j'
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4. The facts do not bear this out. As far as investment in
manufacturing industry is concerned, the Hong Kong Government's own
statistics make it clear that:
B
British investment in Hong Kong manufacturing industry has
been growing steadily in the past decade and more impressively than that of Germany or Italy;
-
In 1987 Britain stood third in the league table (after the US and Japan) in terms of the number of investments and fourth
(after the US, Japan and China) in terms of the value of those
investments. West Germany is in fifth and sixth place in these
tables, while Italy scarcely figures at all.
The relevant tables are at Flag B.
5.
Comparable statistics for investment in non-manufacturing
sectors are not available, but we would be surprised if they differed from the trends indicated for manufacturing industry.
Indeed, given the strength of the UK in the invisibles sectors, we would expect British investment in these areas to be stronger.
6. DTI officials, with whom we have discussed the matter, entirely
share our perceptions. They have suggested that Lord Young may have
been confusing British investment in Hong Kong with investment in
China. Another explanation is that Lord Young may have been
reflecting the view of Mr Henry Keswick and other that the British
presence in Hong Kong is inadequate.
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