Tag Archives: China

Keynote speech by PSITI at LSCM Logistics Summit 2026 (English only) (with photo)

     Following is the keynote speech by the Permanent Secretary for Innovation, Technology and Industry, Mr Kevin Choi, at the LSCM Logistics Summit 2026 today (October 14):

Deputy Chief Secretary for Administration, Mr Cheuk Wing-hing, Alan (Chairman of the Board of Directors of the Logistics and Supply Chain MultiTech R&D Centre (LSCM), Professor Alan Lam), Sunny (Chairman of the Board of Directors of the San Tin Technopole Company Limited, Dr Sunny Chai), Mr Mei (Group Senior Vice President and President of the Overseas Enterprise Business of ZTE Corporation, Mr Mei Zhonghua), Mr Yang (Director and Executive Vice President of China Mobile Hong Kong Co Ltd, Mr Yang Qian), distinguished guests, industry leaders, ladies and gentlemen,

     Good morning. I am most honoured to join you at the LSCM Summit today to celebrate the centre’s 20th anniversary, and its contribution to Hong Kong’s technological evolution.

     LSCM was initially established to support the development of Hong Kong’s logistics sector. Nowadays, logistics is not just about moving goods through sea, air, and land routes. It is the management of complex, interconnected systems in a volatile global environment shaped by shifting geopolitics and accelerating cross-border e-commerce. In addition to our world-class freight infrastructure and systems, efficiency must be paired with agility through technology deployment: supply chains must be resilient to disruption, end-to-end visible, environmentally sustainable, and powered by intelligent, real-time decision-making systems that enable instant operational pivots. Achieving this level of transformation requires the adoption of innovation and technology (I&T).

     Last month, the Chief Executive announced both our city’s first-ever Five-Year Plan and the 2026 Policy Address, setting out clear targets for a new paradigm for the development of I&T, reaffirming our unwavering commitment to becoming an international I&T hub.

     For example, the rise of AI is impacting almost every aspect of our lives including modern supply chains and cybersecurity management, and computing power is a core engine for the development of AI. To ensure Hong Kong has this vital fuel for AI development, the construction works of the Sandy Ridge Data Facility Cluster have begun. By 2032, the computing power of the cluster is expected to reach a level equivalent to 36 times Hong Kong’s current computing power. This represents our solid and unwavering support to the development of the intelligent computing industry. With a cumulative investment expected to reach at least $23.8 billion, Sandy Ridge will provide the robust infrastructure that allows our enterprises to deploy advanced AI models. In future, companies in the sector can run real time global supply chain simulations under secure and reliable IT (information technology) systems, and process complex predictive analytics in a timely manner.

     As we deploy more cloud platforms, connected sensors, automation systems, and AI-driven decision tools across the logistics chain, cybersecurity management becomes an essential enabler, not an afterthought. The same connectivity that improves visibility and speed also expands the cyber threat surface. From ransomware and data leakage to tampering with operational systems, cyber risks can directly disrupt logistics operations, compromise customer trust, and undermine compliance. That is why secure-by-design architecture, resilient networks, and robust identity and access management are indispensable. We also need to strengthen incident response capabilities, supply-chain risk assessment, and continuous monitoring so that enterprises can detect, contain, and recover quickly, maintaining business continuity even under attacks. I encourage you to join the afternoon session of today’s Summit, where my colleagues of the Digital Policy Office will share more expertise in this regard.

     While digital infrastructure and computing power are crucial to the sector’s development, smart robotics and automation are other essential elements. In a city like Hong Kong where warehouse space is premium, modern warehouses have to shift into a highly automated ecosystem where autonomous mobile robots, automated guided vehicles, and robotic picking arms work side by side with human operators. These robotic technologies are drastically reducing order cycle times, optimising vertical storage space, and eliminating human error in high-velocity sorting environments.

     In this regard, many of you are aware that the Government has established the AIR@InnoHK as a dedicated research cluster focused on AI and robotics technologies. To further our efforts, we have successfully facilitated the United Nations Industrial Development Organization to establish its first centre of excellence on global advanced manufacturing in the Asia-Pacific region in Hong Kong, with a focus on the fields of AI+ manufacturing, robotics, new energy and industrial design.

     Yet, hardware and computing power are only part of the solution. We also need a vibrant ecosystem where technology is researched, tested, and tailored for practical business applications, including cybersecurity technologies and solutions that are fit for logistics operations. Under the “north-central-south” spatial layout, the development of our three major I&T parks, namely the Hong Kong Park of the Hetao Shenzhen Hong Kong Science and Technology Innovation Co-operation Zone and the San Tin Technopole, the Science Park, and Cyberport, will establish a truly global industry academia research collaborative innovation platform. Working together with the industries, our top-class universities and different public research and development (R&D) centres, Hong Kong will become a globally competitive advanced R&D centre and pilot production and transformation base for technology industries, benefitting all of us here today.

