INDUSTRY AND TRADE
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maintains close liaison with the Environmental Protection Department to make sure that environmental rules are followed when companies plan their plant and machinery and draw up their building plans.
Feasibility studies have been completed for the development of a third industrial estate of about 90 hectares in Tseung Kwan O new town.
Leases of land on the industrial estates are sold by the corporation to applicants at premiums based on cost. By the end of 1989, applications from 117 companies had been approved and sites provided on the two estates.
Besides providing sites to industrialists for the construction of purpose-built factory buildings, the corporation also provides pre-built factory premises for those who wish to begin production with the minimum of delay.
External Trade
Hong Kong is among the top twelve traders in the world. Overall, its trade is normally in balance and in 1989 it showed a small surplus. Its largest trading partner is China, followed by the United States and Japan. Its external trade was generally buoyant in 1989. Total merchandise trade amounted to $1,133,291 million, an increase of 14 per cent over 1988. Imports rose by 13 per cent to $562,781 million and re-exports by 26 per cent to $346,405 million while domestic exports increased by three per cent to $224,104 million. Domestic exports and re-exports together, valued at $570,509 million, registered an in- crease of 16 per cent. Appendices 15 and 16 provide summary statistics of external trade.
Imports
Hong Kong is almost entirely dependent on imported resources to meet the needs of its population of 5.81 million and its diverse industries. In 1989, imports of raw materials and semi-manufactured goods totalled $230,455 million, representing 41 per cent of total im- ports. The principal items imported were fabrics of man-made fibres ($21,419 million); transistors, diodes, semi-conductors and integrated circuits ($27,205 million); plastic moulding materials ($18,620 million); iron and steel ($11,900 million); woven cotton fabrics ($11,494 million), and watch and clock movements, cases and parts ($12,160 million).
Consumer goods, valued at $201,482 million, constituted 36 per cent of total imports. The major consumer goods imported were: clothing ($44,998 million); radios, television receivers, gramophones, records, amplifiers and tape recorders ($24,813 million); baby carriages, toys, games and sporting goods ($13,738 million); diamonds ($12,898 million); watches ($9,779 million); travel goods, handbags and similar containers ($10,156 million) and footwear ($8,103 million).
Imports of capital goods amounted to $84,394 million, or 15 per cent of total imports. Imported capital goods consisted mainly of electrical machinery ($14,222 million), trans- port equipment ($7,698 million), office machines ($7,849 million), electronic components and parts of computers ($6,176 million) as well as textile machinery ($4,012 million).
Imports of foodstuffs were valued at $33,969 million, representing six per cent of total imports. The principal imported food items were fish and fish preparations ($7,398 million), fruit ($4,726 million), meat and meat preparations ($4,047 million) and vegetables ($3,887 million).
Mineral fuels, lubricants and related materials, worth some $12,481 million were im- ported in 1989, representing two per cent of total imports.
China and Japan were the two principal suppliers of imports in 1989, providing 35 per cent and 17 per cent respectively of the total. China alone supplied 37 per cent of Hong