Hong Kong's position as Asia's world city is built on its role as the 1 to the mainland of China and a hub for business in the Asia-Pacific region.With a land area of 1 110 square kilometres of which about 24 per cent is built up, Hong Kong has a population of about 7.5 million. Every day, over 12 million passenger journeys, i.e. about 90% of the total passenger journeys, are made 2 public transport system which includes railways, buses, minibuses, trams, taxis and ferries.With a growing population and continuous development, moving people and goods around in Hong Kong has always been a great challenge. Hong Kong's roads are among the most 3 used in the world, with about 794 000 vehicles on 2,124 kilometres of roads. There are about 374 licensed vehicles for every kilometre of road, and the dense development and difficult 4 make it increasingly challenging to provide additional road capacity to meet the traffic demands.While Government has been expanding the road and railway transport infrastructure to cope with the increasing travel demand for economic, social and leisure needs, it is becoming more and more difficult, expensive and environmentally 5 to implement such new projects. We need to find ways to maximise the capacity and to enhance the 6 of our existing transport system.ITS AchievementsTo 7 the capacity of the road network and enhance road safety, it is our objective to encourage the application of new technology to traffic management in Hong Kong. As such, the Government has deployed a wide spectrum of advanced technologies in managing traffic and promoted the development and provision of value-added transport services through partnership and collaboration with the private 8 , academic and professional institutions. ITS organizations like ITS-HK, a non-profit making learned society established in 2000 to promote the ITS industry among members and to communicate with worldwide ITS organizations, also play an important role in the development of ITS in Hong Kong.ITS Strategy Review and New InitiativesSince early 1990's, Intelligent Transport Systems (ITS) have 9 in the developed countries and become a worldwide trend. In the light of the experience and benefits gained in overseas countries, the Transport Department initiated an ITS Strategy Review for Hong Kong in 2001 which provided a blueprint for the development of ITS in Hong Kong.We will also continue with the close public/private collaboration which would be crucial to the successful 10 of ITS services.