Linmark CEO Steven Feniger says Hong Kong is perfectly poised to act as a bridge between Western companies' expectations and mainland factories' capabilities

Steven Feniger, CEO of Linmark Group Ltd, said his company is geared up to provide a network of sourcing solutions following the introduction of WEEE (Waste on Electrical & Electronic Equipment) and ROHS (Restriction on Hazardous Substances), effective from August 2005 and July 2006 respectively.

"It is a fair comment to say that Hong Kong is the locomotive for Chinese mainland companies, both for environmental issues and social compliance," Mr Feniger said.

"Linmark is leading the market in social compliance auditing. We have joint ventures in the mainland to assist in accreditating factories, and we're acting as a bridge between what Western companies want and what the mainland manufacturers are capable of doing. This is the pivotal role that Hong Kong can play," he added. 

Although Hong Kong is perfectly poised to provide expertise and services through testing laboratories, Mr Feniger said a lot of work still needed to be done.

Collaborative arrangement

"Nothing is going to be exported if there's no proof that certain chemicals and substances that need to be precluded have not been. People should be geared up more aggressively for the scale of work. We are scrambling to get ready and are working hand in hand with mainland manufacturers," he said.

With testing costs factored in, there are reasons to believe that the prices will rise.
"Costs are set against the volume shipped. If, for example, you pay $500 to do a test, the cost will be minor to a large player like Walmart which orders half a million DVDs. You have the scale to offset the cost. So big players will have an advantage as compared to the smaller players," Mr Feniger explained.

It is a challenging time for both manufacturers and exporters. "Hong Kong has a particular handle on changes and it has a 'can do' attitude. The more complex and more difficult a situation, we can demonstrate we can add value and help steer our clients through difficult times," he said.

Hong Kong has responded to the EU's call for green manufacturing practices with the formation of the Hong Kong Green Manufacturing Alliance. Alliance chairman Dr K. B Chan said Hong Kong is keen to support the new EU green manufacturing laws to maintain competitive edge. Read Manufacturers 'go green' to gain competitive edge   

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