TNAG-2679-FCO40-3876-British-Trade-Commission--Hong-Kong--and-China-Trade-Unit-re-1993 — Page 23

Overseas Trade Services

PABTC File.

42

CONFIDENTIAL

By faxlok

RF Cornish Esq LVO British Trade Commission Hong Kong

Direct line

HKA 120/1

Our ref

Your ref

071 215 5412

16 ОСТ 1993

Date

4 October 1993

Dear Francis

Department of

Trade and Industry

Kingsgate House

66-74 Victoria Street

London SW1E 6SW

Enquiries

071-215 5000

Telex 8813148 DIHQ G

【Fax 071-931 0397

Fax

LI KA SHING

Your fax of 23 September to Martyn Baker refers. The most substantive point for follow up concerns Thamesport and I know that Arthur Pryor, Head of Competition Policy Division, will be replying direct on that. The point about the need to follow up aggressively potential UK participation in the project opportunities Li has identified is very well taken and PEP will be coordinating work here.

We and PEP certainly share Li's assessment of NEI's performance in Hong Kong (and China). We find it difficult to fathom why they have been so reluctant to make a concerted and coherent effort in the market. Their fingers were rather badly burnt when they lost the contract for the Yue Yang power station to GEC and this appears to have led them to right off China as a bad job. Despite constant prodding from ourselves they show no enthusiasm for developing a proper strategy for the market. Goodness knows there are plenty of opportunities beyond those which GEC may pick up. When Mr Needham saw Li during his visit to Hong Kong in July 1992, Li said that, although he had concerns over NEI's performance on Lamma Six, he was keen to work with them on power generation opportunities in China. This was fed into NEI at the highest levels but I am not aware that any follow up action was taken.

On the travails of Hutchison Telecoms, I attach a copy of a note of a meeting between Canning Fok and Tony Lane, the relevant Deputy Secretary here, last week which should bring you right up to date with their current thinking. I understand that although Hutchison Mobile Data has so far failed to

dti

the department for Enterprise

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