Trade tensions offer opportunities for Hong Kong IPOs and trade, Paul Chan says

Name: Stock markets in Asia resume slump as hefty US tariffs on China take effect
Uploaded: 2025-04-10T09:31:40.000Z
Duration: 7 min 26 s
Description: Stock markets in Asia resume slump as hefty US tariffs on China take effect

Economy is the top priority of the central government and foreign businesses and investments are welcome, Chan said at a Citigroup conference

Reading Time:2 minutes

Why you can trust SCMP

The US’ so-called reciprocal tariffs are fundamentally wrong, Financial Secretary Paul Chan Mo-po says. Photo: Edmond So

Enoch Yiu

Published: 5:31pm, 10 Apr 2025Updated: 5:32pm, 10 Apr 2025

Global tensions stoked by the US’ so-called reciprocal tariffs against most of its trading partners, is likely benefit Hong Kong as a fundraising hub and enhance its role as a gateway for stronger trade ties with Asia-Pacific and Middle East regions.

More mainland Chinese companies were likely to turn to Hong Kong for stock offerings, while America’s blanket tariffs on most nations could deepen trade between China and economies in these two regions and Europe, Financial Secretary Paul Chan Mo-po said.

“There will be new opportunities for Hong Kong as an international financial centre,” he said at the Citi Hong Kong Macro Investor Conference 2025 on Thursday. “Given the current geopolitical landscape, Hong Kong is naturally becoming the preferred fundraising market for mainland companies.”

The government would encourage quality issuers from the Middle East and Southeast Asia to consider dual-primary or secondary listings in the city, he added, noting that more than 100 major companies were waiting to make their initial public offerings (IPOs) on the Hong Kong stock exchange.

07:26

Stock markets in Asia resume slump as hefty US tariffs on China take effect

They included Contemporary Amperex Technology or CATL, the world’s largest maker of electric vehicle batteries, China’s biggest condiment producer Foshan Haitian, and Apple supplier Lens Technology, according to company filings. Hong Kong was the fourth busiest IPO venue globally last quarter, according to the London Stock Exchange Group.

“Economy is the top priority of the central government, and foreign businesses and investments are welcome,” Chan said at the conference. “This was evident in President Xi’s recent meetings with both international business leaders and domestic private entrepreneurs.”