Macau is one of the special administrative regions of China along with Hong Kong. The local economy is heavily dependent on gambling and tourism, but also includes manufacturing activities. A former Portuguese colony, Macao was annexed by Portugal from the mid-16th century until 1999, the last European colony in Asia.
Portuguese traders settled in Macao as early as 1550 and in 1557 Macao became part of Portugal as a trading port to the Chinese Empire. However, the Portuguese administration of the city remained under Chinese authority and sovereignty until 1887, when Macau became a colony of the Portuguese Empire. Sovereignty over Macao reverted to China on December 20, 1999.