Japanese business leaders have expressed confidence in Hong Kong's business prospects after sovereignty reverts to China in the middle of next year.
Members of the Japan/Hong Kong Business Co-operation Committee meeting in Tokyo today (Wednesday) with the Hong Kong/Japan Business Co-operation Committee, said that Hong Kong would continue to play a pivotal role in Asia's economic development.
The 40 Japanese participants at the meeting, all of whom are senior executives from major Japanese corporations, said they based their views on the continuance of Hong Kong's free port, low tax and fair regulatory policy, all of which are enshrined in Hong Kong's future mini-constitution, the Basic Law.
In a joint communique issued at the end of the 19th Plenary Session, the two committees said:
"(It was) felt that the territory's advantages as a business hub and a channel for investments in the mainland would become even more significant after 1997 as China's economy in general and services sector in particular, continued to modernise and look for overseas investment.
"Members felt there would be even more opportunities for Japanese companies to invest in the mainland both directly and through Hong Kong."
Leading the talks for the Japanese side was Mr Tomiichi Akiyama, the Chairman of the Japan/Hong Kong Business Co-operation Committee. Chairing the Hong Kong/Japan committee was Dr Raymond Ch'ien, accompanied by 10 business leaders from Hong Kong.
The Governor of Hong Kong, Mr Chris Patten, addressed the session as guest of honour and a message of support was received from the Foreign Minister of Japan, Mr Yukihiko Ikeda.
Topics discussed at the day-long plenary session of the bilateral committees included progress in Japan's economic adjustment programmes; Hong Kong's role in Asia's economic future, and Hong Kong's services economy, with special reference to the emerging mainland market.
Hong Kong's exports to Japan, its third-largest export market, are growing, including invisible exports such as banking services. Total merchandise exports to Japan increased by 18 per cent in the first eight months of this year over last, to reach nearly US$7.6 billion.
Members of the two committees welcomed the continuing increase, attributing it to the strengthened image of Hong Kong products among Japanese importers and consumers, particularly in the areas of quality, design, innovation and attention to Japanese consumer needs.
Japanese committee members also suggested that to accelerate the process, Hong Kong companies should spend more time and money promoting the brand identity of their products and upgrading after-sales service.
In tandem, Japanese committee members undertook to continue spreading a positive message about Hong Kong products amongst Japanese traders and retailers.
Continuing interest in overseas investment by Japanese companies, especially small and medium-sized firms, was also discussed at the meeting. Hong Kong commiteee members outlined Hong Kong's ongoing attractions as an investment prospect for infrastructure, high-technology manufacturing and the services sector.
The high-level bilateral committees, which will hold their next plenary session in Hong Kong at the end of 1997, were established in 1979 to foster understanding between the Japanese and Hong Kong business communities, as well as to promote trade, investment and other forms of economic co-operation.
The secretariat for the Japan/Hong Kong Business Co-operation Committee is the Keidanren, and for the Hong Kong/Japan Business Co-operation Committee, the Hong Kong Trade Development Council (TDC).
After the meeting, members of the Hong Kong committee called on the Parliamentary Vice-Minister of International Trade and Industry, Mr Kousei Ueno.
Tomorow (Thursday) Hong Kong committee members will participate in a major business seminar and series of workshops on the theme "Japan and Hong Kong in the 21st Century - Broadening the Business Partnership." The Governor of Hong Kong, Mr Chris Patten, will deliver the keynote address.
The business delegation returns to Hong Kong on Friday.
For press enquiries contact Mr William Cheung of the TDC Publicity Services Department on (852) 2584 4294.