"Once Hong Kong could join hands with the mainland in developing the new equipment manufacturing industry and increase cooperation in investment, financing and high technology, it would further improve the global competitiveness and provide numerous opportunities for Hong Kong's economic transition and development as well as for the development of the enterprises in the mainland and its huge army of laborers," said Yang Sunxi.

Yang, a member of the National Committee of the Chinese People's Political Consultative Conference (CPPCC), was speaking at the third plenary meeting of the on-going First Session of the 10th CPPCC National Committee.

The new equipment manufacturing industry, the upgrading or extension of the traditional equipment manufacturing sector, is responsible for providing equipment for all related industries and national security.

However, due to the poor capability and technological level of its manufacturing industry, the mainland had, over the past three years, imported some two-thirds of the equipment needed for its economic construction and high-tech industry, Yang said.

"It is an urgent job to change the situation," he stressed.

The cooperation between the mainland and Hong Kong in developing the new equipment manufacturing industry will inevitably bring about development of the relevant industries and effectively create job opportunities for the laid-offs in both the mainland and Hong Kong, said Yang.

The CPPCC member was confident in the future of the proposed cooperation, saying that the mainland has rich labor and resources and a sound basis for the manufacturing industry, whereas Hong Kong enjoys advantages in capital, information and management.

He suggested the central government coordinate the industrial restructuring in the mainland and Hong Kong, establish and improve a stable, orderly financial market and enact related laws and policies according to the real conditions, so as to optimize and upgrade the traditional equipment manufacturing industry in both the mainland and Hong Kong.

(Xinhua News Agency March 11, 2003)