Ventures Dialogue

Hong Kong International Airport (HKIA) recently officially launched two new facilities:  the SkyPier, a new cross-boundary ferry terminal; and the North Satellite Concourse, which is equipped with 10 bridge-served parking stands for narrow-bodied aircraft. The facilities have been soft-opened since mid-December 2009.

Addressing at a ceremony marking the grand opening of the two new facilities, Dr Marvin Cheung Kin-tung, Chairman of the Airport Authority Hong Kong,  said the new SkyPier and North Satellite Concourse are part of HKIA’s near-term growth projects to enhance service levels and meet future demand.  

He  said: “The SkyPier efficiently conveys passengers travelling between the Pearl River Delta and the world via HKIA, while the North Satellite Concourse enables about 98% of our passengers to embark and disembark airplanes in an indoor, weatherproof environment.”

With an aim to actively promote dual development and co-operation between financial services in Hong Kong and Shanghai, Hong Kong and Shanghai signed a Memorandum of Understanding Concerning Advancing Hong Kong-Shanghai Financial Co-operation (MOU).  The MOU allows both places to capitalize on their respective strengths to contribute to financial reform on the Mainland China.

The signing of the  MOU was witnessed by the Financial Secretary of the Hong Kong Special Administrative Region Government, Mr John C Tsang, the Vice-Mayor of Shanghai, Mr Tu Guangshao, and other guests, Hong Kong’s Secretary for Financial Services and the Treasury, Professor K C Chan, and the Director of the Shanghai Municipal Government Financial Services Office, Mr Fang Xinghai.

Speaking at the signing ceremony on January 19th, Professor Chan said: “Hong Kong and Shanghai should step up co-operation for the country’s financial development.  As a highly international, liberal and institutionalized international financial centre, Hong Kong has relatively rich experience and advantages in facilitating Mainland financial institutions to go international step by step, attracting foreign capital and introducing financial innovation. On the other hand, Shanghai enjoys a prestigious position in mobilizing capital, talent and financial institutions on the Mainland.”

According to the MOU, the two cities would strengthen financial co-operation under the framework of the Hong Kong/Shanghai Economic and Trade Co-operation Conference and with the advice and support of the state’s financial authorities. 

The  MOU outlines three directions for advancing co-operation. Firstly, the MOU set out the overall objectives for advancing financial co-operation between Hong Kong and Shanghai, which would strengthen the international competitiveness of China’s financial services industry.  Secondly, the MOU sets out priority areas for advancing financial co-operation between Hong Kong and Shanghai, which would strengthen ties between their financial organizations under their respective regulatory frameworks.  Thirdly, the MOU advances co-operation concerned improving the dialogue and exchanges between the financial services of Hong Kong and Shanghai. 

With the signing of the MOU between Hong Kong and Shanghai, Professor Chan hoped both places could make joint efforts, advance exchanges, further complement each others’ competitive edges and advance strategic collaboration, to promote the development of the country’s financial services industry.

“China caught the world’s eye with its rapid response to recession.”

In his latest Commentary, Peter G. Hall of the Export Development Canada (EDC) also remarks that China’s actions has had measurable effects.  However, he does go further to say:

“Although spending programs will continue throughout the year and beyond, they are likely through their growth phase, leaving it to the rest of the economy to step into the gap and generate growth. [...]China may yet get lucky. Western markets are adjusting, and are expected to begin recovering in the latter half of 2010. If China can make it until then, revived global trade could well save the day.”

To read more or listen to the commentary via podcast click here.

Photo by Kuzeytac ( So, SO busy…).

The Ontario government has signed an agreement with a consortium led by Samsung C&T Corporation and the Korea Electric Power Corporation (KEPCO) to generate 2,500 megawatts of wind and solar power in the province.  According to the government, the $7 billion investment will lead to more than 16,000 new green energy jobs to build, install and operate the renewable generation projects and triple Ontario’s output from renewable wind and solar sources and provide clean electricity to more than 580,000 households.

A government media release identifies how the investment will benefit Ontario:

“The Korean consortium will also work with major partners to attract four manufacturing plants. This will lead to the creation of 1,440 manufacturing and related jobs building wind and solar technology for use in Ontario and export across North America.

The consortium fully intends to use Ontario-made steel in its renewable energy projects, such as constructing its wind turbine towers.

This is the single-largest investment in renewable energy in provincial history. The consortium chose Ontario because our Green Energy Act guarantees stable rates for renewable energy.”

Premier Dalton McGuinty states, “Thanks to today’s announcement, we will be delivering more green energy for Ontarians to use — and more green energy products for North America to buy. With this step, Ontario is becoming the place to be for green energy manufacturing in North America.”

Photo by JoshMcConnell

Hong Kong’s Chief  Secretary Mr  Henry Tang  says the  Government is determined to make Hong Kong Asia’s cultural hub, and the West Kowloon Cultural District will have enormous potential to become the cultural focus for the Pearl River Delta.

