Secretary for Transport and Logistics Mable Chan highlighted the ongoing uncertainties posed by the trade war, which continue to affect the logistics, shipping, and aviation sectors in the region.
She emphasized that the immediate priority is to address the global decline in cargo volume, revealing that the government has formulated key strategies to adapt to market transformations. The strategies include amending regulations to facilitate transshipment, enhancing collaboration with ports in the Greater Bay Area to increase cargo movement, and shifting from a historically "market-driven" approach to a more proactive government-led initiative.
Chan noted that through ongoing communications with industry stakeholders, the government has learned that many companies are gradually shifting their business focus from the U.S. to other markets.
"Over the past decade, Hong Kong's shipping market has transitioned from a reliance on Europe and the U.S. to greater engagement with Asia. Notably, cargo throughput from Central and South America has now surpassed that of North America."
Looking ahead, the government plans to assist the industry in exploring emerging markets to identify new growth opportunities. Chan mentioned efforts to actively grab cargo, citing that goods from Chongqing and Chengdu destined for Europe and the U.S. are now being processed at Yantian Port in Shenzhen. Additionally, cargo heading to Africa and Latin America is being transshipped via Hong Kong.
To enhance the competitiveness of transshipment, the government will amend regulations next year to clarify the definition of transshipped goods. This revision will expand the current exemption permits for air transshipment to include multimodal transport, such as sea-to-air and land-to-air.
When questioned about potential smuggling risks, Chan assured that monitoring areas would be established at the Kwai Tsing Container Terminal to ensure the integrity of cargo transshipment.
Furthermore, the government is looking to strengthen international cooperation by setting up a vessel management office in the Middle East later this year and discussing partnerships for green marine fuel supply with Egyptian and European ports, aiming to attract more ships to register and finance in Hong Kong.
On the aviation front, Chan remarked that the trade war impacts global supply chains, including aircraft supply, making aircraft leasing a vital financing method.
The Tianjin Dongjiang Comprehensive Bonded Zone is currently the second-largest aircraft leasing hub globally. Chan noted that an aircraft asset management company registered there has recognized Hong Kong's international market and free capital flow, planning to establish a subsidiary in the city to facilitate aircraft financing transactions for mainland and overseas leasing firms and airlines.
Additionally, Chan revealed that the government is studying the introduction of city check-in and baggage handling services at the West Kowloon Station. They are also exploring the establishment of an autonomous system to connect the high-speed rail station with the nearby Airport Express Kowloon Station. These initiatives will be rolled out in phases, with the former expected to be implemented sooner.
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