Govt launches company to spearhead Hung Shui Kiu Industry Park development

The Development Bureau (DEVB) announced on December 29 the formation of the Hung Shui Kiu Industry Park Company Limited, a fully government-owned entity set to develop and manage a 23-hectare industrial park in Hung Shui Kiu as part of the Northern Metropolis initiative.

The company, aimed at operational start by mid-2026, will accelerate industrial growth through direct government involvement alongside market forces and public-private partnerships.

It represents a new approach beyond traditional land sales or exchanges, allowing the government to lead in attracting and nurturing competitive industries.

Key objectives include leveraging Hung Shui Kiu's strategic location to promote government-supported sectors, masterplanning infrastructure, delivering value-added services to foster a dynamic industry ecosystem, using diverse partnership models and policy incentives to draw investments, and helping affected brownfield operators upgrade their operations.

The board will consist of five official directors from key bureaux—covering development, financial services, commerce, innovation and transport—ensuring government oversight in major decisions, plus around 10 non-official directors from various sectors for external expertise. Appointments require Chief Executive approval.

The government intends to grant the 23 hectares at nil premium, subject to Executive Council approval, and rezone the sites—currently for port backup and storage—to a custom designation allowing flexible uses like advanced construction, smart production, research facilities, exhibitions, talent housing and amenities.

Initial capital injection, to be detailed in the 2026-27 Budget, will follow Legislative Council approval to cover early needs, with the company required to achieve long-term financial sustainability through revenue growth.

Development will occur in phases via multiple models: self-building and leasing facilities, tendering land for private development, or joint ventures where land serves as a capital contribution.

About eight hectares are immediately developable, while government site formation for most of the remaining 15 hectares should finish by the end of 2027. Additional logistics sites may be granted later.

Preparations ramp up next year, including open CEO recruitment from January 2026, rezoning applications, funding requests, and board and staff appointments—all targeting mid-2026 operations.

This initiative underscores the Northern Metropolis's industry-led vision, blending government leadership with private sector dynamism to boost Hong Kong's economic diversification.