FHKI Submits Its 2026 Policy Address Recommendations to the Government

 

Federation of Hong Kong Industries (FHKI) today (28 August) submitted its recommendations for the 2026 Policy Address to Chief Executive John Lee. The submission is titled “Strengthening Industry-led Development, Injecting New Impetus into the Economy and Shaping a New Landscape for Hong Kong’s High-quality Development”.

 

FHKI Chairman Anthony Lam said, “FHKI supports the Government’s decision to announce Hong Kong’s first Five-Year Plan together with the new Policy Address, which gives the community a clearer view of both our long-term direction and the priorities for the year ahead. This creates real opportunities for economic transformation and industrial upgrading, and the next step is to turn them into results through concrete policies and action. We hope the Government will take a firmer industry-led approach, press ahead with the Northern Metropolis, new industrialisation and I&T, and open up emerging markets and new growth areas to drive the economy forward. Hong Kong should also build on its strengths in research, professional services and international networks and convert them into tangible industrial outcomes that support high-quality development.”

 

Chairman Lam added that the submission puts forward more than 300 recommendations across the five areas, centred on industry development, technology commercialisation, enterprise development and market expansion. Key proposals include setting up a commodities department, introducing AI and computing power vouchers, and developing and promoting “Hong Kong Standards” and “Hong Kong Certification” to help enterprises expand overseas. FHKI hopes the Chief Executive will give these proposals careful consideration in preparing the new Policy Address.

　　

FHKI’s key recommendations are summarised below:

 

1. Accelerate the development of the Northern Metropolis 2. Advance I&T and new industrialisation 3. Open up emerging markets and contribute to overall national development 4. Foster new growth areas and promote high-quality development 5. Enhance enterprise support and build an industry-oriented talent pool

 

 

1. Accelerate the development of the Northern Metropolis
   The Northern Metropolis is the core engine of Hong Kong’s development pattern of finance in the south and I&T in the north, and it is now moving from planning to delivery. FHKI recommends that the Government complete the principal legislation and the first batch of subsidiary legislation as early as possible, and shorten project lead times through flexible land uses, cross-departmental pre-vetting and co-ordination mechanisms, and more efficient construction and approval arrangements. It should also strengthen pilot testing and commercialisation, collaboration among industry, academia and research institutions, and business matching, while facilitating the flows of people, goods, data and capital so that the Northern Metropolis and the Hetao “one zone, two parks” can realise their full cross-boundary synergy.
   
   To attract investment and help enterprises set up in the area, FHKI recommends that the Government offer competitive and flexible land and leasing terms, together with tax concessions, electricity subsidies and dedicated funding for priority industries. The Government should also lead the provision of multi-storey industrial facilities, transport links, talent accommodation and community amenities to lower enterprises’ upfront costs and make it easier for talent to settle here. Local SMEs must not be overlooked: suitable industrial space should be reserved for them, together with one-stop support on site selection, regulatory requirements, funding applications and upgrading and transformation. This would encourage leading enterprises from the Mainland and overseas to form clusters with local industries, turning the Northern Metropolis into a new engine driving new quality productive forces in Hong Kong.

    

2. Advance I&T and new industrialisation
   I&T and new industrialisation are key pillars of Hong Kong’s shift to high-quality growth. To improve the commercialisation of research outcomes, give enterprises stronger incentives to upgrade and provide better computing power, data and industrial space, FHKI recommends that the Government strengthen policy co-ordination across bureaux and departments and adopt a single definition of modern industry. A dedicated team should also be set up to work directly with individual sectors and resolve the practical difficulties enterprises face in upgrading and adopting new technology.
   
   On AI development, FHKI calls on the Government to formulate a clear top-level plan setting out priority areas, implementation pathways, phased targets and a timetable, while strengthening computing-power and data infrastructure and matching technology with industry needs. Enterprise support should go beyond using AI to improve efficiency and help SMEs develop new businesses, products and services and create new business models. FHKI also recommends enhancing funding for I&T and new industrialisation, providing more industrial space suited to modern industry, and encouraging the Government and public bodies to take the lead in procuring and trialling local innovative products. An appropriate tolerance-for-failure mechanism should accompany these efforts, providing application scenarios for the market validation and commercialisation of R&D outcomes.
   
