XN000022-1985-05-08 — Page 2

WEDNES AY, MAY 8, 1985

GOVERNOR SEES RISE IN TRADE WITH SHANGHAI

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HONG KONG'S TOTAL TRADE WITH SHANGHAI AND OTHER PARTS OF CHINA HAD GROWN IN TERMS OF VALUE TO A POINT WHERE IT RIVALLED THAT WITH THE UNITED STATES, TRADITIONALLY HONG KONG'S LARGEST TRADING PARTNER, THE GOVERNOR, SIR EDWARD YOUDE, SAID IN SHANGHAI TONIGHT.

THE GOVERNOR WAS SPEAKING IN PUTONGHUA AT THE RETURN DINNER HELD BY THE HONG KONG ECONOMIC AND TRADE MISSION AT JINJIANG CLUB. THE MISSION IS ORGANISED BY THE HONG KONG TRADE DEVELOPMENT COUNCIL, AND LED BY MISS LYDIA DUNN.

+THE PROSPECTS FOR YOUR GROWTH AND FOR FUTURE TRADE ARE NOW EVEN BETTER, SIR EDWARD SAID.

+WE WELCOME YOUR ECONOMIC DEVELOPMENT BECAUSE WE HAVE LEARNED BY EXPERIENCE THAT PROGRESS AND DEVELOPMENT ACHIEVED BY OUR TRADING PARTNERS MAY MEAN COMPETITION: BUT IT ALSO MEANS GREATLY INCREASED OPPORTUNITIES FOR COMMERCIAL, FINANCIAL AND OTHER RELATIONSHIPS WHICH CAN ONLY BE TO THE BENEFIT OF BOTH, + HE SAID.

IN THIS MODERN WORLD, SIR EDWARD SAID, NO ECONOMY COULD BE SELF-SUFFICIENT. MODERN INDUSTRIAL, FINANCIAL AND TRADING RELATIONSHIPS WERE TOO COMPLEX FOR THAT. EACH CENTRE OF ECONOMIC ACTIVITY HAD THINGS IT COULD DO MORE EFFICIENTLY, AND ENJOYED ADVANTAGES IN SERVICES AND FACILITIES WHICH IT COULD OFFER TO ALL THOSE WISHING TO GO AND USE THEM.

+ IT IS RECOGNITION OF THAT FACT WHICH HAS MADE POSSIBLE THE PHENOMENAL DEVELOPMENT OF THE WORLD ECONOMY AND WORLD TRADE OVER THE LAST FEW DECADES. PROVIDING A DUE BALANCE IS MAINTAINED, BOTH EXPORTS AND IMPORTS OF GOODS AND SERVICES ARE ESSENTIAL TO ECONOMIC GROWTH, SIR EDWARD SAID.

IT WAS ON THE BASIS OF THAT PHILOSOPHY THAT THE HONG KONG MISSION HAD GONE TO SHANGHAI.

+WE COME TO SHOW YOU WHAT HONG KONG CAN PRODUCE AND TO TELL YOU OF THE SERVICES THAT WE CAN OFFER,+ SIR EDWARD SAID.

REFERRING TO HONG KONG'S POSTWAR ECONOMIC PROGRESS, AND THE REPUTATION HONG KONG EARNED FOR TEXTILES AND WEARING APPAREL, SIR EDWARD SAID IT NOW COMPETED WITH THE DEVELOPED COUNTRIES IN PRODUCING PLASTICS, ELECTRONIC GOODS, WATCHES, TOYS, PRECISION AND OPTICAL INSTRUMENTS AND MANY OTHER PRODUCTS.

EARLIER, SIR EDWARD EXPRESSED PLEASURE IN VISITING SHANGHAI ONCE AGAIN, PARTICULARLY ON THE OCCASION OF THE +MADE IN HONG KONG '85+ HONG KONG PRODUCT EXHIBITION MOUNTED BY THE TRADE DEVELOPMENT COUNCIL, WHICH HE, AND MAYOR WANG, HAD OPENED IN THE MORNING.

/HAVING FIRST