Hong Kong is becoming increasingly important to such mainland Chinese tech companies as a place to raise money, test products with international clients, and build credibility for overseas expansion.
This matters because US and European nations have grown more wary of such Chinese companies. Dubbed “China risk” by some commentators, countries fear state-led espionage and excessive Chinese domination of their tech sectors.
For mainland Chinese tech firms it means they are finding access to capital, customers and trust harder to secure in some international markets. So, they are instead looking to Hong Kong in the first instance.
Last year, the number of mainland Chinese firms listing on the Hong Kong Stock Exchange increased to 76, up from 30 in 2024, an increase of 153%, according to a report by accountancy giant PricewaterhouseCoopers.
Invest Hong Kong, the investment promotion agency for the special administrative region, has also reported a rise in the number of mainland firms it has helped to set up or expend in the territory, with innovation and technology among the biggest sectors.