Category: MIL-OSI

Source: Hong Kong Information Services

The Environmental Protection Department announced today an incident of suspected leachate leakage at the West New Territories (WENT) Landfill.

Department staff discovered the suspected leakage at around 2.30pm today at one of the landfill’s stormwater outfalls, which connects to the adjacent Tai Shui Hang.

According to current assessments, most of the leachate has been intercepted by a silt curtain regularly installed at the outfall, significantly limiting the amount of fluid entering Tai Shui Hang.

Water samples have been collected at the site for testing. Preliminary investigations revealed that the dissolved oxygen and the pH levels in the samples are normal, indicating no significant impact on the water quality or ecology in Tai Shui Hang and Deep Bay.

While the department conducts further testing and follow-up work, the WENT Landfill contractor has implemented a series of containment measures.

These actions include deploying tankers to clear leachate from the stormwater outfall and Tai Shui Hang, diverting the upstream flow to prevent water from entering the affected outfall and installing sandbags and extra silt curtains to enhance interception.

The department will continue to closely monitor the situation and clear the remaining leachate to prevent further discharge into Tai Shui Hang. It is also working with the contractor to investigate the cause of the incident and implement long-term preventative measures.

Source: Hong Kong Information Services

The inaugural LEAP East 2026 technology conference officially opened today at the Convention & Exhibition Centre. Welcoming the event to Hong Kong, Financial Secretary Paul Chan noted that it marks the first LEAP conference held outside Saudi Arabia.

Addressing the opening ceremony, Mr Chan said the event underscores the deepening partnership between Hong Kong and Saudi Arabia, while highlighting the city’s unique role as a gateway connecting the Mainland with the world. 

Mr Chan outlined Hong Kong’s strengths as an ideal innovation base, citing its common law system, robust intellectual property protection, free flow of capital, goods, talent and data, low and simple tax regime and stable business environment.

He invited Saudi and Gulf enterprises to utilise Hong Kong as an international fundraising and risk-management platform. He also reaffirmed the Hong Kong Special Administrative Region Government’s commitment to strengthening bilateral co-operation in innovation, infrastructure, green technology, healthcare, advanced manufacturing and professional services. 

“There is enormous potential for us – Hong Kong and Saudi Arabia – to do more together. Both of us are gateways to our respective regions, and our capital markets are already linked – through mutual listings of exchange-traded funds. 

“We warmly welcome Saudi and Gulf enterprises to leverage Hong Kong’s capital markets through listings, bond issuance, asset management and other partnerships.

“Hong Kong is precisely the gateway and platform where proven frontier technology and advanced manufacturing businesses from this region can settle in Saudi Arabia and expand across Europe and Africa,” he added.

Mr Chan announced plans to lead another delegation to Saudi Arabia again later this year. The group will comprise leading infrastructure, green tech, healthcare and advanced manufacturing companies, alongside finance, investment and professional services experts, to explore concrete projects and further partnerships.

Also attending the opening ceremony, Secretary for Innovation, Technology & Industry Prof Sun Dong positioned Hong Kong as an ideal gateway for both Mainland enterprises going global and Middle Eastern firms accessing Chinese and other Asian markets. He reaffirmed Hong Kong’s readiness to partner globally for a sustainable, innovative future.

The three-day event runs from today until Friday, bringing together 35,000 participants, including 340 speakers and 450 exhibitors from 30 countries and regions.

Following the opening ceremony, Mr Chan and Prof Sun toured the exhibition and visited the Hong Kong Pavilion. Prof Sun also met with Minister of Communications & Information Technology of Saudi Arabia Abdullah Alswaha to exchange views on innovation and technology collaborations between Hong Kong and Saudi Arabia.

Source: Hong Kong Government special administrative region

Following is a question by the Hon Duncan Chiu and a written reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (July 8):

Question:

There are recently recurring public queries in the community that Hong Kong people who have been absent from Hong Kong for a long period of time or who have even emigrated overseas for many years, despite having no actual economic or social ties with Hong Kong and not continuously fulfilling their tax obligations during their absence, can still, by virtue of their Hong Kong permanent resident status, enjoy government-subsidised public services and benefits (including public housing and healthcare services) immediately upon returning to Hong Kong, leading to abuse and unfair distribution of Hong Kong’s public resources. In this connection, will the Government inform this Council:

(1) whether it has reviewed the situation in recent years regarding the long-term absence from Hong Kong (e.g. not residing in Hong Kong continuously for three years or more) of Hong Kong people with Hong Kong permanent resident status and their return to Hong Kong, including whether it has ascertained the numbers of Hong Kong permanent residents who have been absent for a long period of time and have since returned, as well as the relevant data on their enjoyment of public healthcare services and public housing after their return; if such data are currently not available, whether the authorities will consider conducting systematic surveys to assess the actual situation regarding the use of public resources by such individuals and its impact on public expenditure;

(2) as the authorities indicated in their reply to a question raised by a Member of this Council on January 8, 2025, regarding persons emigrated overseas returning to Hong Kong for welfare benefits and services that the Government would continue to keep in view social changes and review the provision of the existing social welfare measures and public services from time to time, of the latest situation of the authorities’ current review, and whether it will follow up on and address the relevant issues as soon as possible;

(3) whether it has reviewed if a balance between the rights and obligations of permanent residents can be struck under the existing welfare system, and whether it will further strengthen cross-departmental data sharing while considering tightening relevant regulations as appropriate to eradicate the misallocation of resources caused by “presence of benefits in the absence of the person”;

(4) whether it has drawn reference from and studied the eligibility criteria or relevant mechanisms established by foreign countries (such as Canada and Singapore) for the enjoyment of social welfare and public services by permanent residents returning after long-term residence abroad, with a view to preventing the abuse of public resources; if so, of the details; and

(5) under the Basic Law and on the premise of ensuring no abuse of limited public resources, whether the authorities will comprehensively review the existing policies and measures on Hong Kong permanent residents’ enjoyment of public services and benefits, and extensively consult the public during the review process; if so, of the specific details and timetable; if not, the reasons for that?

Reply:

President,

Public welfare and services provided by different bureaux and departments are multifarious and diversified. To ensure the proper use of public resources, relevant bureaux and departments formulate appropriate modes of operation and eligibility criteria as necessary, having regard to the nature and policy objectives of different public welfare and services, so as to meet the diverse needs of the public. In consultation with relevant policy bureaux and departments, I reply as follows:

Regarding public healthcare services, as the major public healthcare service provider, the Hospital Authority (HA) is committed to ensuring that no eligible citizen is denied appropriate healthcare services due to financial difficulty. Currently, any holder of a valid Hong Kong Identity Card and any child under 11 years of age who is a Hong Kong resident is regarded as an Eligible Person for subsidised public healthcare services. There is no requirement for service users to reside in Hong Kong for a specified number of days. Therefore, the HA does not require patients to provide information regarding the number of days they resided in or left Hong Kong when they seek medical consultation. The HA is also unable to compile statistics relating to the use of public healthcare services by Hong Kong residents who have been absent from Hong Kong for a long period of time or who return from places outside Hong Kong. The HA currently has no intention to conduct surveys on the use of public healthcare services by emigrants returning to Hong Kong.

