Investment partners: Fujian Department of Foreign Trade & Economic Co-operation Director-General Yang Biao and Director-General of Investment Promotion Mike Rowse at the Hong Kong-Fujian investment promotion seminar in Philadelphia.

American companies can enter the Mainland market through Hong Kong under the Closer Economic Partnership Arrangement, Director-General of Investment Promotion Mike Rowse says.

Speaking at a Hong Kong-Fujian investment promotion seminar in Philadelphia today, Mr Rowse said American firms can set up an office in Hong Kong and form a joint venture with local companies.

"Hong Kong is the preferred business location for foreign companies to manage their regional operations. Our city is home to 3,845 regional headquarters and offices operated by foreign and Mainland companies, nearly 900 of which are from the US," he said.

"US enterprises form what is the largest international business community in Hong Kong, with approximately 1,200 firms in a wide range of sectors."

The US is the fifth largest source of foreign direct investment (FDI) in Hong Kong, with a total stock of FDI amounting to US$31.2 billion at the end of 2004.

Investment welcomed

 "While US companies continue to expand in Hong Kong, we welcome more companies to establish a base in our city to invest in the Mainland, particularly in Fujian. They can capitalise on the complementary strengths of the two places to tap the huge Pan-Pearl River Delta, or even the Mainland market," Mr Rowse said.

On the same occasion, Fujian Department of Foreign Trade & Economic Co-operation Director-General Yang Biao said the province's electronic and IT, machinery and equipment and petrochemical industries are among the Mainland's leading sectors.

"If US enterprises set up regional headquarters in Hong Kong and locate their manufacturing bases or logistics centres in Fujian, they can then utilise the advantages of both places and get the most from their investment in the region," Mr Yang said.