NEWS RELEASES
HONG KONG CHIEF EXECUTIVE TUNG CHEE HWATO VISIT CANADA
March 28, 2000 (2:30 p.m. EST) No. 56
HONG KONG CHIEF EXECUTIVE TUNG CHEE HWA
TO VISIT CANADA
Foreign Affairs Minister Lloyd Axworthy and Secretary of State (Asia-Pacific) Raymond Chan today announced
that Tung Chee Hwa, Chief Executive of the Hong Kong Special Administrative Region of the People's
Republic of China, will visit Canada
from April 1 to 5.
"While historic changes have taken place in Hong Kong over the last two and a half years, they have not
changed the warm relations that we share with its people," said Mr. Axworthy. "Our ties -- economic and social
-- remain strong, and we look forward to enhancing them during the course of Mr. Tung's visit."
"We welcome this official visit to Canada by Mr. Tung in his capacity as Chief Executive of Hong Kong," said
Secretary of State (Asia-Pacific) Chan. "During Mr. Tung's visit, we intend to showcase the many Canadian
goods and services, especially those related to the information technology sector, an area in which Canada
and Hong Kong can co-operate in new developments."
Mr. Tung will arrive in Toronto on April 1 and will follow a private program for the first two days of his stay. On
April 3, he will pay a one-day visit to Ottawa, where he will meet with Prime Minister Jean Chrétien, Minister
Axworthy, Finance Minister Paul Martin, and Secretary of State Chan. The Chief Executive will also meet with
the Canada-Hong Kong Parliamentary Friendship Group at the House of Commons. He will tour Nortel
Networks' facilities in Nepean before returning to Toronto on April 4.
Chief Executive Tung's schedule in Toronto includes a reception in his honour, hosted by Mr. Chan, and a
meeting with Toronto Mayor, Mel Lastman. He will also attend an event jointly hosted by the Canadian Club of
Toronto, the Canada-Hong Kong Business Association, the Hong Kong Trade Development Council and the
Hong Kong Economic and Trade Office. Mr. Tung will conclude his visit at an event hosted by the Business
Council on National Issues.
Backgrounders are attached.
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For further information, media representatives may contact:
Debora Brown
Office of the Minister of Foreign Affairs
(613) 995-1851
Naseem Nuraney
Office of the Secretary of State (Asia-Pacfic)
(613) 995-1852
Media Relations Office
Department of Foreign Affairs and International Trade
(613) 995-1874
Backgrounder
CANADA-HONG KONG, CHINA RELATIONS
• On July 1, 1997, Hong Kong reverted to Chinese sovereignty after 156 years of British rule and became the
Hong Kong Special Administrative Region of the People's Republic of China. The framework for the transition is
set out in the Sino-British Joint Declaration of 1984 and the Basic Law.
• Under the Joint Declaration, China has undertaken to retain Hong Kong's free enterprise system and way of
life for at least 50 years. The Joint Declaration provides Hong Kong with a high degree of autonomy and
assures the continuity of its institutions. It stipulates that Hong Kong will continue to administer itself and pass
its own legislation. China will be responsible for Hong Kong's defence and foreign affairs.
• The Joint Declaration provides that Hong Kong will retain its existing freedoms, including freedom of the
press, of speech, of religion, of travel and of movement, as well as freedom of association and assembly. The
Basic Law, the constitution of the Hong Kong Special Administrative Region, adopted by the National People's
Congress of China, enacts these provisions.
• Canada and Hong Kong both participate in the Asia-Pacific Economic Cooperation forum and are members of
the World Trade Organization (WTO).
• Canada has a direct interest in the continued well-being of Hong Kong and supports the future development
of Hong Kong, based on a "one country, two systems" formula.
• Relations between Canada and Hong Kong are strong and multi-faceted. Canada has social, political and
trade interests in Hong Kong and has supported and initiated efforts to sustain confidence in Hong Kong's
future.
• More than 150 000 Canadians live in Hong Kong and about half a million people of Hong Kong origin live in
Canada.
Backgrounder
TRADE AND INVESTMENT
• Hong Kong is an important trading partner and commercial centre for Canadian business. Hong Kong is
Canada's 13th-largest export market (fifth-largest in Asia) and 17th-largest source of imports worldwide.
Canada, in turn, is Hong Kong's 11th-largest export market and 20th-largest source of imports.
• Canadian exports to Hong Kong totalled $1.1 billion in 1999; in 1998, they were valued at $1.4 billion. Imports
from Hong Kong in 1999 reached $1.3 billion, up from $1.25 billion in 1998.
• Chinese economic reforms and its anticipated accession to the WTO may, in the long term, lessen Hong
Kong's role as an entrepot trade centre for the mainland, but it will also open up new possibilities for
investments from Hong Kong. Hong Kong is aggressively retooling its economy to position itself for the future
as a financial and information technologies hub for Asia.
• Hong Kong's position as an international business, financial and communications centre to the burgeoning
Chinese market will continue to provide Canada with new opportunities that will result in increased growth and
prosperity.
• As the Hong Kong economy continues to thrive, Canadian exports are showing a marked diversification and
movement toward value-added and medium- and high-technology products. More than 58 percent of Canada's
exports to Hong Kong are manufactured and semi-manufactured products. This trend, supported by an
expanding Canadian business presence in Hong Kong, will ensure that Hong Kong remains one of Canada's
most strategic business partners well into the future.
• Hong Kong direct investment in Canada reached $3.3 billion in 1998, up from $2.4 billion in 1993, a 35.1
percent increase. Hong Kong is Canada's eighth largest investor, and represents 24 percent of all Asian foreign
direct investment in Canada.
• Canadian direct investment in Hong Kong increased by 90.7 percent to $2.9 billion in 1998 from $1.5 billion in
1993 and represents 17 percent of total Canadian direct investment in the Asia Pacific region.
• In the last two years, Canada business has competed successfully in Hong Kong's information technology,
telecommunications and food products sectors. If the trend continues, trade in these areas could exceed
Canada's total trade with many countries in the region.
• Hong Kong plans to invest heavily in education, high technology and environmental products and services, all
of which are important sectors of Canadian expertise.
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