Industry leaders in Hong Kong are expressing concern over US tariff policies, stating that they adversely affect international trade.
Negative Impact of Tariffs on Business
Steve Chuang Tzu-hsiung, chairman of the Federation of Hong Kong Industries, stated that tariffs have brought about difficulties for local manufacturers. He mentioned that current tariffs have reached a point where conducting business has become impossible. "*The current tariffs have already reached a point where it’s impossible for anyone to do business*", said Chuang.
Struggles for Small and Medium Enterprises
Chuang pointed out that small and medium enterprises (SMEs) are particularly affected by tariffs, many of which have capital tied up in unsold inventory. "*The cash flow of SMEs is very tight*", he emphasized. The ProVista Group CEO noted that recent changes made by the Hong Kong Monetary Authority to assist local businesses will help mitigate financial strains.
Response from Hong Kong Officials
Hong Kong's Chief Executive John Lee Ka-chiu accused Washington of undermining free trade principles. He stated, "*The US no longer adheres to free trade*" and that "*the reckless imposition of tariffs damages global trade*."
In light of the uncertainty and lack of clarity in tariff policies, Hong Kong representatives are urging careful monitoring of the situation.
