Aviation Industry Flourishing

Financial Secretary Paul Chan

When it comes to aviation, Hong Kong has long attracted attention. The attraction begins with our strategic location in the heart of Asia and within a five-hour flying time of half the world's population.

No less important, we are the premier international gateway to the Mainland of China. Today, more than 100 airlines operate about 1,100 flights between Hong Kong International Airport and some 220 destinations around the world, including 50 on the Mainland.

We are working to build on that impressive track record, further liberalising our air services system to expand Hong Kong's aviation network.

To date, we have signed air services agreements with 67 aviation partners. We have also signed air services agreements and international air transit arrangements with 49 economies along the Belt & Road.

For the past nine years, Hong Kong International Airport has been the world's busiest cargo airport. And we have been continually advancing our cargo handling capabilities and facilities, plus lowering the cost of importing and exporting goods, particularly high-value goods, to and from Hong Kong, with a view to moving our trading and logistics industry up the value chain.

In fact, our airport has been named a Center of Excellence by the International Air Transport Association, in recognition of its prowess in handling both pharmaceuticals and perishable products by air. Indeed, it was just last month that the association recognised the Hong Kong International Airport as a Center of Excellence for Perishable Logistics, making us the first airport in the world to receive such certification.

To meet future air traffic growth and maintain Hong Kong's competitiveness as an international aviation hub, the Airport Authority is expanding our airport into a three-runway system.

The Airport Authority is also studying the topside development of the Hong Kong Boundary Crossing Facilities Island of the Hong Kong-Zhuhai-Macao Bridge, which, together with other developments on the Airport Island, will turn Lantau into an Aerotropolis connecting to the Guangdong-Hong Kong-Macao Greater Bay Area and the world.

Hong Kong's strengths in several critical areas, including financial services and aviation, were reaffirmed in the Greater Bay Area's Outline Development Plan. It also underlines Hong Kong's leading role in the development of high value-added aviation businesses such as aircraft leasing and financing.

To maximise our opportunities in this area, the Government provides attractive tax incentives for aircraft leasing businesses.

A flourishing aviation industry demands sustainable supply of talent. Which is why, in 2016, we set up the Hong Kong International Aviation Academy.

To date, the Academy has offered programmes ranging from entry-level to postgraduate level for more than 12,000 people.

Financial Secretary Paul Chan gave these remarks at the Aviation Silk Road International Conference on April 2.