1966) applies unchanged to the enlarged China, there is
no reason to expect any sinificant change in the level
of U.K. imports, for imports from China of the
Manufactured goods of types which comprise most of
Hong Kong's output, are subject to quota limits. The
essential question under this head therefore is whether
and how far incorporation of Hong Kong would affect
China's capacity to import and in particular to import.r
from the U.K. (U.K. exports to China are on a steeply
rising trend and totalled £31.9 million in 1966).
13. It has been estimated that in 1966 China's net
foreign exchange earnings and receipts from Hong Kong
totalled £200 to £210 million (over a third of her total
earnings of foreign exchange). This includes about
£23-£28 million of remittances from overseas Chinese to
last China via Hong Kong.
As these/would not necessarily
cease Karmass with the incorporation of Hong Kong into
China, the total loss of earnings might be in the range
of Bay £175-£200 million. Against this has to be set
such of Hong Kong's earnings and receipts from overseas
as might continue after she had been incorporated into
China.
14. In 1966 the main items in Hong Kong's external
receipts (disregarding invisible transactions with the
U.K. referred to in paragraph 6 above) were:-
Exports
Tourisa
£350 million
£70 million
Capital Inflow
£20 million
7