8.

orientated to western attitudes and tastes, and well over

2 million visitors who spend 60% of their budget on shopping, the

geographically small territory of Hong Kong represents a

substantial market for British manufacturers and suppliers of both

capital and consumer goods. And as a major regional financial

and shipping centre, it will continue to be a lucrative market

for Britain's service industries. Hong Kong in 1980 was 19th

UK's in the world league of British export markets it is the/second

market in Asia only to Japan.

exports to Japan in 1980 and over three times as much as our

exports to China.

Even then it took 94% of our

-

To sum up the market is important to British exporters:

(a) because of the size of Hong Kong's domestic market total

imports in 1980 reached over HK$111,000 million (approximately

£10,000 million) of which the UK secured less than 5 per cent

(b) because Hong Kong is a British administered regional

marketing centre with a well established British business

community and a tradition of trade with the UK; it is an

industrial base for manufacture/part manufacture/assembly from which to tackle other markets in this rapidly developing

region such as south-east Asia, Philippines, Taiwan, Korea,

Japan as well as China

(c) because from Hong Kong, British firms can study changing China

trading methods and develop co-operation with local firms to

exploit the opportunities which exist in China, especially

its southern provinces.

China Trade Unit

The China Trade Unit was set up as a result of the

July 1979 inspection of the Peking post, when the Inspectors

also visited Hong Kong.

Details of the Unit's Diplomatic

Service/.....

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