Cathay Pacific says government plans to develop a sustainable aviation fuel (SAF) industry chain and pursue new air services agreements in emerging markets will be critical in strengthening Hong Kong’s status as a global hub.
The carrier welcomed the measures announced in Hong Kong leader John Lee’s 2025 Policy Address on Sept. 17, pointing to opportunities to decarbonize operations and expand its international reach. Hong Kong International Airport (HKG) has also voiced its support.
The government has pledged to work with mainland Chinese authorities to establish a local SAF enterprise in the Greater Bay Area, including upstream raw material collection, production facilities and a blending site in Hong Kong. It said this would dovetail with the specified target SAF consumption ratio for flights departing HKG by 2030.
Cathay Group CEO Ronald Lam says the airline is encouraged by the move, given the pressure carriers are under to accelerate decarbonization. “SAF is widely considered by the industry to be the most important lever for decarbonizing aviation,” he says.
“We believe these initiatives will not only bolster the competitiveness of the Hong Kong international aviation hub, but also the availability and affordability of SAF. We are eager to continue working in tandem with the government and industry partners to advance the adoption and use of SAF in Hong Kong and beyond, and to support the industry’s transition to lower-carbon operations.”
Beyond sustainability, Hong Kong has broadened bilateral agreements with more than 10 aviation partners over the past two years, opening additional flights to markets including Australia and Turkey. Last month, it reached a consensus with Chile, laying the groundwork for its first air services agreement with the South American nation.
The government vowed to “forge more new air services agreements and expand traffic rights” with other nations, highlighting South America, Central Asia, Africa and the Middle East as priority target regions.
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“These will present significant opportunities for travel, business, trade and talent—closely aligned with Cathay’s goals to grow its network, elevate the customer experience and support Hong Kong’s continued development,” Lam says.
Airport Authority Hong Kong (AAHK) also welcomed the government’s commitment to pursuing new bilateral deals, noting it has successfully attracted Routes World to Hong Kong for the first time. The event takes place from Sept. 24-26.
Cargo is another focus of the government’s plans. HKG has been ranked the world’s busiest cargo hub 14 times since 2010, and the construction of a new logistics park in Dongguan is intended to strengthen that position by funneling more mainland shipments through the city’s network. AAHK says the facility, due to open in 2027, will be able to handle about 1 million metric tons annually.
Vivian Cheung, CEO of AAHK, says: “With the commissioning of the Three-Runway System last year, and the upcoming phased opening of the new Terminal 2, as well as the full-steam development of Skytopia, the airport has entered a new phase of expansion.”
HKG’s Skytopia project will include Hong Kong’s largest yacht marina with about 600 berths, part of a wider Airport City development strategy. In addition, AAHK is supporting government plans to expand gold storage capacity, positioning HKG as a regional reserve hub.
Both Cathay and AAHK also pointed to new measures to improve Greater Bay Area integration.
Starting in October, exemptions from the Air Passenger Departure Tax will be expanded to passengers transiting through Hong Kong by sea or land. A key initiative is the “Fly-Via-Zhuhai-Hong Kong” scheme, which enables travelers from Zhuhai and other mainland cities to check in at dedicated terminals before transferring to HKG flights via the Hong Kong–Zhuhai–Macau Bridge. The program will be extended to more cities.
“These steps will offer greater choice and more seamless connections to passengers traveling to and from Hong Kong across the wider region,” Lam says.
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