Posted on July 23, 2025
Andrew Lam highlights lack of measures to boost growth in sectors under project, while Wendy Hong calls for incentives to attract firms
Hong Kong lawmakers have raised concerns about insufficient policy support for a proposed industrial port in the western New Territories, with authorities saying more time is needed to draft comprehensive measures to attract leading companies to the city.
Legislators shared their views on Tuesday after the Development Bureau revealed its proposal for a 301-hectare (744-acre) “smart and green industrial port” in Lung Kwu Tan and Tuen Mun West last week. The project covers four growth sectors – green energy, advanced construction, the circular economy and modern logistics.
Andrew Lam Siu-lo, deputy chairman of the legislature’s development panel, urged the government to introduce policies and concepts for developing the four sectors.
“Today, we are talking about developing an industry park. I cannot see any measures for developing industries from the departments in charge,” Lam, who is a planner by profession, told a meeting of the panel.
“We are always using land planning to bring the development of industries forward … If we continue to discuss it in this way, the same old problems will arise.”
Some key challenges in promoting industrial development were its long payback period and a lack of guaranteed tenants, which deterred developers from taking part in the project, fellow legislator Wendy Hong Wen said.
“In developing land for industries, the government may have to consider enticing the leading companies to set foot in the area first,” she said.
“Developers can then make an assessment based on the company’s development plan to evaluate the users and relevant facilities. Then, they can join hands and develop the area.”
Permanent Secretary for Development Doris Ho Pui-ling agreed that policy support was also an important factor in promoting the city’s industrial development.
“We must not only rely on land but also offer other supporting facilities. For instance, when we try to attract leading businesses, they will consider tax concessions or even direct financial subsidies,” she said.
“The government is studying them. We hope we can have more time to offer more comprehensive supporting facilities so that we can easily attract desirable companies.”
An artist’s illustration of the proposal for Lung Kwu Tan in Tuen Mun.
Ho added that the government would first reserve land for developing such industries, and relevant departments would consider the beneficial measures.
She said one of the directions in building the industrial park was to pass the sites to a public or private company, which could allocate plots and discuss with businesses about setting foot in the city.
Ho added that the government would allow flexibility on the planning of the sites to cater for possible changes in the future.
Under the proposal, 54 hectares of land are earmarked for green energy development, including setting up storage and production facilities for biodiesel and liquefied hydrogen.
Another 47 hectares are reserved for an advanced construction park to conduct testing and production as well as research and development of building technologies.
Thirty-two hectares of land are designated for developing a circular economy, including promoting recycling businesses and upcycling waste into value-added products.
A total of 41 hectares will be left for modern logistics uses, with most of the sites located in Tuen Mun West and near the Tuen Mun-Chek Lap Kok link that connects to Hong Kong airport.
Ho highlighted the project’s strategic position, noting that the area’s proximity to the airport could provide room for development for the logistics sector and promote e-commerce development.
I believe the cost is not low … I wonder if the government has crunched the numbers
Edward Lau Kwok-fan, legislator
Some lawmakers also questioned whether the government had sufficient capital to bring the project forward, especially when the development involves reclaiming 190 hectares of land.
“I believe the cost is not low. Especially when the government has many plans to build infrastructure and resume land in the Northern Metropolis, I wonder if the government has crunched the numbers,” legislator Edward Lau Kwok-fan said.
The Northern Metropolis is a megaproject that aims to turn 30,000 hectares (74,130 acres) of land close to the city’s border with mainland China into an economic powerhouse and a housing hub.
Ho said she understood the government’s financial situation but would proceed with the project once the financial arrangements were settled, adding that authorities would “spend when necessary”.
The bureau earlier said the government was open to any financing model for the project, but it would take up the responsibility for development if it could not find any suitable model for the private market to participate.
The government, which is grappling with a large deficit, on Monday announced the withdrawal of tenders for two sites in the Northern Metropolis initially earmarked for multi-storey buildings for modern industries.
Authorities attributed the decision to “strengthen the government’s leading role and accelerate the anchoring of industries”.
