kong. The Government has proposed in the 2025 Policy Address and the 2026-27 Budget the formulation of a preferential policy package to promote industry and investment, covering tools such as land grants, land premiums, subsidies and tax incentives.

     On land policy, the Government is enhancing the attractiveness of settlement conditions through institutional innovation in areas such as land allocation and land-use planning within the Northern Metropolis. Where appropriate, the Government adopts a "dual-envelope system" for tendering, ensuring that land premium is no longer the primary consideration; instead, greater emphasis is placed on enterprises' contributions to industry-chain development, technical capabilities, and R&D investment. The Government also introduces the Northern Metropolis Development Bill for First Reading today. The policy measures therein include streamlining planning procedures for the Northern Metropolis, facilitating the adoption of innovative construction technologies, designs, and materials, as well as facilitating cross-boundary research activities and talent flow, which are expected to further enhance the Northern Metropolis' attractiveness to national-level new energy vehicle enterprises.

(3) The Hetao Hong Kong Park and the San Tin Technopole are the heartlands of Hong Kong's future I&T industry development. As one of the country's major I&T co-operation platforms in the Guangdong-Hong Kong-Macao Greater Bay Area, the Loop has been reserved by the Hong Kong Special Administrative Region Government with sufficient land for multiple strategic technology sectors (including new energy technology and AI which are closely related to the next-generation automobile industry) to foster cross-sectoral collaboration and technological breakthroughs. The San Tin Technopole, as a natural extension of the Loop, provides a co-ordinated development at the upstream, midstream and downstream levels together with the Hetao Hong Kong Park in the Loop, creating a comprehensive industrial ecosystem. While the Loop focuses on R&D, commercialisation, and pilot production at the upstream and midstream levels, the San Tin Technopole will provide a large piece of land, which can help accelerate the commercialisation of R&D results by providing industrial space for prototyping, pilot and mass production. The planning of San Tin Technopole also allows certain flexibility in development by reserving strategic white space for supporting emerging technology industries at subsequent phases in the future.

(4) and (5) According to the Transport and Logistics Bureau, the Transport Strategy Blueprint promulgated by the Government early this year proposed promoting cross-boundary AV projects, such as the cross-boundary AV shuttle services travelling among Hong Kong, Zhuhai and Macao via the Hong Kong-Zhuhai-Macao Bridge (HZMB), to deepen integration in the Guangdong-Hong Kong-Macao Greater Bay Area in respect of transport services. The Government is conducting in-depth discussions with relevant Mainland authorities on matters relating to the cross-boundary AV project at the HZMB, including regulatory and supervisory co-ordination, safety standards, cross-boundary data compliance, vehicle data and cybersecurity.

     To facilitate the development of autonomous driving technology, the Government implemented a new regulatory framework for AVs in March 2024. Concurrently, the Transport Department (TD) published the Code of Practice for Trial and Pilot Use of Autonomous Vehicles (the Code), setting out the detailed technical, safety and operational requirements for the trial and use of AVs, with a view to facilitating the trial and pilot use of AVs. Under the new regulatory framework, the Government is actively and orderly promoting the development of AVs in Hong Kong. As of June 2026, the TD has issued seven pilot licences involving 63 AVs for trials in seven locations respectively (namely North Lantau, the West Kowloon Cultural District, Cyberport in the Southern District, the Kai Tak Development area in Kowloon East, the Airportcity Link, the "Park & Fly" carpark at the Hong Kong Port of HZMB, and Siu Ho Wan).

     The relevant legislation for AVs has incorporated the National Standard on Taxonomy of Driving Automation for Vehicles to enhance compatibility with Mainland laws. The TD has also all along accepted national standards as proof that vehicles or their components comply with the relevant vehicle construction standards and technical requirements. Furthermore, in drawing up the Code, the TD has made reference to the AV testing experience in the Chinese Mainland, with a view to aligning with the Chinese Mainland on the technical front. For instance, regarding testing sites, the Code accepts closed-road testing conducted in accordance with national standards, thereby expediting the approval of trial applications.

(6) The Education Bureau has all along supported the higher education institutions to make reference to the manpower needs suggested by various Government bureaux and departments, and offer programmes that meet the social and economic development needs of Hong Kong. The University Grants Committee (UGC)-funded universities offered various programmes related to "smart engineering" and "smart manufacturing" in the 2025/26 academic year, nurturing talents to master and utilise new technologies, promoting intelligent production lines, thereby driving the development of high-end and high-value-added industries. Amongst others, some of the UGC-funded universities have been conducting collaborative research with Chinese Mainland vehicle companies on areas such as AV systems, fuel cells for new energy vehicles, and AI for driving technology.

     Moreover, the Innovation, Technology and Industry Bureau is expediting the establishment of the third InnoHK research cluster, focusing on sustainable development, energy, advanced manufacturing, and materials. Eight research centres will be set up under the cluster, some of which will be dedicated to core technology development in areas such as high-performance solid battery, charging and energy storage systems, and smart grids. These centres will collaborate closely with leading universities and industry partners from both the Chinese Mainland and overseas (including the Chinese Mainland automotive manufacturers), to drive the application of relevant technologies in high-end sectors such as electric and hydrogen vehicles. In addition, under the existing cluster of AIR@InnoHK which specialises in AI and robotics technologies, certain research centres are also actively exploring potential collaboration with the Chinese Mainland automotive enterprises and research institutions to support the upgrading of the country's new energy vehicle industry, with a view to fostering sustainable development.

     On attracting talents, the Government has launched an array of talent admission measures to attract and facilitate talents from all over the world to pursue development in Hong Kong. Among them, the Technology Talent Admission Scheme provides a fast-track arrangement for admitting overseas and Chinese Mainland technology talent to undertake R&D work in Hong Kong. The Government launched in late 2025 further enhancement measurements to the scheme, including (i) streamlining application procedures to allow technology companies and eligible talents to submit applications for quotas and visas/entry permits in parallel; (ii) lifting the requirement of engaging in R&D in 14 designated technology areas to better respond to the rapidly changing I&T landscape; and (iii) in addition to the existing Science Park and Cyberport, launching a new dedicated application channel for the Hong Kong-Shenzhen Innovation and Technology Park to provide one-stop assistance to their tenants and incubatees in application and subsequent follow-up action. Companies from the fields of automotive engineering, in-vehicle software and the Internet of Things may engage technology talents to undertake R&D work in Hong Kong through the enhanced scheme.

     On the other hand, salaries tax in Hong Kong is calculated at progressive rates. For high-income earners, the current two-tiered standard rates (i.e. 15 per cent for the first $5 million of net income and 16 per cent for the remainder) are already lower than those in other jurisdictions. The Government also provides various allowances and tax deductions, covering personal allowances and expenses on supporting family members, health insurance, self-education, retirement schemes, and housing. Therefore, the current salaries tax regime is already rather attractive to outside talents. To complement relevant industrial development, the Government has also reserved planning flexibility on various sites earmarked for industrial use within the Northern Metropolis (such as the I&T sites in San Tin Technopole) to allow for the construction of talent apartments.

Ends/Wednesday, July 8, 2026
Issued at HKT 14:52

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