   
3. Open up emerging markets and contribute to overall national development
   Against the backdrop of global supply chain restructuring and the rapid rise of emerging markets, FHKI recommends that Hong Kong make fuller use of its roles as a super connector, super value-adder and super collaborator, supporting Hong Kong enterprises in overseas expansion and helping Mainland enterprises go global through Hong Kong. The Government could develop “Brand Hong Kong” more systematically, drawing together the city’s strengths in quality, creativity, professional services and international reputation. Product showcases, international exhibitions, buyer matching, cross-border e-commerce and public procurement can all help Hong Kong brands and SMEs enter the Greater Bay Area, ASEAN, the Middle East, Belt and Road markets, Europe and the United States.
   
   FHKI also hopes the Government will strengthen the GoGlobal Task Force and Hong Kong’s overseas economic and trade network to provide enterprises with one-stop services covering market intelligence, regulatory advice, business matching, market-entry support and risk alerts. Hong Kong should likewise draw on its strengths in testing and certification, quality management and professional services to develop and promote internationally credible “Hong Kong Standards” and “Hong Kong Certification”. This would allow Hong Kong to serve as a standards connector, quality guarantor and source of market confidence as national industries go global, helping Hong Kong and Mainland enterprises turn their quality and compliance advantages into brand value and international competitiveness.
   
   
4. Foster new growth areas and promote high-quality development
   The National 15th Five-Year Plan supports Hong Kong in building a commodities trading ecosystem and a regional intellectual property trading centre. FHKI recommends setting up a commodities department to oversee trading, storage, delivery, certification, financing and risk management, and developing a commodities industrial park in the Northern Metropolis with improved physical delivery and regional transhipment facilities. It also proposes promoting green metals standards, warehouse receipt financing and a trading platform priced in both renminbi and US dollars, so as to build a commodities ecosystem that links the real economy with financial and logistics services.
   
   FHKI also recommends improving the valuation, accounting, financing and trading arrangements for intellectual property so that I&T results become corporate assets that can be valued, financed and traded. The silver economy should be positioned as a new growth area, with wider use of gerontechnology in the community, residential care homes, healthcare, rehabilitation and home care, and support for product development, testing, certification and commercialisation. Combined with Hong Kong’s strengths in healthcare, professional services, brand management and testing and certification, this would help the gerontechnology sector expand into the Greater Bay Area, ASEAN and other markets. FHKI further recommends developing the low-altitude economy and aerospace technology through application scenarios, supporting regulations, cross-boundary collaboration and talent development, and abolishing the duty on spirits to boost the high-end liquor trade, tourism retail and related supply chains.
   
   
5. Enhance enterprise support and build an industry-oriented talent pool
   SMEs are a major force in driving new industrialisation, opening up emerging markets and nurturing new growth areas. FHKI recommends that the Government’s support for them focus on lowering costs, improving cash flow, expanding markets and managing risks. This could include waiving or reducing business registration fees, licence fees, taxes and government charges where appropriate; improving the matching ratio, geographical coverage, funding scope and approval arrangements of the BUD Fund; and strengthening export credit insurance and trade financing support, so that SMEs can operate with greater stability and seize opportunities in new markets.
   
   To keep enterprises competitive amid supply chain restructuring, the green transition and digitalisation, FHKI hopes the Government will step up support for SMEs in ESG and carbon compliance, fraud prevention, cybersecurity and cross-boundary operations. On talent, planning should start from the needs of priority industries, with better manpower forecasting and stronger vocational and professional education and training, universities of applied sciences, school-workplace collaboration and on-the-job training, with a particular focus on AI applications and skills upgrading. Measures to attract and retain talent from the Mainland and overseas should also be enhanced, so that local training, skills upgrading and global recruitment form a single, connected talent pipeline for our key industries.

*Click here to read FHKI’s full submission for the 2026 Policy Address (Chinese version only)

 

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