7 in 10 HK-based firms eye overseas expansion

Firms cited three key motivators for them to expand.

More than seven in 10 (72%) companies in Hong Kong are now interested in expanding their operations overseas, data from UOB’s Business Outlook Study showed.

According to the report, 47% of HK-based companies are “slightly interested: in pursuing an overseas expansion, whilst 26% are “very interested.”

Firms in the Wholesale Trade industry are the most interested in expanding overseas.

Business in Tech, Media and Telecom (82%), Industrials/Oil and Gas (79%), Manufacturing and Engineering (78%) also showed high interest in overseas expansion.

UOB said Hong Kong firms want to expand overseas for three main reasons: improve their profit (70%), build an international reputation (50%), and grow their revenue (50%).

Of those interested in expanding operations, three in four plan to use cross-border trade platforms.

Tech, Media and Telecom firms are most interested in using cross-border digital trade platforms amongst industries.

In terms of the Southeast Asia (SEA) markets, HK-based firms are most interested in expanding to Singapore (56%), Thailand (43%), and Vietnam (43%).