Italian Businesses Identify Hong Kong as Strategic Gateway for Asian Expansion

A comprehensive survey conducted by the Hong Kong Trade Development Council (HKTDC) and the Italy China Council Foundation (ICCF) reveals that Hong Kong is increasingly viewed as a priority market and essential trading partner by Italian businesses seeking expansion in Asia. The research, which surveyed 172 Italian C-suite and senior business leaders in Q3 2025, forms part of the forthcoming Think Business, Think Hong Kong promotion campaign scheduled for Milan on November 27.

The findings demonstrate significant enthusiasm among Italian enterprises for Asian market expansion, with 77% of respondents expressing genuine interest in expanding their operations across the continent. According to Irina Fan, Director of HKTDC Research, the Chinese Mainland and Hong Kong emerge as priority markets for these expansion plans. The survey indicates that 93% of Italian businesses believe Hong Kong can effectively support their future Asia expansion strategies, recognizing the city's unparalleled status as a strategic gateway to multiple Asian markets and its capabilities as a logistics and supply chain management hub.

The research uncovered substantial opportunities in regional trade agreements that remain underutilized by Italian companies. The Regional Comprehensive Economic Partnership (RCEP), the world's largest free trade agreement encompassing ASEAN nations, the Chinese Mainland, Japan, South Korea, Australia and New Zealand, currently sees only 51% of Italian respondents capitalizing on its benefits. Should Hong Kong's application to join RCEP prove successful, 60% of Italian enterprises anticipate it would unlock new economic opportunities and strengthen their engagement with the city.

Another significant agreement with untapped potential is the Closer Economic Partnership Arrangement (CEPA), which has provided Hong Kong-based suppliers with privileged access to the Chinese Mainland market since 2003. Despite its long-standing presence, approximately 80% of surveyed Italian businesses were unaware of CEPA or how to leverage its advantages. Currently, only 12% utilize CEPA's benefits through strategic partnerships in Hong Kong. Sara Berloto, Head of Research for ICCF, emphasized the need for comprehensive information, training, and institutional support initiatives to ensure companies, particularly SMEs, can enhance their strategic utilization of such agreements.

Sector-specific analysis reveals particularly strong expansion intentions among Italian innovation and technology companies (95%), healthcare enterprises (88%), and retail/wholesale businesses (86%). These findings align well with Hong Kong's strategic focus on innovation and technology, life sciences and healthtech, and ambitious e-commerce initiatives. The existing business relationship between Italy and Hong Kong provides a solid foundation for future growth, with bilateral trade reaching US$8.3 billion in 2024, positioning Italy as Hong Kong's fourth-largest EU trading partner and export market.

The full survey report will be launched at the Think Business, Think Hong Kong event in Milan, which will bring together over 700 business leaders, officials, and investors from both regions. The event will feature a symposium, exhibition, and business matching meetings designed to facilitate partnerships between Italian and Hong Kong companies. Additional information about the research can be found at https://research.hktdc.com/en/.