(Yicai) Nov. 6 -- More than 2,100 companies from the Chinese mainland now have their headquarters or a branch in Hong Kong, and 1,400 companies from the mainland have gone public in Hong Kong, demonstrating how the special administrative region can act as an investment and financing platform for mainland companies, the head of the Hong Kong government said yesterday.

Shanghai firms make up almost 200 of these companies, with a combined market capitalization of over HKD2 trillion (USD257.1 billion), John Lee said at the 2024 Hong Kong Investment Promotion Conference - Shanghai Forum, which was held as part of the ongoing seventh China International Import Expo in Shanghai.

Hong Kong serves as a two-way bridge between China and the world using the "One Country, Two Systems” policy, and creates a value-added platform for China's entry into the world and the world's access to China, Li said.

As an international business hub, the SAR connects the mainland and the world with its financial markets, and can help drive the high-level opening up of China’s capital markets, said Peter Lam, chairman of the Hong Kong Trade Development Council. Hong Kong is an offshore investment and financing channel preferred by mainland firms and ideal for 'going global.'

Hong Kong has unique international and rule-of-law advantages, Financial Secretary Paul Chan said. Mainland firms should leverage Hong Kong's commercial, trade and investment links to develop their international businesses.

The Ministry of Commerce will support Hong Kong companies to gain access to the mainland’s vast market and to relocate staff to Shanghai through the favorable terms of the Closer Economic Partnership Arrangement, said Vice Minister of Commerce Ling Ji.

The ministry will pilot building a Global Trade Digitalization Pilot Zone in the Guangdong-Hong Kong-Macao Greater Bay Area to nurture cross-border e-commerce and other forms of trade, said Ling, who is also the ministry’s deputy China international trade representative.

The ministry will continue to encourage Hong Kong to sign free trade agreements and investment deals with more countries and to join the Regional Comprehensive Economic Partnership, which is the world’s biggest trade pact, as soon as possible, Ling said. Moreover, the ministry will support mainland and Hong Kong firms to expand overseas together.

Editors: Xu Wei, Kim Taylor