TNAG-2195-FCO40-3132-Hong-Kong-nationality-package-1990 — Page 26

Britain's Economic Stake in Hong Kong

- As well as being our duty, it is also in Britain's own interest to

keep Hong Kong stable and prosperous.

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Hong Kong is one of Britain's largest overseas markets and our

total trade with it amounts to more than £4 billion a year. In 1989

Britain exported goods worth £1.1 billion to Hong Kong and the first

figures for 1990 show a 12% increase. Our invisible exports were

worth another £1.2 billion. Hong Kong is our largest export market

in Asia, after Japan.

- Over 400 British companies have operations there. In addition, many of Hong Kong's largest companies are British managed and have major British shareholdings. A large number of British companies

have substantial investment in real estate, aviation,

telecommunications, financial services and the retail trade.

- Putting a total figure on British investment in Hong Kong is

difficult. But the gross stock market value of British owned, controlled or managed companies in Hong Kong has been estimated at

some £20 billion. The great majority of these produce significant

returns for the UK.

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An impoverished Hong Kong would be bad news for jobs in this

country. Last year the Airbus order alone brought contracts worth

£750 million to the UK. This year John Brown, Harker Siddley, NEI

and Leyland Bus

have all won to name but a few British companies

large contracts.

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Looking to the future, the Hong Kong Government's ambitious plans

for the construction of a new international airport and the

expansion of the container port - which will cost some £10 billion

over 15 years, the largest infrastructure project of its kind in the

World · should also provide major new opportunities for British companies.

ASHADC