TNAG-2749-FCO40-3964-Economic-situation-in-Hong-Kong-1993 — Page 47

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

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billion US dollars in 1972, to 28.9 billion US dollars in 1992.

Hong Kong is now playing a significant role as a gateway to the

mainland. About one-third of Japan's exports to China, and one-

fifth of Japan's imports from China pass through Hong Kong. It is

important to note that included within the trade between Japan

and China, are figures relating to products produced by many Hong

Kong owned and run companies in the mainland.

I should say that the importance of Hong Kong to Japan has

increased all the more significantly as Japan China relations

have developed.

(2) With regard to investment, up to 1992, the cumulative amount

of Japan's direct investment in Hong Kong measured 11.5 billion

US dollars, nearly three times the cumulative amount of Japanese

direct investment in China, which stood at 4.5 billion US dollars

by 1992. Hong Kong is now the second largest recipient, after

Indonesia, of direct Japanese investment in Asia. According to

Hong Kong statistics, Japan as of 1990, became the biggest total

investor in Hong Kong's manufacturing sector.

Recently I have often been asked the question of whether

Japanese companies will withdraw their investment from Hong Kong

as

a result of the current economic climate in Japan, but the

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