Early childhood education (ECE) in the Hong Kong Special Administrative Region entered an exciting and challenging phase after the handover of sovereignty from Britain to China in July 1997. The Government began to play a more proactive role in promoting the development of high-quality preschool education in the private sector by providing financial assistance to parents, upgrading teachers’ qualifications, and promoting quality learning environments. This chapter examines developments in early ECE in Hong Kong from a historical perspective. Policy changes that have impacted ECE, challenges in the pursuit of high quality, and opportunities for enhancing the provision of ECE are discussed.