The central government upgraded Chongqing to a municipality in 1997 and made it a stronghold for the development of the western region. The Chongqing municipal government woos light industries from the coastal areas in a bid to maintain balanced industrial growth between the coastal areas and inland regions. Since Chongqing has cheaper land use costs and an ample supply of labour, Hong Kong companies may consider extending their reach to the municipality in line with development strategies. More
