Festival Hong Kong

Excerpts From Speeches At The TDC Business Seminar October 1, 1992, Toronto

Abstract

Hong Kong experienced a transition from labour intensive to sophisticated technology-based workforce and production sectors. China and Hong Kong’s trade relationship became dependent on one another in a natural way. Hong Kong’s evolution from a labor-intensive economy to its transition to a more technology-intensive production and to becoming a trade hub in Asia, is a prominent example of economic development in Asia. Hong Kong’s focus on improving technology infrastructure and outsourcing of production to cheaper regions of Asia, has inspired several other Asian nations to follow in the footsteps, such as Japan and South Korea. Canada’s role in exporting sophisticated production technology has played a crucial role in Hong Kong’s domestic business development. Hong Kong constitutes Canada’s entry bridge to the Asian markets. Since China’s Pearl Delta River opening, Hong Kong’s manufacturing has benefited in form of outward processing arrangements especially outsourcing production to China. Hong Kong’s rapid economic development is examined as a case study concluding that good economic strategies based on diversified outsourcing manufacturing sector can only happen when most trade-related decision are left to the private sector and a relatively loose government regulation such as that in open market economies.