Chinese New Year’s reception

Good evening. Thank you for joining us to celebrate the arrival of the Year of the Horse.

I want to thank Aristo Sham for his enchanting performance. I also want to acknowledge the generous support of Cathay Pacific Airways.

As an international aviation hub, Hong Kong is connected to nearly 200 destinations worldwide, including six (soon to be seven) destinations in the US. For nearly 80 years, Cathay Pacific has buoyed Hong Kong’s interconnectivity with the world. The Hong Kong International Airport has been ranked the world’s busiest cargo airport. The airport has been named the busiest cargo airport in the world for the 14th time since 2010.

Economy

Hong Kong’s economy was buoyed in 2025, as external trade remained strong, private consumption rebounded, and fixed investment accelerated. Looking ahead, the economy is expected to maintain its momentum in 2026, with the economy forecast to grow by 2.5 per cent to 3.5 per cent.

US-Hong Kong Relations

Despite global trade tensions, Hong Kong remains a free trade advocate. It may seem quaint, but the city’s evolution from a fishing village to an international business hub is due to a sustained commitment to free market principles. This hasn’t gone unnoticed. Hong Kong was ranked by the Fraser Institute as the most economically-free economy in the world.

Hong Kong remains an attractive destination for American companies. The US is the second largest source of companies, with some 1,500 American companies calling the city home. Hong Kong is also home to an estimated 84,000 US citizens – one of our largest foreign communities.

While much attention is given to multinationals, there are tremendous opportunities for start-ups. American start-ups can tap our renowned universities and research institutes, entrepreneurial talent, and deep pool of investors to scale-up their operations and ambitions.

Hong Kong and the US have mutually benefitted from a relationship that spans decades. The US has had a consular presence in Hong Kong since 1843.

The American Chamber of Commerce in Hong Kong is the oldest and largest international chamber in our city. Its presence reflects a valued relationship. AmCham recently released its annual business sentiment survey, which revealed increased confidence in our business environment.

The US is one of our largest sources of foreign direct investment, with FDI flows reaching $98 billion. In return, the total stock of FDI from Hong Kong into the US was $23.4 billion.

I am eager to share that the US has long enjoyed a sizeable trade surplus with Hong Kong. Over the past 10 years, the US has realized a trade surplus of over $271 billion. Last year, the US trade surplus reached over $28 billion – one of the highest among your trading partners.

A notable sector is agriculture. With a population of some 7.5 million people, Hong Kong is your 18th largest agricultural export market. We are your seventh largest export market for beef, importing over $400 million. That places Hong Kong ahead of the European Union.

Last year, USDA’s Agriculture Trade Office in Hong Kong partnered with a local restaurant to conduct a “US Meat Smoking 101” cooking class, which attracted enthusiasts, chefs, and influencers from across the city. The USDA also hosted a trade mission, which included US agribusinesses, industry leaders, and representatives from five states.

For our friends in Kentucky, Hong Kong reduced the duty on imported alcoholic beverages, so there is market potential for your legendary bourbon makers. Of course, it helps that Hong Kong has a lively cocktail culture. Last year, Bar Leone was crowned the World’s Best Bar.

Hong Kong upholds its status as a free port. Our separate customs system allows US agricultural products to enter duty free – a status that has not changed in light of tariff actions.

Financial Services

Hong Kong has been ranked a leading international financial center – first in the Asia Pacific and third in the world, after New York and London.

We have a tradition of balancing financial innovation with regulation. We aim to foster technological advancements, while simultaneously mitigating risks.

A notable development is in digital assets. We’ve made steady progress in areas such as asset tokenization, issuing the world’s largest tranche of tokenized green bonds. There’s also been significant media coverage of our licensing regime for digital asset trading and stablecoins.

We continue to elevate our role as a two-way international fundraising platform. Our stock market last year cemented its position as the world’s leading venue for IPOs. Compared to 2000, the stock market grew almost 9 times, reaching a market capitalization of roughly $6 trillion.

Looking ahead, we are implementing a series of policy measures as set out in our government’s Policy Address, such as strengthening our financial system and promoting the city’s asset and wealth management business.

Our asset and wealth management business at end-2024 amounted to approximately US$4.5 trillion.

In parallel, we are accelerating the development of new growth areas, including building an international gold trading market.

International Events

Tourism is back in a big way. Last year, we welcomed 49 million visitors to Hong Kong. Among them, were over 1 million Americans.

We are building upon the West Kowloon Cultural District, the epicenter of our arts and cultural scene. Recent programming featured a distinctly American perspective, with a performance by Grammy-winning jazz legend Dianne Reeves and an exhibition on arts disruptor Robert Rauschenberg.

Hong Kong is at the vanguard in offering American visitors unforgettable experiences – from Art Basel to the indie music festival Clockenflap. Last year, Hong Kong Disneyland celebrated its 20th anniversary. Coldplay performed sold-out shows at the new Kai Tak Sports Park, which overlooks our fabled Victoria Harbour. The sports park increases our capacity to host major international sports and entertainment events. And for the geek in all of us, the pop culture expo Comic Con is coming this May.

While Hong Kong is renowned for luxury tourism and its imposing skyline, we are leaning into a “tourism is everywhere” concept. Beyond the glossy glamour are outlying islands, remote beaches, nature trails, diverse ecosystems, and historic spaces. I encourage you to visit Hong Kong and explore the less traversed corners of our city, which have preserved living traditions and our intangible cultural heritage.

Education

Lastly, we are elevating our status as an education hub. Our higher education institutions are globally recognized, with 5 universities ranked in the World Top 100 and Top 10 in Asia. American students should not be hesitant, as English is used as a teaching medium as well as an official language in Hong Kong.

Coincidentally, our “Study in Hong Kong Week” is now taking place to showcase the city’s education credentials and opportunities for overseas students. As part of this year’s event, Hong Kong will host the 2026 Asia Pacific Association for International Education Conference and Exhibition, which connects university leaders, policy-makers, and professionals from around the world.

With a robust education sector, a wealth of global talent, and a nurturing eco-system for innovation, we see great potential in further diversifying and enhancing the city’s economic development.

Hong Kong is a cradle of talent. We welcome overseas students and talent to explore how the city can support your education goals and accelerate your career trajectory.

Conclusion

Finally, I would like to say that we remain humbled by, and grateful to, our American friends who help us sustain our historic person-to-person ties.

With the approaching 250th anniversary of the United States, I wish you happy birthday, as well as a prosperous Year of the Horse.