Hong Kong stands at the heart of the global precious metals and stones trade, serving as a trusted hub for gold, diamonds, platinum, jade, and fine jewellery. For businesses looking to enter or expand in this lucrative market, obtaining a Precious Metals and Stones Dealer (PMSD) Registration is not just a regulatory formality—it is a strategic foundation for long-term success.
This guide walks you through the PMSD licensing process in a clear, practical way, covering who needs to apply, registration types, application steps, compliance obligations, penalties, and renewal requirements.
Why PMSD Registration Matters
If your business buys, sells, imports, or exports precious metals or stones in Hong Kong, PMSD registration is essential.
Key reasons to register:
- Regulatory compliance: Required under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO).
- Market credibility: A registered status signals transparency and professionalism to clients, banks, and partners.
- Risk protection: Helps safeguard your business against money laundering, fraud, and regulatory breaches.
A valid PMSD registration strengthens your reputation and ensures uninterrupted operations in a highly regulated industry.
Who Must Apply?
PMSD registration is required for businesses dealing regularly in:
- Precious metals: Gold, silver, platinum, and other platinum-group metals
- Precious stones: Diamonds, rubies, sapphires, emeralds, jade
- Jewellery and ornaments primarily made from precious metals or stones
Exemptions apply to:
- Businesses conducting occasional transactions below HK$120,000
- Financial institutions already regulated under other AML frameworks
Two Types of PMSD Registration
Category A Registration
- Noncash transactions at or above HK$120,000
- Lower fees and lighter compliance obligations
Category B Registration
- Allows cash transactions of HK$120,000 or more
- Requires full AML/KYC systems and ongoing monitoring
Choosing the correct category is critical for compliance and operational flexibility.
Application Process Made Simple
- Prepare documents, including business registration, incorporation certificate, proof of address, and IDs of key personnel
- Submit the application online via the Trade Single Window or by post to the Customs and Excise Department
- Pay the application fee (Category A: HK$260 | Category B: HK$1,970)
- Undergo review and due diligence, typically taking 2–3 months
- Receive your PMSD certificate and display it at your business premises
Ongoing Compliance Obligations
- Category A: Maintain transaction records for at least 5 years and notify authorities of business changes
- Category B: Implement AML/CFT measures, conduct customer due diligence, report suspicious transactions, and train staff regularly
Failure to comply can lead to enforcement action.
Penalties for Non-Compliance
Operating without proper PMSD registration or breaching AML requirements can result in:
- Fines of up to HK$100,000
- Imprisonment for up to six months
- License suspension or revocation
Proactive compliance is the best way to protect your business and reputation.
Renewal Timeline & Fees
- Category A: Valid for 1 year | Renewal fee HK$195
- Category B: Valid for 3 years | Renewal fee HK$1,060
- Processing time: 30–60 days
Any change in ownership, structure, or address must be reported promptly.
Conclusion
PMSD registration is more than a legal requirement—it’s a gateway to operating confidently in Hong Kong’s prestigious precious metals and stones market. With the right preparation and compliance framework, your business can grow securely and sustainably.
If you need expert support with PMSD registration, compliance setup, or renewals, professional guidance can help you navigate the process smoothly and focus on building your business with confidence.