Speech by Acting SCED at launch event of Business Climate Survey for Swedish Companies in Hong Kong SAR 2025
Following is the speech by the Acting Secretary for Commerce and Economic Development, Dr Bernard Chan, at the launch event of the Business Climate Survey for Swedish Companies in Hong Kong SAR 2025 (Business Climate Survey 2025) today (May 22):
Secretary Jevrell (State Secretary to the Minister for International Development Cooperation and Foreign Trade of Sweden, Mr Håkan Jevrell), Consul General Bergholm (Consul General of Sweden in Hong Kong, Ms Louise Bergholm), distinguished guests, ladies and gentlemen,
Good evening. My pleasure to join you all today. This annual Business Climate Survey is indeed a valuable resource for understanding the perceptions and experiences of Swedish businesses in our city. I would like to sincerely congratulate Team Sweden for this initiative.
Hong Kong and Sweden have been enjoying a mutually beneficial relationship. Among the European Union member states, Sweden is our fourth-largest partner in services trade and 13th-largest partner in merchandise trade. In 2024, the merchandise trade between the two places amounted to HK$6.6 billion, a testament to the robust economic ties between the two economies. Hong Kong is also home to several world-renowned Swedish companies, such as IKEA and H&M, whose high-quality products have become household names in our city. We deeply value their contributions to Hong Kong's economy and society.
The annual report reveals that Swedish businesses in Hong Kong perceive an improvement in the business climate compared to last year. This is indeed encouraging news, and it reaffirms Hong Kong's position as an important regional hub and an attractive destination for Swedish companies to establish and expand their operations. Hong Kong's competitive advantages, which include the rule of law, free flow of capital, a free trade and investment regime, and an efficient and clean government, all remain intact. Together with our low, simple and competitive tax system, open business environment, world-class infrastructure and multicultural talent pool, Hong Kong continues to offer unparalleled advantages for businesses from around the globe.
Like Sweden, Hong Kong is a staunch supporter of free trade. As a founding member of the World Trade Organization, we have never implemented any customs tariffs. We will continue to uphold the principle of free trade and firmly oppose any unilateral and bullying actions that undermine the global trading system.
Despite the challenges posed by the economic slowdown in overseas markets and the impact of geopolitics, the Hong Kong Special Administrative Region (HKSAR) Government has been actively working to consolidate our status as an international trade centre through diversified measures. Under "one country, two systems", Hong Kong has the unique advantage of connecting both the Mainland and the rest of the world. We are committed to seizing opportunities to strengthen our international ties, particularly through closer partnerships with the Guangdong-Hong Kong-Macao Greater Bay Area and the expansion of overseas markets. In the face of a complex and ever-changing global trade landscape, we will do our best to turn risks into opportunities, ensuring the sustainable development of Hong Kong as a global trade hub.
According to the latest annual survey in 2024, Hong Kong has a record high of 9 960 companies with overseas or Mainland parent companies, including around 100 from Sweden, representing a year-on-year increase of over 7 per cent. These figures underscore Hong Kong's growing attractiveness as a destination for global businesses, including those from Sweden.
As shown in the findings of this year's Business Climate Survey, our city's institutional fundamentals and core strengths, such as our common law system, regulatory regime aligned with international rules, as well as key national strategies like the Greater Bay Area development and the Belt and Road Initiative, are key reasons why so many Swedish companies have chosen to establish their presence here. The HKSAR Government will continue to work hard to maintain and enhance our favourable business environment.
To promote the development of strategic industries, Hong Kong is actively seeking technology partnerships in areas such as green tech, climate solutions and sustainable urban development, where Sweden excels. We believe that Swedish innovation in clean energy, circular economy and smart cities aligns perfectly with Hong Kong's development goals. Our investment promotion agency, Invest Hong Kong (InvestHK), along with its consultant office in Gothenburg, will continue to provide one-stop customised support services to Swedish businesses exploring opportunities in our city.
In short, Hong Kong is the only place in the world where the global advantage and the China advantage converge in a single economy. Our city is an ideal destination for Swedish businesses and investment, especially for those looking to enter the vast market of Mainland China.
