TNAG-2617-FCO40-3808-Visit-by-Lord-Caithness--Minister-of-State-for-Foreign-and-C-1992 — Page 83

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FM BTC HONG KONG

TO IMMEDIATE FCO

TELNO 43

OF 010115Z

FEBRUARY 92

HKD 02613

INFO IMMEDIATE DTI

مجروح

(48)

055266

MDHIAN 1537

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rop Copy Ms/2

Q DIST ? `

PART ONE OF TWO PARTS

DTI FOR MEADWAY OT2 AND HALL, PEP

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YOUR TELNO 25: VISIT OF LORD CAITHNESS TO HONG KONG 16 FEBRUARY: BRIEFING

BRITISH BUSINESS PROSPECTS

SUMMARY

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1. THE BUSINESS SCENE IN HONG KONG IS CURRENTLY DOMINATED BY A WIDE RANGE OF VERY MAJOR PROJECTS. MANY OF THE MAIN CONTRACTS WILL BE AWARDED THIS YEAR. THE PROSPECTS FOR SOME MAJOR BRITISH SUCCESSES ARE GOOD. STAKES ARE VERY HIGH. PROBABLY NOWHERE IN THE WORLD ARE THERE SO MANY PROJECTS SO BUNCHED IN TIME AND GEOGRAPHY WHERE BRITISH PROSPECTS ARE AS FAVOURABLE. IF THE U.K. WERE TO GET EVEN HALF OF THOSE WHERE WE STAND A GOOD CHANCE IT COULD BE ENOUGH TO HAVE AN IMPACT ON THE U.K. ECONOMY AS A WHOLE. MEANWHILE OUR OTHER EXPORTS CONTINUE TO GROW AT A PACE WHICH IS GOOD ON A WORLD SCALE, BUT WHICH IS NOTHING SPECIAL IN A PACIFIC RIM CONTEXT.

DETAIL

2.

1992 FOR HONG KONG'S BUSINESS WORLD WILL BE A YEAR OF MAJOR PROJECTS. IF THE NEW AIRPORT IS TO MEET ITS TARGET OPENING DATE OF MID 1997 THEN EVERY PART OF THE PROJECT, INCLUDING THE MASSIVE INFRASTRUCTUAL COMPONENTS, WILL HAVE TO BE ON A VERY FAST TRACK INDEED. THE TWO BIGGEST CONTRACTS, THAT FOR THE MAIN BRIDGE LINKING LANTAU ISLAND WITH THE MAINLAND, WHICH WILL BE ONE OF THE WORLDS BIGGEST, AND THAT FOR THE PLATFORM ON WHICH THE AIRPORT AND RUNWAYS WILL BE BUILT ON RECLAIMED LAND, AND EACH APPROACHING POUNDS 1 BILLION IN VALUE, WILL BE AWARDED IN THE FIRST HALF OF 1992. OTHER MAJOR AIRPORT RELATED CONTRACTS WILL FOLLOW SHORTLY THEREAFTER. THESE DO NOT TELL THE WHOLE STORY. CHINA LIGHT AND

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