HKSOA pushes for international green fuel platform, talent recruitment in city’s Five-Year Plan

The Hong Kong Shipowners Association (HKSOA) laid out its recommendations for the city's first Five-Year Plan on Tuesday, proposing measures ranging from an international green fuel trading platform to expanded maritime talent recruitment to stay competitive.

The key proposals include a "Sustainable Development Fund" to drive the shipping industry's AI-driven transformation, leveraging Hong Kong's financial strengths for cross-sector growth. 

Strategic tax incentives proposed

The association also pushed for further promotion of the Hong Kong maritime brand, annual competitiveness assessments against global peers, and tax incentives to close policy gaps.

As consultation on the Policy Address is underway, the establishment of an international green fuel trading platform was proposed to bridge global green energy supply and demand with the city's role as a "super connector." 

For the city’s green transition, the association urged the accelerated adoption of shore power for local vessels to cut emissions during berthing, alongside collaboration with other major ports to develop green shipping corridors. 

The group also called for scrapping the three-year period qualifying requirement for tax concessions to create a more business-friendly environment.

Richard Hext, HKSOA chairman, called the three-year tax rule "out of touch with market reality" in a volatile shipping market. He believes lifting the restriction would boost Hong Kong's shipping, financial, and trading sectors, making the city more attractive to shipowners. 

Expanding the maritime talent pool

To expand Hong Kong's maritime talent pool, the association proposed including top maritime colleges from the mainland and around the world in the Top Talent Pass Scheme, alongside more resources for maritime training and innovative programs. 

Furthermore, the HKSOA reiterated its opposition to unilateral actions that threaten Hong Kong's "One Country, Two Systems" framework, stating it will continue to seek the removal of trade barriers to safeguard global supply chains. 

About 70 to 80 Hong Kong vessels stuck in Strait of Hormuz

Addressing the ongoing conflict in the Middle East, Hext reported that an estimated 70 to 80 vessels flying the Hong Kong flag remain stranded in or near the volatile Strait of Hormuz, directly affecting approximately 1,400 to 1,600 crew members.

"The safety of our seafarers is our top priority," Hext said, vowing that the association would “never abandon any crew member." 

Deputy chairman Kenneth Lam Sze-kin affirmed there are back-up plans in place amid the stuck course. 

While rerouting is possible, Lam cautioned that the longer voyages would drive up costs, ultimately passing the burden on to consumers.

The association also reported remarkable growth in the city's  dedicated marine risk pool, where participating ships soared from about 10 to 800, with underwriting capacity jumping from US$130 million to US$200 million.

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