Henan Oriental Materials, a circuit maker in the Chinese mainland, announced on Monday its plan to invest around 102 million U.S. dollars to establish a semiconductor equipment production base in the Hong Kong Special Administrative Region (HKSAR), marking a step forward in the region's efforts to build a robust microelectronics ecosystem.

The new base will be located at the Microelectronics Centre in Yuen Long InnoPark, a 67-hectare industrial estate near the Shenzhen Bay Port and operated by the Hong Kong Science and Technology Parks Corporation (HKSTP), The facility will be the first in the HKSAR dedicated to research, development and manufacturing of front-end semiconductor equipment.

The project represents a significant milestone in HKSAR's push for new industrialization, signaling a strategic advancement of its microelectronics industry -- from research, development and pilot testing to high-end manufacturing.

Speaking at the project's launch ceremony on Monday, Sun Dong, secretary for innovation, technology and industry of the HKSAR government, highlighted the project's alignment with the national strategy.

He said that the recently concluded "two sessions" in Beijing, the annual meetings of China's top legislature and top political advisory body, emphasized the need to deeply integrate sci-tech and industrial innovation in the nation's 15th Five-Year Plan (2026-2030) period.

The HKSAR is pushing for new industrialization on all fronts and accelerating the development of new quality productive forces. It has launched a scheme worth 1.28 billion U.S. dollars, aiming at encouraging enterprises to establish new smart production facilities in the region.