XN000022-1996-02-13 — Page 15

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In January - September 1995, $160,588 million of Hong Kong's total exports to China were for outward processing, representing an increase of 22% over January September 1994.

The value of domestic exports to China for outward processing increased by 5% to $32,778 million while that for re-exports to China for outward processing grew by 27% to $127,810 million.

Over the same period of comparison, the value of imports from China related to outward processing increased by 14% to $298,271 million.

On the other hand, $361,960 million of Hong Kong's re-exports of China origin to all countries other than China were produced through outward processing in China, representing an increase of 19%.

For the purpose of the survey, exports to China for outward processing refer to raw materials or semi-manufactures exported from or through Hong Kong to China for processing with a contractual arrangement for subsequent re-importation of the processed goods into Hong Kong.

Imports from China related to outward processing refer to processed goods imported from China of which all or part of the raw materials or semi-manufactures have been under contractual arrangement exported from or through Hong Kong to China for processing.

Re-exports of China origin to all countries other than China involving outward processing in China refer to processed goods re-exported through Hong Kong of which all or part of the raw materials or semi-manufactures have been exported from or through Hong Kong to China for processing with a contractual arrangement for subsequent re-importation of the processed goods into Hong Kong.

In interpreting the statistics, it should be noted that the value and proportion of imports from China and re-exports of China origin to all countries other than China involving outward processing in China refer to those of the entire goods instead of just the value added contributed by outward processing in China.

A sample of trade declarations in respect of Hong Kong's trade with China (domestic exports and re-exports to China, and imports from China) as well as Hong Kong's re-exports of China origin to all countries other than China is selected for enumeration to obtain the required information from the establishments concerned.