     In parallel, we are solving the historic constraint of physical space. The Northern Metropolis provides a vast amount of new land, directly driving Hong Kong’s evolution into an I&T centre under the new “South-North dual engine (finance-IT/I&T)”. Within the Northern Metropolis, there will be industrial space designed for prototyping, pilot and mass production. For the logistics and supply chain sector, this offers a very good opportunity for the physical integration of advanced manufacturing and high-end logistics. Enterprises can actively utilise the New Industrialisation Support Scheme to turn R&D outcomes into reality. This includes funding and support for setting up brand new, state-of-the-art smart production lines right within the Northern Metropolis. When you pair smart production lines with automated, AI-driven facilities in the same geographical area, you eliminate transit friction, slash lead times, and create a highly responsive domestic supply chain network.

     With proximity to the Guangdong-Hong Kong-Macao Greater Bay Area (GBA), the Chinese Mainland’s powerhouse for innovation and economic growth, the Northern Metropolis occupies a vital strategic position in the region. By aligning our local technological frameworks with the industrial mass of the GBA, we are building a seamless, highly integrated ecosystem. Looking ahead, after 2030, we are expecting Hong Kong as an international I&T centre based in the GBA, serving the entire country and deeply connected to the world.

     Finally, please once again accept my warmest congratulations to LSCM on its 20th anniversary. I wish you all a highly productive, successful and inspiring Summit.

     Thank you very much.

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LCQ9: Licensing and regulatory regime for massage establishments

     Following is a question by the Hon Leung Man-kwong and a written reply by the Secretary for Security, Mr Tang Ping-keung, in the Legislative Council today (October 14):
 
Question:
 
     It is reported that massage services advertised with terms such as “foot fetish” and “face-stepping” have proliferated in the community in recent months. There are views that the promotional content and business models of such services cause nuisance to the nearby communities and have aroused public concerns about the possible involvement of such premises in illegal sex trade. However, as these premises only provide localised massage services on body parts such as feet and face, they are currently not regulated under the licensing regime of the Massage Establishments Ordinance. In this connection, will the Government inform this Council:
 
(1) of the respective number of inspections of and law enforcement actions against massage establishments conducted by the Government in each of the past three years; among such cases, the number of those involving premises providing localised massage services on body parts such as feet and face; and the number of prosecutions brought against and convictions of the owners or operators of such premises for alleged offences under the Crimes Ordinance;
 
(2) whether the Government will consider amending the Massage Establishments Ordinance, including changing the licensing threshold for massage establishments from being defined by “body parts” to taking into account the nature and context of services, so as to comprehensively regulate all massage premises suspected of providing pornographic services; and
 
(3) as it is reported that the aforesaid premises carry out promotional and solicitation activities through online social media platforms and discussion forums using terms such as “unusual fetishes” and “sexual innuendo”, whether the Government will strengthen interdepartmental intelligence gathering and law enforcement in the future to combat such promotional activities; if so, of the details; if not, the reasons for that?

Reply:
 
President,
 
     The Massage Establishments Ordinance (Cap. 266) aims to regulate massage establishments through a licensing regime in order to prevent and combat vice or illegal prostitution activities committed by criminals in these establishments. The Ordinance was amended in 2001 to narrow the regulatory scope so that only massage premises offering full-body massage (i.e. covering that part of the body below the shoulders and above the knees) to customers of the opposite sex are required to obtain a licence, with a view to striking a proper balance between controlling vice activities and not hindering legitimate massage businesses.
      
     Under the Ordinance, any person who operates, keeps, manages, assists in any capacity in the operation of, or assists in the management of, a massage establishment for the operation of which a licence is not in force commits an offence and is liable to a fine of $50,000 and imprisonment for six months on first conviction, and a fine of $100,000 and imprisonment for two years on subsequent conviction.
 
     My reply to the questions raised by the Member is as follows:

(1) The Hong Kong Police Force (HKPF) conducts regular surprise inspections of licensed massage establishments under section 11(1) of the Ordinance to combat vice activities or premises in breach of relevant licensing conditions. If a licensee breaches any licensing condition, or ceases to satisfy any condition relating to the operation of a massage establishment as prescribed in the Ordinance, the HKPF may, depending on the circumstances, issue a warning or consider revoking, suspending or refusing to renew the licence. 