Regarding public housing, persons applying for Public Rental Housing (PRH) and all family members must be residing in Hong Kong. Furthermore, all family members must still be living in Hong Kong at the time of flat allocation. Therefore, persons residing outside Hong Kong do not meet the general eligibility criteria for PRH application. In addition, starting from the declaration cycle in October 2023, to ensure PRH resources are duly allocated to those with more pressing housing needs, PRH tenants and all family members are required to declare every two years their occupancy status being continuously resided in their allocated flats, as well as compliance with the requirements in the tenancy agreement since moving in PRH. Through daily management work and regular home visits, estate management staff of the Housing Department (HD) will keep in view the occupancy status of tenants. Where an investigation confirms that a flat is vacant or a tenant has not resided in the flat on a continuous basis for more than three months, the HD will take appropriate tenancy enforcement actions, including tenancy termination.

Regarding social welfare, the Government puts in place requirements on age, means tests and permissible limits of absence from Hong Kong, etc, for different subsidised public services based on the policy objectives and needs of recipient groups. For cash assistance, to ensure the prudent use of limited public resources and the long-term sustainability of public finances, the Comprehensive Social Security Assistance Scheme and the Social Security Allowance Scheme (including the Old Age Allowance, the Old Age Living Allowance and the Disability Allowance) impose residence requirements, including permissible limits on the number of days of absence from Hong Kong before application and during receipt of payment. The specific requirements vary depending on the target beneficiaries and policy objectives of different schemes. These requirements aim to ensure that relevant Hong Kong resident recipients maintain close ties with Hong Kong, and prevent people who have resided outside Hong Kong for an extended period of time from claiming the allowances immediately upon their return to Hong Kong, or continuing to receive the allowances despite prolonged absence from Hong Kong. Reasonable flexibility is allowed when setting a limit on the number of days of absence from Hong Kong, enabling Hong Kong resident recipients to leave Hong Kong for short periods and facilitating beneficiaries to retire in Guangdong and Fujian Provinces.

As for subsidised welfare services, apart from elderly persons participating in the Residential Care Services Scheme in Guangdong, service users who are absent from Hong Kong and do not use the services for a prolonged period of time will be required to quit the services.

At present, there is no commonly adopted definition in respect of Hong Kong permanent residents being “absent from Hong Kong for a long period of time” or “returning to reside in Hong Kong”. The Government does not maintain the statistics mentioned in the question.

In fact, public welfare and services vary in nature. Adjusting or even restricting access to public welfare and services by Hong Kong permanent residents who have been absent from Hong Kong for a long period of time or who are returning to reside in Hong Kong requires careful handling and cannot be generalised.

Source: Hong Kong Government special administrative region

​Following is a question by the Hon Albert Chuang and a reply by the Secretary for Housing, Ms Winnie Ho, in the Legislative Council today (July 8):

Question:

An organisation has published a survey report indicating that nearly 50 per cent of the young respondents do not aspire to home ownership due to “excessively high property prices beyond their means”, and that for those young people who aspire to home ownership, the downpayment expenditure constitutes the core difficulty they face. In this connection, will the Government inform this Council:

(1) as the survey report indicates that, among the various financial support measures, respondents expressed stronger support for “the provision of an interest-free downpayment loan scheme for young first-time home buyers”, whether the Government will study the launch of a pilot scheme on interest-free loans for first-time home purchase targeting young people, so as to assist them in acquiring their first home; if so, of the details; if not, the reasons for that;

(2) given that, at present, the minimum downpayment required of Green Form purchasers of subsidised sale flats (SSFs) launched by the Hong Kong Housing Authority in the primary market is 5 per cent of the flat price, while that required of White Form purchasers is 10 per cent, and that some views have pointed out that lowering the minimum downpayment for White Form applicants to 5 per cent to bring it on a par with that for Green Form purchasers could alleviate the cost burden on young first-time home buyers, whether the Government will consider such a proposal; if so, of the details; if not, the reasons for that; and

(3) as the Government indicated in its reply to a question raised by a Member of this Council on July 30 last year that it would explore other measures to further assist young people in purchasing SSFs, of the progress made in this regard?

Reply:

President,

The current-term Government has been committed to enriching the housing ladder, providing a solid foundation for citizens (especially young people) to live and work in contentment. We also introduce facilitation measures in various areas, including housing supply and financial arrangements. In response to the question from the Hon Chuang, my reply is as follows:

On housing supply, under the Government’s unremitting efforts, the situation of back-loaded public housing supply, including public rental housing and subsidised sale flats (SSFs), has now been reversed. Coupled with Light Public Housing, the total public housing supply over the next five years is projected to be about 196 000 units, representing an increase of over 80 per cent compared to the five-year period at the start of the current-term Government. In terms of SSFs, as at end March 2026, the Hong Kong Housing Authority (HA) and the Hong Kong Housing Society (HKHS) would provide about 60 000 SSFs in the coming five years. Compared to the five-year period at the start of the current-term Government, the supply of Home Ownership Scheme (HOS) flats is projected to increase by about 55 per cent over the original estimates.

Many young people are working hard and saving diligently to achieve upward mobility step by step. Such efforts are a highly valuable driving force in the society and should be recognised. SSFs are an affordable option for them, and around 50 per cent of the buyers of HOS flats are young people aged below 40. It is anticipated that more than 30 000 young families would benefit from the increase in the supply of SSFs. HOS flats are priced based on the affordability, and are sold at a minimum discount of 30 per cent off the assessed market values. The five new HOS developments under the Sale of HOS Flats 2025 exercise offer nearly 7 000 flats for sale, with the selling prices ranging from about $1.5 million to about $4.8 million. Assuming the selling price of a flat is $2.8 million (with a saleable area of around 390 square feet), a White Form buyer can purchase a flat by making a down payment equivalent to 10 per cent of the property price with a monthly mortgage payment of around $11,300, which should be affordable for the youths. The HA also provides mortgage guarantee to the buyers to facilitate them in obtaining mortgage loans.

Furthermore, starting from the Sale of HOS Flats 2024 exercise, the HA has implemented the Families with Newborns Flat Selection Priority Scheme, under which most of the beneficiaries are believed to be young families. To date, over 800 families with newborns have successfully purchased first-hand SSFs.

