XN000022-1988-12-12 — Page 12

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MONDAY, DECEMBER 12, 1988

INVESTMENT IN LINKAGE INDUSTRIES ENCOURAGED

*

(MONDAY)

IN THE

THE DIRECTOR OF INDUSTRY, MR K.Y. YEUNG, TODAY WELCOMED THE "NOTICEABLE AND ENCOURAGING GROWTH IN INVESTMENT LINKAGE INDUSTRIES" AND PAID TRIBUTE TO THE ROLE OF JAPANESE MANUFACTURERS IN HONG KONG.

OF HONG KONG NUKABE

HE WAS SPEAKING AT THE OPENING CEREMONY LTD., THE FIRST AUTOMOBILE PARTS MANUFACTURER TO START UP IN ONE OF HONG KONG'S INDUSTRIAL ESTATES.

MR YEUNG POINTED OUT THAT THE TREND OF INVESTMENT IN LINKAGE INDUSTRIES COULD NOT ONLY MAKE IT MORE ADVANTAGEOUS FOR MANUFACTURERS TO BUY PARTS AND COMPONENTS LOCALLY THAN TO IMPORT THEM.

"JUST AS IMPORTANT, IT REFLECTS GROWING CONFIDENCE ON THE PART OF JAPANESE MANUFACTURERS IN THE CAPABILITIES OF OUR WORKFORCE.

"WE WELCOME JAPAN'S

JAPANESE INVESTMENT CONTINUES

INCREASING INTEREST,

PARTICULARLY AS

TO BE A FRUITFUL SOURCE OF USEFUL

TECHNOLOGY FOR OUR MANUFACTURING COMMUNITY," HE SAID.

THE 1988 SURVEY OF OVERSEAS INVESTMENT, PUBLISHED LAST MONTH, SHOWED THAT JAPAN'S SHARE OF TOTAL OVERSEAS INVESTMENT IN HONG KONG'S MANUFACTURING INDUSTRIES HAD RISEN SIGNIFICANTLY, FROM 20.5 PER CENT IN 1986 TO 26.6 PER CENT IN 1987.

MR YEUNG SAID THE GOVERNMENT, WHICH HAD TENDED то FOCUS ITS INVESTMENT PROMOTION ACTIVITIES AT OVERSEAS MANUFACTURERS WHOSE TECHNOLOGY WOULD BE BENEFICIAL TO THE TERRITORY, UNDERSTOOD WELL THAT THESE MANUFACTURERS WOULD NOT COME UNLESS THEY COULD GET THE RIGHT KIND OF TECHNOLOGICAL SUPPORT.

"THE HIGHER THE LEVEL OF TECHNOLOGY INVOLVED IN THE BUSINESS, THE MORE EXACTING THE INVESTOR WILL BE IN TERMS OF HIS REQUIREMENT FOR CONSULTANCY SERVICES, LABORATORY FACILITIES AND TRAINED MANPOWER, HE SAID.

WITH THE IMPROVING SERVICES PROVIDED BY LOCAL INDUSTRIAL SUPPORT ORGANISATIONS, MR YEUNG WAS CONFIDENT THAT OVERSEAS INVESTORS WOULD FIND IN HONG KONG NOT ONLY OPPORTUNITIES FOR ACHIEVING EARLY PROFITABILITY BUT ALSO AN ENVIRONMENT SUPPORTING INCREASINGLY UP-MARKET PRODUCTION,

THE NEW HONG KONG NUKABE MANUFACTURING IN ΤΑΙ PO INDUSTRIAL ESTATE WILL INITIALLY PRODUCE FOR EXPORT PRECISION PARTS FOR POWER STEERING MECHANISMS AND FUEL PUMP UNITS,

MANUFACTURING OF COLD FORGED ENGINE PARTS IN THE NEAR FUTURE IS BEING PLANNED.

"WITH ITS

HIGHLY AUTOMATED MACHINERY AND SOPHISTICATED PRODUCTION TECHNOLOGY, I AM CONFIDENT THAT NUKABE MANUFACTURING WILL BECOME A SUCCESSFUL AND PROFITABLE OPERATION, MR YEUNG SAID.

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