     The HKPF will take resolute law enforcement actions against any premises involved in illegal activities, including those suspected of operating unlicensed massage establishments. For instance, in July this year, the Sham Shui Po District of the HKPF, acting on intelligence, conducted a surprise inspection and cracked down an unlicensed massage establishment in Cheung Sha Wan which advertised so-called “barefoot facial” massage. Two persons were arrested on suspicion of “operating an unlicensed massage establishment” and “assisting in the management of an unlicensed massage establishment”. The case is currently under investigation.
      
     The relevant statistics of the HKPF’s efforts against unlicensed massage premises over the past three years are tabulated below:
 

Year Number of persons arrested Number of persons prosecuted Number of persons convicted
2024 114 13 13
2025 65 11 11
2026
(as at end-August)
17 2 1 (another prosecution case is under trial)

     The above figures include arrests made in respect of offences including “prohibition on operating etc. massage establishment without a licence” under section 4 of the Ordinance, “keeping a vice establishment” under section 139 of the Crimes Ordinance (Cap. 200), “breach of condition of stay” and “offence to be employer of a person who is not lawfully employable” under section 41 and section 17I respectively of the Immigration Ordinance (Cap. 115). The HKPF does not maintain information on the types of services provided by the premises involved.

(2) The HKPF has all along been committed to combating all forms of illegal prostitution activities. In respect of premises suspected of providing pornographic services, regardless of whether they hold a licence issued under the Ordinance, section 139 of the Crimes Ordinance (Cap. 200) (“keeping a vice establishment”) provides that any person who keeps any premises, vessel or place as a vice establishment; or manages or assists in the management, or is otherwise in charge or control, of any premises, vessel or place kept as a vice establishment, shall be guilty of an offence and shall be liable on conviction to a maximum penalty of imprisonment for ten years. 

     As mentioned above, the Government amended the Ordinance in 2001 to narrow the regulatory scope, including specifically stipulating that only massage establishments offering full-body massage to customers of the opposite sex are required to obtain a licence, and defining “full-body massage” as covering that part of the body below the shoulders and above the knees. The Government currently has no plan to amend the licensing threshold under the Ordinance. The HKPF will continue to closely monitor the modes of operation of massage premises using different descriptions to attract customers, and take resolute law enforcement actions against any premises involved in illegal activities, including those providing pornographic services.

(3) On intelligence gathering and law enforcement against illegal activities involving prostitution, the HKPF, apart from patrolling black spots, conducts intelligence-led operations, including deploying officers to disguise as customers to collect evidence and strengthening inspection of suspicious premises. The HKPF also adopts an interdepartmental collaboration strategy by conducting joint enforcement actions with relevant departments (including the Labour Department and the Immigration Department) to combat the offences concerned. At the same time, the HKPF will continue to closely monitor the trend of using websites and online social media platforms to conduct illegal prostitution activities, and gather intelligence via online channels to facilitate the deployment of targeted enforcement actions. 

     The Government will continue to monitor market developments, including the modes of operation of massage establishments, and review the effectiveness of the implementation of the Ordinance on an ongoing basis. The Government will remain committed to preventing and combating the use of massage premises by criminals for vice and illegal prostitution activities, while not hindering the operation of legitimate massage businesses. read more

LCQ9: Licensing and regulatory regime for massage establishments

     Following is a question by the Hon Leung Man-kwong and a written reply by the Secretary for Security, Mr Tang Ping-keung, in the Legislative Council today (October 14):
 
Question:
 
     It is reported that massage services advertised with terms such as “foot fetish” and “face-stepping” have proliferated in the community in recent months. There are views that the promotional content and business models of such services cause nuisance to the nearby communities and have aroused public concerns about the possible involvement of such premises in illegal sex trade. However, as these premises only provide localised massage services on body parts such as feet and face, they are currently not regulated under the licensing regime of the Massage Establishments Ordinance. In this connection, will the Government inform this Council:
 
(1) of the respective number of inspections of and law enforcement actions against massage establishments conducted by the Government in each of the past three years; among such cases, the number of those involving premises providing localised massage services on body parts such as feet and face; and the number of prosecutions brought against and convictions of the owners or operators of such premises for alleged offences under the Crimes Ordinance;
 
(2) whether the Government will consider amending the Massage Establishments Ordinance, including changing the licensing threshold for massage establishments from being defined by “body parts” to taking into account the nature and context of services, so as to comprehensively regulate all massage premises suspected of providing pornographic services; and
 
(3) as it is reported that the aforesaid premises carry out promotional and solicitation activities through online social media platforms and discussion forums using terms such as “unusual fetishes” and “sexual innuendo”, whether the Government will strengthen interdepartmental intelligence gathering and law enforcement in the future to combat such promotional activities; if so, of the details; if not, the reasons for that?