As for secondary market, around 80 per cent of buyers under the White Form Secondary Market Scheme (WSM) were young people. To further assist them in home ownership, the HA has, since the WSM 2024 exercise, designated 1 500 quotas for the youth. Meanwhile, to meet the young people’s aspirations of home ownership, the HA has reallocated unused family quotas to one-person applicants since the same WSM exercise, with a view to increasing their opportunities for home ownership.

Apart from HOS, the Government also, through Starter Homes for Hong Kong Residents (SH) projects, helps persons whose income and assets are above the application threshold of HOS and yet cannot afford private housing achieve their home ownership aspirations. The first two SH projects offered for sale by the Urban Renewal Authority had a total of over 600 units sold, in which around 85 per cent of the purchasers were young people aged 40 or below.

In addition to the increase in housing supply and enhancements of the sales arrangements, the Government also optimises the financial arrangements to help citizens (including young people) achieve home ownership on all fronts. For example, the Government adjusted the value bands of ad valorem stamp duty in February 2025, raising the maximum value of properties chargeable to $100 stamp duty from $3 million to $4 million, so as to reduce the burden of homebuyers (first-time young homebuyers generally prefer to buy flats falling into this price range). The Hong Kong Monetary Authority also adjusted the measures for property mortgage loans in October 2024, with the maximum loan-to-value (LTV) ratio standardised at 70 per cent regardless of the value of the property, and the debt servicing ratio limit standardised at 50 per cent. Individuals may also obtain higher LTV ratio mortgage loans through the Mortgage Insurance Programme. For first-time homebuyers with regular income purchasing properties priced at $10 million or below, the LTV ratio can be up to 90 per cent.

The above package of measures has significantly reduced the down payment and related costs for young homebuyers. The current pricing of HOS flats is determined based on the affordability of low and middle-income non-owner occupier households. If the down payment requirement for White Form applicants were to be further lowered, or if an interest-free down payment loan scheme were introduced for first-time young homebuyers, we must be mindful of the risks they may face. In particular, there is a concern that individuals without sufficient affordability (especially young people) might enter the market prematurely, thereby increasing their repayment burden in the future. We believe that such situations should be carefully monitored and handled with prudence.

Looking ahead, starting from the Sale of HOS Flats 2025 exercise, the HA will allocate an additional ballot number to young families and one-person applicants under the age of 40 with White Form status to increase their chance in the ballot. Meanwhile, the quota under WSM 2025 will increase to 7 000, of which a quota of 2 000 will be designated for youths, representing a further increase of 33 per cent when compared to that of WSM 2024. The HKHS is also planning on similar arrangements.

We believe that, as long as young people are fully aware of the abundant opportunities ahead, such as the great potential to be brought by the Northern Metropolis, they will plan ahead and move upward along the housing ladder, aiming higher and going further. We will continue to enhance our housing policies, constantly review the needs of society (particularly the young people), and refine relevant arrangements to help young people strive for advancement.

Thank you, President.

Source: Hong Kong Government special administrative region

Following is a question by the Hon Tang Fei and a written reply by the Secretary for Education, Dr Choi Yuk-lin, in the Legislative Council today (July 8):

Question:

There are views that the Education Bureau has in recent years been committed to promoting the electronic delivery of education services, with a view to providing greater convenience to parents and enhancing administrative efficiency, and that this policy direction is commendable. However, the results of the Central Allocation for Primary One Admission, originally scheduled to be announced by the Bureau on June 3 this year, were erroneously sent out ahead of schedule on June 2 due to an operational deviation in the system’s sending procedure. In this connection, will the Government inform this Council:

(1) whether it has compiled statistics on the total number of students whose allocation information was involved in the above incident of erroneous SMS release, with a breakdown by school net or district on the number of affected cases;

(2) given that the authorities have indicated that the crisis management team set up to follow up on the aforesaid incident will conduct a comprehensive review of the systems, procedures and manpower co-ordination, of the current progress and findings of the review, including whether the specific causes of the erroneous SMS release have been analysed; and

(3) how the authorities will draw on the experience gained from this contingency response to enhance departmental capability in responding to similar incidents, and how the authorities will improve the communication mechanism when implementing various electronic notification services in the future, so as to ensure that frontline staff operate the relevant systems or services correctly?

Reply:

President,

The Government has launched various e-services for the convenience of members of the public to promote wider application of digital technology in daily life. To facilitate access to information on Primary One school places allocation, the Education Bureau (EDB) informs parents of the results of the Central Allocation (CA) for Primary One Admission (POA) through a variety of channels, including short message service (SMS). The SMS messages regarding the CA results for POA, which were originally scheduled to be released on June 3 this year, were erroneously sent out early on June 2. The EDB is highly concerned about the incident and has immediately set up an investigation team to conduct a thorough investigation with a view to clarifying the details of the incident, including whether negligence was involved. The investigation team also comprehensively reviewed the system operation, procedural arrangements and manpower deployment of the related work, so as to further enhance the information dissemination mechanism and supervision processes, to prevent similar incidents from recurring. The Government has completed the investigation of the incident and announced the investigation results as well as related follow-up actions and enhancement measures on June 26, 2026. The consolidated reply to the question raised by the Hon Tang Fei is as follows:

The investigation revealed that the incident primarily involved an EDB officer, who on June 2, 2026, made an operational error while setting up the SMS sending procedure through the system platform. This resulted in SMS messages containing incorrect year and registration date, which were sent to about 16 000 parents one day earlier than the announcement date originally scheduled. As the above message delivery procedure is for notifying parents who have registered to receive SMS messages of their children’s CA results for POA, statistics on the number of affected cases by school net or district are not available in the system. The investigation also found that another EDB officer had not established sufficient review and approval measures in the workflow.

Immediately after the incident, the EDB activated the contingency response mechanism, including sending corrective SMS messages, issuing a press release and providing the public with clarification, as well as setting up dedicated telephone hotlines for answering parents’ enquiries. The EDB also met with the school sector and parent representatives on the same day to understand their concerns about the incident. In addition, an immediate and comprehensive review of the allocation information of all students taking part in the CA for POA was conducted and it was confirmed that the incident had not affected the allocation results. Besides, upon a thorough check by the technical team, it was confirmed that the relevant information systems had not been subject to any cyberattack or hacker intrusion. The core database remained intact while the personal data of parents and students were highly encrypted and protected. The official CA results for POA were released on June 3, 2026, as originally scheduled.

