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www.apple.com/hk/support/
www.apple.com/hk/en/support/
Apple pays for all shipping on warranty work. This is Definitely a warranty issue and is a well known issue at that. It sounds like your local Authorized Service Provider is pulling a fast one. They get paid directly by Apple for warranty service at any Authorized Service Provider in the world. Their refusal is local BS. Try going here: https://selfsolve.apple.com/GetWarranty.do
go down to "show complete Country list the first time then go to the UAR (it's listed) and see if you get someone else in the UAR. I guaranty Apple is not aware of your local stores refusal to provide service.