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Last time we followed the fishery carrier "Guoxin-1" out to sea for fish farming. In this episode, let’s see another miracle of China, TBM- the Tunnel Boring Machine, the giant workhorse behind China's rails, roads, and subways. Once strangled by foreign suppliers, Chinese-made TBMs now command 70% of the global market.
SD Advocates
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As the Asia-Pacific prepares for APEC 2026, Hong Kong stands at a decisive crossroads. The city is no longer being judged only on whether it can connect markets, capital, and people. It is being asked a more demanding question: can it help shape the rules, institutions, and standards that will govern the next phase of regional growth?
For decades, Hong Kong’s reputation as a “super-connector” has served it well. It has linked mainland China with the world, investors with opportunities, and global capital with trusted institutions. That role remains important. But in today’s fractured geopolitical environment, simply facilitating connections is no longer enough. A city that only passes information and capital between others risks being bypassed. Hong Kong must now evolve from a bridge into an architect.
Hong Kong and Qatar signed Memoranda of Understanding (MoUs) (ISD photo)
APEC offers a rare platform to make that transformation visible and practical. With Shenzhen hosting the Leaders’ Informal Meeting and Hong Kong hosting the Finance Ministers’ Meeting, the two cities together can demonstrate not only regional cooperation, but also a new model of institutional alignment under “One Country, Two Systems.” This is not merely a diplomatic arrangement. It is an opportunity to show how different systems can work together to create new value.
Hong Kong’s strongest argument for this upgraded role lies in two recent achievements. First, its IPO market has surged back to the top of the world, with fundraising expected to reach around HK$300 billion in 2026. This is more than a market rebound. It reflects deep investor confidence in Hong Kong’s rule of law, its common law tradition, its financial openness, and its ability to provide a reliable platform for global capital. Second, Hong Kong has become one of the world’s most competitive talent hubs, with hundreds of thousands of applications approved under its talent schemes and a growing pool of professionals, entrepreneurs, and specialists now contributing to the city’s economy. These two strengths together form the foundation of a new role: Hong Kong as a place where capital, talent, and institutions converge.
Hong Kong tops global IPOs. (Online news photo)
That convergence matters because the next stage of competition will not be decided by markets alone. It will be decided by systems. Cross-border data rules, recognition of professional qualifications, digital trade standards, green finance frameworks, and dispute resolution mechanisms will increasingly determine which cities and regions attract investment and innovation. Hong Kong is uniquely positioned to help design those systems. It has the legal credibility, international networks, and institutional experience to translate between mainland and global standards.
This is why the concept of an “institutional integrator” is more than a slogan. It captures the strategic role Hong Kong must now play. A super-connector links different sides. An institutional integrator does more: it aligns rules, reduces friction, and creates a common operating environment. That distinction is crucial. In a world where supply chains are being rewired and regulatory blocs are hardening, Hong Kong cannot rely indefinitely on its intermediary role. It must become indispensable to the process of building the frameworks others use.
AI Governance Conference 2026: a platform for rule discussions (Online news photo)
APEC can help accelerate that shift in three ways.
First, it can raise Hong Kong’s international visibility at the highest policy level. Finance ministers, central bankers, and global business leaders gathering in the city will see first-hand the strength of its financial infrastructure and the credibility of its institutions. Hong Kong should use this platform to move from being a participant in rule-making discussions to a contributor to rule-making outcomes.
APEC 2026 to be held in Shenzhen this November (Online News photo)
Second, it can deepen collaboration with Shenzhen and the wider Greater Bay Area. The most effective way to demonstrate integration is not through slogans, but through experience. Delegations should be shown how Hong Kong and Shenzhen can function as complementary parts of a single innovation and finance ecosystem. High-speed rail, cross-border projects, joint demonstrations, and practical policy pilots can all make the case more convincingly than speeches alone.
Third, it can turn temporary exposure into permanent mechanisms. APEC should not be treated as a one-off showcase. Hong Kong should use the occasion to launch pilot initiatives on electronic contract recognition, cross-border qualification certification, and data circulation. It should also develop lasting forums that bring together policymakers, regulators, businesses, and experts to refine these ideas over time. The goal is not simply to host a successful event. The goal is to build institutional capacity that outlasts the summit.
BIOHK2026 this year could be a platform for industry-wide regulatory alignment (Online news photo)
Of course, Hong Kong cannot achieve this through financial strength alone. Its IPO success and talent inflow are important, but they are inputs, not outcomes. To convert them into strategic advantage, the city must address structural weaknesses. Its industrial base remains narrow. Cross-border regulatory coordination still lags behind ambition. Public understanding of APEC and of Hong Kong’s new strategic role remains limited. These gaps matter because a city cannot become an institutional integrator without domestic confidence, policy coherence, and social support.
That is why public communication is essential. Hong Kong’s residents need to understand that APEC is not just a conference for officials. It is an opportunity to strengthen the city’s long-term economic position, expand opportunities for young people, attract global resources, and reinforce Hong Kong’s relevance in a changing world. The government should explain clearly how integration supports jobs, innovation, professional mobility, and long-term growth. If the public sees APEC as relevant to everyday life, then the city will be better able to convert visibility into momentum.
Institutional integration contributes in the long run (Online news photo)
The stakes are high. If Hong Kong remains content to be only a connector, it risks gradual marginalisation as others build direct routes around it. But if it seizes this moment to become an institutional integrator, it can do something far more valuable: shape the environment in which capital, talent, and innovation move.
That is the real promise of APEC 2026. Not just another successful summit, but the beginning of a strategic shift. Not just another display of Hong Kong’s strengths, but the use of those strengths to build new rules, new mechanisms, and new advantages for the future.
If Hong Kong can make that transition, it will not only strengthen its own position as an international financial centre. It will also serve the country’s broader opening-up strategy by providing a proven model of how global standards and national priorities can be aligned. In that sense, Hong Kong’s next role is clear: not only to connect the world, but to help design the systems that connect it.
Prof. Lau Chi-pang, Chairman of SD Advocates
