HK aluminium exporter in US face problem in selling building materials

As Chinese Vice Premier He Lifeng is meeting with U.S. Treasury Secretary Scott Bessent ahead President Xi Jinping's state visit to the US, the supply chain remains a key Sino-US battleground.

A Hong Kong exporter says their building materials are losing ground in America, despite being cheaper than local options. But scholars argue China can break through trade barriers using AI manufacturing.

Amazon, Google - The offices of these tech giants are clad in aluminium panels made by a Hong Kong firm.

Since 2018, the US has slapped punitive tariffs on imported steel and aluminium, driving duties on these panels up by 80%.

Even so, exporter Danny Lau says his products are still cheaper than US alternatives. But buyers remain hesitant---halving his American business.

He says: "Although in this case we still one third cheaper than the local market but they concerned about the other issues such as the transportation, shipment cost and other issues so they still reluctant on placing orders to us at this moment."

US President Donald Trump recently said he would welcome Chinese carmakers setting up factories on American soil. Hong Kong's business sector views this as a potential opportunity---one where Hong Kong could play a vital bridging role.

President of the American Chamber of Commerce Eden Woon says: "The obstacle is the term and the concept of national security. Both sides are hesitant to be too dependent on the other in terms of supply chain. So if there's any progress on that. That will be good news."

"Hong Kong will stand the benefit because Hong Kong is an agent and the partner in helping Chinese enterprises go overseas."

China and the US have been locked in a tech and AI race for nearly a decade. Scholars suggest both parties are trying to find a middle ground.

Professor Liu Ningrong from the College of Business, City University of Hong Kong says: "We saw from back to in 2017, there was the beginning of the cold war between China and the United States, I call this a high-tech cold war. I think both sides are hoping that they can find the common ground in the way of the safety of The AI, and find a better way to benefit from."

He also said China's advantage in manufacturing is beyond compare, EV is one of those fields, where a middle ground can be found for cooperation with the US.

According to media reports, President Xi Jinping is expected to lead a high-level business and CEO delegation during his visit, including chief executives from top tech firms.