The EDB has taken relevant follow-up actions against the deficiencies and inadequacies of the staff members concerned according to the investigation results. Meanwhile, the investigation team was of the view that in addition to negligence, the incident also showed areas for improvement in the current workflow and internal supervision mechanisms. After a comprehensive review of related workflows, system design and staff arrangements, etc, the investigation team recommended a series of enhancement measures to prevent similar incidents from recurring:

(i) Compiling clear internal working guidelines outlining the workflow, division of duties and responsibilities, and approval arrangements for sending SMS messages with regular reviews and updates;

​(ii) Establishing a multi-tier review and approval procedure in the message dissemination mechanism. The delivery task can only be activated after confirmation by staff from multiple tiers, and changes after task confirmation will be restricted; and

(iii) Conducting practical drills before large-scale SMS dissemination, and continuing to hold regular briefings and training sessions on system operation, with a view to enhancing staff members’ understanding of the workflow and the dissemination system, as well as improving their responsiveness and risk awareness.

The School Places Allocation Section of the EDB has immediately implemented the above enhancement measures. Other sections will also enhance processes involving dissemination of information to the public and staff training with reference to the above principles to ensure the accuracy and reliability of the relevant information.

Source: Hong Kong Government special administrative region

Following is the speech by the Secretary for Financial Services and the Treasury, Mr Christopher Hui, at the opening ceremony of the Asia Climate Summit 2026 today (July 8):

Director Cao (Deputy Director of Carbon Trading Division 1 of the Ministry of Ecology and Environment, Mr Cao Yuanshu), Dirk (President and Chief Executive Officer of the International Emissions Trading Association, Mr Dirk Forrister), distinguished guests, ladies and gentlemen,

     Good morning. It is a great pleasure and honour of mine to join you today at the opening ceremony of the Asia Climate Summit 2026. I thank the International Emissions Trading Association (IETA) for their outstanding efforts in organising this important event.

This year, for the first time, the Asia Climate Summit is being hosted in Hong Kong—a milestone moment for our city. We are proud to serve as the backdrop for these critical discussions, as we welcome participants from all corners of the globe. With your insights and expertise, I am confident that this Summit will not only identify opportunities but also forge collaborations driving real progress in the years ahead for global green development.

The story of progress has always been one of transformation. Today, as the world faces the defining challenge of our time—climate change—Hong Kong is embracing its role as a leader, innovator, and connector in this era of green transformation. We have taken a long-term, comprehensive approach to sustainability, underpinned by clear and ambitious goals. By 2035, we aim to reduce carbon emissions by 50 per cent, and by 2050, we are committed to becoming carbon neutral. These are bold targets, but they are necessary ones. We frame sustainability not just as a goal, but as the bedrock of Hong Kong’s future economic prosperity.

Indeed, Hong Kong’s established position as a vibrant, resilient, and highly competitive international financial centre — reinforced by our status as the world’s largest cross-border wealth management centre and the premier offshore Renminbi business hub — firmly positions us at the forefront of green finance. Leveraging our deep capital markets, sophisticated regulatory framework, and extensive international connectivity, we are uniquely placed to channel global capital towards sustainable and low-carbon initiatives across Asia and beyond. The tangible results of our efforts are clear: last year, the total volume of green and sustainable debt issued in Hong Kong surpassed US$76 billion. Notably, green and sustainable bonds arranged here amounted to around US$38 billion, ranking first in the Asian market for eight consecutive years since 2018.

Since 2019, we have successfully issued close to US$33 billion equivalent in green bonds under the Government Sustainable Bond Programme. In November last year, we issued the world’s first ever digital green bonds integrating tokenised central bank money, settling in both e-CNY and e-HKD. This pioneering transaction underscores our unique ability to bridge traditional finance with green development, and cutting-edge fintech and digital currency innovation.

Hong Kong Exchanges and Clearing Limited (HKEX) continues to advance our carbon market infrastructure through its international marketplace, the Core Climate. Launched in October 2022, it offers HKD and RMB settlement for voluntary carbon credits. As of March this year, Core Climate boasted over 130 registered participants and offers credits from more than 60 projects verified by leading international standards, solidifying its position as a vital platform for regional carbon trading.

Leveraging Hong Kong’s strategic location in the Greater Bay Area, HKEX is actively exploring further collaboration with Guangzhou Emissions Exchange, Shenzhen Green Exchange and Macao International Carbon Emission Exchange, supporting the development of a robust and vibrant green finance ecosystem across Hong Kong and the Greater Bay Area. Looking ahead, Core Climate holds significant potential to foster the development of an even broader ecosystem for green products with a view to accelerating the adoption of renewable energy solutions particularly in the Greater Bay Area. The Green Electricity Certificates would be the most promising one in the pipeline. Riding on HKEX’s listing platform, we see real opportunities to identify and spotlight Hong Kong-listed enterprises actively involved in green and environmentally sustainable activities. By enhancing transparency and accessibility, this will empower investors to confidently identify and channel capital into green opportunities in Hong Kong.

Beyond establishing a vibrant marketplace for carbon credits, transparency and high-quality sustainability disclosure form the essential building blocks of a credible and robust green finance ecosystem. Our Roadmap on Sustainability Disclosure, published in late 2024, sets out a clear, phased pathway for large publicly accountable entities to fully adopt the International Sustainability Standards Board (ISSB) standards by no later than 2028. This forward-looking commitment was globally recognised in June 2025, when the IFRS (International Financial Reporting Standards) Foundation confirmed that Hong Kong is among the first jurisdictions worldwide to target full adoption of these international benchmarks.

Further strengthening this commitment, we are particularly excited to have a strong network of partners working with us in support of the sustainability disclosure ecosystem. The Hong Kong Institute of Certified Public Accountants was recently designated as an official training partner of the IFRS Foundation. This partnership significantly bolsters our local capacity to deliver high-quality sustainability disclosure training, ensuring that Hong Kong’s professionals and organisations are well-equipped to meet the highest international standards. Also, the Hong Kong Quality Assurance Agency (HKQAA) is working with us to strengthen engagement with businesses and facilitate digital dynamic disclosure for Hong Kong enterprises, so as to strengthen the city’s resilient and future-ready financial ecosystem. We are most excited that the HKQAA will soon make its ESG Disclosure platform available to the wider banking sector in this quarter.

Ladies and gentlemen, the Asia Climate Summit 2026 represents more than just an event—it is an important gathering that shapes the future of carbon markets and green innovation. Hong Kong, as a “super-connector” and “super value-adder”, stands ready to bridge opportunities between the Mainland, Asia, and beyond. We are committed to playing an essential role in the global journey towards achieving net-zero emission.

Before I conclude, I want to learn from Director Cao that we may do some advertising. In September, you have your event in Hubei, in fact we also have ours in Hong Kong and that is the Green Week. No competition but welcome to both events at your pleasure.

I wish you all a productive and insightful summit. Together, let us strive for a greener and more sustainable future. Thank you.

