The Yulan Ghost Festival, held in the seventh month of lunar calendar, is one of the most important folk festivals in China. In Hong Kong, the festival embodies functions of religion, social networking and reinforcement of ethnic identity. Besides rituals of spiritual redemption, praying for peacefulness, and ancestral worship, the festival is also an important venue for ethnic groups to integrate and at the same time establish their own social identity. In 2011, the Yulan Ghost Festival of Ethnic Chaozhou in Hong Kong was registered on the list of the Third National Intangible Cultural Heritage. The Federation of Hong Kong Chiu Chow (Chaozhou) Community Organizations, being the designated conservation organization, has been actively promoting the Yulan Cultural Festival in order to enhance ethnic identity and solidarity of local and overseas Chaozhou Chinese. This paper attempts to explore how Chaozhou Yulan Ghost Festival successfully made it on the list of Intangible Cultural Heritage; how the local society integrated homeland tradition with elements from the overseas environments; and how crossethnic values were implanted within this re-interpretation of ethnic "tradition."