TNAG-1621-FCO40-2235-Relations-between-Hong-Kong-and-China-1987 — Page 114

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quite rapidly (1).

With the economy experiencing less rapid growth rates, shortages in the supplies of these commodities have, for the time being, become less acute. There is, however, still a problem of matching the type

and quality of the raw materials produced with what are needed. The energy supply, on the other hand, remained tight, given the rapidly growing demand from domestic

households and from the industrial and tertiary services

sectors.

3.

As regards the two other main bottlenecks,

namely transport and telecommunications, some recent

developments are worth noting. China has decided to

embark on a large-scale project during the period of the

Seventh Five Year Plan to increase the transportation

capacity of the Yangtze River. Part of the river course

(1)

Comparing the first three quarters of 1986 with the

same period in 1985, the output of pig iron and steel

rose by 16% and 12% respectively. The corresponding

growth rates for electricity supply, crude oil and

coal were 9%, 3% and 1%.

G.F. 336

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