Source: Hong Kong Government special administrative region

Following is a question by the Hon Jonathan Leung and a written reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (July 8):

Question:

The Government announced on the 15th of last month the review findings and enhanced measures of the Enhanced Supplementary Labour Scheme, which include relaxing the manning ratio of full-time local employees with disabilities to imported workers to 1:1, so as to encourage enterprises to employ persons with disabilities (PWDs). Regarding the employment and training for PWDs, will the Government inform this Council:

(1) given that according to the findings of the survey on PWDs and chronic diseases published by the Census and Statistics Department in 2021, PWDs are mainly classified into eight categories, including restriction in body movement, seeing difficulty, hearing difficulty and communication difficulty, of the respective numbers and percentages of full-time employees with various types of disabilities engaged in various industries in each of the past three years, as well as the positions taken up by those engaged in the catering industry (such as kitchen assistants, waiters/waitresses and cashiers);

(2) of the respective numbers of unemployed persons and unemployment rates for various types of PWDs at present, with a breakdown by the categories of PWDs set out in part (1); whether the Government has assessed which type of PWDs faces the greatest employment difficulties;

(3) of the following information on the schemes implemented by the Government to promote the employment of PWDs (including employment matching services, the Work Orientation and Placement Scheme and the Support Programme for Employees with Disabilities) in each of the past three years: (i) the number of applications received, (ii) the amount of approved funding, (iii) the numbers of PWDs and employers involved, and (iv) the number of applications involving the catering industry;

(4) apart from relaxing the manning ratio of full-time local employees with disabilities to imported workers, whether the Government will consider further exempting the applications for imported workers made by employers who have offered full-time employment to local PWDs from the tiered vetting mechanism for labour importation, or shortening or waiving the relevant local recruitment procedures, so as to encourage the employment of local PWDs; if so, of the details; if not, the reasons for that;

(5) of the latest situation regarding the Government’s incorporation of technology application elements (e.g. intelligentisation, digitalisation and automation) into pre-employment training for PWDs; and

(6) as there are views that the limited space in local restaurants is a major obstacle to offering employment to PWDs, whether the Government will consider raising the existing ceiling on the amount of subsidy provided to employers in the catering industry for employing PWDs or providing tax concessions, so as to encourage the catering industry to create inclusive kitchens and shop fronts; if so, of the details; if not, the reasons for that?

Reply:

President,

The Government is committed to implementing various measures to promote the employment of persons with disabilities, so as to create more employment and on-the-job training opportunities for them and unleash their potential. In consultation with the Census and Statistics Department (C&SD), the Labour Department (LD) and the Social Welfare Department (SWD), our consolidated reply to the Member’s question is as follows:

(1) According to the latest territory-wide survey conducted by the C&SD on persons with disabilities and chronic diseases, it was estimated that some 86 300 persons with disabilities were employed persons in 2020, of whom some 13 400 persons with disabilities were engaged in the retail, accommodation and food services sector. Breakdowns of employed persons with disabilities by industry and selected type of disability and by occupation are at Annex 1. As for the number of employed persons with disabilities being full-time employees and the breakdown of employed persons with disabilities by individual job position, the C&SD does not maintain such information.

(2) The unemployment rate of persons with disabilities was about 11 per cent in 2020. The number of unemployed persons with disabilities by selected type of disability is at Annex 2.

Persons with different types of disabilities face different challenges when seeking employment. The Selective Placement Division (SPD) of the LD assists job seekers with disabilities in identifying suitable jobs based on their work capabilities. To enhance employers’ understanding of the work capabilities of persons with disabilities, the LD has published practical guides, including Practical Guide to Employing Persons with Disabilities, Practical Guide of Inclusive Job Redesign, to help employers understand the needs of persons with different disabilities, enabling them to implement appropriate measures, such as job adaptations and use of assistive devices, to assist persons with disabilities in adjusting to their work and enhancing their work efficiency. In addition, the Labour and Welfare Bureau has also set up a One-stop Information and Support Platform for Employment of Persons with Disabilities on its website, providing one-stop information on employment support to employers and persons with disabilities.

(3) The SPD of the LD provides personalised services for job seekers with disabilities who are fit for employment, including employment counselling, job matching and referral, as well as post-placement follow-up service. In addition, the SPD implements the Work Orientation and Placement Scheme (WOPS) to provide employers with an on-the-job training allowance to encourage them to employ persons with disabilities and provide training and support. The numbers of applications under WOPS (including those from the catering industry), persons with disabilities employed and employers involved from 2023 to 2025, as well as the annual breakdowns of amounts of allowances disbursed to employers from 2023-24 to 2025-26 are at Annex 3.

The SWD provides a one-off subsidy to employers through the Support Programme for Employees with Disabilities (SPED) for the procurement of assistive devices or workplace modifications to facilitate employees with disabilities discharging their duties and to enhance their work efficiency. The SWD also operates the Job Trial Wage Subsidy Scheme, offering subsidy to employers to encourage the employment of persons with disabilities.

In addition, the SWD subsidises eligible organisations to set up small enterprises/businesses under the Enhancing Employment of People with Disabilities through Small Enterprise Project to enhance the employment of persons with disabilities through a market-driven approach and direct creation of more employment opportunities. The maximum grant per business is $3 million for its setup costs and anticipated operating losses for the initial period of up to three years. The grantee must ensure that at least 50 per cent of the total number of persons employed for the business are persons with disabilities, so as to create more employment and on-the-job training opportunities.

Statistics on the above schemes under SWD for the past three years are at Annex 4.

(4) To strike a better balance between meeting the genuine needs of employers for importing labour and ensuring the employment priority for local workers, the Government has launched a tiered vetting mechanism under the Enhanced Supplementary Labour Scheme (ESLS). Compared with the basic vetting requirements (Tier 1), applications vetted under Tier 2 shall be subject to more stringent manning ratio and local open recruitment requirements, or other suitable sector-specific requirement(s). Since June 16, 2026, the LD has included posts in the production section and table service section of the food and beverage services sector in the Tier 2 vetting mechanism.

With a view to promoting the employment of persons with disabilities, if employers take on local persons with disabilities (Note 1) to take up full-time jobs (Note 2) and apply for imported workers under the ESLS, the manning ratio of full-time local employees with disabilities (irrespective of the section or job category) to imported workers will be relaxed to 1:1. This measure is applicable to the ESLS applications across all sectors (including the food and beverage services sector, which is included in the Tier 2 vetting mechanism).

To ensure the employment priority for local workers, the local open recruitment of all ESLS applications (including applications with the manning ratio relaxed due to the employment of local persons with disabilities) must be undertaken according to relevant requirements and priority must be accorded to employing suitable local workers.

