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IS TOO SMALL TO SUPPORT RIVAL COMPETING TELEPHONE SYSTEMS. MOREOVER THAT THEIR RECORD OF PROVIDING ONE OF THE WORLD'S MOST SUCCESSFUL AND TECHNOLOGICALLY ADVANCED TELEPHONE SYSTEMS IN THE WORLD MERITS THEIR BEING ALLOWED TO CONTINUE AS THEY ARE.
GUANGDONG PROVINCE AND CANTON
11.
HONG KONG'S ECONOMY IS BECOMING MORE AND MORE INEXTRICABLY INTERTWINED WITH THAT OF SOUTHERN CHINA, ESPECIALLY GUANGDONG. HONG KONG'S MANUFACTURERS, TO TAKE ADVANTAGE OF LOW WAGES AND LAND COSTS, HAVE MOVED PRODUCTION OF THEIR LABOUR INTENSIVE ACTIVITIES ACROSS THE BORDER, AND NOW EMPLOY 1.5 TO 2 MILLION CHINESE WORKERS. THIS ECONOMIC INTERDEPENDENCE SHOULD PLAY A SIGNIFICANT PART IN LESSENING THE IMPORTANCE OF THE BORDER AND MAINTAINING CONFIDENCE IN A SOUND ECONOMIC AND COMMERCIAL FUTURE
AFTER 1997.
12. BY FAR THE BIGGEST CURRENT BRITISH COMMERCIAL INTEREST IN GUANGDONG IS OUR SUBSTANTIAL SHARE (LARGELY GEC ALSTHOM) IN THE GIANT DAYA BAY NUCLEAR POWER STATION DUE TO COME ON STREAM IN 1993. THERE ARE A NUMBER OF OTHER INVESTMENTS AND JOINT VENTURES IN THE SHENZHEN ECONOMIC ZONE AND IN CANTON, INCLUDING TOOTAL, UNITED BISCUITS AND DUNLOP.
13. AMONG POSSIBLE NEW PROJECTS IN THE AREA OF POTENTIAL INTEREST TO BRITISH COMPANIES ARE THE YUE YANG POWER STATION (POUNDS 200 MILLION), THE GUANGZHOU METRO CU S DOLLARS 300 MILLION) AND THE SHENZHEN POWER STATION (POUNDS 120 MILLION). IN THE LONGER TERM, IT IS POSSIBLE THAT THE GUANGDONG NUCLEAR POWER JOINT VENTURE COMPANY WILL BUILD ANOTHER NUCLEAR PLANT MODELLED
ON THE DAYA BAY STATION.
14. GUANGDONG PROVINCE GENERATES ABOUT 20 PER CENT OF CHINA'S FOREIGN EXCHANGE AND IS ITS TOP EXPORTING PROVINCE (WITH CIRCA USD 10 BILLION IN 1990). 86 PER CENT OF ITS INVESTMENT COMES FROM HONG KONG. IT WILL REMAIN AN IMPORTANT TARGET AREA FOR BRITISH BUSINESS AND EXPORTS.
CONCLUSION
15. HONG KONG REMAINS ONE OF THE WORLD'S MOST PROSPEROUS AND BUOYANT ECONOMIES, WITH ONE OF THE MOST SKILLED AND HARD-WORKING LABOUR FORCES, WHERE DIFFICULTIES, POLITICAL OR OTHER, ARE TAKEN IN THEIR STRIDE. IT REMAINS A MAJOR MARKET FOR BRITISH EXPORTS,
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