HKPC Welcomes Multi-pronged Measures in Policy Address to Promote the Development of I&T Ecosystem Fully Supports the Government to Inject New Impetus into Hong Kong's I&T and Long-term Development

(Hong Kong, 25 October 2023) The Hong Kong Productivity Council (HKPC) welcomes the series of measures and visions proposed by Chief Executive Mr John Lee in his 2023 Policy Address today to improve Hong Kong's innovation and technology (I&T) ecosystem and expand the talent pool. HKPC also believes that the policy principles and measures outlined in the Policy Address are far-sighted and comprehensive in scope, able to better enhance the well-being of the citizens and promote the development of Hong Kong. HKPC will continue supporting the HKSAR Government's work actively in leading Hong Kong’s development as an international I&T centre, while accelerating Hong Kong's integration into the national development.

Hon Sunny TAN, Chairman of HKPC, said, "HKPC fully supports the series of measures and the establishment of the New Industrialisation Development Office. The Chief Executive announced in the Policy Address to continuously promote new industrialisation and move ahead with the Northern Metropolis as the new engine for growth, enhancing Hong Kong's overall competitiveness and consolidating Hong Kong's critical role in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) and Belt and Road (B&R) Initiative. Leveraging Hong Kong's unique advantages of 'enjoying strong support of the Motherland and being closely connected to the world' and solid foundational research and development (R&D) capabilities, HKPC will utilise national support for Hong Kong to build an international I&T centre and its role as a global financial centre, to attract foreign investment and advanced technologies, while giving full play to the 'Made in Hong Kong' brand advantage to 'go global' and lead enterprises, further improving Hong Kong's I&T ecosystem. We have always worked hand in hand with industries to promote innovation and upgrading and transformation through three aspects - advanced technologies, FutureSkills training, and Government funding schemes. HKPC will continue supporting the HKSAR Government in implementing the related I&T development measures, promoting Hong Kong's new industrialisation and new productivity, creating an atmosphere for I&T development in society, enabling more R&D achievements to be commercialised, and accelerating Hong Kong's development into an international I&T centre."

Advancing New Industrialisation, Promoting the Digital Economy, and Achieving New Productivity

HKPC is encouraged by the Policy Address' all-round support for Hong Kong's I&T development and the establishment of the "'New Industrialisation Development Centre", with an industrial commissioner taking the lead and industrial-oriented policies to coordinate the relevant policies and resources for the development of I&T industries and new industrialisation. We will continue supporting major I&T policies in line with the "Hong Kong I&T Development Blueprint". Meanwhile, we will also continue supporting enterprises in strategic industries such as life and health sciences, artificial intelligence and data science, advanced manufacturing, and new energy technologies in line with the additional HK$10 billion "New Industrialisation Acceleration Scheme" (renamed today and formerly known as Re-industrialisation Funding Scheme). New industrialisation is gaining prevalence, and there is greater social demand to deepen understanding on this concept as well as increasingly urgent demand for relevant technical talent. To support the development of new industrialisation, HKPC will design comprehensive talent training programmes for technical and industrial practitioners, including new industrialisation study trips and job fairs to the GBA, nurturing local new industrialisation talent.

HKPC leads GBA industries to achieve new productivity driven by incorporating Industry 4.0 advanced technologies into various traditional industries. HKPC has successfully realised over 1,200 GBA smart manufacturing projects to strongly develop I&T industries and advance the construction of the GBA. HKPC has also established the “Celesphere”, Hong Kong’s First Technology Hall Themed in Industrial Metaverse Industrial Metaverse, and the "New Industrialisation Development Centre" within the year to display various applied technology solutions to help enterprises advance to smart production and improve economic efficiencies. Leveraging close industry ties, HKPC will act as a bridge between the HKSAR Government and industries to promote dual-track I&T and new industrialisation development in Hong Kong, telling good stories of Hong Kong's I&T.

HKPC also welcomes the HKSAR Government’s initiative to set up the Digital Policy Office, Microelectronics Research and Development Institute as well as accelerate the establishment of the Supercomputing Centre, so as to incentivise collaboration amongst the Government, industry, academia and research sectors as well as developing Hong Kong into an international I&T centre. The nation vigorously promotes the digital economy, and in face of increasing risks of cyber-attacks globally, HKPC supports the legislative protection proposed in the Policy Address to enhance the cyber security of critical infrastructure. Cyber security is an important part of building a smart city, and HKPC has been committed to providing world-class advanced technologies and innovative services to help institutions of all sizes improve their cyber security and prevent potential cyber threats. Through the newly established "Smart & Secure City Hall" last month, HKPC hopes to raise awareness of cyber security among enterprises and the general public as well as promote the use of I&T to help Hong Kong become an international I&T centre and a smart city.

Fully Supporting Green Technology and Green Transportation to Drive Hydrogen Economy

HKPC welcomes the Strategy of Hydrogen Development in Hong Kong proposed in the Policy Address, which includes commencing the preparatory work for necessary legislative amendments pertaining to the production, storage, transportation and application of hydrogen fuel, and accelerating the R&D of practical projects; in the meantime, promote the use and supply of new energy in sea, land and air transport so as to spearhead green transformation of the relevant trades and promote green economy. Furthermore, we welcome the discussion on exploring the development of new energy industrial chains, including continuing to test out more new energy vehicles, such as electric public light buses, electric heavy goods vehicles, electric coaches, hydrogen double-deck buses and hydrogen street washing vehicles; and formulating a citywide green transformation roadmap and timetable for public buses and taxis, with a view to achieving zero vehicular emissions by 2050. With this sound foundation, Hong Kong will further deepen the promotion of green development and smart mobility, as well as contribute to national exchanges and cooperation in the green field of the B&R Initiative.

