ARCH 21, 1995
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URSCO CHAIRMAN POINTS TO INCREASING CHINA TENDER
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HONG KONG'S RAPIDLY INCREASING TRADE WITH CHINA IS ONE OF THE MOST SIGNIFICANT DEVELOPMENTS OF RECENT YEARS ACCORDING TO MR HILTON CHEONG-LEEN, CHAIRMAN OF THE URBAN COUNCIL.
SPEAKING TONIGHT TO THE CHRISTIAN ASSOCIATION FOR EXECUTIVES ON BUSINESSMEN AND 1997.+ MR CHEONG-LEEN SAID THAT CHINA LAST YEAR OVERTOOK BRITAIN TO BECOME HONG KONG'S SECOND LARGEST DOMESTIC EXPORT MARKET AFTER THE UNITED STATES.
+THIS IS A REMARKABLE ACHIEVEMENT SINCE JUST BACK IN 1978, CHINA WAS ONLY IN 15TH PLACE AMONG OUR MARKETS, HE SAID.
+IN ADDITION, CHINA WAS ALSO HONG KONG'S LARGEST RE-EXPORT MARKET LAST YEAR. IT IS ALMOST ASTONISHING TO NOTE THAT OVER THE PAST FIVE YEARS, OUR PE-EXPORTS TO CHINA HAVE JUMPED NINEFOLD.+
MR CHEONG-LEEN POINTED OUT THAT CHINA TOOK 7.5 PER CENT OF HONG KONG'S TOTAL EXPORTS LAST YEAR, AS AGAINST 3.6 PER CENT IN 1981, AND ONE-THIRD OF OUR RE-EXPORTS IN 1984, AS AGAINST ONE-FIFTH IN 1981.
HE ADDED: +IN FACT, CHINA IS NOW PLAYING AN INCREASINGLY SIGNIFICANT ROLE AS OUR HUGE NEIGHBOURING TRADING PARTNER. SINCE THE SINO-BRITISH JOINT DECLARATION HAS IN EFFECT PROVIDED A FRAMEWORK WHICH WILL ENSURE HONG KONG TO CONTINUE TO PROSPER IN THE FUTURE AS A SPECIAL ADMINISTRATION REGION UNDER CHINESE SOVEREIGNTY, THE CHINA FACTOR WILL BECOME EVEN MORE CRUCIAL IN CONTRIBUTING TO THE TERRITORY'S LONG-TERM ECONOMIC DEVELOPMENT.+
MR CHEONG-LEEN SAID THAT IN THE YEARS AHEAD, THERE WOULD BE LOTS OF ROOM FOR CLOSE CO-OPERATION BETWEEN HONG KONG AND CHINA IN THE MANUFACTURING INDUSTRY, CHINA BEING A SOURCE OF CHEAP LABOUR AND RAW MATERIALS AND HONG KONG A SOURCE OF CAPITAL, ADVANCED TECHNOLOGY AND LOGISTICAL SERVICES.
+THEREFORE, IT WILL WORK TO THE BEST ADVANTAGE OF THE TWO TERRITORIES IF THE CHINESE SIDE SUPPLIES COMPONENTS AND LABOUR AND THE HONG KONG SIDE QUALITY CONTROL, ASSEMBLY, SOPHISTICATED DESIGN AND SHIPMENT. SUCH AN ARRANGEMENT WILL FACILITATE HONG KONG'S DEVELOPMENT INTO A HIGH TECHNOLOGY INDUSTRIAL CENTRE.+
HE ADDED THAT CHINA'S LARGE-SCALE EXPLORATION PROGRAMME FOR OFFSHORE OIL AND GAS WAS LIKELY TO BRING HONG KONG AN ONGOING ANNUAL SPIN-OFF OF TENS OF MILLIONS OF DOLLARS WITHIN THE NEXT FEW YEARS, ADDING: +ALREADY THERE ARE
INDICATIONS THAT CHINA IS TO BECOME ONE OF THE WORLD'S MAJOR OFFSHORE OIL THEATRES BY THE 1990'S, NO DOUBT BRINGING IN ITS WAKE A BOOM TO EQUAL THAT TOUCHED OFF BY THE NORTH SEA DISCOVERIES.+
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