HKEMCA Welcomes Gazettal of the Inland Revenue (Amendment) (Tax Concessions for Shipping-related Activities and Physical Commodity Trading) Bill 2026
- Jun 11
- 1 min read
The Hong Kong Energy, Mining and Commodities Association (HKEMCA) welcomes the gazettal of the Inland Revenue (Amendment) (Tax Concessions for Shipping-related Activities and Physical Commodity Trading) Bill 2026 this Friday (June 12).
✅ Key Highlights of the Tax Concession for Physical Commodity Trading:
1️⃣ Competitive half-rate tax concession for physical commodity trading – Qualifying traders can enjoy an 8.25% profits tax rate (half of the current rate), with a 15% concessionary rate option for in-scope MNEs under BEPS 2.0.
2️⃣ Boosting maritime services – Beneficiaries are encouraged to use Hong Kong’s local maritime services (e.g., ship leasing, marine insurance, legal and arbitration services), driving a “trade empowers maritime services” ecosystem.
3️⃣ Clear economic substance rules – The 8.25% rate requires at least 3 full-time HK staff and HK$3 million in annual operating expenses.
4️⃣ Green & diverse commodities – Covers 55 physical commodity items, including green methanol and biofuels, supporting global green transformation.
This bill will attract more international commodity trading firms to set up regional headquarters in Hong Kong, reinforcing the city’s role as a leading international maritime centre.
HKEMCA will continue to work closely with the government to support members and reflect industry views.
Read the full statement: