TNAG-1623-FCO40-2237-Relations-between-Hong-Kong-and-China-1987 — Page 101

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CONFIDENTIAL #

2.

of certain industrial raw materials like pig iron and

(1) steel slowed down somewhat in the first quarter

output of industrial raw materials, as well as the production of electricity and other energy items have once again lagged behind the overall growth in

industrial output.

3.

(2)

The

In order to ease the chronic shortages in the

energy sector, China plans to add 5500 - 6000 MW of electricity generating capacity in this year. This represents an increase of 6 to 7% over the total existing capacity of 86 000 Mw in China and is in line with the planned annual increase in electricity generation capacity

during the period of the Seventh Five-Year Plan (1986 -

1990).

4.

After

In respect of consumer goods, the output of items such as refrigerators, cameras and watches continued

to show substantial growth in the first quarter. experiencing declines in 1986, the production of

television sets and radios has also recovered. However,

the quality of many of these products leaves much to be

(1)

(2)

Compared with the first quarter of 1986, the output values of pig iron and steel increased by 10% and 8% respectively in the first quarter of 1987. These rates were lower than the corresponding increases of 15% and 12% recorded in 1986.

On a year-on-year comparison basis, production of electricity, crude oil and coal increased by 10%, 6% and 3% respectively in the first quarter of 1987.

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