In driving the development of green technology and green transportation, HKPC's Automotive Platform and Application Systems R&D Centre (APAS) recently released the city's first "Hong Kong Hydrogen Economy Report and Survey Result" to summarise industry views on the development and opportunities of Hong Kong's hydrogen economy. Proposing data research on global hydrogen technologies and their potential applications in Hong Kong will help the HKSAR Government formulate long-term strategies for using hydrogen in transportation and promote hydrogen energy development related initiatives to achieve the goal of carbon neutrality before 2050.

Seizing E-commerce Opportunities by Utilising Government’s Funding to Upgrade Services

To fully capitalise on the unlimited opportunities brought by the nation, HKPC, as the implementer or secretariat for 10 Government funding schemes, will provide full support to the HKSAR Government in establishing the inter-departmental E-commerce Development Task Force and launching "E-commerce Easy" under the Dedicated Fund on Branding, Upgrading and Domestic Sales to enable enterprises to make use of HK$1 million for the implementation of e-commerce projects within the cumulative funding ceiling of HK$7 million, promoting business and commerce through cross-border e-commerce. Furthermore, HKPC's SME ReachOut has been upgraded to SME ReachOut 2.0 and has introduced the "SME LevelUp Workshops" to provide e-commerce strategies and marketing consultations to SMEs, actively supporting the development of Hong Kong's e-commerce and assisting SMEs in promoting trade, achieving upgrading and transformation. In addition, HKPC has launched various services last year, including the new version of "BIZ Expands Easy" and the "Digital DIY " Portal one-stop online platform to facilitate digital transformation and establish e-commerce services for enterprises.

Encouraging International Talent Exchange and Establishing a Rich Talent Pool in I&T

In addition, the Policy Address announced the establishment of a physical office of Hong Kong Talent Engage to align with the future development of I&T in Hong Kong. HKPC actively supports the Government's measures to attract talent by participating in local and international job fairs, including the Malaysia Career and Training Fair and the Singapore National University Graduate Career Fair. This aims to recruit talents from around the world and offer a series of challenging and promising positions to maintain Hong Kong's competitiveness in I&T. The HKPC Academy collaborates closely with consulates from countries along the B&R Initiative to share opportunities. It also strengthens technology and youth I&T exchanges to provide FutureSkills training for the industry to explore new markets. Moreover, HKPC enhances cooperation with universities, research institutions, and business chambers from B&R Initiative countries and regions, organising more green training programmes to promote green, low-carbon, and sustainable development along the B&R Initiative.

Advancing the Integration of Northern Metropolis into the National Development Agenda

The Northern Metropolis is the new engine for Hong Kong’s future development. Its planning is based on “industry-driven and infrastructure-led" and has become a major node for Hong Kong to integrate into the national development. HKPC welcomes the coming Northern Metropolis Action Agenda which the Hong Kong-Shenzhen Innovation and Technology Park in the Loop and the Shenzhen Innovation and Technology Zone will create synergy and serve as a hub for I&T development. HKPC is one of the key facilitators for Hong Kong and other cities in the GBA to participate in the high-quality B&R Initiative cooperation and advance new industrialisation. It has launched the GBA Industry Network Clusters consultation events for in-depth exchanges with local enterprises and stakeholders, understanding their urgent needs of local enterprises for upgrading and transformation, and exploring ways to support enterprises in moving towards new industrialisation. Going forward, HKPC will organise more enterprises in the GBA to inspect the B&R Initiative markets through business matching activities to explore cooperation opportunities and foster mutual understanding among people.

HKPC will fully support the HKSAR Government in promoting I&T development, assisting more enterprises in upgrading and transformation through advanced technologies, talent training and Government funding schemes, and forming a supportive policy overlay effect between Hong Kong and the Mainland to help more enterprises move towards sustainable development of smart manufacturing, and propelling high-quality socio-economic development. Upholding the spirit of "Innovation Never Stops", HKPC will continue implementing new industrialisation and accelerating new productivity development to fulfil Hong Kong's development into an international I&T centre under the "14th Five-Year Plan".

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HKPC is a multi-disciplinary organisation established by statute in 1967, to promote productivity excellence through relentless drive of world-class advanced technologies and innovative service offerings to support Hong Kong enterprises. HKPC is headquartered at the HKPC Building at 78 Tat Chee Avenue, Kowloon, Hong Kong.

Hon Sunny TAN, Chairman of HKPC, said, "HKPC fully supports the series of measures and the establishment of the New Industrialisation Development Office. The Chief Executive announced in the Policy Address to continuously promote new industrialisation and move ahead with the Northern Metropolis as the new engine for growth, enhancing Hong Kong's overall competitiveness and consolidating Hong Kong's critical role in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) and Belt and Road (B&R) Initiative."