Tag Archives: China

     According to the results of the 2022 Annual Survey of Economic Activities – Transportation, Storage and Courier Services Sector released today (November 29) by the Census and Statistics Department (C&SD), total receipts (comprising business receipts and other income) of the transportation, storage and courier services sector amounted to $763.1 billion in 2022, representing an increase of 5.0% compared with 2021; on a per establishment basis, total receipts increased by 3.2% compared with 2021 to $28.1 million in 2022.
 
     Operating expenses and compensation of employees of this sector altogether amounted to $605.6 billion in 2022, representing an increase of 3.1% compared with 2021; on a per establishment basis, they increased by 1.3% compared with 2021 to $22.3 million in 2022.
 
     Gross surplus of the sector, which is equal to total receipts less operating expenses and compensation of employees, increased by 12.9% compared with 2021 to $157.5 billion in 2022; on a per establishment basis, gross surplus increased from $5.2 million in 2021 to $5.8 million in 2022. Gross surplus accounted for 20.6% of total receipts of this sector in 2022, up by 1.4 percentage points compared with 2021.
 
     Industry value added of the sector, which is a measure of its contribution to Hong Kong’s Gross Domestic Product, increased by 3.0% compared with 2021 to $211.2 billion in 2022; on a per establishment basis, industry value added was $7.8 million in 2022, which increased by 1.2% compared with 2021.
 
     According to the survey results, it was estimated that the sector comprised about 27 100 establishments and engaged about 206 100 persons, or an average of 7.6 persons per establishment, in 2022.
 
     Within the transportation, storage and courier services sector, the five largest industry groupings in terms of industry value added in 2022 were (1) cross-border water transport, (2) air transport and service activities incidental to air transportation, (3) other transportation support activities, (4) land passenger transport, and (5) land freight transport. They together accounted for 87.1% of the industry value added of the sector.
 
     In the cross-border water transport industry, total receipts amounted to $240.1 billion while operating expenses and compensation of employees totalled $147.5 billion in 2022. Gross surplus increased from $83.1 billion in 2021 to $92.6 billion in 2022, accounting for 38.6% of total receipts in 2022. Industry value added increased by 5.5% compared with 2021 to $93.8 billion.
 
     In the air transport and service activities incidental to air transportation industry, total receipts amounted to $87.4 billion while operating expenses and compensation of employees totalled $73.4 billion in 2022. Gross surplus increased sharply from $8.4 billion in 2021 to $14.0 billion in 2022, accounting for 16.0% of total receipts in 2022. Industry value added increased by 11.7% compared with 2021 to $31.9 billion.
 
     In the other transportation support activities industry which comprised mainly cargo forwarders and shipbrokers, total receipts amounted to $289.7 billion while operating expenses and compensation of employees totalled $260.4 billion in 2022. Gross surplus increased from $23.4 billion in 2021 to $29.3 billion in 2022, accounting for 10.1% of total receipts in 2022. Industry value added increased by 6.8% compared with 2021 to $28.7 billion.
 
     In the land passenger transport industry, total receipts amounted to $40.2 billion while operating expenses and compensation of employees totalled $34.4 billion in 2022. Gross surplus increased from $5.7 billion in 2021 to $5.8 billion in 2022, accounting for 14.4% of total receipts in 2022. Industry value added decreased by 1.1% compared with 2021 to $20.2 billion.
 
     In the land freight transport industry, total receipts amounted to $23.3 billion while operating expenses and compensation of employees totalled $21.0 billion in 2022. Gross surplus decreased from $3.5 billion in 2021 to $2.3 billion in 2022, accounting for 10.0% of total receipts in 2022. Industry value added decreased by 15.4% compared with 2021 to $9.3 billion.
 
     Selected statistics for the transportation, storage and courier services sector are shown in the attached table.
 
     More detailed survey results on the transportation, storage and courier services sector will be given in the report “Key Statistics on Business Performance and Operating Characteristics of the Transportation, Storage and Courier Services Sector in 2022”. Users can browse and download this report at the website of C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080010&scode=340) as from end-December 2023.
 
     For enquiries about the key statistics on business performance and operating characteristics of the transportation, storage and courier services sector, please contact the Logistics and Producer Prices Statistics Section of the C&SD (Tel: 3903 7256; email: transport@censtatd.gov.hk). read more

The following is issued on behalf of the Hong Kong Monetary Authority:

     The Hong Kong Monetary Authority (HKMA) announced today (November 29) that it had completed an investigation and disciplinary proceedings for CA Indosuez (Switzerland) SA, Hong Kong Branch (CAHK) under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Chapter 615 of the Laws of Hong Kong) (AMLO) (Note 1). The Monetary Authority (MA) has imposed a pecuniary penalty of HK$3,500,000 against CAHK for contraventions of the AMLO.

     The disciplinary action (Note 2) follows an investigation by the HKMA on CAHK’s systems and controls for compliance with the AMLO. The control lapses identified in the investigation relate to CAHK’s failure to continuously monitor business relationships with some of its customers by conducting appropriate scrutiny of transactions carried out for them during the period between February 11, 2016, and October 2, 2016. CAHK also failed to maintain effective procedures for carrying out its duties under the AMLO in relation to continuous monitoring of business relationships with customers during this period.

     In deciding the disciplinary action, the MA took into account all relevant circumstances and factors, including the following:

1. the seriousness of the investigation findings;
2. the need to send a clear deterrent message to CAHK and the industry about the importance of effective controls and procedures to address money laundering and terrorist financing risks;
3. CAHK has taken remedial actions to address the deficiencies identified; and
4. CAHK has no previous disciplinary record in relation to the AMLO and cooperated with the HKMA during the investigation and enforcement proceedings.

