Hong Kong has strengthened its position as a key gateway for China’s artificial intelligence supply chain, as demand for semiconductors continues to accelerate across Asia. Bloomberg’s review of official data found that Hong Kong accounted for more than half of China’s $239 billion chip imports in the first five months of 2026, marking a record share compared with roughly one-third a decade earlier. The city’s free-port status, strong air cargo network and easier payment infrastructure have made it an attractive middleman for high-value, time-sensitive chip shipments moving into mainland China.
The AI trade boom is becoming a major growth driver for Hong Kong’s economy. HSBC economists estimate that AI-related trade within Asia has nearly doubled from pre-pandemic levels to almost $2 trillion in 2025, while Oxford Economics said Hong Kong exported almost $159 billion of AI-related goods last year, ranking fifth in Asia and ahead of Japan. Between January and May, Hong Kong re-exported $124 billion of semiconductors to mainland China, representing 52% of China’s total chip imports. AI-related electronics now account for 57% of Hong Kong’s exports, up from 44% in 2024, while Barclays estimates the share could be as high as 70%.
This development could reinforce Hong Kong’s role as a critical trading and financial hub in the AI era, even as geopolitical risks remain. Since U.S. restrictions on advanced chip access tightened, Hong Kong has increased purchases of American-made semiconductors, likely focused on products outside the restrictions and often sourced through third countries. Mainland companies may continue using Hong Kong because the city can make payments and currency conversion easier than dealing directly with foreign suppliers. In May alone, Hong Kong absorbed more than $40 billion of Chinese exports, the highest monthly total since 2015, with semiconductors accounting for more than one-third of that export value.