#China #Hangzhou #Tech Innovation #Hangzhou Investment #Hong Kong Cooperation

Strengthening Bonds: Hangzhou and Hong Kong's Cooperation

On September 22, 2026, a pivotal event unfolded at the Hong Kong Industry Cooperation Promotion Conference and the 9th Hangzhou-Hong Kong-Macao Development Exchange Conference. The conference served as a crucial platform aiming to deepen collaboration between Hangzhou and Hong Kong, particularly focusing on industrial partnerships and investment matching.

The gathering featured participation from key players, including several tech companies dubbed the "New Eight Steeds of Hangzhou"—Star.Vision, Sunrise, Rokid, Jinglianwen, Xynova, Nanocorechip, BIBO, and Bota Biosciences. These companies presented their latest technological innovations, such as advanced robotic hands and cutting-edge AI chips. Significantly, these presentations culminated in productive face-to-face discussions with major investment institutions like PAG, Goldman Sachs, Gaorong Ventures, and Bain Capital, exploring potential cooperation.

The motivation behind Hangzhou's engagement in this conference stems from its tech companies' aspirations for global expansion. The founder of BIBO, Liu Xiaohui, underscored the importance of capturing international markets, expressing plans for mass production of intelligent chassis for overseas clients by 2028. Utilizing investment from Hong Kong, BIBO aims to fast-track its cross-border mergers and acquisitions. Similarly, Xynova, which is already integrated with industrial capital, hopes to enhance connections with global industrial resources to expedite the deployment of dexterous technology.

But what advantages does Hong Kong offer to Hangzhou? Recent data illustrates that, in the initial eight months of 2026, Hangzhou emerged as the second-best city in China in terms of real foreign investment, notably attracting over 70% of this funding from Hong Kong. Economist Guan Qingyou analyzed the evolutionary stages of Hong Kong's capital in Hangzhou—starting from real estate, moving into industrial investment and now, tech innovation. He emphasized that the current technological era demands greater emphasis on capabilities and industrial advancement. According to him, “It’s not merely that Hangzhou relies on Hong Kong; Hong Kong, in turn, has an equal need for Hangzhou.”

Hangzhou now boasts the infrastructure necessary to cultivate scalable breakout tech companies, rendering it a preferred destination for investment from Hong Kong. International capital flows are increasingly directed toward Hangzhou's deep tech sectors. In 2025, high-tech industries constituted a significant portion—over 50%—of the foreign investment flowing into Hangzhou; this figure has since risen to more than 68% in the first half of 2026.

Moreover, Hangzhou enterprises are leveraging Hong Kong as a vital gateway for international business. For instance, Rokid plans to debut the world's first unattended self-service experience store at Harbour City in Hong Kong, while Leapmotor aims to utilize Hong Kong as a springboard for penetrating the Southeast Asian market swiftly with upgraded products.

Goldman Sachs has identified its role as a facilitator of international market access for Hangzhou companies, helping them navigate and establish relationships with customers in Europe and the U.S.

The synergy between industrial demand and financial needs continues to fuel tangible collaboration efforts between Hangzhou and Hong Kong. To this end, the Hangzhou Municipal People's Government and the Hong Kong Trade Development Council have collaboratively established a framework comprising 'one platform, two centers, and one fund'. More than a year into operation, the technology transfer center in Hangzhou and the innovation incubation center in Hong Kong have successfully facilitated the launch and transformation of 43 cooperative projects.

As tangible cooperation channels between Hangzhou and Hong Kong continue to expand, the city of Hangzhou, devoid of direct access to the sea, appears to have indeed discovered its own