[WORLD] For mainland Chinese entrepreneur Wang Chaoyou, joining a Hong Kong delegation to the Middle East has significantly accelerated his efforts to establish a foothold in the growing Kuwaiti market, following a previous attempt that fell short.
“We were negotiating a deal, but we couldn’t agree on the shareholding split – they demanded half, which I wasn’t willing to accept,” said Wang, chairman of Shanghai-based Dongchao Technology.
This time, however, the backing from the Hong Kong delegation proved pivotal. The presence of Hong Kong’s Chief Executive, John Lee, and the Hong Kong Trade Development Council (HKTDC) played a crucial role in strengthening Wang’s negotiating position. Established in 1966, the HKTDC is a statutory body dedicated to promoting Hong Kong’s trade globally, with a network of over 50 offices. It is particularly effective in helping small and medium-sized enterprises (SMEs) from both mainland China and abroad tap into new markets.
“This time, we came with Hong Kong’s Chief Executive and the Trade Development Council, who were instrumental in the talks. They ended up agreeing to a 30% share, and everything suddenly went smoothly,” Wang explained.
The delegation’s trip to Kuwait was part of a broader initiative aimed at deepening economic ties between Hong Kong, mainland China, and the Middle East. During the visit, 24 Memoranda of Understanding (MOUs) and cooperation agreements were signed, covering diverse sectors such as trade, investment, financial services, technology, legal cooperation, customs facilitation, aviation, and higher education. These agreements are expected to generate new business opportunities and foster collaboration in the future.
Hong Kong’s Chief Executive, John Lee, highlighted the city’s commitment to promoting high-quality development alongside Belt and Road partners, noting shared visions and objectives between Hong Kong and the Gulf Cooperation Council (GCC) nations. He suggested that Hong Kong should pursue a free trade agreement with the GCC and extended an invitation to Kuwait to establish an office for its investment authority in Hong Kong.
The GCC, which includes Kuwait, is Hong Kong’s 11th largest trading partner, accounting for less than 2% of Hong Kong’s global trade in 2024. The United Arab Emirates, however, represents around 80% of the GCC’s trade with Hong Kong. This underscores the growth potential and significance of efforts like the recent delegation visit in strengthening trade and investment links.
Wang Chaoyou’s successful negotiation in Kuwait underscores the value of collaborative efforts and the strategic advantages of regional partnerships. With support from the Hong Kong delegation, Dongchao Technology is now poised for expansion in the Kuwaiti market, unlocking new opportunities for growth and innovation.
WhatsApp
Instagram
Threads
