TNAG-1623-FCO40-2237-Relations-between-Hong-Kong-and-China-1987 — Page 22

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4.

Visits by businessmen

-

more than 2500 in 1985

Chairmen and board members of major British firms

including

have led to

improvement in UK's volume of exports and balance of trade with PRC,

as shown in table below:

YEAR

1

1983 | 1984

| 1985 | 1986

Jan-June 1987

UK Exports

160

UK Imports | 231

| 317 | 297

1 396

536

210

1 308

| 327

178

Balance (£m) | −71

+20

+88

+209

+32

Two large contracts have recently been concluded by UK firms:

(September 1986) with GEC for gas turbine generators for Daya Bay nuclear power station project, worth over £250 million;

(12 April 1987) with Govan Shipyard for two container ships, each worth £33.15 million with option for a third.

The latter was supported under the Development Loan Agreement, as are British bids for the Yueyang power station project worth about £175 million. Following the Claims Agreement, China has come to the

City of London for a $200m Eurobond issue.

5.

The British Council has been actively involved in an explosion in cultural exchanges: 23 town-twinning agreements have been signed or are under negotiation. Numerous civic and academic visits, both

inward and outward have taken place.

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