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American firms got off to a good start in winning certain key consultancies for the development of Hong Kong's massive new airport project, but U.K. and U.K. -affiliated local firms have since won over 70 percent of the major contracts for construction and design projects. Airport authorities expect U.S. suppliers to compete well in the bidding for advanced airport equipment and ground services contracts, although for the latter, U.S. firms are grappling with entrenched current monopoly suppliers, who wish to extend their privileges to the new airport.
In other major projects, General Electric Corporation won a $400 million contract to supply turbines to China Light and Power (CLP), Hong Kong's major electric power company. ARCO won a major contract to supply natural gas by underseas pipeline from Hainan island to CLP's planned natural gas fired power stations.
stations. A consortium including the American firm Sea-Land was offered the contract to develop Container Terminal Number Nine.
Trade in textiles and apparel has sparked friction between the United States and Hong Kong recently. Some American critics clain that the Hong Kong authorities have not done enough to halt large quantities of Chinese apparel from being shipped to the United States fraudulently under Hong Kong's quota, Hong Kong authorities counter that they take their responsibilities seriously and implement a tough enforcement regime, which resulted, during 1992, in 312 successful prosecutions and over US$2 million in fines for cases of textiles origin fraud involving shipments to the United States. The Hong Kong government offers rewards for information leading to uncovering textiles fraud and has formed a special task force to step up inspections of suspect firms and consignments.
(B) Visits
Reflecting close bilateral ties, senior USG officials from both the executive and legislative branches regularly visit Hong Kong. From the executive branch, these included then Secretary of Commerce Barbara Franklin who visited in December, 1992. Ivan Selin, Chairman of the Nuclear Regulatory Commission, came in January, 1993. Since October 1992, fourteen members of Congress have visited the territory for meetings with its senior officials.
(C) Law Enforcement Cooperation
United States law enforcement agencies enjoy excellent- cooperation with their Hong Kong counterparts in many areas, including the growing problem of Asian organized crime.
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