Secretary for Commerce and Economic Development Algernon Yau says the SAR is ready to play a pivotal role in the transformation of global supply chains brought about by changes in the geopolitical environment.

Speaking at the Global Supply Chain Summit and Conference 2025, he said on Tuesday that reconfigurations in supply chains were creating complementary effects rather than competition across the Asia-Pacific region.

Hong Kong, he added, is well positioned to act as a hub to help mainland enterprises expand to places such as Southeast Asia, the Middle East and Global South.

"Looking ahead, I believe there is more Hong Kong can do in supporting or even driving supply chain reconfiguration," Yau said.

"Our world-class financial institutions are uniquely positioned to develop innovative financing tools tailored for modern supply chains.

"These include advanced trade finance solutions, such as blockchain-based trade finance platforms that are already reducing transaction times, lowering counterparty risk, and improving transparency."

More firms from the mainland have set up regional and global headquarters in the SAR, Yau said, including Chinese battery giant CATL, which is the world's biggest initial public offering this year.

Many of the over 300 mainland enterprises that are preparing to get listed plan to set up bases in Hong Kong for overseas expansion, he added.