weekly
Written by: Gan Zhiqing
2020-11-24 17:00
Last update date: 2020-11-24 17:00
In 2020, the new crown pneumonia epidemic sweeps the world, and the Sino-US struggle continues, the global economy, including Hong Kong's industry, is in a mess.
Entering the second half of the year, the U.S. government made successive moves to suspend special treatment in Hong Kong and unilaterally change the label of origin in Hong Kong. The Hong Kong government was caught off guard. Many people in the market also looked down on the prospects of local industries.
However, "the outsider sees the excitement, the insider sees the doorway." As a member of Hong Kong's industry, he sees the "danger" and also the "opportunity."
It is undeniable that trade disputes and the new crown pneumonia epidemic are bringing a huge impact to the industry.
Due to trade disputes, many Hong Kong companies have increased costs due to additional tariffs or set up new production lines overseas in response to customer requests.
The protracted setting up of a mature and complete production line will directly cause Hong Kong companies to increase their investment costs, which will affect their cash flow.
On the other hand, under the epidemic, the European and American consumer markets have deteriorated significantly, which has seriously affected the marketing performance of Hong Kong companies in the European and American markets. Even European and American buyers may cancel orders or go bankrupt, causing Hong Kong companies to suffer losses.
Faced with such a severe situation, even the most optimistic industry can hardly say that "the road ahead is bright."
Affected by the Sino-US trade war, Hong Kong's industries have moved from mainland China to Malaysia, Vietnam and other lower-cost regions in Southeast Asia.
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[Hong Kong Remanufacturing.
1. The shortage of masks fuels the revival of local industries?
[Hong Kong Remanufacturing.
2. President of HKPC: The epidemic has become an opportunity for Hong Kong's "re-industrialization"
There is no unchanging environment in the world. It is the general trend for companies to adjust their production lines and the business market. Therefore, the author is not pessimistic about the prospects of Hong Kong's industry. "Voting with feet"—continuously setting up corporate headquarters or R&D bases in Hong Kong; or operating business in Hong Kong and other cities in the Greater Bay Area in "pre-shop and back-factory" or "pre-research and post-development" locations; or even return to Hong Kong in recent years to explore setting up factories Possibly, they all reflect their confidence in Hong Kong's industrial prospects.
Since Hong Kong's industry took off in the 1960s, it has faced various challenges in different eras. The industry has never neglected, and has made continuous efforts to respond and explore opportunities that can be one step ahead.
Therefore, the author believes that as long as Hong Kong manufacturers uphold the belief in self-improvement and change in time, there are still unlimited possibilities in the future.
The Federation of Hong Kong Industries collected members’ opinions on how to deal with changes in the business environment and summarized the four major directions for the future of industry, hoping to help Hong Kong businessmen stand firm against the current.
As for whether the Hong Kong industry can seize the opportunity and create new possibilities in the four major directions, please read the full text of the "Hong Kong 01" weekly electronic journal.
The above is excerpted from the 241st issue of "Hong Kong 01" Weekly Report (November 23, 2020) "Four directions for Hong Kong's industry in the future under adversity". If you want to read the full text, please
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Selected content of the 241 issue of "Hong Kong 01" Weekly News:
[Cover Report] How to save Hong Kong's shipping logistics from "Port One" to "Sunset Industry"?
Interview with Lin Chen, a financial scholar at the University of Hong Kong, how does Hong Kong develop inclusive finance?
Backed by network advantages, online and offline interactive gaming industry emerges under the epidemic
[The Chief Executive, please find the number] What about going with the people?
Please return to true Connect from "Tear 2.0"
RCEP holds a group for warmth around China's economic "matrix" is forming
When will the RCEP become the end of Taiwan’s economic and trade “cooking frog effect”
[Technology.
In the future] R&D and safety are difficult to determine the pros and cons of "emergency use of vaccines"
Federation of Industries Hong Kong Manufacturing 01 Weekly Report Hong Kong Economy