Standard Chartered Hong Kong Completes "Trade-Link" Pilot Project to Promote Cross-Border Trade Data Interconnectivity

Standard Chartered Hong Kong, as one of the participating banks in the Hong Kong Monetary Authority's "CargoX Pilot Programme," has successfully completed the "Trade-Link" pilot project, accumulating practical experience for exploring interconnectivity with other trade corridors and the application of cross-border trade data. The Hong Kong Monetary Authority stated that "Trade-Link," launched in collaboration with the Shanghai Municipal Data Bureau, has so far facilitated 10 trade finance approvals with total loans amounting to HK$180 million. In the next phase, it plans to extend the model to other mainland provinces and cities. "Trade-Link" connects the "Commercial Data Interchange" with Shanghai's digital trade platform, enabling the first batch of five pilot banks to access and utilise trade customs declaration data from the Yangtze River Delta region. This facilitates trade finance processes such as verifying trade authenticity and conducting due diligence on counterparties, allowing Hong Kong enterprises engaged in onshore and offshore trade to obtain loans more quickly. The first batch of five pilot banks includes BOC HONG KONG, Hang Seng, HSBC, ICBC (Asia), and Standard Chartered Hong Kong. In three transactions under the pilot project, Standard Chartered Hong Kong utilised cargo logistics and trade data provided by "Trade-Link," including "cross-border trade background risk," "domestic shipping and trade scores," and "import-export active enterprise indicators," to assess enterprises' cross-border trade activities and risk profiles. It also cross-verified cargo and shipping data against customers' declared data to enhance due diligence and trade finance efficiency. At the same time, the relevant data helps improve the transparency and credibility of logistics information, thereby reducing trade and document fraud risks. Soh Wai Tong, Head of SME Banking and GBA Business at Standard Chartered Hong Kong, said he was pleased to have completed the designated test scenarios under the cross-border data proof of concept through "Trade-Link," highlighting the application potential of cross-border cargo and trade data in financing scenarios and addressing pain points in conducting cross-border trade. The results of the "Trade-Link" pilot project demonstrate that the interconnectivity of cargo logistics and trade data helps enhance customer business expansion efficiency, brings a more convenient financing experience for SMEs, further supports the development of the real economy, and promotes opportunities for cooperation with other trade corridors.