Heavy Industrial Base Links with HK Enhanced

Northeast China's Liaoning Province, a heavy industrial base, will enhance its co-operation with Hong Kong, a top official from Liaoning Foreign Economic and Trade Commission (LFETC) said.

An economic and trade group led by Governor Bo Xilai and comprising 200 officials and company leaders will visit Hong Kong from May 14-18, said Fu Wanzhong, director of the LFETC.

He said the province will make full use of finance available in Hong Kong to promote overseas investment and collaboration in infrastructure construction, and in the industrial and service sectors.

Hong Kong and Macao are the top investors in the province.

Statistics indicate 6,410 enterprises from these two regions have been set up in the province, involving total contractual investment of US$12.4 billion.

According to Bo, the province is in a good position to benefit from foreign funds. Its coastal location, sound infrastructure and decent cross-province transport network should make it attractive to overseas firms.

The province, one of China's traditional industrial bases, also has solid industrial foundations.

To date, the province has established economic relationships with 58 countries and regions across the world. A total of 24,819 foreign-funded enterprises have been set up, which have attracted actual investment topping US$24.8 billion. More than 100 of the world's top 500 companies have invested in the province.

Overseas funds have played an important role in revitalizing the large number of State-owned enterprises (SOEs) in the province, most of which have been facing difficulties in the current market-oriented economy.

The province's four pillar industries -- petrochemicals, metallurgy, electronics and engineering -- have attracted about US$8 billion foreign investment over recent years, accounting for 44 per cent of the province's total investment.

More than 400 large and medium-sized SOEs have been transformed with the help of overseas funds valued at US$3 billion.

"Attracting foreign investment continues to be given top priority in the province's opening-up, which is significant for Liaoning's economic development,'' said Fu.






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