CONFIDENTIAL
CRC INF 3/92
Report on Findings of Consultation Visits (CEC 15/91) for collecting Qualitative Information on Outward Processing Activities in China
H
I.
Background
This paper reports the major findings of the
consultation visits conducted during September 1990 to November
1991 for collecting qualitative information on outward processing
(OP) activities in China. The consultations were
were conducted by
from from the Economic Services Branch,
Industry Department and the Census
The information collected is to
a team comprising officers
the Trade Department,
& Statistics Department.
supplement the quantitative
information obtained from surveys
on OP conducted by the Census & Statistics Department.
2.
establishments and 24
A total of 96 manufacturing
trading firms were visited.
selected, 72 were heavily engaged in OP business in China, while
24 were engaged in little or no OP business. All the 24 trading
firms visited were dealing with products produced through OP
in China.
Of the manufacturing establishments
3.
By visiting manufacturing establishments and trading
firms heavily engaged in OP, information on the reasons for
engaging in OP, current practices of OP and views on future
prospects of OP could be obtained. On the other hand, visiting
manufacturing establishments engaged in little or no OP enabled
information to be obtained on the reasons for such establishsments
not relying on OP and their means. of maintaining price
competitiveness in the absence of OP. Furthermore, the intentions
of the two different categories of manufacturing establishments
with regard to investing in Hong Kong and China could be compared.
CONFIDENTIAL