Reply:
 
President,
 
     The Massage Establishments Ordinance (Cap. 266) aims to regulate massage establishments through a licensing regime in order to prevent and combat vice or illegal prostitution activities committed by criminals in these establishments. The Ordinance was amended in 2001 to narrow the regulatory scope so that only massage premises offering full-body massage (i.e. covering that part of the body below the shoulders and above the knees) to customers of the opposite sex are required to obtain a licence, with a view to striking a proper balance between controlling vice activities and not hindering legitimate massage businesses.
      
     Under the Ordinance, any person who operates, keeps, manages, assists in any capacity in the operation of, or assists in the management of, a massage establishment for the operation of which a licence is not in force commits an offence and is liable to a fine of $50,000 and imprisonment for six months on first conviction, and a fine of $100,000 and imprisonment for two years on subsequent conviction.
 
     My reply to the questions raised by the Member is as follows:

(1) The Hong Kong Police Force (HKPF) conducts regular surprise inspections of licensed massage establishments under section 11(1) of the Ordinance to combat vice activities or premises in breach of relevant licensing conditions. If a licensee breaches any licensing condition, or ceases to satisfy any condition relating to the operation of a massage establishment as prescribed in the Ordinance, the HKPF may, depending on the circumstances, issue a warning or consider revoking, suspending or refusing to renew the licence. 

     The HKPF will take resolute law enforcement actions against any premises involved in illegal activities, including those suspected of operating unlicensed massage establishments. For instance, in July this year, the Sham Shui Po District of the HKPF, acting on intelligence, conducted a surprise inspection and cracked down an unlicensed massage establishment in Cheung Sha Wan which advertised so-called “barefoot facial” massage. Two persons were arrested on suspicion of “operating an unlicensed massage establishment” and “assisting in the management of an unlicensed massage establishment”. The case is currently under investigation.
      
     The relevant statistics of the HKPF’s efforts against unlicensed massage premises over the past three years are tabulated below:
 

Year Number of persons arrested Number of persons prosecuted Number of persons convicted
2024 114 13 13
2025 65 11 11
2026
(as at end-August)
17 2 1 (another prosecution case is under trial)

     The above figures include arrests made in respect of offences including “prohibition on operating etc. massage establishment without a licence” under section 4 of the Ordinance, “keeping a vice establishment” under section 139 of the Crimes Ordinance (Cap. 200), “breach of condition of stay” and “offence to be employer of a person who is not lawfully employable” under section 41 and section 17I respectively of the Immigration Ordinance (Cap. 115). The HKPF does not maintain information on the types of services provided by the premises involved.

(2) The HKPF has all along been committed to combating all forms of illegal prostitution activities. In respect of premises suspected of providing pornographic services, regardless of whether they hold a licence issued under the Ordinance, section 139 of the Crimes Ordinance (Cap. 200) (“keeping a vice establishment”) provides that any person who keeps any premises, vessel or place as a vice establishment; or manages or assists in the management, or is otherwise in charge or control, of any premises, vessel or place kept as a vice establishment, shall be guilty of an offence and shall be liable on conviction to a maximum penalty of imprisonment for ten years. 

     As mentioned above, the Government amended the Ordinance in 2001 to narrow the regulatory scope, including specifically stipulating that only massage establishments offering full-body massage to customers of the opposite sex are required to obtain a licence, and defining “full-body massage” as covering that part of the body below the shoulders and above the knees. The Government currently has no plan to amend the licensing threshold under the Ordinance. The HKPF will continue to closely monitor the modes of operation of massage premises using different descriptions to attract customers, and take resolute law enforcement actions against any premises involved in illegal activities, including those providing pornographic services.

(3) On intelligence gathering and law enforcement against illegal activities involving prostitution, the HKPF, apart from patrolling black spots, conducts intelligence-led operations, including deploying officers to disguise as customers to collect evidence and strengthening inspection of suspicious premises. The HKPF also adopts an interdepartmental collaboration strategy by conducting joint enforcement actions with relevant departments (including the Labour Department and the Immigration Department) to combat the offences concerned. At the same time, the HKPF will continue to closely monitor the trend of using websites and online social media platforms to conduct illegal prostitution activities, and gather intelligence via online channels to facilitate the deployment of targeted enforcement actions. 

     The Government will continue to monitor market developments, including the modes of operation of massage establishments, and review the effectiveness of the implementation of the Ordinance on an ongoing basis. The Government will remain committed to preventing and combating the use of massage premises by criminals for vice and illegal prostitution activities, while not hindering the operation of legitimate massage businesses. read more