The handover of Hong Kong from the United Kingdom of Great Britain and Northern Ireland to the People's Republic of China occurred at midnight on 1 July 1997. This event ended 156 years of British rule, dating back to the capture of Hong Kong Island in 1841 during the First Opium War.
Hong Kong was a colony within the British Empire from 1841, except during the Japanese occupation of Hong Kong from 1941 to 1945. Its territory expanded after the First Opium War with the addition of the Kowloon Peninsula and Stonecutters Island in 1860 and the New Territories in 1898 under a 99-year lease. The 1984 Sino–British Joint Declaration set the terms of the 1997 handover, under which China pledged to uphold "one country, two systems" for 50 years. Hong Kong became China's first special administrative region, followed by Macau in 1999 under similar arrangements. With a population of about 6.5 million in 1997, Hong Kong made up 97 percent of the population of all the British Dependent Territories and was Britain's last major colony.
The transfer, which was marked by a handover ceremony attended by Charles III (then as Prince of Wales) and broadcast around the world, is often considered to mark the definitive end of the British Empire. Influence from the Chinese Communist Party (CCP)-led central government in Hong Kong expanded significantly during the late 2010s and 2020s, roughly two decades after the handover. The 2019–2020 Hong Kong protests prompted the introduction of the 2020 Hong Kong national security law and the 2021 Hong Kong electoral changes. These measures drew criticism from the British government, which declared that China was in a "state of ongoing non-compliance" with the Joint Declaration. Hong Kong is now widely regarded as being under tight control of the Chinese government, with its autonomy largely symbolic.
Following the end of the Second World War, both the Kuomintang and the Chinese Communist Party (CCP) proposed "(China) to recover Hong Kong" (Chinese: 中國收回香港, Yue Chinese: 中國收返香港), which had since been the common descriptive statement in mainland China, Hong Kong and Taiwan until the mid-1990s. "Reunification of Hong Kong" (Chinese: 香港回歸) was used by a minority of pro-Beijing politicians, lawyers and newspapers during Sino-British negotiations in 1983 and 1984, and gradually became mainstream in Hong Kong by early 1997 at the latest. A similar phrase "return of Hong Kong to the motherland" (Chinese: 香港回歸祖國) is also often used by Hong Kong and Chinese officials. Nevertheless, "Handover of Hong Kong" is still mainly used in the English-speaking world.
"Transfer of sovereignty over Hong Kong" (Chinese: 香港主權移交) is another description frequently used by Hong Kong officials and the media, as well as non-locals and academics, which is not recognized by the Chinese Government. Beijing claims neither the Qing dynasty exercised sovereignty over Hong Kong after ceding it, nor the British therefore did, and hence the transfer of sovereignty to China from Britain is not logically possible. As no consensus was reached on the sovereignty transfer, the Chinese stated "to recover the Hong Kong area" (Chinese: 收回香港地區) and "to resume the exercise of sovereignty over Hong Kong" (Chinese: 對香港恢復行使主權) in the Sino-British Joint Declaration, while the British declared "(to) restore Hong Kong to the People's Republic of China" (Chinese: 將香港交還給中華人民共和國).
By the 1820s and 1830s, the British had conquered parts of India and had intentions of growing cotton in these lands to offset the amount of cotton they were buying from America. When this endeavour failed, the British realised they could grow poppies at an incredible rate. These poppies could then be turned into opium, which the Chinese highly desired, but their laws prohibited. So the British plan was to grow poppies in India, convert it into opium, smuggle the opium into China and trade it for tea, and sell the tea back in Britain. The illegal opium trade was highly successful, and the drug was very profitably smuggled into China in extremely large volumes.
The United Kingdom obtained control over portions of Hong Kong's territory through three treaties concluded with Qing China after the Opium Wars:
1842 Treaty of Nanking: Hong Kong Island ceded in perpetuity
1860 Convention of Peking: Kowloon Peninsula and Stonecutter's Island additionally ceded
1898 Convention for the Extension of Hong Kong Territory: the New Territories and outlying islands leased for 99 years until 1997
Despite the finite nature of the New Territories lease, this portion of the colony was developed just as rapidly as, and became highly integrated with, the rest of Hong Kong. As the end of the lease approached, and by the time of serious negotiations over the future status of Hong Kong in the 1980s, it was thought impractical to separate the ceded territories and return only the New Territories to China. In addition, with the scarcity of land and natural resources in Hong Kong Island and Kowloon, large-scale infrastructure investments had been made in the New Territories, with break-evens lying well past 30 June 1997.
When the People's Republic of China obtained its seat in the United Nations as a result of the UN General Assembly Resolution 2758 in 1971, it began to act diplomatically on its previously lost sovereignty over both Hong Kong and Macau. In March 1972, the Chinese UN representative, Huang Hua, wrote to the United Nations Decolonization Committee to state the position of the Chinese government:
The questions of Hong Kong and Macau belong to the category of questions resulting from the series of unequal treaties which the imperialists imposed on China. Hong Kong and Macau are part of Chinese territory occupied by the British and Portuguese authorities. The settlement of the questions of Hong Kong and Macau is entirely within China's sovereign right and do not at all fall under the ordinary category of colonial territories. Consequently, they should not be included in the list of colonial territories covered by the declaration on the granting of independence to colonial territories and people. With regard to the questions of Hong Kong and Macau, the Chinese government has consistently held that they should be settled in an appropriate way when conditions are ripe.
The same year, on 8 November, the United Nations General Assembly passed the resolution on removing Hong Kong and Macau from the official list of colonies.
In March 1979 the Governor of Hong Kong, Murray MacLehose, paid his first official visit to the People's Republic of China (PRC), taking the initiative to raise the question of Hong Kong's sovereignty with CCP vice chairman Deng Xiaoping. Without clarifying and establishing the official position of the PRC government, the arranging of real estate leases and loans agreements in Hong Kong within the next 18 years would become difficult.
In response to concerns over land leases in the New Territories, MacLehose proposed that British administration of the whole of Hong Kong, as opposed to sovereignty, be allowed to continue after 1997. He also proposed that contracts include the phrase "for so long as the Crown administers the territory".
In fact, as early as the mid-1970s, Hong Kong had faced additional risks raising loans for large-scale infrastructure projects such as its Mass Transit Railway (MTR) system and a new airport. Caught unprepared, Deng asserted the necessity of Hong Kong's return to China, upon which Hong Kong would be given special status by the PRC government.
MacLehose's visit to the PRC raised the curtain on the issue of Hong Kong's sovereignty: Britain was made aware of the PRC's intent to resume sovereignty over Hong Kong, and began to make arrangements accordingly to ensure the sustenance of her interests within the territory, as well as initiating the creation of a withdrawal plan in case of emergency.