On January 18, 2006, the Hong Kong Association of Southern California along with the Foreign Trade Association of Southern California, Hong Kong Economic & Trade Office and Hong Kong Trade Development Council organized a luncheon featuring a presentation titled "Hong Kong - Your Premier Intermodal Logistics Hub" by Ms. Sandra Lee at the Long Beach Coast Hotel. Lee is Permanent Secretary for Economic Development of the Government of the Hong Kong Special Administrative Region.

At her briefing, Lee focused on the role of Hong Kong as an important logistics hub for China and the region. 28% of China's total international trade was routed through Hong Kong making it a key player in the global supply chain.

Meeting the new demand in procurement, transport and distribution of raw materials and finished products, Hong Kong is also the global sourcing centre for industry leaders such as Carrefour, McDonald Fast Food Chain, Woolworths and Target from Asia. Hong Kong was also serving big names like Addidas, Lafuma sports wear, Ermeregilda Zegna and Louis Vuitton as their distribution hub.

With Hong Kong's state-of-the-art transportation system, 3.5 million tonnes of air cargo and 22.4 million TEU of sea frieght were handled in 2005 in addition to 19,000 goods vehicle crossing the Lok Ma Chau Control Point between Hong Kong and the mainland of China daily.

Logistics development in Hong Kong would offer eliable and best value-for-money service for US importers and open up business opportunities for professional logistics players. Currently in Mainland China, logistics costs make up 15% to 25% of total production costs, compared with less than 10% in the US and other OECD countries. Increasingly, as the China market continues to expand, professional logistics players in Hong Kong and around the world will have a bigger role to play. DHL, for example, has established its on-line Express Logistics Centre and Central Asia Hub in Hong Kong.

Within five hours’ flying time of half of the world’s population, Hong Kong is at the heart of Asia and offers logistics clients quality service with reliable just-in-time delivery, a wide range of choices in transportation modes and schedules, and a transparent and business-friendly environment.

To boost its logistics capabilities further, Hong Kong has an ambitious program to build more transport connections with Mainland China, launch an e-infrastructure to enhance information connectivity, and enhance support for R&D in IT-enabled logistics solutions. Under a landmark free-trade pact with the Chinese mainland, Hong Kong service providers enjoy access, in advance of counterparts from other WTO economies, to the mainland market in sectors including logistics, transport, freight forwarding and storage/warehousing. This seals Hong Kong’s economic partnership with Mainland China and entrenches its role as the premier gateway for international investors in China.