Before I conclude, I would like to take this opportunity to invite you all to the upcoming European Community Networking Reception 2025, to be held on June 4. This event will provide a wonderful platform for you to connect, collaborate and explore new business opportunities with fellow European companies. Your presence would undoubtedly enrich our discussions and networking. For more information, please visit InvestHK's website. I look forward to seeing you there.
In closing, I would like to congratulate again Team Sweden on the successful launch of the 2025 Business Climate Survey. Hong Kong remains committed to fostering a business-friendly environment and strengthening our ties with Sweden. Together, we can unlock new opportunities and achieve greater success in the years to come.
Thank you so much. Enjoy the evening.
HKSAR Government strongly condemns Washington Post editorial on Subsidiary Legislation safeguarding national security
The Government of the Hong Kong Special Administrative Region (HKSAR) today (June 13) strongly condemns the wanton slander and groundless allegations made by The Washington Post in its article entitled "Hong Kong's nightmare gets darker", criticising the Safeguarding National Security (Procedural Matters) Regulation (Procedural Matters Regulation). The article clearly exposes The Washington Post's irrational anti-China stance and double standards, falling well short of what is expected of professional journalism.
A spokesperson for the HKSAR Government stated, "In accordance with international law based on the Charter of the United Nations, it is each and every sovereign state's inherent right, as well as an international practice, to enact laws safeguarding national security. With at least 21 pieces of legislation in the United States (US) safeguarding national security, anti-China media, in particular The Washington Post, shamelessly display its hypocrisy and double standards by pointing fingers at the HKSAR as we continuously improve our legal system to fulfill a constitutional duty to safeguard national security."
In response to the article's baseless allegations, the spokesperson points out that, "The Procedural Matters Regulation only aims to state clearly the classification mechanism under the Law of the People's Republic of China on Safeguarding National Security in the Hong Kong Special Administrative Region (HKNSL) and the Safeguarding National Security Ordinance (SNSO) for 'other offences endangering national security under the law of the HKSAR', thereby bringing even greater certainty to the implementation of the relevant provisions under the HKNSL, the SNSO and other laws.
"Any reasonable and objective person who has studied the three provisions of the Procedural Matters Regulation with care, and observed the relevant discussions at the Legislative Council (LegCo) meetings would have no difficulty in finding that the Procedural Matters Regulation has no retrospective effect at all. It does not create any new offence or alter the penalties of any offence. It certainly does not turn any lawful conduct into an offence. It is not applicable to legal proceedings that are concluded. Yet, The Washington Post falsely and maliciously claimed that 'people can now be charged retroactively for crimes that didn't exist when they allegedly committed them'. Its ignorance of facts and betrayal of the basic tenets of responsible journalism are shocking, irresponsible, and totally unacceptable behaviour for any media organisation.
"More important, the Procedural Matters Regulation will in no way infringe any legitimate right of a defendant. Hong Kong is a place underpinned by the rule of law. The guilt or innocence of a defendant remains a matter to be adjudicated by the court independently and in accordance with law. The court will, as always, ensure a defendant's right to a fair trial. Article 4 of the HKNSL stipulates that human rights shall be respected and protected in safeguarding national security. The rights and freedoms, which the residents of the HKSAR enjoy under the Basic Law and the provisions of the International Covenant on Civil and Political Rights and the International Covenant on Economic, Social and Cultural Rights as applied to Hong Kong, shall be protected in accordance with the law. Article 5 stipulates that the principle of the rule of law shall be adhered to in preventing, suppressing, and imposing punishment for offences endangering national security, which includes protection for the right to defend oneself and other rights in judicial proceedings that a criminal suspect and defendant are entitled to under the law. Section 2 of the SNSO also clearly stipulates that the Ordinance is based on the above principle of respect and protection for human rights and the principle of the rule of law."
