Hong Kong Eyes 'Data Customs' Model to Lead China's AI Computing Rise
HK01 · 1 SOURCES1 day ago5 MIN
Summary
Hong Kong is positioning itself as a unique gateway between mainland China and global markets through a proposed "data customs" framework, leveraging its "one country, two systems" advantage. Chief Executive John Lee Ka-chiu unveiled the "One-Five Plan" on September 16, committing to expand computing infrastructure and smart computing capabilities. Legislator Yiu Ta-kun argues Hong Kong is the only region capable of implementing a "hybrid model" that integrates both mainland and overseas technology systems.
Key Points
- Chief Executive John Lee Ka-chiu announced the "One-Five Plan" on September 16, 2026, pledging to enhance computing infrastructure with "efficient computing, stable power, and green transition"
- Legislative Council member Yiu Ta-kun (邱達根) for the Innovation and Technology sector states Hong Kong can uniquely "integrate mainland and overseas tech products" by using national computing for foundational models while flexibly incorporating international tools
- Entrepreneur and HKAST Vice President Li Tak-ho (李德豪) proposes a "data customs" system enabling "data without border crossing, computing crossing borders" to train AI models while keeping sensitive data in mainland China
- Hong Kong's 2024 R&D expenditure stood at just 1.13% of GDP, compared to mainland China's 2.8%, with the government targeting 3% by 2030 under the new plan
- Hong Kong Investment Management, the government's "patient capital" fund, has invested in over 200 companies across hard technology, life sciences, and green technology sectors
Why It Matters
The "data customs" proposal could give Hong Kong a unique competitive edge by solving a critical bottleneck—mainland China's vast data reserves remain inaccessible to international clients due to security restrictions. If implemented, this framework would position Hong Kong as the intermediary through which global entities access mainland AI capabilities without compromising data sovereignty, potentially attracting significant investment to the city's emerging smart computing industry .
The "data customs" proposal could give Hong Kong a unique competitive edge by solving a critical bottleneck—mainland China's vast data reserves remain inaccessible to international clients due to security restrictions. If implemented, this framework would position Hong Kong as the intermediary through which global entities access mainland AI capabilities without compromising data sovereignty, potentially attracting significant investment to the city's emerging smart computing industry .