CONFIDENTIAL
COMMERCIAL OPPORTUNITIES : ESSENTIAL FACTS
1.
Hong Kong is a valuable market for the UK.
Despite its small size and population Hong Kong has this year supplanted Japan as our foremost market in the Far East (see statistics at
Annex A). For many years the balance of trade has been in Hong Kong's favour. Recent British successes in the major project field have, to some extent, renewed the interest of British
exporters in Hong Kong. This high level of project activity is likely to continue in the coming years with projects such as the Island Line Extension of the Mass Transit Railway, the Lantau fixed crossing and the construction of a replacement airport. With no natural resources except its harbour, Hong Kong is completely dependent on international trade. A high proportion, currently 51%, of Hong Kong's imports are of raw materials and
basic foodstuffs. The main UK exports to Hong Kong are transport equipment, electrical machinery, vehicles and power generation equipment. Britain is Hong Kong's sixth largest supplier.
2.
The Hong Kong Government's policy stresses free enterprise and free trade. The British businessman has the advantage that English is the commercial language, company law is British based and British standards are often specified.
Hong Kong has excellent communications and a versatile
manufacturing base and is one of the largest financial centres
in the world. It is an ideal base from which to tackle other
markets in the region, including China.
3.
Almost half our imports from Hong Kong are clothing and textiles. Electronics, watches and toys are also major Hong Kong exports.
4.
According to the most recent available figures (1981), the UK has about a 6.9% share (HK$486 million) of total overseas industrial investment in Hong Kong compared with 75% held by the US and Japan combined. UK banks and other service industries
CONFIDENTIAL
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