E-commerce key driver for trade

Almost 90 percent of Hong Kong trade and manufacturing companies believe cross-border e-commerce will drive growth in business in the next two years, a survey has found.

The survey, conducted by the Hong Kong Export Credit Insurance Corporation and Hong Kong Trade Development Council, polled 352 local trade and manufacturing companies.

Of the companies surveyed, 65.4 percent have been engaged in e-commerce and 34.6 percent said they have plans to do so in the next one to two years.

Companies with e-commerce businesses thought it would drive their growth by 14.6 percent on average and 75 percent of them run related businesses in China.

Those not yet involved in e-commerce predicted a growth of 8.4 percent. Among them, 63.9 percent have plans to enter the mainland market. The survey also found that 61.6 percent saw the mainland as the market with the greatest potential for growth in the next two years, while 44.3 percent eyed the Asean market.

HKECIC commissioner Terence Chiu Man-chung said local e-commerce firms could find opportunities in Hong Kong for development as they take advantage of its low tax regime and mature financial platform in addition to support from the mainland.

Staff reporter