Taiwan and Hong Kong aim to have a CEPA-like agreement to streamline tourism, logistics and capital flow between the two centers, according to a non-government business panel.
“The Hong Kong government is working on setting up a framework agreement with Taiwan, something like the Closer Economic Partnership Arrangement, so that we don’t have sign memorandum of understanding for each and every sector,” Hong Kong Taiwan Business Co-operation Committee chairman David Lie said Monday in Hong Kong.
“We don’t have a concrete timetable and the framework is just a suggestion to show businesspeople that the two governments have mutual trust to protect companies from both sides.”
Lie said Hong Kong and Taiwan are discussing whether Taipei can lower investment barriers for Hong Kong investors and raise the cap on Hong Kong and mainland investment in Taiwanese companies from 10 percent now to 20 percent.
Taiwan could advance links in aviation by allowing direct flights between airports in Hong Kong, Taiwan and the mainland while scrapping passenger and cargo limits, he said.
He added that Hong Kong, Taiwan, the mainland and Macau should work together to improve services to attract more international tourists.
Hong Kong International Airport handled roughly 60 million passengers and more than 4.12 million metric tons of cargo last year. Taiwan is the city’s second-largest source of tourists, accounting for 2.1 million people last year. In all, 980,000 Hong Kong people visited Taiwan in 2013.
Taiwan approved US$370 million in investment projects from Hong Kong last year, while investment to Hong Kong from Taiwan amounted to US$320 million.
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