Hong Kong warns US against revoking special status, says it could backfire

Hong Kong warned the United States that the withdrawing special status of the financial hub will be a “double-edged sword” which will harm US’ financial interests. US Secretary of State Mike Pompeo had notified the Congress that Hong Kong does not continue to warrant special status in trade relations after China’s National People’s Congress (NPC) proposed national security legislation, which has now been approved by the parliament.

Hong Kong government highlighted that around 1,300 US firms were based in the city, adding that the US trade surplus of $297 billion with Hong Kong, from 2009 to 2018, was the biggest among their trading partners. It asserted that any sanctions are a double-edged sword that will not only harm the interests of Hong Kong but also significantly those of the US.

Beijing has also raised a strong objection to Pompeo’s comment saying Hong Kong is a special administrative region of China and it will not allow any external interference. The Chinese embassy in the United States said in a statement on May 29 that “internal and external hostile forces” are trying to use Hong Kong to split the country, subverting the government, carry out terrorist acts and interfere in the affairs of the semi-autonomous region.

“Hong Kong has become a notable source of risk to China’s national security. The Central Government, which shoulders the primary and ultimate responsibility for upholding national security, cannot just sit by and do nothing,” said the embassy.

Read: Chinese Embassy Issues Statement On US Interference Over China's Security Law On Hong Kong

Warns of 'necessary countermeasures'

The Chinese embassy further stated that NPC’s decision on national security law targets “a very narrow category of acts” that seriously jeopardise the country’s security and has no impact on Hong Kong's high degree of autonomy and interests of foreign investors. It claimed that the law will provide a fundamental guarantee for the effective implementation of "One Country Two Systems".

“As for foreign meddling in Hong Kong affairs, we will take necessary countermeasures in response,” warned the embassy.

Read: US, China Fight At UN After Beijing Opposes Security Council Meet Over Hong Kong