EditorialHong Kong should work to ensure a steady fuel supply amid war in Iran
While shielded by the national economy, the city needs to maintain an open, transparent market to deter abusive behaviour
Hong Kong has, to an extent, been shielded by the enormous Chinese economy, but it is not entirely immune. Some local industry insiders have warned that rising fuel prices may have to be passed on to consumers. Prices at petrol stations have risen, though so far only moderately.
The government and the Consumer Council’s Oil Price Watch are keeping a close eye on oil companies, which have in the past been accused of hiking prices prematurely.
Smugglers are already trying to capitalise on price fears. Customs officers said they intercepted cars with enlarged fuel tanks intended to supply illegal petrol filling stations. Authorities must closely monitor the unregulated handling of fuel, which presents a grave safety risk beyond breaking the law.
The silver lining is that China is well prepared. Its massive investments in renewables and electric vehicles, along with dominance in the global clean-energy supply chains, have insulated the economy from this external shock. While still a major importer of fossil fuels, it is much less dependent than before.