The latest U.S. State Department Investment Climate Report commented on Hong Kong’s business environment, specifically criticizing the Hong Kong National Security Law and the Law on Safeguarding National Security. The Hong Kong SAR government expressed strong dissatisfaction, calling the report a malicious attempt to tarnish Hong Kong’s image.
The report stated that since the Law on Safeguarding National Security came into effect last year, Hong Kong’s investment environment has faced increased uncertainty. It argued that definitions of “espionage,” “state secrets,” and “foreign interference” are overly broad and vague, and their potential extraterritorial application could affect or harm routine business operations.
A government spokesperson responded that the implementation of the National Security Law has restored safety and stability to Hong Kong society, protecting citizens’ rights while enhancing the city’s attractiveness as an international financial hub. The spokesperson emphasized that Hong Kong’s excellent business environment continues to attract domestic and foreign investment, and that the government’s efforts to promote economic and social development have received international recognition.
The SAR government highlighted that Hong Kong continues to rise in international rankings in areas such as economic freedom, finance, innovation and technology, education, and talent, reflecting its core competitiveness. The government reaffirmed that under “One Country, Two Systems,” Hong Kong continues to follow common law, with an independent judiciary and a stable rule of law.