Hong Kong emerges as a key link in China’s quantum technology plans despite US restrictions

More Articles

Tejaswini Deshmukh
Tejaswini Deshmukh
Tejaswini Deshmukh is the contributing editor of RegTech Times, specializing in defense, regulations and technologies. She analyzes military innovations, cybersecurity threats, and geopolitical risks shaping national security. With a Master’s from Pune University, she closely tracks defense policies, sanctions, and enforcement actions. She is also a Certified Sanctions Screening Expert. Her work highlights regulatory challenges in defense technology and global security frameworks. Tejaswini provides sharp insights into emerging threats and compliance in the defense sector.

Hong Kong is facing growing pressure from the United States as it becomes the most sanctioned region linked to China. More than 300 entities connected to the city have been placed on US blacklists. These actions are part of wider efforts to slow China’s progress in advanced technologies such as quantum computing, artificial intelligence, and semiconductors.

A recent study found that Hong Kong has around 340 sanctioned entities, more than any other region in China. It is followed by Guangdong, Beijing, and Shanghai. Researchers say this is mainly because Hong Kong has long been an international trade hub. It serves as a key link between China and global markets, making it a major target for export controls.

The US government has stated that these restrictions are linked to national security concerns. It believes some entities may be connected to sensitive or military-related work. As a result, several companies and research groups involved in advanced technologies have been added to restriction lists.

Despite this, the Innovation, Technology and Industry Bureau has said the sanctions will not stop Hong Kong’s plans. Officials have also warned that such actions could disrupt global supply chains and impact US businesses. The city has reaffirmed its goal of building a strong technology sector and expanding global partnerships.

US signals 50% tariff risk for China over Iran arms concerns and suggests oil trade shift

Building a Cross-Border Quantum Technology Hub

A major part of this strategy is the Hetao Shenzhen-Hong Kong Science and Technology Innovation Cooperation Zone. This cross-border project connects Hong Kong with Shenzhen and aims to create a powerful innovation ecosystem.

The Hong Kong section of the zone officially opened recently. It already hosts over 70 companies and institutions from mainland China, Hong Kong, and overseas. Many of these organisations focus on areas such as artificial intelligence, data science, and quantum computing.

Officials say the zone is designed to boost collaboration and research. Plans are being discussed to improve cross-boundary data transfer between the two sides. This would allow faster sharing of information and better coordination between research teams.

Hong Kong is also supporting innovation through initiatives like InnoHK. These programs aim to attract global talent and strengthen research capabilities. New state-backed laboratories have been launched, including those focused on quantum materials and quantum information technologies.

China and Russia use double veto to block UN resolution on Strait of Hormuz safety

China’s Push for Self-Reliant Quantum Technology

China is working to build a complete and independent system for quantum computing. This includes developing key technologies such as quantum chips, operating systems, control systems, and algorithms.

According to Guo Guoping, a leading expert in the field, the goal is to create a system that is self-controlled, scalable, and ready for industrial use. He is associated with Origin Quantum, which developed one of China’s home-grown quantum computers. The company, along with several other Chinese institutions, has been added to US restriction lists.

Guo Guangcan is also linked to the founding of this company, reflecting broader efforts in the sector. The US has stated that some of these entities may be attempting to acquire American technology to enhance their capabilities.

At the same time, China is increasing collaboration between mainland regions and Hong Kong. The cross-border zone is seen as a key platform to connect domestic quantum technology with global networks. This includes joint research projects, sharing application results, and exporting computing capabilities.

Hong Kong authorities have said they will continue to support quantum technology development and global cooperation. Efforts are ongoing to build a resilient and diversified ecosystem that does not depend on any single market. Discussions with central authorities are also underway to introduce measures that improve cross-border data flow within the innovation zone.

Latest