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OFFICIAL RECORD of PROCEEDINGS Thursday, 8 July 2021 the Council Continued to Meet at Nine O'clock

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OFFICIAL RECORD of PROCEEDINGS Thursday, 8 July 2021 the Council Continued to Meet at Nine O'clock LEGISLATIVE COUNCIL ― 8 July 2021 8047 OFFICIAL RECORD OF PROCEEDINGS Thursday, 8 July 2021 The Council continued to meet at Nine o'clock MEMBERS PRESENT: THE PRESIDENT THE HONOURABLE ANDREW LEUNG KWAN-YUEN, G.B.M., G.B.S., J.P. THE HONOURABLE ABRAHAM SHEK LAI-HIM, G.B.S., J.P. THE HONOURABLE TOMMY CHEUNG YU-YAN, G.B.S., J.P. THE HONOURABLE JEFFREY LAM KIN-FUNG, G.B.S., J.P. THE HONOURABLE WONG TING-KWONG, G.B.S., J.P. THE HONOURABLE STARRY LEE WAI-KING, S.B.S., J.P. THE HONOURABLE CHAN HAK-KAN, S.B.S., J.P. THE HONOURABLE CHAN KIN-POR, G.B.S., J.P. DR THE HONOURABLE PRISCILLA LEUNG MEI-FUN, S.B.S., J.P. THE HONOURABLE MRS REGINA IP LAU SUK-YEE, G.B.M., G.B.S., J.P. THE HONOURABLE FRANKIE YICK CHI-MING, S.B.S., J.P. THE HONOURABLE YIU SI-WING, S.B.S. THE HONOURABLE MA FUNG-KWOK, G.B.S., J.P. 8048 LEGISLATIVE COUNCIL ― 8 July 2021 THE HONOURABLE CHAN HAN-PAN, B.B.S., J.P. THE HONOURABLE LEUNG CHE-CHEUNG, S.B.S., M.H., J.P. THE HONOURABLE ALICE MAK MEI-KUEN, B.B.S., J.P. THE HONOURABLE CHRISTOPHER CHEUNG WAH-FUNG, S.B.S., J.P. THE HONOURABLE ELIZABETH QUAT, B.B.S., J.P. THE HONOURABLE MARTIN LIAO CHEUNG-KONG, G.B.S., J.P. THE HONOURABLE POON SIU-PING, B.B.S., M.H. THE HONOURABLE CHUNG KWOK-PAN THE HONOURABLE JIMMY NG WING-KA, B.B.S., J.P. DR THE HONOURABLE JUNIUS HO KWAN-YIU, J.P. THE HONOURABLE HOLDEN CHOW HO-DING THE HONOURABLE SHIU KA-FAI, J.P. THE HONOURABLE WILSON OR CHONG-SHING, M.H. THE HONOURABLE YUNG HOI-YAN, J.P. THE HONOURABLE CHAN CHUN-YING, J.P. THE HONOURABLE CHEUNG KWOK-KWAN, J.P. THE HONOURABLE LUK CHUNG-HUNG, J.P. THE HONOURABLE LAU KWOK-FAN, M.H., J.P. THE HONOURABLE KENNETH LAU IP-KEUNG, B.B.S., M.H., J.P. THE HONOURABLE TONY TSE WAI-CHUEN, B.B.S., J.P. LEGISLATIVE COUNCIL ― 8 July 2021 8049 MEMBERS ABSENT: THE HONOURABLE WONG KWOK-KIN, G.B.S., J.P. THE HONOURABLE PAUL TSE WAI-CHUN, J.P. THE HONOURABLE MICHAEL TIEN PUK-SUN, B.B.S., J.P. THE HONOURABLE STEVEN HO CHUN-YIN, B.B.S., J.P. THE HONOURABLE KWOK WAI-KEUNG, J.P. DR THE HONOURABLE CHIANG LAI-WAN, S.B.S., J.P. IR DR THE HONOURABLE LO WAI-KWOK, G.B.S., M.H., J.P. DR THE HONOURABLE PIERRE CHAN DR THE HONOURABLE CHENG CHUNG-TAI THE HONOURABLE VINCENT CHENG WING-SHUN, M.H., J.P. PUBLIC OFFICER ATTENDING: THE HONOURABLE EDWARD YAU TANG-WAH, G.B.S., J.P. SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT CLERK IN ATTENDANCE: MR MATTHEW LOO, ASSISTANT SECRETARY GENERAL 8050 LEGISLATIVE COUNCIL ― 8 July 2021 MEMBERS' OTHER MOTIONS PRESIDENT (in Cantonese): Member's motion with no legislative effect. Mr Martin LIAO will move a motion on "Actively seizing the opportunities arising from the country's new development pattern featuring 'dual circulation' to revitalize the post-pandemic economy". Members who wish to speak please press the "Request to speak" button. I now call upon Mr Martin LIAO to speak and move the motion. MOTION ON "ACTIVELY SEIZING THE OPPORTUNITIES ARISING FROM THE COUNTRY'S NEW DEVELOPMENT PATTERN FEATURING 'DUAL CIRCULATION' TO REVITALIZE THE POST-PANDEMIC ECONOMY" MR MARTIN LIAO (in Cantonese): President, I am very grateful to Mr WONG Ting-kwong for proposing a motion yesterday, which enabled this Council to have an in-depth discussion on the opportunities brought by the 14th Five-Year Plan. My following motion also has an inextricable connection with the 14th Five-Year Plan because the guiding principles and strategic directions of the 14th Five-Year Plan are essentially about "dual circulation", i.e. accelerating the establishment of a new development pattern featuring domestic and international "dual circulation", which takes the domestic market as the mainstay while enabling domestic and foreign markets to interact positively with each other. The new development pattern of "dual circulation" spans beyond the medium and long-term strategies for the 14th Five-Year Plan period. Our country has made this strategic arrangement to seize the initiative for future development, taking into account the increasingly complicated international environment, and the development situation and stage of the Chinese economy. Simply put, this new development pattern endeavours to unleash the domestic demand potential by generating new demand with innovation-driven development and high-quality supply. This will ensure the sustainable development of a gigantic domestic market, with domestic circulation serving as the main driving force to sustain the domestic economic development. At the same time, the country will pursue high-level opening up to the outside world to LEGISLATIVE COUNCIL ― 8 July 2021 8051 provide more extensive market opportunities worldwide. This will strengthen the leading role of domestic circulation in "dual circulation", while attracting products, resources and materials from all over the world to China and giving our country new edges in international cooperation and competition, thereby creating a new