Addressing at a reception held in New York City on January 12, Mr Tang said the West Kowloon project will transform Victoria Harbour into “Asia’s West End” with a Broadway skyline making Hong Kong the cultural hub of Asia.

“People who have visited the two cities, New York and Hong Kong, often draw a number of comparisons. They are both cities that never sleep. We each have shimmering skyscrapers, great shopping, wonderful food and a spectacular harbour. We are both international business and financial centres and melting pots for culture.” Continue reading ‘Hong Kong’s West Kowloon to be Pearl River cultural focus’

It has taken eight years to plan, but China and the Association of Southeast Asian Nations (ASEAN) have created the largest free trade area (FTA) of developing countries.  Together this FTA represents over 1.9 billion consumers and over $4.5 trillion USD worth of trade.  This makes the ASEAN FTA the third largest FTA behind the European Union and the North American Free Trade Agreement area. 

Stronger political trust, deeper trade partnerships and closer social and cultural exchanges are just some of the advantages hoping to be gained from the FTA.   

For this FTA, the average tariff for ASEAN goods to China will decrease from 9.8 per cent to .01 per cent.  Further, the original six ASEAN members have cut their tariffs on Chinese goods from 12.8 per cent to 0.6 per cent. 

Photo by Wolfgang Staudt

The ground breaking ceremony of the site formation for Hong Kong’s Kai Tak Cruise Terminal was held December 23, marking a significant milestone in developing the city into a premier regional cruise hub.

Upon the commissioning of the new cruise terminal, together with the Ocean Terminal in Tsim Sha Tsui, Hong Kong will have a total of four berths for cruise vessels. Conveniently located, these terminal facilities can berth cruise vessels of different types and sizes, providing high quality infrastructure for the long-term development of the cruise industry in Hong Kong and in the region.

The Hong Kong Special Administrative Region Government (HKSARG) will fund, design and build the cruise terminal, and lease the terminal to a cruise terminal operator for a rent, while retaining the ownership of the site and the terminal. The new cruise terminal will have two alongside berths with no air draft limit. Upon completion, it will be able to berth the world’s largest cruise vessel with a gross tonnage of 220 000 tonnes.
 
The HKSARG is developing the Kai Tak Cruise Terminal through two works contracts. The first one is the site formation works contract, which involves the construction of berthing facilities. The second contract is for the design and build of the cruise terminal building. Continue reading ‘Ground breaking of Kai Tak Cruise Terminal marks a milestone in the development of Hong Kong’s cruise tourism’

A positive reaction to the wine duty exemption and various other wine industry supportive measures have seen Canada-based Wines to Go Ltd enter Hong Kong’s vibrant wine industry with the opening December 17 of its first retail shop in Hong Kong, located in the Mong Kok East MTR station concourse on the East Rail Line.

Wines to Go Ltd aims to bring a fresh and exciting selection of fine wines from around the world into Hong Kong and the Asia region. The company’s goal is to open up the market to wines other than Bordeaux and to let consumers discover other quality wines at competitive prices in an open and attractive space where wines are featured based on their style and taste profiles.

The company’s first wine shop in Hong Kong is the first such licensed premises to operate inside the MTR station. The wine retailer is endeavouring to present wine in a user-friendly location to capture passing young professionals who have a burgeoning interest in wine. The company plans to further expand its business in Hong Kong by opening several more shops along the MTR lines in the next 12 months.

President of Wines to Go Ltd, Mr Leo Baduria, said, “The trend in wine appreciation in Asia continues to grow and will affect the global wine industry in the coming decades. Our decision to expand Wine to Go Ltd into Hong Kong is the result of the rapid growth and promising prospects of the city’s wine industry. Hong Kong provides the best combination of efficiency, world-class infrastructure and sophisticated culture, the key determinants behind our investment in this city.”

Commenting on the strategic regional role of its Hong Kong operation, Mr Baduria said, “Hong Kong remains the best hub in Asia for the wine market because of its highly efficient systems and zero duty on wine. We will keep Hong Kong as our regional headquarters as we grow, enabling us to manage our business operations in other cities in Asia from our hub in Hong Kong.”

Officiating at the opening ceremony of Wines to Go Ltd’s first retail outlet in Hong Kong, Associate Director-General of Investment Promotion at Invest Hong Kong, Mr Charles Ng, warmly welcomed the company’s establishment in Hong Kong. He said, “We are delighted to have a Canadian wine retailer expanding its business into the Hong Kong market. The presence of Wines to Go Ltd not only enriches the portfolio of the wine industry in our city, but also enhances our position as a regional hub for wine-related businesses. Our investment promotion teams stand ready to provide further support and assistance to Wines to Go Ltd in its future business expansion here and regionwide.”

Mr Ng also said that since the exemption of wine duty in early 2008, many wine sector-related companies have set up or expanded their businesses in Hong Kong to provide support in areas such as trading, storage, distribution, auctions, etc. He noted that the new policy has also brought benefits to related economic activities such as tourism, catering and hospitality and exhibitions.

Photo by Robert S. Donovan