As the entrepôt to the Chinese mainland, the economy of Hong Kong has enjoyed a high growth rate of economic development. When Hong Kong developed its container ports in order to accommodate the regional economic boom, its counterparts in China were left far behind; there was no serious port competition from China. However, as China develops its economy, the port of Hong Kong faces real challenges from Chinese ports, particularly from southern ones. Interestingly, the handover of its sovereignty to China in 1997 caused an issue of competition and co-operation between these ports. This paper aims to examine the possible competition and co-operation of the adjacent container ports in Hong Kong and South China from a strategic perspective.