Hong Kong retains its advantages as Asia's major business hub
External investors are continuing to set up offices or substantially expand their presence in Hong Kong in a great vote of confidence in the city, the Chief Executive, Mr Tung Chee Hwa, said today (June 24).
He said that in the past 12 months some 135 external investors had moved to Hong Kong, with 70 of them in the past five months despite the SARS outbreak.
Mr Tung was speaking at a reception at Government House for new foreign and Mainland companies that have set up operations or increased their overall investment in Hong Kong.
He said this continued inflow clearly confirmed Hong Kong's position as a major business hub in the region and demonstrated the city's sound economic fundamentals.
Also speaking at the reception, the Director-General of Investment Promotion
at Invest Hong Kong, Mr Mike Rowse, said the fact that so many businesses
were represented today confirmed their confidence in Hong Kong's future
as the premier business centre at the heart of Asia.
He highlighted the particularly strong interest demonstrated in the retail
sector, a key indicator of confidence in consumer demand.
"Since last year, over 20 foreign retailers entered the Hong Kong market, opened additional shops or upgraded their presence by setting up large-scale flagship stores," Mr Rowse said.
"The investment made by these retailers proves the attractiveness of Hong Kong's retail market, contrary to the speculation that the retail sector has peaked and is experiencing a decline."
After the reception, senior representatives of six companies, accompanied by Mr Rowse, spoke to the media about their new or expanded operations in Hong Kong.
The six companies are:
Banc One Investment Advisors Corporation
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The US company relocated its Asia Pacific headquarters from Tokyo to Hong Kong this month. Banc One has taken advantage of Hong Kong as a hub for Asian securities and money management industry, with the rule of law, telecommunications, transportation and a talented local workforce which are vital to doing business.
DHL
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Hong Kong is the home of DHL's Asia Pacific administrative headquarters.
Recently, the world's leading express freight and logistics company began
its investment of HK$780 million into a new Express Cargo Terminal at
Hong Kong International Airport. The terminal will act as the company's
Central Asian hub for its express delivery operations. The project will
create 700 new jobs by 2004 and 900 by 2010. DHL has invested US$400 million
into its joint venture in Air Hong Kong to purchase six new Airbus A300-600F
general freighters.
Dior Asia-Pacific
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Earlier this month, the company opened Dior 1 Peking Road in Tsim Sha
Tsui, currently the largest Dior boutique in the Asia Pacific region.
The flagship store is a symbol of the company's continued commitment to
Hong Kong, confirming the city's role as a regional centre for luxury
shopping and retail.
Family First Ltd
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This US-based insurance firm will recruit and train over 200 staff in
Hong Kong in order to expand its share in the local insurance market.
Hong Kong's skilled workforce, regulatory transparency, entrepreneurial
culture and international attitude made it a very attractive Asian home
for Family First's operation.
Kingdee International Software Group Co Ltd
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This leading international provider of enterprise applications software
and services established its Asia Pacific headquarters in Hong Kong. The
company, which originated in mainland China, uses Hong Kong as a platform
for regional and international expansion.
RedRock Semiconductor
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This US-based semiconductor start-up has just moved into the Hong Kong
Science Park. This move is amongst the first inflow of Silicon Valley
investment into Hong Kong after the SARS outbreak, and a showcase for
Hong Kong's attractiveness as a centre of excellence in Integrated Circuit
development and applications.
End/Tuesday, June 24, 2003
