ENG-2001 — Page 151

COMMERCE AND INDUSTRY

Regional Economic Co-operation

As an integral part of the Asia-Pacific economy and an important services, financial and trading centre, the HKSAR continued to play an active role in enhancing regional economic co-operation. Its economic links with the region remained strong. In 2001, some 80 per cent of Hong Kong's total external trade was conducted with the other 20 member economies of APEC. Hong Kong participates as a full and separate member in APEC and PECC under the name of 'Hong Kong, China'.

APEC is a regional forum set up in 1989 for high-level government-to-government dialogue and co-operation on trade and economic issues. Hong Kong joined in 1991. In October, the Chief Executive represented the HKSAR at the 9th APEC Economic Leaders Meeting held in Shanghai. The meeting was preceded by the 13th APEC Ministerial Meeting, at which the Secretary for Commerce and Industry represented the HKSAR.

APEC pursues its goal of free and open trade and investment by 2010 for industrialised economies and 2020 for developing economies through work in three areas trade and investment liberalisation, trade and investment facilitation, and economic and technical co-operation. Hong Kong participates actively in all three. It was a Vice-Chair of the Committee on Trade and Investment from 1996 to 2001.

Under the HKSAR's leadership, an ad hoc Task Force in APEC developed a set of APEC Trade Facilitation Principles to assist policy makers and executors to formulate and implement pro-business trade measures. APEC Trade Ministers endorsed the Principles in June. The HKSAR will actively follow up the implementation of the Principles in 2002 with a view to delivering direct and concrete benefits to the business community.

The HKSAR was responsible for the co-ordination and publication of the APEC Economic Outlook as another contribution to APEC's work in 2001. This is an annual publication summarising the economic development and the short-term prospects of APEC members, and addresses topical economic and financial issues affecting the Asia-Pacific region.

PECC, founded in 1980, is a non-governmental regional forum comprising government officials, business leaders and academics who work in their personal capacity on practical policy issues to enhance trade, investment and economic development in the Pacific region. Hong Kong joined in May 1991. The Hong Kong Committee for Pacific Economic Cooperation, established in March 1990 to advise on and co-ordinate Hong Kong's participation in and input to the PECC process, continues to play an active role in PECC's various fora, task forces and project groups.

Hong Kong took over the PECC chairmanship in October 1999 for a period of two years until the close of the 14th General Meeting of PECC (PECC XIV) held in the HKSAR on November 28-30. The main theme under Hong Kong's PECC chairmanship was Managing Globalisation in the 21st Century. PECC XIV was well attended by 1 000 local and overseas participants, including 100 prominent speakers, and discussed pressing economic and trade issues in the region. During the period, Hong Kong was also the co-ordinator of the Trade Policy Forum, one of PECC's most important fora.

107