Hong Kong still has the edge over Shanghai, but for how long?

Ken Chu says Carrie Lam has made the right move in calling for greater cooperation with Shanghai, as it pulls ahead on economic growth, creativity and innovation

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Joggers out at night in Shanghai. It, like Hong Kong, is an international metropolis that needs talented people. Photo: AFP

Published: 1:40pm, 30 Aug 2017Updated: 7:11pm, 30 Aug 2017

As Hong Kong celebrates the 20th anniversary of its return to the mainland, Chief Executive Carrie Lam Cheng Yuet-ngor has embarked on several official trips in her first two months at the helm, including to Shanghai and Hangzhou.

On meeting Han Zheng, the party secretary of Shanghai, she expressed a desire to take the bilateral relationship to new heights.

Shanghai is back on the radar screen because our closest neighbour, Shenzhen, has eclipsed virtually every other Chinese city, including Hong Kong.

Lam’s visit to Shanghai and Hangzhou serves as a reminder that it is not only Shenzhen that could be a potential partner but also the Yangtze Delta. With Shanghai as the epicentre, the region offers immense opportunities for collaboration.

Pundits used to compare Shanghai to Hong Kong before the handover, and even after that they predicted that Hong Kong would eventually be displaced by the most affluent and populous city on the mainland. Concern has been expressed on numerous occasions in the past, and still is today, about the rivalry and the threat posed by Shanghai to Hong Kong’s position.

Stock Connect strengthens city’s ‘super-connector’ role, says Chief Executive CY Leung

There are reasons to be concerned. In many ways, Shanghai and Hong Kong appear to be running neck and neck. For example, Shanghai came third, behind Hong Kong (second), in new stock listings last year.