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SCMP Series
Top 10 most-read Letters to the Editor 2020
10 of 10
1
China’s coronavirus numbers just don’t seem to add up
A worker walks among beds in a convention centre that has been converted into a temporary hospital in Wuhan, Hubei, on February 4. Photo: AP
2
What is China not telling us about the novel coronavirus?
A woman walks past statues wearing face masks, as the snow falls in Beijing on February 5. Photo: AP
3
Singapore deserves to be blamed for failing migrant workers
Migrant workers wear masks while queuing at a meal distribution point in the Little India district of Singapore on May 6. Photo: EPA-EFE
4
Could Singapore offer migrant workers a path to citizenship?
Migrant workers wait in line at a meal distribution point in the Little India district of Singapore, on May 6. A majority of Singapore’s Covid-19 cases are from the foreign worker community, who live in crowded dormitories. Photo: EPA-EFE
5
Does Chinese arrogance make some people turn against them?
Chinese tourists take souvenir photos with the national flag on Quanfu, one of the Paracel Islands, in Sansha prefecture of Hainan province in the South China Sea, in September 2014. Photo: AP
6
What I know about Lee Suet Fern
Lee Suet Fern (far left) and other family members of the late Lee Kuan Yew arrive with his portrait at the start of the state funeral at the University Cultural Centre in Singapore on March 29, 2015. Photo: AP
7
Singapore is now home, but Hong Kong is where the heart is
The people of Hong Kong left an indelible mark with their silent, stoic belief in doing the right thing the right way. Photo: Winson Wong
8
Three ways for China to win back the world’s trust
A security officer walks past a display at the PT Expo in Beijing last October. Photo: AP
9
Lee Kuan Yew was proof autocratic government can be good
Founding prime minister Lee Kuan Yew addresses delegates at the Global Brand Forum in Singapore in August 2004. Lee was autocratic but revered as a statesman and nation builder. Photo: AFP
10
Cathay fate shows how Hong Kong is now toxic for businesses
Hong Kong’s popular tourist and shopping district of Tsim Sha Tsui on October 17. Photo: AFP
Hong Kong’s popular tourist and shopping district of Tsim Sha Tsui on October 17. Photo: AFP
OpinionLetters

Letters | Cathay Pacific events show how Hong Kong has gone from world’s freest economy to a toxic place to do business

  • The shock resignations of the CEO and chairman of Hong Kong’s flagship carrier within the space of weeks sent a chilling message to other businesses
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Hong Kong used to enjoy a very special place in the sun as the darling of ranking tables, with titles such as the “world’s freest economy” and “most business-friendly city”. It was regularly held up as an entrepreneurial haven and a hands-off business playground. How the times have changed.

While clinging desperately to government claims of commitment to the rule of law, the city has been rocked by far more vicious forms of restrictions to doing business.

As witnessed in Hong Kong flagship carrier Cathay Pacific’s eviction of its CEO Rupert Hogg on August 16 and just weeks later of chairman John Slosar, clearly because they refused to limit their employees’ freedom of speech, guaranteed by Hong Kong’s mini-constitution.

Businesses who choose to operate in Hong Kong now have to contend with a new form of “economic bullying”.

It goes like this: You want to do business in Hong Kong? Be prepared to bend or bury your values and principles, and comply with the Communist Party of China’s rules.

Swire Pacific, Cathay’s biggest shareholder, did so in a flash to protect their business interests in Hong Kong and in mainland China, regardless of moral rectitude.

Already, for fear of retribution, investment banks dare not cover subjects in their research which may make the Communist Party unhappy, such as the Hong Kong pro-democracy protests.

 To do so would make these banks vulnerable to accusations from the obedient state media of offending the feelings of Chinese people.
UBS was shut out of advising on a large bond deal by one of China’s biggest state-owned companies after a star economist’s remarks about a swine fever outbreak, which turned out to be remarkably prescient.

No wonder then, that a silent exodus of capital and brains away from Hong Kong is now under way. Steadily and relentlessly, accounts are being opened in Singapore. But almost no businesses will dare speak about it on the record for fear of economic bullying.

The fundamental effects, however, will become increasingly apparent in the months ahead. Hong Kong is now a toxic place to do business.

Jason Cheng, Mid-Levels

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