U.S. imposing tariffs on products from Hong Kong and the sudden announcement by the U.S. Postal Service last night to resume accepting packages from mainland China and Hong Kong.
Hong Kong Must Establish Its Position for Global Business
Professor Wilson Chan, a visiting professor at the City University of Hong Kong and associate director of the MBA program, shared his insights during an interview. He noted that the U.S. policy fluctuations reflect a reckless approach to bargaining, stating, "Much of this is merely superficial; in reality, it's all about negotiation, which makes the policy quite careless."
Chan pointed out, "The U.S. suppression will not end because it is facing domestic economic decline, and it seeks excuses to take action. If Hong Kong does not focus on its development and merely reacts to external pressures, we will be passive and unfavorable." He suggested that the Hong Kong government should clarify its positioning—whether it aims to conduct business with the U.S. or, under the Greater Bay Area development strategy, align with other cities to target markets in the Middle East and ASEAN.
The Hong Kong government stated last night that if the U.S. does not correct its erroneous actions, the region will take all possible measures, including pursuing avenues through the World Trade Organization (WTO) to defend its legitimate rights. When asked about the effectiveness of filing a complaint with the WTO, Chan remarked that such actions are largely symbolic, as any resolution might take a year and a half to materialize, which could be too late for small and medium-sized enterprises racing against time. Nevertheless, he still believes that complaining with the WTO is "worth it," as it underscores that if the U.S. does not adhere to international WTO standards, "how can it claim to be a major power? However, do not expect immediate effects."
Hong Wen: Joining More Trade Organizations is More Practical
Legislative Council member Hong Wen also responded to Hong Kong Wen Wei Po, referencing the "Trump 1.0" era. She stated that although Hong Kong has filed complaints with the WTO and the WTO has ruled against the U.S., she cautioned that WTO rulings lack real binding power, and the U.S. did not cease its actions afterward. She believes this situation illustrates the limitations of the WTO in handling multilateral trade functions, suggesting that relying solely on the WTO as a dispute resolution platform is inadequate. She urged the Hong Kong government to establish more trade agreements with other countries or regions and to seek membership in additional trade organizations to avoid over-reliance on the WTO.
(Source: Wen Wei Po)
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