The Government provides over 40 funding schemes with different funding scopes, amounts and requirements to promote and support the development of enterprises and industries in Hong Kong.  The "Government Funding Schemes" web page of the SME Link features information on these 40+ funding schemes, including overview and useful hyperlinks.  The web page's search tool supports multiple search filters to facilitate enterprises identifying suitable funding schemes.

The Chief Executive's 2023 Policy Address

Intellectual Property Department: IP Training Programme "IP201 IP Audit and Due Diligence" and "IP101 IP Basics"

These two IP courses organised by the Intellectual Property Department are now open for registration.

“IP201 IP Audit and Due Diligence” is co-organised with the Law Society of Hong Kong.  This course aims to enhance participants’ awareness of the importance of intellectual property audit and due diligence, their implementation and benefits, and help enterprises manage intellectual assets more effectively and engage in IP trading. (The medium of instruction will be Cantonese, supplemented with English terms.)

"IP101 IP Basics" introduces the basic knowledge of various intellectual properties, enabling participants to understand the rights of IP owners and users, thereby enhancing their capability of protecting and managing IP rights within the enterprise.  The course is an event of the "Business of IP Asia Forum 2023".  Each successful course applicant will be entitled to a complimentary pass of the Forum. (The medium of instruction will be Cantonese, with simultaneous interpretation service in English provided.)

Interested participants may first enroll in the "IP Manager Scheme PLUS" for free by filling out an online form to get priority in course registration.  Registration fee for the courses is waived for members of the Scheme.  Participants will receive a certificate upon completion of the respective training course.

More details and Registration for IP201
More details and Registration for IP101

Seminar on "Benchmarking Your Quality Practices against the 2023 HKMA Quality Award Winners"

(This seminar will be held at the HKMA Management Development Centre on 13 December 2023)

2023 HKMA Quality Award winners will share in this seminar their experience in developing a strong quality culture within their organizations and how this culture is maintained, providing participants with new perspectives and benchmarks in quality management. (This seminar will be conducted in Cantonese.)

More Details

Hong Kong Talent Engage officially established to strengthen recruitment of and support for talent to pursue development in Hong Kong

The Chief Secretary for Administration, Mr Chan Kwok-ki, officiated at the Hong Kong Talent Engage (HKTE) Office Opening Ceremony in the afternoon of 30 October 2023 and witnessed with leaders of various trades and partners the official establishment of HKTE, a new milestone of the Government's endeavours to trawl for and retain talent.

Addressing the opening ceremony, Mr Chan said, "To create strong impetus for Hong Kong's growth, the current-term Government boldly and innovatively formulated an array of measures to trawl for talent.  They included the establishment of the HKTE online platform, the newly introduced Top Talent Pass Scheme, and enhancements to various existing talent admission schemes by the end of last year to proactively attract talent around the world to Hong Kong.

"Our results speak for themselves. In the first nine months of this year, some 160 000 applications in total were received under the various talent admission schemes, with over 100 000 of them approved.  Around 60 000 talents so far have had their visas approved to come to Hong Kong, far exceeding our key performance indicator of drawing at least 35 000 talents per year."

Mr Chan added that "The Chief Executive's 2023 Policy Address" fully adopted the prevailing strategy of trawling for and retaining talent.  Further measures were rolled out, including expanding the coverage of universities under the Top Talent Pass Scheme, relaxing visa requirements, and introducing a stamp duty suspension arrangement for incoming talent acquisition of residential properties.  He stressed he had full confidence that HKTE, together with the array of measures to trawl for and retain talent, would help develop Hong Kong into an international talent hub and make new contributions to the country's high-quality development.

Mr Chan; the Convenor of the Non-official Members of the Executive Council, Mrs Regina Ip; the Secretary for Labour and Welfare, Mr Chris Sun; the Permanent Secretary for Labour and Welfare, Ms Alice Lau; the Director-General of the Office for Attracting Strategic Enterprises, Mr Philip Yung; the Deputy Secretary for Labour and Welfare (Manpower), Ms Angelina Kwan; and the Director of HKTE, Mr Anthony Lau, jointly officiated at the launching ceremony, which marked the official commencement of the HKTE's operation.

In addition, invited talent from the Mainland and overseas shared at the opening ceremony their experiences of pursuing their careers in Hong Kong as well as their insights into the city's future development.  Also attending the opening ceremony included Legislative Council members and representatives of advisory bodies, the business sector, professional associations, non-governmental organisations and the HKTE's designated partners.

