US Ends Hong Kong Emergency Declaration but Maintains Targeted Sanctions Against City

The White House recently announced that the national emergency declaration regarding the situation in Hong Kong, triggered by the implementation of the National Security Law, has officially expired after four years. However, the U.S. emphasized that this does not signify the lifting of related sanctions. Executive orders signed by President Joe Biden remain in effect, and the U.S. will continue to utilize existing legal frameworks to impose financial and visa restrictions on individuals and entities involved in the erosion of Hong Kong’s autonomy and human rights. This move indicates that Washington’s stance on the changing political environment in Hong Kong has not softened, representing only a technical adjustment in administrative procedure.

In 2020, then-President Donald Trump declared that Hong Kong no longer enjoyed special status in response to Beijing’s mandatory implementation of the National Security Law. He signed an executive order initiating a national emergency, providing the legal basis for the executive branch to impose stringent sanctions concerning Hong Kong. Over the past four years, the U.S. has used this authority to freeze the assets of and ban entry to multiple Chinese and Hong Kong officials in response to the shrinking of civil society and changes to the territory's electoral system. While the expiration of the national emergency means the executive order no longer carries that specific legal authorization, the White House reiterated in a statement that existing sanctions lists and restrictions will continue to be enforced under other domestic regulations and administrative procedures.

Beijing and the Hong Kong government have long maintained strong opposition to U.S. actions, asserting that Hong Kong affairs are purely internal Chinese matters and that any foreign interference violates international law and basic norms of international relations. China has repeatedly emphasized that such sanctions are not only ineffective but also severely damage China-U.S. relations and Hong Kong’s status as an international financial center. With Hong Kong’s recent enactment of the Safeguarding National Security Ordinance (Article 23 of the Basic Law), the U.S. adjustment of its legal administrative procedures is being interpreted by observers as an attempt to balance sanctions efficacy with diplomatic flexibility—maintaining a tough policy stance while avoiding overly intense, direct diplomatic confrontation with Beijing.

International observers suggest that this move reflects a shift in U.S. policy toward Hong Kong from "crisis response" to "normalized management." While the U.S. government has pivoted its focus toward broader Indo-Pacific strategic interests and technological competition, the Hong Kong issue remains a component of U.S.-China rivalry, though it is no longer the most urgent priority on the U.S. diplomatic agenda. By maintaining the effectiveness of executive orders, the U.S. retains a "toolbox" of sanctions that can be deployed at any time, while the updated administrative procedures signal a shift toward a long-term geopolitical competition framework rather than short-term emergency measures.

For Taiwan, this event highlights the nuanced application of legal and diplomatic tools in addressing geopolitical risks. Positioned at the forefront of the U.S.-China rivalry, Taiwan has long closely monitored Hong Kong’s political changes and legal environment. This not only concerns the movement of people and trade between Hong Kong and Taiwan but also profoundly influences Taiwan’s perception and evaluation of the implementation of "One Country, Two Systems." The U.S. adjustment of its legal framework to maintain policy stability serves as a reminder for Taiwan to closely observe how major powers use legal authorizations to balance regional security and economic interests when formulating cross-strait policies and diplomatic strategies. It also offers insights into how Taiwan can safeguard its own democratic institutions and economic resilience while navigating the ongoing U.S.-China standoff.