This study investigated transfer of reading-related cognitive skills between learning to read Chinese (L1) and English (L2) among Chinese children in Hong Kong. Fifty-three Grade 2 students were tested on word reading, phonological, orthographic and rapid naming skills in Chinese (L1) and English (L2). The major findings were: (a) significant correlations between Chinese and English measures in phonological awareness and rapid naming, but not in orthographic skills; (b) significant unique contribution of Chinese and English rapid naming skills and English rhyme awareness for predicting Chinese word reading after controlling for all the Chinese and English cognitive measures; (c) significant unique contribution of English phonological skills and Chinese orthographic skills (a negative one) for predicting English word reading after controlling for all the English and Chinese cognitive measures; and (d) significant unique contribution of Chinese rhyme awareness for predicting English phonemic awareness. These findings provide initial evidence that developing reading-related cognitive skills in English may have facilitative effects on Chinese word reading development. They also suggest that Chinese orthographic skills or tactics may not be helpful for learning to read English words among ESL learners; and that Chinese rhyme awareness facilitates the development of English phonemic awareness which is an essential skill predicting ESL learning. (Contains 5 tables.)