HKPC Warmly Welcomes the Conclusion of the 2024 Two Sessions Developing New Quality Productive Forces of Hong Kong and the Greater Bay Area with I&T and Promoting New Industrialisation

(Hong Kong, 11 March 2024) The Hong Kong Productivity Council (HKPC) passionately welcomes the conclusion of the 2024 Two Sessions which lays out crucial plans for future development. The responses from all sectors of the local community have been enthusiastic, with a sense of excitement about the future development of Hong Kong. The policy priorities of the Hong Kong Special Administrative Region (HKSAR) Government are highly aligned with the directions set by the Two Sessions. HKPC will fully cooperate with the national development strategies and "strive to modernise the industrial system and develop new quality productive forces at a faster pace", while continuing to actively collaborate with the HKSAR Government to bolster Hong Kong into an international innovation and technology (I&T) centre. This includes helping the formation of new quality productive forces in Hong Kong and the Greater Bay Area (GBA), supporting industries to achieve new industrialisation, and contributing to the nation's high-quality development.

Hon Sunny TAN, Chairman of HKPC, said, "New quality productive forces is the key theme of the Two Sessions and is a crucial driving force for the rapid development of the country, the GBA, and the HKSAR. The national strategy injects uninterrupted development momentum into Hong Kong. Hong Kong should fully leverage the distinctive advantages of the country’s strong support and extensive connections with the world under the ‘One Country, Two Systems’. Hong Kong should assume the role as the central city and regional development core engine in the GBA and become an important gateway for the country's development of new quality productive forces to complement the advantages of other cities in the GBA, transform and upgrade traditional industries, nurture and develop emerging industries, and build for the future. Hong Kong can lead at the forefront of the world by reducing reliance on external supply and industry chains, strengthening cyber security in emerging fields such as artificial intelligence (AI) and big data, supporting more Mainland enterprises to 'go global', and promoting the overall industrial development of the country."

Innovation, high quality, and greenness are the three key elements of new quality productive forces: "New" includes new technologies, new processes, new materials, new products, new production methods and new industries, which can be fully comprehended through the dimensions of new labour force, new labour targets, new labour tools and new infrastructure; "Quality" refers to high-quality development with continuous enhancement of the competitiveness of products in tandem with developing high-value-added industries heading towards high-end, smart and green development. Developing new quality productive forces requires promoting technological innovation, applying technological achievements to specific industries and industrial chains, empowering the development of new industrialisation, adding new impetus to development, and embodying green and sustainable development. Hong Kong possesses strong research capabilities and the ability to make breakthroughs from scratch, while technological industrialisation requires a solid industrial foundation. In this connection, the HKSAR Government has been injecting substantial resources and funding to lead industrial development.

Hon Sunny TAN further remarked that subject to limited land spaces and a higher cost of production. HKPC believes that the new concept of "microfactory" will become the mainstream direction of Hong Kong's industrial development. These "microfactories" employ advanced intelligent production technologies and systems to achieve highly flexible production methods. They utilise technologies such as AI and the Internet of Things (IoT) to manage operations to seamlessly integrate advanced technologies, and effectively enhance space utilisation efficiency, hence creating "smart spaces". HKPC will make full use of past experiences and technologies related to intelligent production projects, including the OWL production line designed by HKPC and the "Hephaestus: Industrial Artificial Intelligence Application Platform" multi-purpose industrial AI application platform set up by our Hong Kong Industrial Artificial Intelligence and Robotics Research and Development Centre (FLAIR), to promote the development of local industries and "microfactory" with Hong Kong’s distinctive features.

HKPC has long been focused on promoting and developing "new industrialisation" as a core priority, committed to driving enterprises’ productivity through technological innovation and achieving "new quality productive forces". Over the past 10 years, HKPC has assisted the industry in successfully implementing over 1,200 industrial smartification projects in the GBA, including 74 intelligent production lines which will be or have already been established in Hong Kong, covering various sectors, including advanced materials, life and health, and traditional industries such as food.

The establishment of effective cyber security is essential to safeguard the formation of new quality productive forces. With the widespread application of technologies in the industrial sector such as AI, big data, and industrial IoT, companies are facing increasing challenges in data security and cyber security. The Hong Kong Computer Emergency Response Team Coordination Centre (HKCERT), managed by HKPC, will continue to assist businesses and internet users in responding to computer and cyber security incidents and provide practical guidance to enhance cyber security and resilience.

Mr Mohamed BUTT, Executive Director of HKPC, said, "Looking ahead, HKPC will deepen cooperation with the Government, industry, academia, and research sectors, leveraging its advantages to introduce more local and overseas top scientific research resources. We will actively respond to the industry's pressing needs for developing new quality productive forces and promoting new industrialisation as well as the strong quest for relevant technologies and management talent. We also provide staunch support to facilitate the upgrading and transformation of traditional industries and the nurturing of emerging industries, through advanced technology, training for future talent and Government funding schemes, etc. We are planning to open the ‘Future Manufacturing Hall’ this year, and we will also establish technical service points in Mainland cities in the GBA.” Mr BUTT added, “At the same time, we will organise more field trips, as well as networking events for technologies and talents to grab the new opportunities brought upon by the 'Belt and Road' initiative, which in turn will help the HKSAR Government to draw more leading enterprises, renowned startups, and high-end talent to Hong Kong. By providing comprehensive support to businesses, Hong Kong will become an important gateway and core city for the country's development of new quality productive forces and the advancement of new industrialisation."

- Ends -

Hon Sunny TAN, Chairman of HKPC, said that 'new quality productive forces' has become a key phrase in the Two Sessions. It is a vital force to drive the rapid development of the country, the GBA, and the HKSAR. The national strategy injects endless development momentum into Hong Kong. Hong Kong should fully leverage on the distinctive advantages of the country’s strong support and extensive connections with the world under the "One Country, Two Systems" and serves as the central city of the GBA and the core engine of regional development, and become an important gateway for the country's development of new quality productive forces with its distinctive geographical location.

The Hong Kong Productivity Council (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. Being a key enabler of Industry 4.0 and Enterprise 4.0, HKPC strives to facilitate new industrialisation in Hong Kong, as well as bolstering Hong Kong to be an international innovation and technology centre and a smart city.