In this file photo dated March 24, 2022, people walk past the Hozon Neta V electric car at the Bangkok International Motor Show in Bangkok. (PHOTO / AFP)

Shanghai-based Hozon New Energy Automobile announced on Thursday it would set up its international headquarters in the Hong Kong Science Park by the end of this year, along with a 40,000-square-foot research center and a headcount of 600 locals – the latest vote of confidence in the city’s growing green transportation market. 

Hozon’s expansion marks the first new energy carmaker to have been introduced by the Office for Attracting Strategic Enterprises, whose inception is seen as central to the Hong Kong government’s moves to attract business and talent from across the globe.

According to the technology chief, Hong Kong has established business connections with more than 200 key enterprises over the past year, of which 25 have already settled in Hong Kong or are about to do so 

The arrival of Hozon will also bring a pipeline of companies from the electric vehicle (EV) value chain into Hong Kong to set up their businesses, said Secretary for Innovation, Technology and Industry Sun Dong.

READ MORE: Hong Kong to introduce 4,000 hi-tech electric taxis this year 

“It reflects the determination of the current special administrative region government to make a difference and to do something at full steam to develop new industrialization,” he said. 

According to the technology chief, Hong Kong has established business connections with more than 200 key enterprises over the past year, of which 25 have already settled in Hong Kong or are about to do so.  

The Hong Kong SAR government is in close discussions with a further 20-30 companies, including mainland’s EV battery giant Contemporary Amperex Technology and auto chip maker Horizon Robotics, Sun said. 

Last December, the government unveiled the Innovation and Technology Blueprint, listing the new energy vehicle sector as one of the “strategic industries” in its efforts to build the city into an international innovation and technology center. 

“New energy vehicles are a focus of the world’s science and technology industry, which has the advantage of connecting the upper, middle and lower reaches of various industrial chains,” said Sun.

“It can also bring together many cutting-edge technological research developments, which will drive economic growth and provide a large number of job opportunities,” Sun added. 

As outlined in the EV roadmap issued by the SAR government in 2021, new registrations of fuel-propelled private cars, including hybrid vehicles, will be halted by by 2035 or earlier.

Driven by government policies, the percentage of electric private cars among all newly registered private cars soared from 6.3 percent in 2019 to 52.8 percent last year. 

But, electric vehicles made up just 6.6 percent of the total number of vehicles in the SAR as of June, indicating plenty of room for growth in the local new energy vehicle market, statistics from the Environmental Protection Department showed.

READ MORE: New electric public light bus launched in HK 

Hozon, which recently raised 7 billion yuan ($960 million) in a pre-initial public offering, also plans to list in Hong Kong in the next year or two, said Sun. 

“The setup in Hong Kong will help us develop into a global innovative high-tech company by unleashing the investment value and tapping into the global market,” said Fang Yunzhou, founder and chairman of Hozon New Energy Automobile. 

However, insufficient EV chargers in the city still remains a concern. By June, there were around 60,000 electric vehicles in the city, with only 6,142 chargers for public use. They include 3,596 medium-speed chargers and 1,022 fast chargers, according to the Environmental Protection Department.