(5) The SWD enhanced vocational rehabilitation services in 2025, converting all sheltered workshops into Integrated Vocational Rehabilitation Services Centres, and improving service and training models to raise the quality of vocational training and its alignment with market demand, enabling service users to acquire skills that better meet societal and economic development needs. The focus of the enhancement is to establish a diversified vocational training ladder, introduce advanced equipment and market‑relevant content, and assist service users in acquiring new skills that align with social development trends. New equipment includes digital fabric printing machines, laser cutting and engraving machines, high‑temperature ceramic kilns, mobile ordering systems, intelligent portion‑controlled rice dispensers, retail payment, marketing and inventory systems, and 3D/UV printers.

In addition, to enhance their training programmes and service quality, the Shine Skills Centres under the Vocational Training Council continuously review and optimise the content and framework of their programmes having regard to the needs of the job market. In recent years, modules on the use of artificial intelligence software and techniques have been added to relevant course syllabi, deepening the trainees’ understanding of smart technology and artificial intelligence. The Employees Retraining Board will also consider gradually incorporating content on application of technology into suitable vocational training courses (including dedicated courses for persons with disabilities) to help trainees enhance digital literacy and skills.

(6) In 2019, the SWD conducted a comprehensive review of the SPED and increased the subsidy limit for each employee with disabilities to $40,000. If an employer applies for workplace modifications for multiple employees with disabilities, the subsidy limit may also be calculated on a cumulative basis.

In 2020, the LD also increased the amount of the on-the-job training allowance under the WOPS to further encourage employers to employ job seekers with disabilities. The allowance granted to employers for employing each job seeker with disabilities who has encountered employment difficulties was increased to a maximum of $60,000 during the nine-month subsidy period.

The Government will continue to monitor the employment situation of persons with disabilities and review various measures to promote the employment of persons with disabilities from time to time, so as to continue providing appropriate employment support to persons with disabilities.

Note 1: Refers to Hong Kong residents receiving the Normal Disability Allowance or Higher Disability Allowance disbursed by the SWD.

Note 2: Refers to all local employees who are directly employed by an employer and work not less than 35 hours per week for operating the relevant business (irrespective of posts and working locations), excluding part time staff, staff of sub contractor(s) or self employed person(s) providing services to the employer.

Source: Hong Kong Government special administrative region

The following is issued on behalf of the Office of The Ombudsman:

     The Ombudsman, Mr Jack Chan, today (July 8) presented the 2025-26 Annual Report of The Ombudsman to the public. In the reporting year, the Office achieved remarkable results in all three strategic focuses championed by the Ombudsman, and further stepped up its supervisory role to bring about tangible improvements in public administration. The Office also exceeded all its service targets in handling enquiries, complaints, reassessment and review of complaints.      
     The Office is committed to fostering a positive complaint culture in all sectors of society through a variety of channels, with particular focus on encouraging the younger generation to adopt a constructive mindset and actively participate in public affairs. Throughout the year, it organised 17 talks at universities, tertiary institutions and secondary schools, and participated in seven career fairs, reaching out to more than 66 000 young people. The Ombudsman’s Awards presented annually continued to honour departments, organisations and public officers for excellence in enhancing public services, with a new Team Award introduced in this reporting year. In addition, appreciation letters and certificates were issued under the dual-track commendation scheme to departments, organisations and members of the public in recognition of their contribution to the enhancement of public administration.
      
     In exercising its supervisory functions, the Office completed 10 direct investigation operations and concluded 46 cases by full investigation during the year. A total of 573 recommendations, more than double the previous year’s figure, were made to drive substantive reforms across various areas of public administration, all of which were accepted by the departments and organisations concerned. In complaint cases where no or only minor maladministration is involved, the Office makes constructive observations, highlighting areas for improvement while acknowledging the positive measures taken by the departments or organisations concerned. During the year, a total of 912 observations were made under this initiative.

Source: Hong Kong Government special administrative region – 4

Hong Kong Customs detected a suspected illicit cigarette and alternative smoking product storage and distribution case in Ma On Shan yesterday (July 7). A total of about 390 000 suspected illicit cigarettes and 15 000 alternative smoking products were seized. The total estimated market value was about $1.78 million while the duty potential was about $1.3 million. A local man was arrested. 

Customs officers conducted an anti-illicit cigarette operation in Ma On Shan in the afternoon yesterday and searched two light goods vehicles parked in an outdoor carpark at Yiu Sha Road. Upon inspection, Customs found the batch of suspected illicit cigarettes and alternative smoking products inside the vehicles, and arrested a 47-year-old local man who claimed to be a transportation worker. The vehicles connected with the case were also detained.

Customs will continue its risk assessment and intelligence analysis for interception at source, as well as through its multipronged enforcement strategy targeting storage, distribution and peddling to spare no effort in combating illicit cigarette activities.

Customs stresses that it is an offence to buy or sell illicit cigarettes. Under the Dutiable Commodities Ordinance (Cap. 109), any person who deals with, possesses, sells or buys illicit cigarettes commits an offence. The maximum penalty upon conviction is a fine of $2 million and imprisonment for seven years.

Members of the public are urged to report any suspected illicit cigarette activities to Customs’ 24-hour hotline 182 8080, its dedicated crime-reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002).

Source: Hong Kong Government special administrative region

Following is a question by the Hon Wu Yingpeng and a written reply by the Secretary for Innovation, Technology and Industry, Professor Sun Dong, in the Legislative Council today (July 8):

Question:

The country’s 15th Five-Year Plan clearly sets out the nurturing and strengthening of emerging and future industries, accelerating the development of the next-generation intelligent, connected new energy vehicle industry. There are views that Hong Kong could lead the way in shifting towards green transport locally and help the country’s new energy vehicle industry go global. In this connection, will the Government inform this Council:

(1) in the past five years, (i) of the number of enterprises related to the Mainland’s new energy vehicle industrial chain that have listed on the Hong Kong stock market and the amount of capital they have raised; and (ii) of the list of key enterprises engaged in the related fields of intelligent driving, new energy and AI that have set up businesses in Hong Kong, as compiled to date by the Office for Attracting Strategic Enterprises (OASES), and among which, the figures on the business areas involved, the number of jobs created, the amount of investment attracted and the economic value generated;

(2) how the Government assesses Hong Kong’s role in attracting Mainland new energy vehicle enterprises to list in Hong Kong, in promoting international co-operation within the industrial and supply chains, and in facilitating an efficient logistics system; whether the Government has any plans to refine the OASES policies further and offer land and tax incentives to attract more leading national-level enterprises in the new energy vehicle supply chain (including those supplying batteries, chips and software) to establish regional headquarters or research and development centres in Hong Kong; if so, of the details; if not, the reasons for that;