"The Chief Executive's 2023 Policy Address" announced the establishment of HKTE, which serves as the designated agency to formulate talent attraction strategies and provide support services for talent in Hong Kong. HKTE will aim at assisting talent in their long-term development in Hong Kong and formulate targeted recruitment and publicity strategies for different talent groups.  HKTE will also collaborate with the Dedicated Teams for Attracting Businesses and Talents under the Government's Mainland Offices and overseas Economic and Trade Offices in carrying out proactive external promotions of Hong Kong, so as to attract more talent to come to Hong Kong to pursue development.

Furthermore, HKTE will reach out to recruit partners for rendering appropriate support, through physical and online activities as well as services, to those talent interested in coming to Hong Kong or those who have just arrived in the city for their living, work, children's education, etc to facilitate their settlement.  HKTE will also keep in touch with those talent who have arrived in Hong Kong to understand their development and needs in Hong Kong, so as to gather useful references for policy review and adjustment of support services in future.

HKTE is located on 12/F, Revenue Tower, 5 Gloucester Road, Wan Chai. Apart from visiting the office in person, incoming talent or those interested in coming to Hong Kong to pursue development can view its website (https://www.hkengage.gov.hk/en/) or make enquiries with HKTE via email (enquiry@hkengage.gov.hk), LinkedIn or WeChat.  Talent from around the world can also learn more about the details of the Government's various talent admission schemes through the Dedicated Teams for Attracting Businesses and Talents under the Government's Mainland Offices and overseas Economic and Trade Offices.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/30/P2023103000257.htm.

CEDB briefs Trade and Industry Advisory Board on Policy Address

The Secretary for Commerce and Economic Development, Mr Algernon Yau, briefed members of the Trade and Industry Advisory Board on initiatives related to commerce and trade in "The Chief Executive's 2023 Policy Address" at a meeting on 30 October 2023.

Mr Yau said that while there was a strong rebound in the middle of this year following the full resumption of normalcy early this year, Hong Kong's economy is still facing a lot of challenges due to the change in the demand for goods affected by the external environment and interest rate hikes.  In this connection, the Chief Executive has outlined a range of measures in the Policy Address to boost Hong Kong's economy and support businesses, with a view to enhancing Hong Kong's overall competitiveness.

Stressing that the Government is committed to supporting enterprises, in particular small and medium-sized enterprises (SMEs), so as to help them secure a firm footing amid the difficult and volatile environment, Mr Yau briefed the members on various measures for supporting SMEs in addressing the challenges.

The application period of the principal moratorium arrangement under the SME Financing Guarantee Scheme ended last month, and some enterprises have already resumed normal repayment, with the principal moratorium arrangement of the remaining loans expiring gradually by the end of next year.  Having regard to the cash flow situations of different enterprises, the Government will provide more flexible repayment options so that enterprises may choose to repay only 10 per cent, 20 per cent or 50 per cent of the original principal amount payable each month during the specified period, enabling them to have more time to gradually switch to normal repayment.

The Government will also establish the E-commerce Development Task Force to implement policies assisting SMEs in developing e-commerce business, such as organising Hong Kong Shopping Festivals on e-commerce platforms and launching "E-commerce Easy" under the Dedicated Fund on Branding, Upgrading and Domestic Sales to provide funding support for SMEs' implementation of e-commerce projects, with a view to promoting brand awareness of Hong Kong products for developing the Mainland domestic sales market.

In addition, the Government suggested raising the statutory cap on the contingent liability of the Hong Kong Export Credit Insurance Corporation (ECIC) from $55 billion to $80 billion to enhance its underwriting capacity.  The ECIC will also upgrade its free credit check services for policyholders regarding buyers from the 10 member states of the Association of Southeast Asian Nations, giving exporters more confidence in accepting overseas orders. 

Mr Yau highlighted that the Government will proactively explore emerging markets to create impetus for Hong Kong's economic growth by organising promotional programmes and networking sessions, business missions to Belt and Road countries and visits to the Guangdong-Hong Kong-Macao Greater Bay Area for overseas enterprises operating in Hong Kong.  The Government will also set up additional offices for business and trade along the Belt and Road to strengthen trade promotional efforts in emerging countries.  Hong Kong at the same time will continue to seek to forge free trade agreements and investment promotion and protection agreements with more economies.

Meanwhile, Mr Yau updated the members on the Government's work on attracting enterprises and investment.  The Office for Attracting Strategic Enterprises set up last year has reached out to over 200 enterprises, of which 30 are planning to establish their foothold or expand their operations in Hong Kong.  A total of about $30 billion of new investment is involved.  In the first nine months of this year, Invest Hong Kong assisted over 300 Mainland and overseas enterprises in establishing or expanding their operations in Hong Kong, representing an increase of more than 25 per cent over the same period last year.

