John Lee begins Beijing, Shanghai trip to deepen mainland economic ties

Hong Kong’s leader has begun a four-day visit to Beijing and Shanghai to deepen economic ties with the mainland, calling for closer collaboration on finance and innovation and technology (I&T), and pledging to help Chinese enterprises expand overseas.

Speaking at the annual Beijing-Hong Kong Economic Cooperation Symposium on Wednesday, Chief Executive John Lee Ka-chiu said the Northern Metropolis would create a new platform for the two cities to cooperate on research and innovation.

The gathering was a centrepiece of the trip, during which Lee will attend a series of economic forums and expos, including the China International Import Expo in Shanghai on Thursday, to forge closer business links.

Lee set out three priorities for Hong Kong-Beijing cooperation: deepening collaboration in I&T, mutual opening-up in finance and leveraging the city’s strengths to help mainland companies go global.

On I&T, he said the government was encouraging local universities to partner with mainland and overseas institutions, and leading enterprises to establish a presence in the university towns of the Northern Metropolis, a megaproject that aims to turn 30,000 hectares (74,132 acres) of land into a major economic engine.

“Universities and research institutions in Beijing and Hong Kong have long cooperated seamlessly. In future they can jointly work on cutting-edge science and technology and nurture outstanding international talent together,” he said.

“I believe the university towns will open a new chapter in cooperation between universities in Beijing and Hong Kong.”

Lee also called on the two cities to keep improving their capital markets to facilitate two-way financing for enterprises and to work together on green and sustainable finance, offshore renminbi business, wealth management and family offices.

He noted that the government’s GoGlobal Task Force had already helped 340 mainland companies, 60 of them from Beijing, expand overseas, and pledged to assist more mainland firms in going global amid a complex geopolitical and international business environment.

His remarks followed a commentary published on Monday by the Hong Kong and Macau Affairs Office of the State Council, which said the city should go beyond integrating into mainland development and play a stronger role in serving national strategies.

Yin Yong, the mayor of Beijing, told the same event that the capital would draw on its resources to support the Northern Metropolis and step up cooperation in finance and emerging sectors.

“[We will] further deepen industrial synergy, strengthen technological collaboration in areas such as AI and integrated circuits, and create more cases of ‘research and development in Beijing, certification in Hong Kong and commercialisation overseas’,” Yin said.

He called for improved cooperation mechanisms, particularly closer interaction within the business community and more mutual visits, exchanges and joint projects.

He also said he hoped more Hong Kong businesses would take part in Beijing’s urban development and transport infrastructure projects, and urged deeper people-to-people exchanges, especially among young people.

Frederick Ma Si-hang, chairman of the Hong Kong Trade Development Council, said Beijing-Hong Kong collaboration should develop both inwards, to better serve national I&T goals, and outwards, to help mainland businesses expand overseas.

He said the council would draw on its global network spanning more than 50 cities to help companies explore emerging markets in Belt and Road Initiative countries, including Southeast Asia, the Middle East and Central Asia.