The Shanghai Technology Exchange (STEX), China's first permanent market for trading technology intellectual property rights, plans to open a Hong Kong branch as it explores ways to give domestic companies access to global knowledge.
The hub, due to open next year, will allow Chinese companies to buy technology and raise capital from overseas firms, STEX Chairman Xie Jihua told the South China Morning Post at a press conference in Shanghai on Thursday.
This is China's latest effort to promote cross-border technology transfer as part of its ambitious plans to develop and transform its digital economy.
Founded by China's Ministry of Science and Technology and the Shanghai municipal government, STEX enables mainland Chinese companies to purchase technology-related intellectual property rights or intellectual property rights linked to scientific and technological achievements from owners such as universities and research institutes.
The exchange officially launched its technology trading services in October 2020 after receiving approval from market regulator the China Securities Regulatory Commission.
The exchange is currently one of three national-level exchanges offering technology trading services in China, along with the Beijing-based China Science and Technology Exchange and the Shenzhen Stock Exchange.
So far this year, STEX has recorded trading of 7.1 billion yuan (US$980 million), bringing its cumulative trading volume to 39.6 billion yuan, according to official data.
According to Xie, as part of preparations for the Hong Kong branch, STEX signed a cooperation agreement with cryptocurrency exchange Hong Kong Digital Asset Exchange (HKbitEX) in December.
In a statement at the time, HKbitEX said the cooperation aims to provide startups and other innovative companies with easier access to technology trading and financing through an open, transparent and efficient platform.
Hsieh said STEX also plans to open a branch in Singapore as part of a broader push to expand overseas, but declined to say when.
Shanghai, China's financial and technology hub, is stepping up efforts to transform the digital economy into a new growth engine, a goal outlined by the Shanghai government in its 2023-25 digital economy master plan last August.
The city is also home to the Shanghai Data Exchange, which began trading data products in November 2021.