Mr Yau said that despite the difficulties facing the global economy, Hong Kong will be able to overcome the challenges with its strong resilience and adaptability, and will also better integrate into the national development, to enable the economy to move forward.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/30/P2023103000543.htm.

Pilot Scheme for Electric Public Light Buses accepts applications until 17 November 2023

The Environmental Protection Department (EPD) announced on 27 October 2023 that the Pilot Scheme for Electric Public Light Buses began accepting applications on the same date until 17 November 2023.

To promote the local application of electric public light buses (e-PLBs), the Government has earmarked $80 million for the implementation of the Pilot Scheme to test the operation and performance of different models of e-PLB and the associated quick charging facilities, as well as conducting operational trials on various minibus service routes.

"The operational trials will be conducted in phases starting with Kowloon Tong (Suffolk Road) and Yue Man Square Public Transport Interchanges as trial points. It is expected that approval will be granted to all successful applications by December 2023 with a view to commencing the trial in the first quarter of 2024. Operators of relevant green minibuses interested in taking part in the Pilot Scheme should submit their applications to the EPD before the deadline," an EPD spokesperson said.

The spokesperson added that to encourage operators to participate in the Pilot Scheme, the Government will subsidise successful operators with 80 per cent of the vehicle price for each e-PLB joining the Pilot Scheme. Details about the Pilot Scheme and its application can be found on the EPD website (www.epd.gov.hk/epd/english/environmentinhk/air/guide_ref/pseplb.html).

The Government launched the Hong Kong Roadmap on Popularisation of Electric Vehicles in March 2021, setting out the long-term policy objectives and plans to promote the adoption of electric vehicles and their associated supporting facilities in Hong Kong with a view to achieving the target of zero vehicular emissions before 2050. These include partnering with different sectors to actively test the applications of various electric and other new energy public transport, including e-PLBs, to accumulate experiences for establishing specific roadmap and timetable for the promotion of electric commercial vehicles.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/27/P2023102700317.htm?fontSize=1.

Dedicated 100% Loan Guarantee Scheme for Cross-boundary Passenger Transport Trade and Dedicated 100% Loan Guarantee Scheme for Travel Sector extend application period to 28 April 2024

As entrusted by the Government, HKMC Insurance Limited announced a six-month extension of the application period of the Dedicated 100% Loan Guarantee Scheme (DLGS) for Cross-boundary Passenger Transport Trade and the DLGS for Travel Sector to 28 April 2024.

The above schemes were launched on 29 April 2023 to support the business resumption of the cross-boundary passenger transport trade and the travel sector after the COVID-19 epidemic. Details are available on the schemes' website: www.hkmc.com.hk/dlgs. Eligible enterprises/persons wishing to apply for the loans may approach the relevant lending institutions. For public enquiries, please call the schemes' hotline at 2536 9788.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/27/P2023102700259.htm?fontSize=1.

"1+" mechanism for approval of new drugs commenced

The Department of Health (DH) said on 26 October 2023 that the new mechanism for registration of New Drugs ("1+" mechanism) announced in "The Chief Executive's 2023 Policy Address" was endorsed by the Pharmacy and Poisons Board of Hong Kong (the Board).  The new mechanism came into effect on 1 November 2023.

The implementation of the "1+" mechanism allows Hong Kong to be more proactive to expedite the approval of applications for registration of new drugs (i.e., pharmaceutical products containing new chemical or biological entities) for life-threatening or severely debilitating diseases and will also strengthen Hong Kong's capacity in drug evaluation in the long run, which is an important step in progressing toward a primary evaluation approach.

Under the Pharmacy and Poisons Ordinance (Cap. 138), pharmaceutical products must satisfy the criteria of safety, efficacy and quality for registration before they can be sold or supplied in Hong Kong.  According to existing requirements, generally, applicants for registration of new drugs are required to provide, among others, documentary proof for registration of pharmaceutical products issued by drug regulatory authorities from at least two reference places for rigorous evaluation before placing in the market.

The DH spokesman said that under the newly established "1+" mechanism, applications for registration of new drugs beneficial for treatment of life-threatening or severely debilitating diseases that are supported with local clinical data and scope of application recognised by local relevant expert are required to submit approval from one reference drug regulatory authority (instead of the two) and could submit application for registration in Hong Kong.

The DH has announced the arrangement in the relevant website, issued letter to notify the relevant stakeholders (including relevant pharmaceutical associations and holders of certificate of drug registration) to introduce the relevant details of the "1+" mechanism.  For further details, please refer to the Drug Office's website.

