Due to the near distance and close ties of human resources and economy, the trade between Hong Kong and GuangDong is closely related and mutually dependent. Influenced by the world economic Crisis began from 1929, the trade between Hong Kong and GuangDong Province declined. In order to revitalize the economy, the two parties strengthened their commercial exchanges. Active economic cooperation was still the main trend of that time. Because Hong Kong was under the rule of the British Crown, the economy was in depression and smuggling became more and more rampant. Moreover, the officials and businessmen in the two places made policies in favor of their own interests, which made the conflict between the two parties inevitable. Under the impact of the crises, the conflict of national interest and group interest was becoming more and more conspicuous. To a great extent, it affected the traditional commercial cooperation between them.
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