For Immediate Release
The Hong Kong General Chamber of Commerce (HKGCC) welcomes the latest amendments to the terms of Trade in Services under the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA), signed on 9 October between the Mainland and Hong Kong SAR governments.
“The latest CEPA agreement will considerably lower market entry barriers in the Mainland, helping to sustain first-mover advantages for Hong Kong service suppliers,” said Chamber Chairman Agnes Chan. “In particular, this will benefit businesses struggling amid a sluggish global economy and help them tap into the Mainland market.”
The revised agreement, which will come into effect 1 March 2025, introduces liberalization measures across sectors where Hong Kong holds competitive advantages, including accounting, construction and engineering, real estate, finance, tourism, insurance, banking, and security services, thus facilitating easier access for service suppliers and professionals in the Mainland market. The measures will widen the potential for mutual growth by removing or reducing restrictions on the business scope for establishing enterprises, mutual recognition of professional qualifications, relaxing qualification requirements, and increasing policy support.
Significantly, enterprises investing in Hong Kong will be permitted to adopt Hong Kong law and conduct arbitration in the city, capitalizing on its strengths as an international legal and dispute resolution services centre while helping Mainland enterprises use Hong Kong as a springboard to go global and facilitating foreign investors to tap into the Mainland market. Additionally, the removal of the three-year requirement for service suppliers to engage in substantive business operations in certain sectors will not only foster the growth of start-ups in Hong Kong but also attract businesses and talent seeking to expand into the Mainland market. This will create job opportunities and further enhance Hong Kong’s role as a major value-added hub.
“Through the new terms, Hong Kong can leverage the strong support of the Central Government and its international connections under the ‘One Country, Two Systems’ framework,” said Chan.
Since it was first signed in 2003, CEPA has evolved into a comprehensive and modern free trade agreement. The latest measures are expected to boost Hong Kong’s economy, deepen cooperation and integration with the Mainland, and enhance economic connectivity with the global market.
Media inquiries: Please contact Ms Ally Wan at 2823-1266 / [email protected]