PolicyBrief
H.R. 2661
119th CongressApr 7th 2025
Hong Kong Economic and Trade Office (HKETO) Certification Act
IN COMMITTEE

The "Hong Kong Economic and Trade Office (HKETO) Certification Act" requires the President to withdraw special privileges for Hong Kong's trade offices in the U.S. if Hong Kong is no longer sufficiently autonomous from China.

Christopher "Chris" Smith
R

Christopher "Chris" Smith

Representative

NJ-4

LEGISLATION

New Bill Ties Hong Kong Trade Office Privileges to Autonomy, Mandates Closure Within 180 Days if Certification Fails

This legislation, the "Hong Kong Economic and Trade Office (HKETO) Certification Act," sets up a new evaluation process for the Hong Kong Economic and Trade Offices operating in the United States. Within 30 days of the bill becoming law, and regularly thereafter, the Secretary of State must determine if these offices still merit the special privileges and immunities they currently enjoy. This decision hinges on whether Hong Kong maintains a "high degree of autonomy" from the People's Republic of China.

Certification Check: Keeping Privileges or Packing Bags?

The core of the bill is this certification requirement. If the Secretary of State determines that Hong Kong is no longer sufficiently autonomous, and thus the HKETOs don't merit their special status, those offices must cease operations in the U.S. within 180 days. Think of it as a regular check-up on Hong Kong's political health, with direct consequences for its official presence here. If the offices do get certified, they can continue operating for another year, unless Congress steps in with a specific "disapproval resolution" within a set timeframe. This puts the HKETOs' ability to function – facilitating trade, investment, and cultural exchange – directly contingent on ongoing assessments of Beijing's influence over the city.

Rethinking Partnerships and Public Messaging

The bill goes further than just evaluating the offices' status. It restricts U.S. government agencies from partnering with HKETOs on promotional activities (like tourism or business drives) unless two conditions are met: the HKETOs pass their autonomy certification, and the partnership doesn't promote narratives that justify the erosion of Hong Kong's freedoms or misrepresent the human rights situation there. Essentially, the U.S. government wouldn't be allowed to co-sign anything that looks like propaganda whitewashing actions taken against Hong Kong's autonomy.

Furthermore, the bill establishes a formal U.S. policy: federal entities should not promote Hong Kong as a free and autonomous city if the Secretary of State has determined it lacks that high degree of autonomy. Doing so, the bill states, would be considered aiding Chinese government propaganda efforts. This represents a significant shift in how the U.S. officially engages with and speaks about Hong Kong.

Real-World Ripples and Lingering Questions

So, what does this mean practically? For businesses or individuals who rely on HKETOs for information or facilitation, there's now a layer of uncertainty tied to these periodic reviews. A negative certification could abruptly remove a key resource. Diplomatically, this move clearly signals U.S. concern over Hong Kong's situation but also risks further straining relations with both Hong Kong and Beijing. The bill also directs U.S. officials to actively engage with the Hong Kong government to push for the release of political prisoners and the restoration of freedoms, adding a diplomatic pressure component alongside the restrictions.

A key area to watch is the interpretation of "high degree of autonomy." This standard, while central to the bill, isn't rigidly defined, leaving room for interpretation based on evolving events and diplomatic considerations. The decision made by the Secretary of State carries significant weight, potentially impacting everything from international trade flows to cultural exchange programs.