HONG KONG - CANADA TRADE RELATIONS
CANADA AND HONG KONG ARE IMPORTANT TRADING PARTNERS
- In 2022, bilateral merchandise trade between Canada and Hong Kong decreased by 9.7% over 2021, amounted to C$4.1 billion (HK$24.9 billion).
- Goods imported from Canada registered an average annual change of -7.0% in value in the past four years since 2018 (in terms of HK Dollar). They accounted for about 0.2% (C$1.4 billion or HK$8.6 billion) of Hong Kong's total imports in 2022.
- In 2022, Hong Kong was Canada's 4th largest market for fish and seafood and 4th largest export market in the world for precious / semiprecious stones. Other major Canadian exports to Hong Kong include metalliferous ores and metal scrap; coal, coke and briquettes; and electrical machinery.
- Goods exported to Canada registered an average annual change of -3.1% in value in the past four years since 2018 (in terms of HK Dollar). They accounted for about 0.4% (C$2.7 billion or HK$16.3 billion) of Hong Kong's total exports in 2022.
- Hong Kong's major export to Canada in 2022 included electrical machinery; telecommunications equipment; and office machines and automatic data processing machines.
HONG KONG IS AN IMPORTANT ENTREPÔT FOR SINO-CANADA TRADE
- Hong Kong is an important entrepôt for merchandise trade between Canada and Mainland China. In 2022, around 3.2% (C$2.3 billion) of Mainland China's exports to Canada, and around 1.5% (C$0.8 billion) of Mainland China's imports from Canada, were routed through Hong Kong.
HONG KONG IS AN IMPORTANT LOCATION FOR CANADIAN INTERESTS
- Hong Kong is a separate customs territory and participates in the World Trade Organization as a full and separate member, using the name "Hong Kong, China".
- Hong Kong welcomes overseas investment and offers an environment in which there is a free flow of capital and return on investment without exchange controls.
- Currently, 2 Canadian provinces have representative offices in Hong Kong, including Invest Alberta Corporation and the Québec Office in Hong Kong.
- As at 1 June 2022, there were 24 regional headquarters, 29 regional offices and 59 local offices in Hong Kong with parent companies located in Canada.
- Hong Kong is one of the world's major financial centres and Canadian financial institutions play an active part in the banking and insurance sectors. As at end-2022, there are 5 Canadian banks operating as licensed banks and 2 Canadian banks maintaining local representative offices in Hong Kong. As at 30 April 2023, among the 164 insurance companies authorised in Hong Kong, 8 are Canadian-owned or controlled by Canadian interests.
- Canadian-controlled companies also participate actively in securities and futures trading and in the field of investment advice. As at March 2023, there were around 26 Canadian-controlled firms engaging in brokerage, investment advisory and/or asset management business in Hong Kong.
- Last available figures show that, as at end-2021, the position of Hong Kong's outward direct investment in Canada was C$13.2 billion, whereas that of Hong Kong's inward direct investment from Canada was C$48.0 billion.
- Hong Kong and Canada signed an Investment Promotion and Protection Agreement (IPPA) on 10 February 2016 and the IPPA entered into force on 6 September 2016. The Agreement gives additional assurance to Canadian investors that their investments in Hong Kong are adequately protected. At the same time, it enables Hong Kong investors to enjoy similar protection for their investments in Canada. It also expands investment flows between Hong Kong and Canada, and further strengthens our existing strong economic and trade ties.
Note: Exchange rate in 2021: C$1 = HK$6.20; Exchange rate in 2022: C$1 = HK$6.02
|Value in HK$ billion (C$ billion)|
|Summary of Hong Kong's Trade with Canada|
|2021||% Change 2021/2020||2022||% Change 2022/2021|
Trade and Industry Department
The Government of the Hong Kong
Special Administrative Region
Trade and Industry Tower,
3 Concorde Road, Kowloon City
Telephone: (852) 2398 5405
Note: While every effort is made to ensure the accuracy of the above information, the Department cannot guarantee this to be so and will not be held liable for any reliance placed on the same.