The "1+" mechanism will facilitate the registration of new drugs from different parts of the world that meet local unmet medical needs in Hong Kong and allow patients' early access to new drugs.  The new mechanism would attract more drug development and clinical trials to be conducted in Hong Kong, and the requirements of local clinical data and recognition by relevant expert for application for registration (the "+" under the "1+" mechanism) will ensure that all the pharmaceutical products approved for registration fulfil the stringent requirements of safety, efficacy and quality.  It will also strengthen the local capacity of drug evaluation and enhance the development of relevant software, hardware and expertise.

To progress towards the primary evaluation of drugs and medical devices, "The Chief Executive's 2023 Policy Address" also announced the set-up of a preparatory office for the establishment of the Hong Kong Centre for Medical Products Regulation (CMPR) to study the potential restructuring and strengthening of the current regulatory and approval regimes for medicines, medical devices and medical technology, and put forward proposals and steps for the establishment of the CMPR.  The Government will also explore upgrading the CMPR to be a standalone statutory body in the long run.  This will help accelerate the launching of new drugs and medical devices to the market, and foster the development of research and development, and testing of medical products and related industries.

The DH spokesman said that maintaining a drug regulatory system that is on par with the international standard would facilitate the future development of Hong Kong's local healthcare system and services as well as maintaining international recognition of healthcare technology and clinical research.  The DH would adopt a more proactive strategy to review and enhance the arrangement.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/26/P2023102600381.htm?fontSize=1.

Government expanded TTPS list of universities to broaden network for attracting talents

The Government announced on 26 October 2023 the expansion of the list of eligible universities under the Top Talent Pass Scheme (TTPS) with eight additional top institutions from the Mainland and overseas, with effect from 1 November 2023, making a total of 184 institutions, with a view to attracting more talents to Hong Kong for development.

A Government spokesman said, "The global competition for talents remains fierce. Hong Kong needs to recruit talents proactively to relieve the tight situation of the local labour market and supplement the local talent pool.  To further expand the network for attracting more global talents, the Policy Address this year set out the expansion of the list of eligible universities of the TTPS to strengthen the efforts to compete for talents."

Before the expansion, the list of eligible universities under the TTPS covered the top 100 universities under the four designated world university rankings in the past five years, namely the Times Higher Education World University Rankings, the Quacquarelli Symonds (QS) World University Rankings, the U.S. News and World Report's Best Global Universities Rankings and the Shanghai Jiao Tong University Academic Ranking of World Universities.

From 1 November 2023, the list of eligible universities also includes eight additional top institutions from the Mainland and overseas, namely:

1. The top five universities/institutions providing specialised hotel programmes on the QS World University Rankings in the discipline of "hospitality and leisure management" in the past five years: EHL Hospitality Business School, Swiss Hotel Management School, Les Roches Global Hospitality Management Education, Glion Institute of Higher Education, and Hotelschool The Hague; and
2. The top 10 Mainland universities under the Shanghai Jiao Tong University Best Chinese Universities Ranking in the past five years yet to be included in the current list of eligible universities: Wuhan University, Xi'an Jiaotong University, and Harbin Institute of Technology.

The expanded list of eligible universities under the TTPS has been increased to cover 184 universities.  The eligibility criteria, procedures and immigration arrangements of the TTPS remain unchanged.

The Hong Kong Talent Engage (HKTE) online platform (https://www.hkengage.gov.hk/en/) and the TTPS webpage of the Immigration Department (www.immd.gov.hk/eng/services/visas/TTPS.html) will be revised later. Interested applicants of the talent admission schemes may visit the HKTE online platform or the electronic application platform of the Immigration Department (www.immd.gov.hk/eng/services/index.html#tab_b_1) and submit online applications directly.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/26/P2023102600301.htm?fontSize=1.

Partial principal repayment arrangement for SME Financing Guarantee Scheme

The Chief Executive announced in "The Chief Executive's 2023 Policy Address" on 25 October 2023 that more flexible repayment options will be provided under the SME Financing Guarantee Scheme (SFGS).  The enterprises may choose to repay only 10 per cent, 20 per cent or 50 per cent of the original principal repayment amount each month during a specified period, enabling them to have more time to gradually switch from principal moratorium to normal repayments.

At present, eligible borrowing enterprises may apply for the partial principal repayment (PPR) arrangement in respect of their term loans.  Options include repaying only 20 per cent of the original principal repayment amount per instalment for a period of 18 months, repaying only 50 per cent of the original principal repayment amount per instalment for a period of 30 months, or adopting alternative PPR arrangements as agreed with the lending institutions.  The new PPR option under the SFGS will allow borrowing enterprises to repay only 10 per cent of the original principal repayment amount per instalment for a period of 12 months.  Under the PPR arrangement, the loan tenor and the guarantee period will generally be extended accordingly.

