TY - JOUR
T1 - Hong Kong's economic relationship with China
AU - Cheng, Yuk shing
AU - Lu, Weiguo
AU - Findlay, Christopher
N1 - Copyright:
Copyright 2021 Elsevier B.V., All rights reserved.
PY - 1998
Y1 - 1998
N2 - The Hong Kong-China relationship has been driven by the complementarity between the two economies, by Hong Kong's entrepôt role and by the relocation of Hong Kong firms into southern China. We argue here that the relationship is entering a new phase. Hong Kong will remain a highly competitive supplier of entrepôt services to China, despite the success of the open-door policy. However, the regional focus of Hong Kong's investment in China is set to broaden. The sectoral focus of Hong Kong's trade with China is also set to widen. There is, however, some debate in both Hong Kong and China, Guangdong in particular, about the appropriate industry policy settings in this relationship. The argument of this paper is that Hong Kong continues to offer highly competitive intermediary services to China and that the changing competitiveness in Guangdong offers a new set of opportunities to Hong Kong which will actually lead it to a deeper economic relationship with China in terms of its regional focus and sectoral coverage.
AB - The Hong Kong-China relationship has been driven by the complementarity between the two economies, by Hong Kong's entrepôt role and by the relocation of Hong Kong firms into southern China. We argue here that the relationship is entering a new phase. Hong Kong will remain a highly competitive supplier of entrepôt services to China, despite the success of the open-door policy. However, the regional focus of Hong Kong's investment in China is set to broaden. The sectoral focus of Hong Kong's trade with China is also set to widen. There is, however, some debate in both Hong Kong and China, Guangdong in particular, about the appropriate industry policy settings in this relationship. The argument of this paper is that Hong Kong continues to offer highly competitive intermediary services to China and that the changing competitiveness in Guangdong offers a new set of opportunities to Hong Kong which will actually lead it to a deeper economic relationship with China in terms of its regional focus and sectoral coverage.
KW - China
KW - Hong Kong
KW - Investment
KW - Trade
UR - http://www.scopus.com/inward/record.url?scp=0031863078&partnerID=8YFLogxK
U2 - 10.1080/13547869808724638
DO - 10.1080/13547869808724638
M3 - Journal article
AN - SCOPUS:0031863078
SN - 1354-7860
VL - 3
SP - 104
EP - 130
JO - Journal of the Asian Pacific Economy
JF - Journal of the Asian Pacific Economy
IS - 1
ER -