TNAG-1847-FCO40-2622-House-of-Commons-Select-Committee-on-Foreign-Affairs-enquiry-1989 — Page 146

UNCLASSIFIED

155765

‚ 1

MDHIAN

IMPORTS AND A MANUFACTURING BASE FOR HONG KONG COMPANIES, ALMOST ALL THE OTHER MAJOR SUPPLIERS, INCLUDING BRITAIN, HAVE LOST MARKET SHARE).

8.

BRITISH COMPANIES HAVE NET ASSETS OF PND STERLING 3BN

IN HONG KONG. OWNED AND CONTROLLED ASSETS TOGETHER ARE WORTH TWICE THAT AMOUNT, THE TOTAL GROSS STOCK MARKET VALUE OF BRITISH OWNED OR CONTROLLED COMPANIES AND OTHERS MANAGED

BY BRITISH PERSONNEL IS PND STERLING 19BN. THUS BRITISH

INVESTMENT AND MANAGEMENT INVOLVEMENT REMAINS THE MAJOR

OVERSEAS INFLUENCE IN HONG KONG BUSINESS.

9.

COMPREHENSIVE

TWO-WAY BUSINESS BETWEEN HONG KONG AND BRITAIN

(INCLUDING INVISIBLES FOR WHICH THERE ARE NO

FIGURES) IS THOUGHT TO BE ROUGHLY IN BALANCE AND PROBABLY WORTH IN EXCESS OF PNDS STERLING 4BN A YEAR.

10. ATTACHED (A) THE SENIOR TRADE COMMISSIONERS SPEECH TO

BRITISH BUSINESS PEOPLE IN HONG KONG ON

20 DECEMBER 1988.

(B) A REVIEW OF BRITISH INVESTMENT IN HONG

KONG AND INVISIBLE EARNINGS PREPARED BY THE TRADE COMMISSION IN MARCH 1989.

HOLLOWAY

YYYY

DISTRIBUTION

52

ΜΑΙΝ

49

.HONG KONG AGREEMENT

.(RESTRICTED)

LIMITED

PUSD

HKD

HD/FED

RESEARCH (FE)

ADDITIONAL

3

PS/LORD GLENARTHUR

PS/MR EGGAR

MR GILLMORE

MR MCLAREN

MR EDWARDS LEGAL ADVISERS

MR WHOMERSLEY LEGAL ADVISERS

MR FIFOOT HKD

2

PAGE

UNCLASSIFIED

NNNN