Guangdong Communist Party secretary Hu Chunhua pledged continued support for Hong Kong at a meeting with Chief Executive Leung Chun-ying in Guangzhou.
Leung in turn thanked the provincial government for its support in cracking down on parallel traders and on mainlanders wishing to give birth in the SAR.
He also voiced hopes for expanded cross-border cooperation in the future.
Leung also met with Shenzhen party chief Wang Rong yesterday.
He was accompanied by Secretary for Financial Services and the Treasury Ceajer Chan Ka-keung, Secretary for Commerce and Economic Development Gregory So Kam-leung and Secretary for Security Lai Tung-kwok.
It was the first time for Hu to meet Leung since assuming the provincial leadership post in December.
Hu told Leung that cooperation with Hong Kong has entered a new phase.
"The greatest competitive edge enjoyed by Guangdong is its close proximity to Hong Kong," Hu said.
"As Guangdong and Hong Kong step up cooperation, it will benefit the development of Guangdong and be conducive to Hong Kong to maintain its prosperity and stability."
Meeting with Wang in Shenzhen, Leung noted the strong support shown to the SAR by the local authorities in cracking down on parallel goods traders and pregnant mainlanders crowding Hong Kong hospitals.
Parallel goods trading has affected livelihoods in both Hong Kong and Shenzhen, Leung noted, but added that the SAR has made significant achievements in clamping down on the gray market. EDDIE LUK