As global attention turns once again to Hong Kong for the 2025 US-China Hong Kong Forum, the city finds itself in a familiar yet increasingly important position. It stands between two powers that are edging, however cautiously, toward a softer phase in their long and difficult relationship. After years of sharp exchanges, competitive tariffs, and spirals of distrust, Washington and Beijing have recently agreed to put any further export control measures on hold for a year and to delay the next round of tariff increases. It is not a diplomatic breakthrough, but it is a meaningful shift in tone.

A temporary ceasefire is more than the suspension of pressure. It is a reminder that neither nation can walk away from the other without destabilizing the wider world. The two largest economies remain deeply intertwined in technology, investment and supply chains. They shape the global environment even when they are not speaking. And at moments like this, when both sides appear willing to step back from escalation, Hong Kong becomes an unusually valuable stage.

Hong Kong’s role is neither accidental nor nostalgic. It is rooted in the city’s ability to operate at the intersection of China’s rise and America’s global reach. The world often views the US-China relationship through a prism of rivalry. Hong Kong sees it through the lens of interdependence. That perspective matters when the international mood is shaped by fear of fragmentation.

Across Asia’s economic landscape, supply chains have not broken apart so much as reorganized. They are more defensive, more regionally anchored and more politically aware. Yet the city remains the coordinating center for a surprising share of this activity. Its common law system continues to anchor commercial confidence. Its arbitration institutions remain trusted by companies that want disputes settled professionally, not politically. And the combination of its access to the Chinese mainland and international familiarity remains a powerful draw for firms facing strategic uncertainty.

Recent trends reinforce this. More mainland enterprises are using Hong Kong as their springboard into global markets compared with last year. The city has also become a growing source of investment into Southeast Asia, channeling capital into a region that has quickly become central to global manufacturing and technology. Predictions of irrelevance have not matched reality. Hong Kong still offers what geopolitically anxious businesses need most — reliability.

American companies know this better than most. Their operations in the Guangdong-Hong Kong-Macao Greater Bay Area are not easily moved. Apple’s layered supplier networks, Nvidia’s partnerships across the region and the apparel industry’s complex production chains all depend on systems that Hong Kong helps coordinate. It is still the place where leaders can think clearly about China without retreating into domestic talking points.

Hong Kong’s role is neither accidental nor nostalgic. It is rooted in the city’s ability to operate at the intersection of China’s rise and America’s global reach. The world often views the US-China relationship through a prism of rivalry. Hong Kong sees it through the lens of interdependence. That perspective matters when the international mood is shaped by fear of fragmentation

The forum arrives at a moment when the agenda between the two countries is unexpectedly wide. Artificial intelligence, global health, climate resilience and academic cooperation all feature prominently. These are not optional topics. They are issues in which progress is impossible without the involvement of both Washington and Beijing. Climate change will not pause for elections. Future pandemics will not wait for geopolitical tension to ease. Even the governance of emerging technologies cannot be shaped by one side alone.

China’s response to years of pressure has reshaped its economy. Export patterns changed, technological hurdles increased and external conditions became more difficult. Yet the country adapted. New strengths emerged in manufacturing and innovation. Meanwhile, the United States retains unmatched influence in global finance, research, and intellectual property. Neither nation can be sidelined. The future of the international system will be written by both, whether they cooperate constructively or collide repeatedly.

The deeper question is whether competition can coexist with responsibility. Can the two powers accept that total dominance is neither achievable nor healthy in a world where the biggest challenges transcend borders? Can they avoid turning every problem into a theater of rivalry? And can they acknowledge, even without saying it aloud, that stability benefits them both?

This is the quiet value of holding the forum in Hong Kong. The city provides a space where discussions can unfold honestly, without the performative pressure of domestic politics. Conversations here tend to focus on what can be achieved rather than what can be dramatized. For a relationship stuck too long in cycles of reaction, that shift alone is significant.

If the current pause in trade hostilities is a fragile platform, the forum offers a chance to build upon it. The objective is not to dissolve disagreements. It is to prevent the relationship from sinking further and to reintroduce predictability into a global system that depends heavily on both nations.

The world does not require the US and China to become close partners. It requires them to be steady, pragmatic and capable of coordinating when necessary. Hong Kong, with its hybrid identity and long-standing credibility, is one of the few places where both sides still feel comfortable articulating that pragmatism.

Whether the forum produces bold commitments or modest progress, its importance lies in the fact that the two sides are meeting with purpose. In international affairs, periods of warming rarely arrive with drama. They begin in small steps and careful adjustments.

This gathering in Hong Kong represents one such step. It is a moment of calm that carries the potential to shape the next chapter of US-China relations and, by extension, the stability of the world economy.

The author is chairman of the Asia MarTech Society and sits on the advisory boards of several professional organizations, including two universities.

The views do not necessarily reflect those of China Daily.