win-win situation under the principle of extensive consultation, joint contribution and shared benefits, and driving the recovery of the global economy. President, the establishment of the new development pattern of "dual circulation" is a systematic and deep-level reform concerning the overall situation of the country. How much do Hong Kong people know about this new national strategy? How should Hong Kong give play to our positioning in this new development, leverage the unique advantages under "one country, two systems", play an active part in establishing this new development pattern, and take this opportunity to break our development bottleneck? Can various industries and sectors of Hong Kong seize these major historic opportunities? How can we enable members of the public, especially young people, to find suitable development pathways by embracing these opportunities? All these very much depend on the SAR Government to assume a leading role by offering appropriate support and serving as a connector as well as a facilitator. President, Hong Kong and the Motherland are closely related and mutually dependent. The future strategic positioning of Hong Kong also hinges on "dual circulation". The COVID-19 pandemic has greatly accelerated the changes in the international landscape and reinforced the trend of deglobalization, leading to the restructuring of the industrial chain and a plunge in international trade and investment. According to the figures from the Organisation for Economic Co-operation and Development, the global foreign direct investment flows recorded a significant year-on-year decline of nearly 40% last year amid the pandemic, but China, one of the few major economies which bucked the trend and registered growth, overtook the United States as the top destination for foreign direct investment worldwide. Meanwhile, protectionism and unilateralism have emerged in some countries, and geopolitical risk is on the rise. In an attempt to suppress China, some countries even keep seeking excuses to blatantly interfere in China's internal affairs and impose "unilateral and long-arm sanctions" against the international laws. As Hong Kong cannot be spared from the current jockeying between great powers, "dual circulation" is the path to "open up new opportunities under the changing circumstances". 8052 LEGISLATIVE COUNCIL ― 8 July 2021 "Dual circulation" is a diverse and multifaceted strategy. Moreover, expanding domestic demand is not only about boosting consumption, but also developing new form of consumption, digital consumption and green consumption, as well as education and training, medical and healthcare services, elderly and child care, culture, tourism, sports, service consumption, etc. Besides, it is also about promoting high-quality development, transforming traditional industries, developing strategic emerging industries, and accelerating the development of modern service industries. Considering the economic development pattern of all great powers, they all gradually shift their development focus from an externally oriented model to domestic circulation. Following many years of rapid export-driven growth, our country has entered a high-quality development phase. China boasts the world's largest industrial system, and a gigantic domestic sales market serving a 1.4 billion population which includes over 400 million middle-income individuals. It is undergoing a rapid development phase to achieve the new type of industrialization, informatization, urbanization, and agricultural modernization, offering huge potential for investment demand. Given its highly dynamic economy and geographical proximity to Hong Kong, the Guangdong-Hong Kong-Macao Greater Bay Area ("GBA") is undoubtedly the best entry point for our participation in the domestic circulation, which will cover the whole country. In this new chapter, all industries and sectors can realize their potential so long as they are capable and innovative. While Hong Kong's pillar industries will certainly thrive and prosper, our emerging sectors and innovation and technology industry will also hit a purple patch. They may support their GBA counterparts in the development of such industries as artificial intelligence and biomedical technology, thereby promoting economic transformation. Other industries and sectors such as cultural and creative industries, higher education, manpower training and medical services as well as Hong Kong's quality brands may also flourish in this huge market. Hong Kong is not only international financial, transportation and trade centres as well as a global offshore Renminbi business hub, but also the intersection point of domestic and international circulations under the "dual circulation" development pattern, thus connecting with regional economic communities such as the Association of Southeast Asian Nations, the Regional Comprehensive Economic Partnership, and the Belt and Road Initiative. We may strive to become a key hub for the "dual circulation" strategy by leveraging our advantages under "one LEGISLATIVE COUNCIL ― 8 July 2021 8053 country, two systems".
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