Penny's Bay was filled in to provide land for the construction of Hong Kong Disneyland. The bay was previously undeveloped except for the Cheoy Lee Shipyard, which opened in the 1960s.

The city's chief executive, Tung Chee-hwa, was instrumental in introducing the Disneyland project to Hong Kong. When the SARS epidemic devastated the city's economy in 2003, it was hoped that the new Disneyland would help boost confidence in Hong Kong's tourism industry.

Hong Kong Disneyland had one of the shortest construction periods of any Disneyland-style theme park. On 12 January 2003, more than 400 guests celebrated the groundbreaking of Hong Kong Disneyland after the finishing of land reclamation in Penny's Bay. The audience included Tung Chee-hwa; Michael D. Eisner, former chairman and CEO of The Walt Disney Company; Bob Iger, president of The Walt Disney Company; and Jay Rasulo, former president of Walt Disney Parks and Resorts. On 23 September 2004, a special "castle topping ceremony" was held in the park to commemorate the placing of the tallest turret on Sleeping Beauty Castle.

On 12 September 2005, Hong Kong Disneyland was officially opened to the public. The opening ceremony was officiated by Zeng Qinghong, who was then the vice president of China. To help Hong Kong Disneyland grow, the Chinese government had deliberately slowed down the development of Shanghai Disney Resort, which was first conceived in the early 2000s.

In January 2012, Hong Kong Disneyland has been in the process of negotiating with the Government of Hong Kong to invest its HK$5 billion profit for new attractions. Further details of the expansion would be announced within a 12-month period from January 2012. A shopping complex and new hotels would be taken into consideration for the new expansion plan.

In Hong Kong financial secretary John Tsang's 2013–14 budget speech, he announced that a new night time parade: "Disney Paint The Night Parade", as well as a themed area featuring characters from the Marvel Universe, will be built in Hong Kong Disneyland. On 8 October 2013 then Walt Disney Parks and Resorts chairman Thomas O. Staggs confirmed the development of the Iron Man Experience.

On 17 February 2014, Hong Kong Disneyland announced its 2012–13 financial results as well as a plan for the third hotel at the resort. The third hotel would be the largest hotel at the resort, featuring 750 rooms with an adventure and exotic theme, and would cost HK$4.26 billion to build. The third hotel, Disney Explorers Lodge, opened on 30 April 2017.

Hong Kong Disneyland was also built with the space for a second park directly across from the entrance to the current park. Disney has not yet announced that the second park is in development. Land is also available for additional hotels other than the three current, but the common thought is that the second park will be built before a fourth hotel. However, it was announced in September 2020 by the Hong Kong Government that Hong Kong Disneyland's option to purchase the 60-hectare expansion site next to the existing park will not be extended after its expiry on 24 September 2020 as it is unable to commit to using the site in the near future.

On 22 November 2016, the Walt Disney Company and the Hong Kong Government announced plans for a multi-year, HK$10.9 billion expansion of Hong Kong Disneyland. The proposed expansion includes a Frozen-themed area (announced for 2021), a Marvel-themed area (opening in phases from 2018 to 2023), a redesigned castle to succeed Sleeping Beauty Castle and hub (announced for 2020), a reimagined attraction (announced for 2021), a new Moana stage show (announced for 2018), and live entertainment.

On 24 May 2018, Hong Kong Disneyland opened the first project part of the multi-year expansion: Moana: a Homecoming Celebration, an atmosphere stage show performed daily at the newly built Jungle Junction venue in Adventureland. The park also gave more information on the coming projects as well as the revised dates for these projects: the shooting dark ride Ant-Man and The Wasp: Nano Battle!, replacing Buzz Lightyear Astro Blasters, opened in 2019 and the new expanded castle will be unveiled in 2020, in time for the park's 15th anniversary. Park officials also confirmed the rumors that the future Frozen-themed area will feature a copy of Epcot's Frozen Ever After and a family roller coaster named Wandering Oaken’s Sliding Sleighs, replacing the previously announced Dancing Sleighs ride, and that the area was opened in 2023.

On 26 January 2020, the park closed due to the ongoing COVID-19 pandemic along with Ocean Park Hong Kong and Shanghai Disneyland Park. It remained closed for nearly five months, reopening on 18 June 2020. It was the second worldwide Disney park to reopen after Shanghai Disneyland. It reopened with similar strict rules as Shanghai Disneyland, which included limited guest attendance, social distancing, temperature checks, and mandatory wearing of face masks. Hong Kong Disneyland closed again from 15 July to 25 September 2020 due to a heavy upsurge in domestic cases. After reopening for approximately two months, it was announced the park would close for a third time on 2 December 2020 due to a rising number of COVID-19 cases in the region. The park reopened on 19 February 2021. The park closed for the fourth time on 7 January 2022 due to the rising number of cases of the Omicron variant, and reopened on 21 April 2022.

In 2023, Hong Kong Disneyland expanded again and created the world's first and largest "Frozen" theme park – "Frozen World", which officially opened to tourists on 20 November of that year. Visitors can experience the adventure journey of Arendelle here.