Hong Kong business leaders look to Cambodia as change of guard signals more pro-trade approach
- New prime minister Hun Manet expected to introduce ‘aggressive’ preferential policies to boost business and diversify economy
Cambodia is gaining traction with top Hong Kong business executives scheduled to join the city leader’s trip to the country as they look forward to more “aggressive” preferential policies from the country’s new Western-educated leader.
The financial hub’s business sector said on Monday it hoped a fresh direction under new Prime Minister Hun Manet would make the country a viable alternative manufacturing base to neighbouring Vietnam.
Lo Kam-wing, the president of the Chinese Manufacturers’ Association of Hong Kong and a delegation member, said he was keen to find out more about Cambodia and Laos as Vietnam has been a favourite destination for manufacturers that have moved production from mainland China.
He highlighted the “China Plus One” strategy, adopted by manufacturers to spread investment away from the country to boost supply chain resilience and minimise risks linked to the US-China trade war.
“Many of our buyers are now asking us to adopt the China Plus One strategy or else they would not place new orders,” Lo said.
“Our current approach is to keep core technologies as well as the research and developments on the mainland, while moving the production to these places [in Southeast Asia].”