The spokesperson pointed out, "Another allegation by The Washington Post about the issuance of a certificate by the Chief Executive under Article 47 of the HKNSL or section 115 of the SNSO is plainly wrong. The issuance of the certificate by the Chief Executive is a rigorous and solemn action. As the top official with primary responsibility for safeguarding national security in the HKSAR, the Chief Executive has access to all relevant information, including extremely sensitive intelligence and information on acts and activities endangering national security, which are not suitable for public disclosure. Such confidential information may even pertain to threats by state actors. It follows that the Chief Executive must shoulder the important responsibility, and indeed is in the best position, to make the necessary assessments and exercise the power to issue certificates on whether a criminal act involves national security. It must be firmly stated that this is a very rigorous and cautious process, leaving absolutely no room for uncertainty.
"As a matter of fact, it is a well-established principle at common law, upheld by the highest courts of common law jurisdictions including Hong Kong, the US and the United Kingdom, that the courts accord deference to the assessments and judgments of the executive authorities on national security. Constitutionally, the executive authorities have the responsibility for assessing and addressing risks to national security, whereas the court is tasked to administer justice and adjudicate disputes independently. For institutional reasons, the executive has the requisite experience, expertise, resources and access to information and intelligence, which make it best suited to making evaluative judgments on those matters. Notably, a judgment of the Supreme Court of the US in 2010 (which has been applied in many subsequent Supreme Court judgments) explained why the judiciary must defer to the executive authorities' assessment of national security issues, stating that 'national security and foreign policy concerns arise in connection with efforts to confront evolving threats in an area where information can be difficult to obtain and the impact of certain conduct difficult to assess', and 'the lack of competence on the part of the courts is marked'. Turning a blind eye to the above simply demonstrates The Washington Post's double standards and ignorance."
The spokesperson also stressed that the legislative process on the Procedural Matters Regulation is entirely in compliance with all legal and procedural requirements. "The Procedural Matters Regulation is a piece of subsidiary legislation made under section 110 of the SNSO. It is subject to scrutiny by the LegCo under the negative vetting procedure, as in the case of many other pieces of legislation that are currently in force in Hong Kong. In accordance with section 34 of the Interpretation and General Clauses Ordinance (Cap. 1), the LegCo may pass resolution to amend the subsidiary legislation in any manner consistent with the power to make such subsidiary legislation. As a matter of fact, the LegCo convened a subcommittee on June 11 to study the Procedural Matters Regulation. Members of the subcommittee asked Government officials numerous questions concerning the policy, legal and drafting aspects of the Procedural Matters Regulation, and were satisfied that it is in order in all respects."
Regarding The Washington Post's baseless claim that Hong Kong is ow "a less secure place to visit or do business", the spokesperson said, "It is most appalling that The Washington Post has to resort to dirty tricks and tell bold-faced lies to smear the HKSAR. In fact, a simple online "fact-check" will reveal this is completely at odds with how investors and businesses around the world perceive the HKSAR: Hong Kong has been heralded the world's freest economy for decades; in the World Competitiveness Yearbook 2025, Hong Kong's ranking improved by two places to third globally; Hong Kong continues to rank among the top three international financial centres, and is number one in the world in terms of initial public offering (IPO) fundraising in the first quarter of 2026, as well as the largest cross-boundary wealth management centre.
"Foreign businesses have no reason to worry about the laws safeguarding national security in the HKSAR. In fact, many entrepreneurs welcome such laws, which ensure a safer and more stable environment for investments and economic development. The findings of a survey by the American Chamber of Commerce in Hong Kong earlier this year, showed increased confidence in Hong Kong's business environment for 2026; 94 per cent of the respondents expressed confidence in Hong Kong's rule of law, a marked increase from 83 per cent in 2025. It is time for The Washington Post to face facts and respect the truth, including honest opinions expressed by their fellow countrymen who invest their money and do business in and with Hong Kong.
"The HKSAR Government will, as always, resolutely, fully and faithfully implement the HKNSL, the SNSO and other relevant laws safeguarding national security in the HKSAR, to effectively prevent, suppress and impose punishment for acts and activities endangering national security in accordance with the law, while upholding the rights and freedoms of Hong Kong people in accordance with the law, so as to ensure the steadfast and successful implementation of the principle of 'one country, two systems'."
Source: AI-found images
