Business confidence in Hong Kong has reached its highest level in two years, with more than half the companies polled by the American Chamber of Commerce in the city expressing optimism about their outlook for 2026, noting that geopolitical tensions had largely stabilised.
However, the chamber’s survey also found that 43 per cent of respondents ranked “overseas public perception” of Hong Kong among the top business challenges, while 62 per cent cited “perceived lack of differentiation” between the city and mainland China as having a major impact on their operations.
The poll showed that 53 per cent of around 110 respondents were either “optimistic” or “very optimistic” about their business prospects over the next 12 months – “a notable increase from last year”, when the figure stood at only 33 per cent.
A key factor behind this shift was the perception that Sino-US relations were stabilising, according to the chamber, which has more than 450 corporate members, including those based outside the United States.
Although geopolitical tensions remained a concern for 59 per cent of firms, only 11 per cent expected further deterioration in 2026 – a 56 per cent drop compared with those who feared a decline last year. Instead, 57 per cent anticipated the relationship would remain steady, providing a more predictable environment for corporate planning.
“Hong Kong stands at a pivotal crossroads, where optimism meets caution,” the report said. “As we navigate through complexities – ranging from geopolitical tensions to shifting economic perceptions – businesses in Hong Kong are adapting with a blend of cautious optimism and strategic foresight.”
Beyond geopolitical tensions and overseas perceptions, 44 per cent of respondents identified the slowing Chinese economy as another major business challenge.