(3) in planning the Northern Metropolis, whether the Government has set aside land for an “advanced manufacturing and testing base for intelligent connected vehicles” in order to attract the clustering of enterprises from across the entire industrial chain; if so, of the details; if not, the reasons for that;

(4) whether the Government has any plans to strengthen co-operation with the Guangdong-Hong Kong-Macao Greater Bay Area (Greater Bay Area) in the new energy vehicle industrial chain, for example by jointly establishing test sites, data-sharing platforms and demonstration zones for intelligent connected vehicles to achieve complementary advantages with Hong Kong in standard setting, testing and certification, and international recognition; if so, of the details; if not, the reasons for that;

(5) as intelligent connected vehicles rely heavily on map navigation, AI algorithms and vehicle-road coordination data, and in light of the need to ensure national security and personal privacy, whether the Government has any plans to collaborate with relevant Mainland authorities to explore the establishment of a “cross-border compliant data flow mechanism” for intelligent vehicle data and unified security certification standards within the framework of the Greater Bay Area, with a view to supporting the research, development and practical application of cross‑border autonomous driving technology; if so, of the details; if not, the reasons for that; and

(6) whether the Government will consider encouraging Hong Kong’s higher education institutions and research institutions to collaborate with Mainland automotive manufacturers, focusing on breakthroughs in key core technologies such as battery technology, autonomous driving and solid batteries, so as to support the upgrading of the Mainland’s new energy vehicle industry; in its talent recruitment policies, will the Government consider introducing specific preferential and facilitative measures (e.g. in the areas of taxation, housing and education) for high-calibre international innovation and technology talents in fields such as automotive engineering, in-vehicle software and the Internet of Things; if so, of the details; if not, the reasons for that?

Reply:

President:

The Government has been actively integrating into the overall development of the country, meeting the country’s needs with Hong Kong’s strength. As an international financial centre and innovation and technology (I&T) hub with the unique advantage of “one country, two systems”, Hong Kong can not only accelerate its local green transition in transport to implement the Climate Action Plan 2050, but also play a dual role as a two-way springboard to bring in and go global, thereby facilitating the internationalisation of the country’s new energy vehicle industry chain.

According to the Environment and Ecology Bureau, in promoting local green transport transformation, the Government announced the Updated Version of the Hong Kong Roadmap on Popularisation of Electric Vehicles (the Updated Roadmap) in February 2026, setting out a series of pragmatic measures to facilitate the development of the electric vehicle (EV) market, with a view to achieving zero vehicular emissions before 2050. As mentioned in the Updated Roadmap, Chinese Mainland now stands as the world’s largest and most dynamic EV market. Hong Kong will continue to promote EV adoption and actively seize the opportunities presented by our country’s rapid advancement in the EV industry. The Government will provide policy support and co-ordination to enterprises seeking to promote EVs in Hong Kong, facilitating the implementation of their projects in Hong Kong. Leveraging Hong Kong’s position as an international fintech hub, it will serve as a “bridgehead” for global expansion, facilitating the overseas growth of the country’s EV industry while advancing the global popularisation of EVs.

Having consulted the Environment and Ecology Bureau, the Financial Services and the Treasury Bureau, the Development Bureau, the Transport and Logistics Bureau, the Education Bureau, the Housing Bureau, and the Office for Attracting Strategic Enterprises (OASES), our reply to the question raised by the Hon WU Yingpeng is as follows:

(1) Hong Kong Exchanges and Clearing Limited (HKEX) has introduced a series of reforms to the listing regime in recent years, broadening the fundraising channels for enterprises and facilitating listing by different companies in Hong Kong. Notably, HKEX introduced the listing regime for specialist technology companies in 2023, enabling eligible specialist technology enterprises to list and raise funds under such new listing regime. According to HKEX’s guidance, various sectors related to the new energy vehicle industrial chain (including the manufacturing and/or deployment of autonomous vehicles (AVs) and EVs and development of relevant enabling technologies, including the use of new energy solutions in electric vehicles, location technology) have been included in the acceptable sectors within the specialist technology industries. In the past five years, over 10 enterprises related to the Mainland’s new energy vehicle industrial chain were listed in Hong Kong, with about $120 billion funds raised. The Government will continue to drive HKEX to enhance its listing mechanism and provide guidance to enterprises, thereby facilitating more high-quality companies to list and raise funds in Hong Kong.

Since its establishment, the OASES has been proactively attracting enterprises of significant strategic value to Hong Kong. Focusing on core strategic industries such as “advanced manufacturing and new energy technologies”, and “AI and data science”, OASES identifies target enterprises, assesses their needs for setting up in Hong Kong, and provides tailored facilitation (one enterprise one policy) and one stop support for their establishment. To date, OASES has announced six batches of key enterprises, comprising a total of 124 companies that have established a presence in Hong Kong or expanded their operations, among them over 50 per cent are listed companies; over 70 per cent have set up global or regional headquarters in Hong Kong; and nearly 90 per cent have established or are establishing research and development (R&D) centres locally. Many of these enterprises are global industry leaders with cutting edge technologies, choosing Hong Kong as the location for their global or regional headquarters, R&D centres, or supply chain management hubs, thereby creating a notable clustering effect within Hong Kong’s I&T ecosystem.

In the area of intelligent driving, several enterprises with leading technological strengths have established in Hong Kong, including PCITECH, Baidu Apollo and WeRide, which are actively participating in local autonomous driving tests. Westwell and UISEE Technology have also deployed unmanned driving solutions at Hong Kong International Airport, further enhancing the local testing environment for intelligent driving.

In the area of new energy technologies, multiple leading enterprises along the new energy vehicle value chain have established in Hong Kong, including CATL, Gotion High-tech, Guofu Hydrogen, Tianqi Lithium, NaaS Technology, and Li Auto. Their operations span upstream materials, midstream battery R&D, vehicle manufacturing and energy supplement networks, contributing to the development of a more complete new energy vehicle industry ecosystem in Hong Kong.

In the area of AI and data science, strategic enterprises cover both computing power infrastructure and large model development, including Hygon, Arm China, Biren Technology, MetaX, Zhipu AI and MiniMax.

(2) The Government’s policies to promote the development of strategic industries are not confined to existing land and tax arrangements. Rather, in line with the National 15th Five-Year Plan and Hong Kong’s industrial development needs, the Government is strengthening its policy tools to attract more globally influential leading enterprises along the new energy vehicle supply chain to establish a presence in Hong Kong. The Government has proposed in the 2025 Policy Address and the 2026-27 Budget the formulation of a preferential policy package to promote industry and investment, covering tools such as land grants, land premiums, subsidies and tax incentives.

