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FRIDAY, SEPTEMBER 27, 1991
OPPORTUNITIES AND CONCERNS OF HK/GERILAN 1. INESS
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THE SECRETARY FOR TRADE AND INDUSTRY, MR T.H. CHAU, TODAY (FRIDAY) URGED GERMAN BUSINESSMEN IN HONG KONG TO MAKE SURE THAT THE VOICE OF FREE TRADE IS HEARD LOUD AND CLEAR BY POLICY MAKERS IN GERMANY.
IN A SPEECH ENTITLED "HONG KONG/GERMAN BUSINESS: OPPORTUNITIES AND CONCERNS" TO THE GERMAN BUSINESS ASSOCIATION, MR CHAU SAID THERE HAD BEEN CONCERNS THAT THE SINGLE MARKET PROGRAMME MIGHT LEAD ΤΟ A "FORTRESS EUROPE".
HE SAID THE FEAR WAS THAT AS THE EEC BECAME MORE COMPETITIVE WITHIN ITSELF, IT WOULD BECOME MORE PROTECTIONIST AND INWARD LOOKING,
"ALTHOUGH EEC OFFICIALS HAVE REPEATEDLY DENIED ANY SUCH INTENTIONS, SOME FEARS REMAIN.
"ALL OF YOU HERE HAVE A STAKE IN ENSURING THAT THIS DOES NOT HAPPEN. I URGE YOU TO MAKE SURE THAT YOUR VOICE IS HEARD IN BONN BERLIN LATER - AND BRUSSELS.
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"THE FIGHT AGAINST PROTECTIONISM IS NEVER ENDING, HE SAID.
MR CHAU SAID THE OPENING UP OF ECONOMIES IN EUROPE SHOULD PROVIDE EXPORT POSSIBILITIES TO MANY SUPPLIERS INCLUDING HONG KONG.
"ON THE OTHER HAND," HE SAID, "WE DO SEE A DANGER THAT THE REC AND ITS MEMBER STATES, INCLUDING GERMANY, MAY CONCENTRATE ON TRADE RELATIONS WITH ITS EUROPEAN NEIGHBOURS AT THE EXPENSE OF ITS OTHER TRADING PARTNERS.
"WE ARE WATCHING THE NEGOTIATION OF ASSOCIATION AGREEMENTS BETWEEN THE ERC AND HUNGARY, POLAND AND CZECHOSLOVAKIA CAREFULLY FOR SIGNS THAT THE NATURAL SYMPATHY FELT FOR THESE NATIONS WILL TRANSLATE INTO IMPROVED MARKET ACCESS FOR THEM AT HONG KONG'S AND OTHER SUPPLIERS' EXPENSE, HE SAID.
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MR CHAU SAID APART FROM THE POSSIBLE DIRECT IMPACT ON TRADE, THERE MIGHT ALSO BE AN INDIRECT NEGATIVE IMPACT ON HONG KONG IN THE FORM OF INVESTMENT DIVERSION TO THESE COUNTRIES FROM THE ERC.
HE SAID THE IMPACT OF THIS ON FEC INVESTMENT IN HONG KONG WOULD BE HARD TO QUANTIFY.
"NEVERTHELESS I WOULD URGE YOU ΤΟ GET THE MESSAGE OVER IN GERMANY THAT IT IS NOT IN YOUR LONG TERM INTERESTS TO NEGLECT INVESTMENT OPPORTUNITIES IN HONG KONG, OR INDEED IN THIS REGION GENERALLY.
"WE WANT AND NEED A SUBSTANTIAL PRESENCE HERE IN HONG KONG," HE SAID.
AND GROWING GERMAN BUSINESS
ON HONG KONG'S TRADE WITH GERMANY, MR CHAU SAID GERMANY WAS OUR LARGEST SUPPLIER AMONGST THE EEC MEMBER STATES.
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