HKMC Insurance Limited will follow up with the lending institutions, aiming to implement the new option within November this year.  Enterprises should approach their lending institutions timely to discuss the arrangements.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/25/P2023102500366.htm.

Stamp Duty (Amendment) (Stock Transfers) Bill 2023 gazetted

The Government published in the Gazette on 25 October 2023 the Stamp Duty (Amendment) (Stock Transfers) Bill 2023 (the Bill) to give effect to the measure of reducing the rate of Stamp Duty on Stock Transfers (the Stamp Duty) to 0.1 per cent as announced by the Chief Executive in the 2023 Policy Address.

The Bill seeks to amend the Stamp Duty Ordinance (Cap. 117) to reduce the rate of the Stamp Duty payable on contact notes for sale or purchase of Hong Kong stock, and correspondingly on certain transfers of such stock.

"The reduction of the rate of the Stamp Duty will lower investors' transaction costs, improve market sentiment, and enhance the competitiveness of Hong Kong's stock market.  The measure has taken into account the views received from stakeholders during the Policy Address consultation process as well as the recommendation of the Task Force on Enhancing Stock Market Liquidity, and strikes a balance between promoting the development of the stock market and maintaining a healthy fiscal position," a Government spokesperson said.

The Bill will be introduced into the Legislative Council for first reading on 1 November 2023.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/25/P2023102500260.htm.

Enhanced travel convenience for HKSAR passport holders to Albania and Uganda

The Government of the Hong Kong Special Administrative Region (HKSAR) has received notification from the Government of the Republic of Albania (Albania) that the period of visa-free entry to Albania for holders of HKSAR passports has been extended from up to 14 days to 90 days.

The Government of the HKSAR has also received notification from the Government of the Republic of Uganda (Uganda) that the period of visa-free entry to Uganda for holders of HKSAR passports has been changed to up to 90 days, instead of being determined by the competent authorities upon arrival.

An Immigration Department spokesman said, "Albania and Uganda are along the Belt and Road.  Under the Belt and Road Initiative, the enhancement of visa-free arrangements will bring greater travel convenience to holders of HKSAR passport and strengthen tourism, cultural and economic ties between the places."

As of 20 October 2023, 168 countries and territories have granted visa-free access or visa-on-arrival to HKSAR passport holders.  Please visit the following website for details: www.immd.gov.hk/eng/service/travel_document/visa_free_access.html or scan the QR code in the attachment.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/20/P2023102000216.htm.

Bankruptcy and Companies Legislation (Miscellaneous Amendments) Ordinance 2023 (Commencement) Notice 2023 gazetted

The Government published the Bankruptcy and Companies Legislation (Miscellaneous Amendments) Ordinance 2023 (Commencement) Notice 2023 (the Commencement Notice) in the Gazette on 20 October 2023 and tabled the Commencement Notice at the Legislative Council for negative vetting on 25 October 2023. 

The Bankruptcy and Companies Legislation (Miscellaneous Amendments) Ordinance 2023 (the Amendment Ordinance) was enacted by the Legislative Council on 12 July 2023, to provide a legal basis for the Official Receiver's Office's Electronic Submission System (ESS), streamline the publication requirements of insolvency and related notices, and introduce miscellaneous amendments. 

Upon enactment of the Amendment Ordinance, the Financial Services and the Treasury Bureau (FSTB) announced that the first phase of the ESS and the streamlined publication requirements would be implemented starting from the end of this year.  The Commencement Notice seeks to appoint 29 December 2023, as the commencement date for the relevant provisions. 

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/20/P2023101900530.htm.

Women Empowerment Fund invites 2023-24 second round applications

The Women Empowerment Fund is open for the second round of applications this year starting from 19 October until 20 November 2023.  The Fund subsidises community projects that support women in juggling their jobs and family life, bringing women's awareness to their own physical and mental health, and unleashing their potential.

Set up in June 2023, the Fund aims to empower women, regardless of their age, occupation and background, to unleash their full potential in their respective roles, ultimately achieving the goal of promoting women's development in Hong Kong.

The Fund is divided into general and thematic projects. The funding cap of each one-year and two-year general project is $400,000 and $800,000 respectively.  For thematic projects this year, namely the Guangdong-Hong Kong-Macao Greater Bay Area Exchange Programmes, each project shall be completed within one year and the funding cap is $120,000.

The Fund accepts two rounds of applications each year.  The Guide to Application and the application form have been uploaded to the Fund's website (https://www.wef.gov.hk/en/index.html).  Interested women's organisations and non-governmental organisations (NGOs) may submit an electronic or paper application. 

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/19/P2023101900236.htm.

