TNAG-1848-FCO40-2623-House-of-Commons-Select-Committee-on-Foreign-Affairs-enquiry-1989 — Page 102

MEMORANDUM

dti

the department for Enterprise

SELECT COMMITTEE ON FOREIGN AFFAIRS: HONG KONG ENQUIRY

Department of Trade and Industry's Work in Relation to Hong Kong

1

Hong Kong as an Export Market for the UK (Background)

In 1988 Hong Kong was the UK's 19th largest export market worldwide, representing 1.3% of total UK exports, and 2nd largest in the Far East after Japan. The UK's direct exports (£1,031m) passed the £1 billion mark for the second year in succession, registering a 1.7% increase over 1987 and making 1988 a record year. The most important sectors to the UK were electrical machinery, power generating equipment, chemicals, road transport vehicles, and other transport equipment. In 1988 the UK had a 2.6% share of the Hong Kong import market.

2 DTI Divisional Responsibility

Primary responsibility for export promotion and responsive work in respect of Hong Kong falls within the remit of Overseas Trade Division 2, although Overseas Trade Division 1 (Projects and Export Policy) has the major responsibility for project work, with Engineering Markets Division having similar responsibility for power generation projects. Overseas Trade Division 3 (through its Fairs and Promotions Branch) has operational responsibility for certain DTI schemes, ie. outward and inward trade missions, joint ventures at international exhibitions, and the store promotion scheme. The DTI's Regional Offices work in conjunction with Overseas Trade Division 2 when mounting seminars or clinics on the Hong Kong market in regional centres.

Overseas Trade Division 2 provides the Secretariat for the British Overseas Trade Board's Hong Kong Trade Advisory Group, a body of business representatives which advises the Board on the nature and direction of export promotion with regard to Hong Kong (cf. 4 below). Overseas Trade Division 2 works closely with the British Trade Commission in Hong Kong in promoting UK exports and servicing the needs of UK companies. OT2 also has regular contact with other Government Departments (the Foreign and Commonwealth Office especially), Hong Kong's representative bodies in London (Hong Kong Government Office and the Hong Kong Trade Development Council), chambers of commerce and trade associations etc.

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