Hong Kong (Chinese:香港; "Fragrant Harbor"), officially known as Hong Kong Special Administrative Region of the People's Republic of China, was a city on the southern coast of China. Hong Kong was known for its skyline, deep natural harbor and extreme population density (seven million inhabitants over a land mass of 1,104 km2). The population comprised 93.6% ethnic Chinese. A major part of Hong Kong's Cantonese-speaking majority originated from the neighboring province from where skilled labor fled after the communist government took over China in 1949 CE and subsequently purged its population during the 1960s.
After China's defeat in the First Opium War (1839–42), Hong Kong became a British colony. Hong Kong was transferred to the People's Republic of China under the a 1984 declaration. The city became China's first Special Administrative Region on 1 July 1997 under the principle of "one country, two systems".
Hong Kong became established as a major entrepôt between China and the rest of Terra. The city developed into a major global trade hub and financial center, and was regarded as a world city. Hong Kong was the third most important financial center after New York and London. Its service economy has been regarded as one of Terra's most laissez-faire economic policies.
Limited flat land created a necessity for dense infrastructure, and the city became a center of modern architecture, earning Hong Kong the title of the world's most vertical city. Hong Kong had a highly developed public transportation network and 90 percent of the population, relied on mass transit by road or rail. Air pollution was a serious problem.
Badly damaged in Terra's WWIII, Hong Kong was slow to recover. After almost 150 Terran years, Hong Kong just managed to reclaim its prior position as a financial center and supplier of support services. Local manufacturing never did recover.
Today, Hong Kong has the same area, but just one quarter of its pre WWIII population. It is still a vibrant finance and trade center.