Government launched Research, Academic and Industry Sectors One-plus (RAISe+) Scheme to promote commercialisation of research and development outcomes

The Innovation and Technology Commission launched the Research, Academic and Industry Sectors One-plus Scheme (RAISe+ Scheme) and the first application solicitation exercise on 18 October 2023.  The deadline for application will be 30 November.  Eligible universities are welcome to apply.

"In order to promote commercialisation of research and development (R&D) outcomes, the Government hopes that the scheme can incentivise collaboration among industry, academic and research sectors to further promote the '1 to N' transformation of R&D outcomes and the industry development," a spokesman for the Commission said.

With a funding allocation of $10 billion, the RAISe+ Scheme will fund, on a matching basis, at least 100 research teams in eight universities funded by the University Grants Committee, which have good potential to become successful start-ups.  Funding support from $10 million to $100 million will be provided to each approved project.  Assessment criteria include the I&T component of the project, commercial viability of project outcomes, technical and management capability of the team, relevance of the project with government policies or in the project's overall interest to the community, as well as the financial considerations of the project.

The Commission expects the first batch of application results to be announced in the first quarter of 2024 after assessment of applications.  Details are available on the RAISe+ Scheme website (www.itf.gov.hk/en/raiseplus).  For enquiries, please contact the Secretariat of the scheme (Tel: 3655 5678; email: raiseplus@itc.gov.hk). 

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/18/P2023101800606.htm.

Bill passed for regulating disposable plastic tableware and other plastic products and enhancing existing producer responsibility schemes

The Government noted that the Legislative Council passed the Product Eco-responsibility (Amendment) Bill 2023 (Amendment Bill) for regulating disposable plastic tableware and other plastic products, and for enhancing two existing producer responsibility schemes (PRS) on 18 October 2023.

The main regulations on disposable plastic tableware and other plastic products under the Amendment Bill include:

1. Regulation of disposable plastic tableware

The Amendment Bill prohibits the local sale of nine types of disposable plastic tableware, and prohibits catering premises from providing customers with such products, with implementation carried out in two phases.  In the first-phase regulation, the sale of expanded polystyrene (EPS) tableware and four other types of disposable plastic tableware that are small in size and difficult to recycle or to which there are mature alternatives will be prohibited, and so will the provision of such tableware to takeaway customers.  Moreover, the provision of all nine types of disposable plastic tableware to dine-in customers at catering premises will be prohibited.  The regulation will be fully implemented in the second phase.  For details, please refer to the Amendment Bill or visit relevant information platform (www.greentableware.hk/en-us/).

The Amendment Bill also regulates the manufacturing, selling and distributing of a series of disposable plastic products, which will also be implemented in two phases.  In the first phase, it is proposed to ban the sale and provision of those products that either have established non-plastic alternatives or are not necessities.  Hotels and guesthouses are banned from providing disposable toiletries and in-room plastic-bottled water for free.  Moreover, the manufacturing, selling and free distribution of oxo-degradable plastics products are banned. For details, please refer to the Amendment Bill.

A spokesman for the Environment and Ecology Bureau said, "To allow the trade to get prepared, we will commence the first-phase regulation around six months after the passage of the Amendment Bill.  We propose to implement the first-phase regulation from 22 April 2024, in support of Earth Day.  The timing of implementing the second-phase regulation will depend on the availability and affordability of the relevant non-plastic or reusable alternatives, and it is tentatively set for 2025.  We encourage the trade to get prepared early for the relevant control measures, and jointly build a plastic-free culture."

To facilitate the adoption of non-plastic tableware in lieu of disposable plastic ones by the trade, the Environmental Protection Department (EPD) has commissioned the Hong Kong Quality Assurance Agency to set up an online information platform for reference by the food and beverage trade, tableware suppliers and the public. The platform (www.greentableware.hk/en-us/) has been accepting applications from tableware suppliers since November last year.  Currently, more than 400 non-plastic disposable tableware products are listed on the platform.  The platform also provides information on tableware rental and cleaning services to encourage restaurants to adopt reusable tableware and further reduce waste.  Moreover, the EPD is establishing an information platform on disposable plastics to share with the public the characteristics and pros and cons of different alternatives for the public to make well-informed choices.  The department will continue to promote reduction of disposable plastic tableware through different channels so as to reduce waste at source.  For instance, it launched the Bring Your Own Containers Eateries Scheme last month to encourage the general public to develop the good habit of bringing their own containers when ordering takeaways. Currently, more than 350 restaurants have participated in the scheme.

In addition, the Amendment Bill expands the coverage of the PRS on waste electrical and electronic equipment to include refrigerators and washing machines with larger capacities as well as stand-alone clothes dryers and dehumidifiers. It also removes the requirements in relation to the provision of recycling labels in the distribution of regulated electrical equipment so as to streamline the operation. This amendment is expected to be implemented on 1 July 2024. Moreover, the Amendment Bill also optimises the operation of the PRS on glass beverage containers.

