CONFIDENTIAL
CYPHER/CAT A
IMMEDIATE FOREIGN AND COMMONWEALTH OFFICE
TOP COPY
TELEGRAM NUMBER 306
CONFIDENTIAL
TO WASHINGTON
2 FEBRUARY 1970
(HKK 6/304/1)
ADDRESSED TO WASHINGTON TELEGRAM NUMBER 306 OF 2 FEBRUARY
PEPEATED FOR INFORMATION TO HONG KONG.
YOUR IMMEDIATE TELEGRAM NO. 335: TEXTILE IMPORTS.
SUBJECT TO ANY COMMENT HONG KONG MAY TELEGRAPH IN TIME FOR LABOUR
COUNSELLOR'S MEETING WITH UNION OFFICIALS WE SUGGEST YOU MAKE
USE OF THE FOLLOWING POINTS:
(A) IN SPITE OF QUOTE THE IMPACT OF IMPORTS FROM HONG KONG UNQUOTE
ALLEGED IN ADVERTISEMENT NO PRESENTATION OF US QUOTE PROBLEM UNQUOTE
HAS SUGGESTED ANY DECLINE IN US TEXTILE INDUSTRY PRODUCTION SALES,
PROFITS OR EMPLOYMENT. PERCENTAGE INCREASE IN HONG KONG EXPORTS TO
US IS LESS SIGNIFICANT THAN THE FACT THAT IN 1968, FOR EXAMPLE,
IMPORTS OF MAN MADE FIBRES INTO US WERE IN QUANTITY LESS THAN 4% (FOUR PERCENT) OF US PRODUCTION AND OF TOTAL CONSUMPTION,
WHILE IN THE SAME YEAR IMPORTS FROM HONG KONG ALONE REACHED ONLY
.24% (POINT TWO FOUR PER CENT) OF PRODUCTION AND LESS OF CONSUMPTION. WOOL IMPORTS FROM HONG KONG REACHED LESS THAN 5% (FIVE PER CENT) OF PRODUCTION AND 4% (FOUR PER CENT) OF CONSUMPTION.
(B) ANY DIRECT COMPARISON BETWEEN US AND HONG KONG WAGES, SUCH
AS THE ADVERTISEMENT SEEKS TO DRAW, OR FOR THE MATTER OF THAT BETWEEN US WAGES AND ANY OTHER COUNTRY'S WAGES IS GROSSLY MISLEADING.
WITH THE POSSIBLE EXCEPTION OF JAPAN, HONG KONG WAGES AND WORKING
CONDITIONS ARE THE BEST IN ASIA, HONG KONG WAGES HAVE TO BE SEEN
AGAINST THE BACKGROUND OF LOW COST OF LIVING, INCLUDING ACCOMMODATION, FOR WORKERS AND LOW INCIDENCE OF TAXATION. YOU MAY
BE ABLE TO MAKE SOME PLAY WITH THE FACT THAT COMPARISON BETWEEN
LAST.
CONFIDENTIAL
NEST
REF.
HONG KONG
No comments yet.
Private notes are available after approval.