Enterprises in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) are accelerating their business development in Southeast Asia as they face global trade uncertainties and increasing tariff pressures. According to a new joint study by UOB Hong Kong and the Hong Kong Trade Development Council (HKTDC), 73 percent of surveyed GBA companies plan to speed up expansion into ASEAN markets, with Singapore, Vietnam, Thailand, Malaysia, and Indonesia identified as top destinations over the next three years.
The report indicates that companies expect to allocate an average of 30 percent more resources toward ASEAN expansion. Vietnam is the highest priority for increased investment, followed by Indonesia and both Thailand and Malaysia. In Singapore, where GBA enterprises already have a significant presence, businesses intend to commit an average of 23 percent additional resources for further growth.
Sales growth is cited as the main objective in these markets, especially in Thailand, Vietnam, and Indonesia. Companies also aim to expand production and sourcing bases across Vietnam, Thailand, and Malaysia.
There has been a notable rise—25 percentage points year-on-year—in GBA businesses seeking to expand or maintain sales operations within ASEAN countries. Ninety-eight percent of respondents continue to target these markets despite intensifying geopolitical risks. Furthermore, 91 percent intend to expand or keep their production and sourcing hubs in ASEAN—a seven percentage point increase from 2024—highlighting efforts to diversify supply chains.
However, GBA enterprises encounter several challenges during this expansion. The most common issue is finding suitable local partners (47 percent), which has grown by 24 percentage points since 2024. Cultural and language barriers affect 46 percent of respondents—up by 23 percentage points—and difficulties in sourcing specialist talent now impact 40 percent of firms.
The study also shows progress among GBA companies on sustainability goals. Eighty-three percent currently have green initiatives underway—the highest rate in three years—and nearly all plan to maintain or increase ESG funding over the next two years. Sixty-six percent expect to boost ESG investment levels—a substantial rise from previous years—with intended funding nearly doubling compared to figures from 2024.
Adaline Zheng, CEO of UOB Hong Kong said: “For GBA enterprises, ASEAN is not just the next stop – it is the growth frontier. Hong Kong amplifies that momentum, and UOB has the expertise to connect it. With our extensive ASEAN network, deep local insights and sustainability leadership, we help businesses in Hong Kong scale faster, strengthen their resilience and capture opportunities with commitment. We help businesses win the next chapter of regional growth.”
Hong Kong’s role as a gateway for ASEAN expansion remains significant according to survey results; its connectivity was rated at 7.9 out of 10 by participants for linking both GBA cities and the ASEAN bloc.
Wing Chu, Deputy Director of HKTDC Research stated: “With the shifting global supply chain landscape and tariff uncertainties, many GBA enterprises are accelerating their ASEAN engagement not merely as a means of risk diversification but to capture new growth opportunities in fast-evolving markets. Hong Kong’s unique positioning as a superconnector allows businesses to leverage the city’s comprehensive trade, financial and professional services platform to navigate this transformation efficiently while strengthening their ESG commitments. The HKTDC will continue to proactively support GBA enterprises in leveraging Hong Kong’s professional services to capitalise on opportunities in the ASEAN markets.”
Two-thirds of those intending rapid development have used Hong Kong’s platform for expansion purposes. On sustainability solutions specifically related to green business development needs—including green financial products/services—Hong Kong received high ratings from surveyed firms.
The findings are based on input from over 600 companies across Hong Kong plus five major mainland GBA cities: Dongguan, Foshan, Guangzhou, Shenzhen and Zhongshan.
United Overseas Bank (UOB), one partner behind this study alongside HKTDC official website, plays an active role supporting community initiatives focused on education and sustainable practices throughout ASEAN official website. UOB aims at promoting enduring value within communities through broad financial services delivery while maintaining a global branch network official website. Led since 2007 by Deputy Chairman & CEO Wee Ee Cheong official website, UOB emphasizes integrity innovation collaboration—and supports individuals/businesses across ASEAN via tailored solutions official website.
