Business Climate Survey 2025 - Results are out & key findings

Key Findings

The 2025 Business Climate Survey shows optimism among Swedish companies in Hong Kong. The overall business climate rating improved slightly to 3.3 out of 5, up from 3.1 in 2024. 80% of companies reporting profitability or breaking even in 2024. Expectations for company turnover remain positive, with 44% anticipating growth in the next year, although planned investments have declined to 23%.

Hong Kong continues to serve as a key regional hub for 64% of respondents, with 92% planning to maintain this role. However, high costs and political developments remain top concerns. While perceptions of political impact are slightly less negative than before, 38% still view it unfavorably.

The Greater Bay Area (GBA) presents both opportunities and uncertainties. Over 60% of companies use Hong Kong to cover the GBA, and 47% see potential in cross-border business and regional access, though competition from Mainland Chinese firms and strategic ambiguity are key concerns.

Swedish companies highlight partnerships, cost efficiency, and product adaptation as critical to success. The Swedish brand remains a strong asset, particularly associated with quality, trust, and sustainability.

Sustainability is a priority for 85% of companies, but consumer demand for sustainable products remains low, and government efforts in this area are largely viewed as unsatisfactory. Encouragingly, 67% of companies have diversity and inclusion policies, and nearly half have gender-balanced leadership teams.

About the Survey

The Business Climate Survey for Swedish Companies in Hong Kong SAR 2025 is a joint initiative by Team Sweden in Hong Kong. The aim of the survey is to further understand the performance of Swedish companies, their perception towards market conditions, opportunities, and challenges that they are facing, as well as their outlook on the Hong Kong market.

This year's survey was conducted from February 6 to February 27, 2025. Out of the 98 Swedish companies in Hong Kong who were invited to take part in the survey, 61 companies participated, resulting in a response rate of 62 per cent.

We remain committed to working closely with Swedish businesses and Hong Kong partners for our joint prosperity.

You can read and download the full report here.