At the recent Asia-Pacific Economic Cooperation (APEC) Ministers Responsible for Trade Meeting in Jeju, South Korea, Algernon Yau Ying-wah, Hong Kong’s Secretary for Commerce and Economic Development, called for enhanced collaboration among Asia-Pacific economies in the realms of artificial intelligence (AI) and digital technologies. This appeal aims to address rising protectionism and unilateral trade measures that threaten global economic stability.
Yau, a committed advocate for free trade, emphasised Hong Kong’s unique position to bolster sustainable supply chains and foster regional partnerships through technology-driven solutions. The discussions at the meeting highlighted ongoing concerns regarding “fundamental challenges” facing the global trading system, particularly in light of increasing tariffs and trade disputes. “Supply chains are the driving engines for the global economy, yet they are also highly sensitive and vulnerable to external shocks,” Yau remarked during a session titled “Prosperity through Sustainable Trade.”
To support the local economy, Hong Kong has initiated several projects aimed at facilitating the adoption of new technologies within supply chains. As part of these efforts, the government is collaborating with industry players to develop a port community system that integrates big data and blockchain technology. This system aims to improve the tracking of goods and the synchronization of logistics updates among stakeholders. Amy Chan Yuen-man, deputy secretary for transport and logistics, noted that the system is set to launch early next year, addressing the current fragmentation in trade-related information.
However, challenges remain. Chan Hey-man, chief financial officer at SF Intracity, acknowledged that effective cross-border information sharing necessitates extensive dialogue between economies, particularly as some regional markets still rely on paper-based documentation. The complexity of transitioning to digital formats underscores the importance of collaborative solutions in overcoming barriers to cross-border trade.
Further highlighting the global shift towards digitalisation, Elsa Yuen May-yee, president of the Hong Kong Logistics Association, stated that AI adoption is a necessary evolution in trade and freight sectors. Yet, she raised concerns about land scarcity, urging the government to streamline land allocation processes to facilitate the establishment of smart facilities necessary for digital transformation.
In parallel, Hong Kong’s Customs and Excise Department is stepping up its digitalisation efforts. The department plans to implement the Customs Big Data Application System to enhance its capabilities in detecting and combating smuggling and related crimes. In addition, the ongoing development of the Trade Single Window, a one-stop electronic platform for the electronic submission of import and export documents, is designed to further streamline trade processes and strengthen Hong Kong’s role as a leading trading hub.
Indeed, Hong Kong is positioning itself as a global technology leader, evidenced by the significant investment by Cyberport—Hong Kong’s government-backed business hub—into AI and Web3 technologies. In early 2025, Cyberport announced a funding boost of $125 million, aimed at enhancing blockchain development and nurturing AI talent, which is vital for the city’s future economic landscape.
Moreover, the potential of blockchain technology in advancing various sectors, particularly in financial services, has been explored extensively. Reports indicate that the Financial Services Development Council of Hong Kong is advocating for government and regulatory support to promote the adoption of blockchain solutions to improve business interactions.
As Hong Kong navigates the complexities of digital transformation and global trade, the city’s advancements in AI, blockchain, and digital logistics not only aim to enhance regional cooperation but also to ensure that it remains competitive in an evolving global marketplace. Initiatives like these, paired with proactive governmental support, may well represent the key to unlocking a more interconnected and resilient trading environment for Hong Kong and its partners across the Asia-Pacific region.
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Source: Noah Wire Services
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