For details of the Amendment Bill, please visit www.legco.gov.hk/en/legco-business/council/bills.html?bill_key=10010&session=2023.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/18/P2023101800622.htm.

Home and Youth Affairs Bureau launched new round of Funding Scheme for Youth Internship in the Mainland

The Home and Youth Affairs Bureau (HYAB) and the Youth Development Commission (YDC) jointly launched the 2024-25 Funding Scheme for Youth Internship in the Mainland on 18 October 2023.  Eligible NGOs are invited to submit applications.

The Government attaches great importance to youth development.  The HYAB promulgated the Youth Development Blueprint in end-2022, which states that the Government will further strengthen the breadth and depth of the Mainland and international internship and exchange programmes with a view to enhancing young people's understanding of the country and supporting their integration into the overall development of the country.  Through the Funding Scheme for Youth Internship in the Mainland, the HYAB and the YDC provide funding for NGOs to organise youth internship projects on the Mainland for young people to experience first-hand the actual workplace environment therein and deepen their understanding of the Mainland's employment market, workplace culture and development opportunities. It will help young people set their future career goals, accumulate work experience, build an interpersonal network and boost their employment advantage in the future.

Details of the new round of the funding scheme and application forms are available on the YDC website (www.ydc.gov.hk/en/programmes/ip/ip_fundingscheme.html).  Interested NGOs should submit their applications on or before 17 November.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/18/P2023101800547.htm.

Order to amend Dangerous Drugs Ordinance gazetted

The Government published the Dangerous Drugs Ordinance (Amendment of First Schedule) Order 2023 (the Order) in the Gazette on 20 October 2023 and tabled at the Legislative Council on 25 October 2023, for negative vetting.  The Order is expected to become effective on 15 December 2023.  Details including the justifications of the legislative proposal could be found from the brief for the Legislative Council issued on 18 October 2023 at Annex.

The Order would add five substances, namely, 2-methyl-AP-237, etazene, etonitazepyne, protonitazene, and ADB-BUTINACA, to the First Schedule to the Dangerous Drugs Ordinance (DDO) (Cap. 134).  These substances will be under the same strict control as other dangerous drugs under the DDO.  Trafficking and illicit manufacturing of these substances are liable to a maximum penalty of life imprisonment and a fine of $5 million.  Possession and consumption of these substances in contravention of the DDO will be subject to a maximum penalty of seven years' imprisonment and a fine of $1 million.

The Government has been vigilant in closely monitoring drug trends in and outside Hong Kong, and takes timely action to bring new drugs and precursor chemicals under legislative control.  As a regular exercise, the Government from time to time proposes amendments to the DDO as well as the Control of Chemicals Ordinance (Cap. 145) to include new dangerous drugs and precursor chemicals under statutory control, to prevent them from posing a threat to public health and safety.  The spokesperson said, "The amendments aim to deter any potential trafficking and abuse of these dangerous drugs and precursor chemicals. This will help fortify Hong Kong's defence against drugs."

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/18/P2023101700497.htm.

Inland Revenue (Amendment) (Disposal Gain by Holder of Qualifying Equity Interests) Bill 2023 gazetted

The Inland Revenue (Amendment) (Disposal Gain by Holder of Qualifying Equity Interests) Bill 2023 was gazetted on 20 October 2023 and will be introduced into the Legislative Council on 1 November 2023.  The Bill seeks to introduce a tax certainty enhancement scheme to provide greater certainty of non-taxation of onshore gains on disposal of equity interests (the gains) that are of capital nature.

The scheme will help enhance the attractiveness of Hong Kong as a premier international investment and business hub, in particular with regard to facilitating business expansion and restructuring as acquisition and disposal of equity interests are common in this process.

To determine the nature of the gains, the Inland Revenue Department (IRD) presently adopts a "badges of trade" approach where considerations are given to the relevant facts and circumstances of the case.  The scheme will provide upfront certainty on the non-taxation of the gains which meet certain specified criteria.  Specifically, the gains will be treated as capital in nature and not chargeable to profits tax if the investor entity concerned has held certain equity interests in the investee entity throughout the continuous period of 24 months immediately before the date of disposal and those equity interests having been held amount to at least 15 per cent of the total equity interests in the investee entity.

To strike a balance between facilitating businesses and upholding the integrity of the tax system, the scheme excludes certain gains which are not normally considered as capital in nature and those arising in circumstances where the risk of abuse is relatively high.

Where the gains are not eligible for the scheme or taxpayers do not make an election for the scheme, the IRD will continue to use the "badges of trade" approach as it does at present to consider the tax treatment of the gains.

