American Chamber of Commerce in Hong Kong urges Chief Executive Carrie Lam to ‘restore business confidence’ after protests against extradition bill

Hong Kong’s most influential American commerce group has called on Chief Executive Carrie Lam Cheng Yuet-ngor to urgently restore business confidence after a bitter dispute over an extradition bill.

Tara Joseph, president of the American Chamber of Commerce in Hong Kong (AmCham), said in an interview on Tuesday that Lam needed to make it clear that the polarising bill had been dropped.

She said Hong Kong’s reputation as a global business hub had been damaged as a result of the bill.

Joseph spoke to the Post hours before Lam faced the press and apologised “sincerely to every single Hong Kong citizen” for the government’s poor handling of the bill. Even so, Lam refused to completely withdraw the bill or step down as her opponents had demanded.

Fierce opposition to the bill – and Lam’s previously tough stance on protesters – brought about 2 million demonstrators to the streets on Sunday, while just a week earlier an estimated 1.03 million people protested against the extradition bill. The turnout was historic in the city of 7.4 million.

“This is incredible,” Joseph said. “The real work is to restore business confidence as soon as possible, which means being transparent, open and communicative. That has been something really lacking and something we would hope to see as a result of this.”

AmCham has long denounced the fugitive bill, which would allow the transfer of suspects to jurisdictions with which Hong Kong does not have an extradition deal with, including mainland China.

Opponents fear the legislation could lead to prosecution and unfair trial across the border, and the chamber has expressed concern for Hong Kong’s autonomy as set out in the “one country, two systems” directive.

AmCham is the city’s largest international business chamber, with 1,500 members.

Joseph said Hong Kong had squandered a lot of time in disagreement since the bill was introduced in February.

“It has wasted a lot of time,” she said. “We have just got off the ground to talk about the real possibilities of the Greater Bay Area plan and other initiatives, free-trade acts, et cetera.”

AmCham still has concerns about Hong Kong’s extradition agreement with mainland China

The Greater Bay Area is a plan presented by Beijing to link Hong Kong and Macau with nine mainland cities to create an economic powerhouse.

Although Lam decided on June 15 to suspend the extradition bill, the American chamber wanted more.

“AmCham is gratified that the government has paused the bill, but we [would be] more than happy to hear that it is dropped,” she said. “We want to see it definitive.”

According to a poll conducted on June 12, before the bill was suspended, three-quarters of the 200 respondents were “very concerned” about the bill. Inadequate protection from China’s legal system was the most cited reason.

The AmCham poll showed 72 per cent of those surveyed felt global firms would be more likely to move their headquarters from Hong Kong.

The majority were “very worried” by the possible revision of Hong Kong’s trade and legal status by other countries as a result of the bill.

When Joseph returned last weekend from a visit to Washington, she found Hong Kong under an international spotlight as the mass protests unfolded.

There had already been scrutiny in the US. At an AmCham meeting on Capitol Hill on June 10 – the day after the city’s first mass protest – many US lawmakers were surprised and concerned about the situation in Hong Kong, according to Joseph.

Extradition agreement would damage ‘safe reputation’ for business, AmCham says

House Speaker Nancy Pelosi issued a statement in support of the protesters, saying fellow lawmakers had grave doubts about the extradition bill and that any amendments should be pursued with great care.

Beijing soon hit back, warning the US to stay out of the internal affairs of Hong Kong and China. Joseph said it would be a “real shame” if Hong Kong became a pawn in the ongoing US-China trade war.

“Instead of becoming a pawn, it should become an exception, a model, a place people can meet, a place where mutual business can be done,” she said. “That is something we learned in Washington: people understand the value of Hong Kong – and being reminded of that value and not letting it slip under the bus of the US-China trade war. It’s really important.”

Hong Kong’s GDP growth slipped to 0.6 per cent year on year in the first quarter of 2019, the slowest pace in a decade.

Other local business chambers in Hong Kong also expressed hope that the city would move on.

Aron Harilela, chairman of the Hong Kong General Chamber of Commerce, said he expected Lam’s formal apology would signal the end of the bill drama and that life would soon return to normal.

“The whole world has been watching this chapter in Hong Kong’s history unfolding,” he said. “It has impacted local businesses and also our reputation in the international business community. It is time we move on in a positive direction.”

Special status must remain a shield for the city as US-China trade war intensifies

The Australian Chamber of Commerce in Hong Kong said it supported the continued prosperity, economic stability and dynamism of Hong Kong.

“Much of Hong Kong’s success as a major international financial city stems from its autonomy, rule of law and independent judiciary, as well as in the freedoms enjoyed by Hong Kong people,” the Australian chamber said.

Jonathan Choi Koon-shum, chairman of the Chinese General Chamber of Commerce, said Lam’s apology showed she was humble. He called for the public to give her and the government a second chance.

Choi said he hoped the social conflicts arising from the extradition bill would soon die down.