On land policy, the Government is enhancing the attractiveness of settlement conditions through institutional innovation in areas such as land allocation and land-use planning within the Northern Metropolis. Where appropriate, the Government adopts a “dual-envelope system” for tendering, ensuring that land premium is no longer the primary consideration; instead, greater emphasis is placed on enterprises’ contributions to industry-chain development, technical capabilities, and R&D investment. The Government also introduces the Northern Metropolis Development Bill for First Reading today. The policy measures therein include streamlining planning procedures for the Northern Metropolis, facilitating the adoption of innovative construction technologies, designs, and materials, as well as facilitating cross-boundary research activities and talent flow, which are expected to further enhance the Northern Metropolis’ attractiveness to national-level new energy vehicle enterprises.

(3) The Hetao Hong Kong Park and the San Tin Technopole are the heartlands of Hong Kong’s future I&T industry development. As one of the country’s major I&T co-operation platforms in the Guangdong-Hong Kong-Macao Greater Bay Area, the Loop has been reserved by the Hong Kong Special Administrative Region Government with sufficient land for multiple strategic technology sectors (including new energy technology and AI which are closely related to the next-generation automobile industry) to foster cross-sectoral collaboration and technological breakthroughs. The San Tin Technopole, as a natural extension of the Loop, provides a co-ordinated development at the upstream, midstream and downstream levels together with the Hetao Hong Kong Park in the Loop, creating a comprehensive industrial ecosystem. While the Loop focuses on R&D, commercialisation, and pilot production at the upstream and midstream levels, the San Tin Technopole will provide a large piece of land, which can help accelerate the commercialisation of R&D results by providing industrial space for prototyping, pilot and mass production. The planning of San Tin Technopole also allows certain flexibility in development by reserving strategic white space for supporting emerging technology industries at subsequent phases in the future.

(4) and (5) According to the Transport and Logistics Bureau, the Transport Strategy Blueprint promulgated by the Government early this year proposed promoting cross-boundary AV projects, such as the cross-boundary AV shuttle services travelling among Hong Kong, Zhuhai and Macao via the Hong Kong-Zhuhai-Macao Bridge (HZMB), to deepen integration in the Guangdong-Hong Kong-Macao Greater Bay Area in respect of transport services. The Government is conducting in-depth discussions with relevant Mainland authorities on matters relating to the cross-boundary AV project at the HZMB, including regulatory and supervisory co-ordination, safety standards, cross-boundary data compliance, vehicle data and cybersecurity.

To facilitate the development of autonomous driving technology, the Government implemented a new regulatory framework for AVs in March 2024. Concurrently, the Transport Department (TD) published the Code of Practice for Trial and Pilot Use of Autonomous Vehicles (the Code), setting out the detailed technical, safety and operational requirements for the trial and use of AVs, with a view to facilitating the trial and pilot use of AVs. Under the new regulatory framework, the Government is actively and orderly promoting the development of AVs in Hong Kong. As of June 2026, the TD has issued seven pilot licences involving 63 AVs for trials in seven locations respectively (namely North Lantau, the West Kowloon Cultural District, Cyberport in the Southern District, the Kai Tak Development area in Kowloon East, the Airportcity Link, the “Park & Fly” carpark at the Hong Kong Port of HZMB, and Siu Ho Wan).

The relevant legislation for AVs has incorporated the National Standard on Taxonomy of Driving Automation for Vehicles to enhance compatibility with Mainland laws. The TD has also all along accepted national standards as proof that vehicles or their components comply with the relevant vehicle construction standards and technical requirements. Furthermore, in drawing up the Code, the TD has made reference to the AV testing experience in the Chinese Mainland, with a view to aligning with the Chinese Mainland on the technical front. For instance, regarding testing sites, the Code accepts closed-road testing conducted in accordance with national standards, thereby expediting the approval of trial applications.

(6) The Education Bureau has all along supported the higher education institutions to make reference to the manpower needs suggested by various Government bureaux and departments, and offer programmes that meet the social and economic development needs of Hong Kong. The University Grants Committee (UGC)-funded universities offered various programmes related to “smart engineering” and “smart manufacturing” in the 2025/26 academic year, nurturing talents to master and utilise new technologies, promoting intelligent production lines, thereby driving the development of high-end and high-value-added industries. Amongst others, some of the UGC-funded universities have been conducting collaborative research with Chinese Mainland vehicle companies on areas such as AV systems, fuel cells for new energy vehicles, and AI for driving technology.

Moreover, the Innovation, Technology and Industry Bureau is expediting the establishment of the third InnoHK research cluster, focusing on sustainable development, energy, advanced manufacturing, and materials. Eight research centres will be set up under the cluster, some of which will be dedicated to core technology development in areas such as high-performance solid battery, charging and energy storage systems, and smart grids. These centres will collaborate closely with leading universities and industry partners from both the Chinese Mainland and overseas (including the Chinese Mainland automotive manufacturers), to drive the application of relevant technologies in high-end sectors such as electric and hydrogen vehicles. In addition, under the existing cluster of AIR@InnoHK which specialises in AI and robotics technologies, certain research centres are also actively exploring potential collaboration with the Chinese Mainland automotive enterprises and research institutions to support the upgrading of the country’s new energy vehicle industry, with a view to fostering sustainable development.

On attracting talents, the Government has launched an array of talent admission measures to attract and facilitate talents from all over the world to pursue development in Hong Kong. Among them, the Technology Talent Admission Scheme provides a fast-track arrangement for admitting overseas and Chinese Mainland technology talent to undertake R&D work in Hong Kong. The Government launched in late 2025 further enhancement measurements to the scheme, including (i) streamlining application procedures to allow technology companies and eligible talents to submit applications for quotas and visas/entry permits in parallel; (ii) lifting the requirement of engaging in R&D in 14 designated technology areas to better respond to the rapidly changing I&T landscape; and (iii) in addition to the existing Science Park and Cyberport, launching a new dedicated application channel for the Hong Kong-Shenzhen Innovation and Technology Park to provide one-stop assistance to their tenants and incubatees in application and subsequent follow-up action. Companies from the fields of automotive engineering, in-vehicle software and the Internet of Things may engage technology talents to undertake R&D work in Hong Kong through the enhanced scheme.

On the other hand, salaries tax in Hong Kong is calculated at progressive rates. For high-income earners, the current two-tiered standard rates (i.e. 15 per cent for the first $5 million of net income and 16 per cent for the remainder) are already lower than those in other jurisdictions. The Government also provides various allowances and tax deductions, covering personal allowances and expenses on supporting family members, health insurance, self-education, retirement schemes, and housing. Therefore, the current salaries tax regime is already rather attractive to outside talents. To complement relevant industrial development, the Government has also reserved planning flexibility on various sites earmarked for industrial use within the Northern Metropolis (such as the I&T sites in San Tin Technopole) to allow for the construction of talent apartments.