Core Viewpoint - The expansion of the list of accounting firms qualified for H-share auditing is a strategic move to enhance the auditing capacity and reduce the costs for mainland enterprises seeking to list in Hong Kong, thereby facilitating cross-border financing and improving communication with international investors and regulatory bodies [1][3][4]. Group 1: Expansion of H-share Auditing Firms - The Ministry of Finance and the China Securities Regulatory Commission have added 2 more accounting firms to the existing list of 10 qualified for H-share auditing, responding to the needs of the capital market and enhancing regulatory collaboration between mainland China and Hong Kong [1][2]. - The new firms must meet strict criteria, including a minimum annual revenue of 1.5 billion yuan and at least 800 certified public accountants, ensuring that only high-quality firms are included [2][3]. - This expansion is expected to lower the costs associated with listing in Hong Kong and improve the overall auditing supply capacity [1][2]. Group 2: Addressing Financing Needs - The expansion aligns with the strong demand for cross-border financing from mainland enterprises, as quality auditing firms can enhance information disclosure and attract more international investors [3][4]. - The H-share auditing process is crucial for mainland companies looking to globalize, especially as the Hong Kong IPO market remains active [3][4]. - The new auditing firms will provide comprehensive financial, risk control, and compliance services, facilitating smoother communication between mainland enterprises and international stakeholders [1][3]. Group 3: Enhancing Global Competitiveness - The expansion of H-share auditing firms is a key measure to optimize the connectivity of China's capital markets, thereby enhancing the global competitiveness of Chinese enterprises [3][4]. - Recent reforms by the Hong Kong Stock Exchange, such as the "Special Line for Science and Technology Enterprises," complement this expansion, creating a more favorable environment for mainland companies to list in Hong Kong [3][4]. - The collaboration between mainland and Hong Kong regulatory bodies has improved, establishing a robust mechanism for information sharing and regulatory cooperation [4][5].