     The Executive Director (Enforcement and AML) of the HKMA, Ms Carmen Chu, said, “Banks are expected to maintain effective system for anti-money laundering and financial crime risk management, including through continuous monitoring of customer relationships and transactions. While some banks’ control functions may have been outsourced to other parties, the ultimate accountability and the duty to comply with the AMLO remain with the banks concerned.”

Note 1: Prior to March 1, 2018, the short title of Chapter 615 of the Laws of Hong Kong was the Anti-Money Laundering and Counter-Terrorist Financing (Financial Institutions) Ordinance.

Note 2: The disciplinary action is taken under section 21 of the AMLO. The AMLO imposes customer due diligence and record-keeping requirements on specified financial institutions, including Authorized Institutions, and designated non-financial businesses and professions. As regards Authorized Institutions, the MA is the relevant authority under the AMLO. read more

     The Head of the Chief Executive’s Policy Unit (CEPU), Dr Stephen Wong, will lead a delegation comprising 19 professional management and research colleagues of the CEPU to Beijing tomorrow (November 30) to participate in a study programme on “Enhancing Strategic Planning and Policy Research Capabilities” organised by Peking University, and the delegation will call on the Hong Kong and Macao Affairs Office of the State Council. Dr Wong will also call on the departments and organisations of the central ministries responsible for strategic planning and policy research to exchange views on strategic research topics in different areas.
 
     The objective of this event is to enhance the understanding of strategic paradigms and policy research capability of the CEPU through studies and exchanges, based on the strategic planning of the country’s development and in line with the Central Government’s call for a strong culture of conducting researches and studies. Heavyweight experts and scholars are invited to share and exchange insights on strategic issues such as Chinese-style modernisation, furthering efforts on reform and opening up, global technology and innovation.
 
     Dr Wong said, “This study and exchange programme is closely related to the work of the CEPU and also meets the Chief Executive’s expectations of the unit. I hope that our colleagues will seize this opportunity to actively engage in in-depth exchanges with the experts and professional organisations, and gain a deeper understanding of our country’s strategic and systemic thinking in various areas. I also expect that our participants will make use of what they have gained to discharge their duties in future with a view to assisting Hong Kong to better integrate into the overall development of our country and giving full play to Hong Kong’s unique position and advantages of enjoying strong support of the motherland and being closely connected to the world, as our country embarks on the journey towards high-quality development.”
 
     The delegation and Dr Wong will return to Hong Kong on next Tuesday (December 5) and next Thursday (December 7) respectively. read more

     â€‹Hong Kong Customs mounted a special operation over the past two weeks to combat illicit cigarette smuggling activities by sea and detected four large-scale illicit cigarette smuggling cases involving seaborne containers. A total of about 28 million suspected illicit cigarettes with an estimated market value of about $100 million and a duty potential of about $69 million were seized.

     In the first case, through risk assessment and intelligence analysis, Customs selected and inspected a 40-foot container, declared as carrying plastic boards and arriving in Hong Kong from Taiwan, on November 15 at the Kwai Chung Customhouse Cargo Examination Compound. Upon inspection, Customs officers seized about 9.3 million suspected illicit cigarettes inside the container.

     On the same day, Customs detected another case at the Tuen Mun River Trade Terminal Customs Cargo Examination Compound where officers inspected a 40-foot container, declared as carrying flower pots and decoration lighting and arriving in Hong Kong from Nansha, Guangdong. About 1.6 million suspected illicit cigarettes were seized therein.

     After a follow-up investigation, Customs officers targeted two 40-foot containers, both declared as carrying washbowls and arriving in Hong Kong from Nansha, Guangdong, for inspection on November 22. A total of about 5.5 million suspected illicit cigarettes were seized inside the two containers, leading to the successful detection of the third case.

     In the fourth case, through risk assessment, Customs officers selected a 40-foot container, declared to contain electronic parts and arriving in Hong Kong from Thailand, for inspection at the Kwai Chung Customhouse Cargo Examination Compound on November 27. About 11 million suspected illicit cigarettes were seized inside the container.

     During the operation, seven men aged between 34 and 63, suspected to be connected with the case, were arrested and the five containers suspected to be involved with the cases were detained. 

     All the above-mentioned cases have been duly followed up. While believing that some of the suspected illicit cigarettes would have been re-exported to overseas regions, Customs will continue to trace the source and flow of the illicit cigarettes. The likelihood of further arrests is not ruled out.

     Customs noticed that illicit cigarette syndicates would conceal the illicit cigarettes by mixing them with daily products, such as flower pots, plastic washbowls or Christmas decorations, in order to evade customs inspection and increase the difficulty of customs enforcement.

     With the Christmas holidays approaching, Customs will continue to step up enforcement to vigorously combat illicit cigarette activities through risk assessment, intelligence analysis and interception at source.

     Smuggling is a serious offence. Under the Import and Export Ordinance, any person found guilty of importing or exporting unmanifested cargo is liable to a maximum fine of $2 million and imprisonment for seven years.

     Customs stresses that it is an offence to buy or sell illicit cigarettes. Under the Dutiable Commodities Ordinance, anyone involved in dealing with, possession of, selling or buying illicit cigarettes commits an offence. The maximum penalty upon conviction is a fine of $1 million and imprisonment for two years.

     Members of the public may report any suspected illicit cigarette activities to Customs’ 24-hour hotline 2545 6182 or its dedicated crime-reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002).

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     The Fire Services Department (FSD) announced today (November 29) that the eyesight test and physical fitness test requirements for entry to four grades will be adjusted to attract more applicants with different backgrounds… read more