A Government spokesman said, "Hong Kong is renowned for its simple and competitive tax system which does not tax gains on disposal of equity interests of capital nature.  The scheme will further increase the competitiveness of our tax regime through greater upfront tax certainty of non-taxation of the gains based on simple and clear rules, faster tax determination and lower compliance cost of businesses."

Going further, as compared to similar schemes in other tax jurisdictions, the scheme will be more competitive in that it has a wider coverage of businesses and equity interests, as well as lower equity holding threshold.  It also provides more flexible arrangements such as allowing the minimum equity holding percentage of 15 per cent to be met on a corporate group basis, and covering disposal of equity interests in tranches subject to certain restrictions. The scheme also does not specify an expiry date.

The scheme will be applicable to the gains where the disposal occurs on or after 1 January 2024, and the gains accrued in the basis period for a year of assessment beginning on or after 1 April 2023.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/18/P2023101700557.htm.

Revised Control List under Import and Export (Strategic Commodities) Regulations taken effect

The Import and Export (Strategic Commodities) Regulations (Amendment of Schedules 1 and 2) Order 2023 (Order) came into effect on 1 November 2023. The Order updates the control list of strategic commodities set out in the Import and Export (Strategic Commodities) Regulations (Cap. 60, sub. leg. G) (Regulations) to reflect the changes adopted by leading international non-proliferation regimes with respect to the technologies and items under control as well as the control thresholds.  At the same time, the Order extended the import, export, transhipment and transit control stipulated in the Regulations to articles regulated under the Arms Trade Treaty (ATT).

The control list of strategic commodities in Hong Kong mirrors the control lists adopted by the Wassenaar Arrangement on Export Controls for Conventional Arms and Dual-Use Goods and Technologies, the Nuclear Suppliers Group, the Missile Technology Control Regime, the Australia Group, and the Convention on the Prohibition of the Development, Production, Stockpiling and Use of Chemical Weapons and on their Destruction.

Also, with the accession of the country to the ATT as a State Party, the Central People's Government has extended the application of the ATT to the Hong Kong Special Administrative Region under Article 153 of the Basic Law.  After the Order came into effect, the articles regulated under the ATT can be covered by Hong Kong's control list of strategic commodities.

The Government updates the control list in a timely manner to ensure that Hong Kong's control system is in line with international standards, which is vital to the trade in doing import/export businesses with foreign trading partners and licensing authorities.

The TID has informed the trade of the amendment details through trade circular and the department's website (www.stc.tid.gov.hk/eindex.html).  Enquiries can be made to the Strategic Trade Controls Branch of the TID by telephone at 2398 5587 or by email at stc@tid.gov.hk.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/18/P2023101700455.htm.

Time-varying tolls to be implemented at three road harbour crossings from 5am on 17 December 2023

The Government announced on 16 October 2023 that the Secretary for Transport and Logistics has made the Road Tunnels (Government) (Amendment) Ordinance 2023 (Commencement) Notice (the Commencement Notice) in relation to the arrangement of the implementation of time-varying tolls at the three road harbour crossings (RHCs), namely the Cross-Harbour Tunnel, the Eastern Harbour Crossing and the Western Harbour Crossing.  The Commencement Notice was tabled at the Legislative Council on 18 October 2023 for negative vetting.

The Government attaches great importance to publicity and education. In order to allow sufficient time for carrying out extensive publicity work after the completion of the legislative procedures when the commencement date is fixed, so that members of the public can have a better understanding of the detailed arrangements of time-varying tolls through various channels, the Government has decided to appoint 5am on 17 December 2023 (Sunday) as the commencement time by the Commencement Notice, with a view to ensuring the orderly and smooth implementation of time-varying tolls.

A spokesperson for the Transport and Logistics Bureau said, "It has been the Government's target to implement time-varying tolls within 2023.  Since the announcement of the toll plans for the three RHCs in March this year, we have been actively launching publicity campaigns to enable motorists to grasp the details of the toll plans and make early preparations.  Upon the completion of the legislative procedures when the commencement date of time-varying tolls is fixed, the Government will further step up publicity so that members of the public are fully aware of the specific charging arrangements.  Press conference will be arranged together with TV and radio Announcements in the Public Interest, social media/online promotions, information packs, the new toll enquiry function on the HKeMobility mobile application, etc."

Implementation details of time-varying tolls are set out in the Annex and the Transport Department's website: www.td.gov.hk/en/transport_in_hong_kong/tunnels_and_bridges_n/tvt/index.html.

For relevant press release, please visit https://www.info.gov.hk/gia/general/202310/16/P2023101600380.htm.