XN000022-1983-07-15 — Page 4

FRIDAY, JULY 15, 1983

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TRADE LINKS WITH CANADA STRONGER

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THERE ARE 45 CANADIAN CORPORATIONS IN HONG KONG, INCLUDING SEVEN BANKS, ESTIMATED TO BE THE LARGEST NUMBER OUTSIDE CANADA EXCEPT FOR THE UNITED STATES AND POSSIBLY LONDON, THE FINANCIAL SECRETARY, SIR JOHN BREMRIDGE, SAID TODAY (FRIDAY).

AND THERE IS ALSO A SUBSTANTIAL FLOW OF INVESTMENT FROM HONG KONG TO CANADA AS WELL AS IN THE REVERSE DIRECTION, HE ADDED.

SPEAKING TO THE CANADIAN BUSINESS ASSOCIATION OF HONG KONG, SIR JOHN SAID WHILST THE QUESTION OF THE LONG-TERM FUTURE OF HONG KONG IS NATURALLY OF INTEREST TO OVERSEAS BUSINESSMEN, THERE IS NO SIGN THAT THIS IS HAVING ANY EFFECT ON OUR TRADING RELATIONSHIP WITH CANADA.+

IN THIS CONTEXT, HE QUOTED FROM THE RECENT HONG KONG REPORT' BY THE STANFORD RESEARCH INSTITUTE, WHICH SAID THE PRAGMATISM AND COMMON SENSE EVIDENCED ON THE PART OF BOTH BRITAIN AND CHINA PROVIDED THE BEST ASSURANCES THAT HONG KONG'S PAST SUCCESS WAS ONLY THE PRELUDE TO THE STILL MORE IMPORTANT ROLE ANTICIPATED FOR IT IN EAST ASIA'S FUTURE.

SIR JOHN POINTED OUT THAT THE TREND IN THE TRADE WITH CANADA WAS STRONGLY UPWARDS - CANADA RECORDED AN INCREASE OF 25 PER CENT IN HER EXPORTS TO HONG KONG IN 1982, DESPITE THE GENERAL WORLD-WIDE RECESSION IN THAT YEAR.

+THUS WHILE THE BALANCE OF TRADE IS STILL IN HONG KONG'S FAVOUR - WE EXPORTED HK$2.6 BILLION TO CANADA LAST YEAR AS AGAINST IMPORTS OF HK$1.1 BILLION THE PROSPECTS FOR EXPANSION OF CANADIAN EXPORTS HERE ARE BRIGHT.

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+AND LET IT NOT BE FORGOTTEN THAT WE IMPOSE NO RESTRICTIONS ON CANADIAN EXPORTS - OR INDEED ON EXPORTS TO HONG KONG BY ANY COUNTRY. UNFORTUNATELY THIS OPEN MARKET FOR VARIOUS REASONS IS NOT ALWAYS RECIPROCATED IN PARTICULAR PROGRESSIVELY MORE RESTRICTIVE LIMITS HAVE BEEN IMPOSED ON HONG KONG'S EXPORTS OF TEXTILES AND GARMENTS TO CANADA,+ HE SAID,

SIR JOHN ALSO MENTIONED CANADA'S CONTRIBUTION TO HONG KONG IN OTHER FIELDS, PARTICULARLY HER CONSIDERABLE INTAKE OF VIETNAMESE REFUGEES, THE PROVISION OF PLACES FOR MANY THOUSANDS OF HONG KONG STUDENTS AND THE VALIANT EFFORTS OF THE CANADIAN BATTAL IONS IN HONG KONG IN 1941.

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