Well-functioning multilateral trading system paves way for speedy economic recovery: HKSAR gov't official

A well-functioning and effective multilateral trading system (MTS), with the World Trade Organization (WTO) as its core, is instrumental to mitigating the enormous economic challenges posed by the COVID-19 pandemic and is paving the way for a speedy and sustainable economic recovery, an official of the Hong Kong Special Administrative Region (HKSAR) government said Friday.

Secretary for Commerce and Economic Development of the HKSAR government Edward Yau made the remarks at a video conference of the Fourth Association of Southeast Asian Nations (ASEAN) Economic Ministers - Hong Kong, China Consultations.

During the video conference, the two sides exchanged views on a response to the economic impact of the pandemic, discussed possible areas for co-operation and collaboration, and took stock of the implementation of the agreements between HKSAR and ASEAN.

Noting the unprecedented challenges brought about by the pandemic and the uncertainty posed by the rapidly changing global and regional economic environment, Yau called for greater regional co-operation and collaborations in mitigating the impact of the COVID-19 pandemic and supporting post-pandemic recovery efforts.

He also stressed the importance of keeping boundaries open and refraining from unjustified trade barriers or irrationality in trade policies.

Intensified efforts are required in strengthening the rules-based MTS by exploring pragmatic solutions to restore a fully functioning dispute settlement system, expediting the process for WTO reform and driving substantive outcomes in WTO negotiations, he said.

ASEAN is an important trading partner of Hong Kong. In 2019, the total bilateral merchandise trade between Hong Kong and ASEAN reached 1.018 trillion Hong Kong dollars, accounting for 12.1 percent of Hong Kong's total merchandise trade, making ASEAN the second largest trading partner of Hong Kong.

As of the end of 2018, the total outward direct investment (ODI) from Hong Kong to ASEAN amounted to 480 billion Hong Kong dollars, making ASEAN the fourth largest recipient of Hong Kong's ODI. (1 U.S. dollar equals to 7.75 Hong Kong dollars)