Canada and Hong Kong Update = Jia Gang Yan Jiu Tong Xun

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CANADA AND HONG KONG UPDATE

SPRING 1990

Introducing the Research Project: Goals and Directions

by Diana Lary
Toronto

Hong Kong is becoming
increasingly significant for
Canada. During the last decade,
trade with China, for which
Hong Kong is the major
entrepot, has increased. The
desire to leave Hong Kong
before the territory's return to
Chinese sovereignty in 1997 has
made Canada an ever more
important immigration
destination. In 1989, 19,994
people landed in Canada from
Hong Kong, almost half the
people who left the territory;
similar figures are expected for
the foreseeable future. Canada's
long involvement and fascination
with China has been reflected in
the academic world by serious
study of the country and our
relationship with it. This study
has focused on China as a
whole, with very little attention
to Hong Kong as a discrete
territory. Though the territory
has always been predominantly
Chinese, recent developments
mean that it must now be treated
as a distinct entity.

Immigration from Hong Kong
is having a major impact on
Canada. There are significant
settlement issues, as a large, well
qualified and relatively affluent
group of immigrants comes in;
this is a change from the

traditional pattern of start-at-the-
bottom migration. The growth
in the size and sophistication of
the Chinese Canadian community
is also likely to have an impact
on our relations with China as
this group of people makes its
voice heard; in last year's
demonstrations over the Chinese
student movement and the
Peking Massacre, the Chinese
Canadian community played a
leading role. On another plane,
the unprecedented return of
millions of people to an
authoritarian government raises
concerns over citizenship, human
rights and legal issues in Hong
Kong. These will assume
considerable importance both in
light of Canada's traditional
concern for such issues, and the
large numbers of people here
with close personal connections
to Hong Kong.

These issues require serious,
objective academic study,
especially in a climate which is
sometimes overheated. The
unfolding situation also needs to
be monitored regularly, in order
to analyse it in terms of
Canadian interests, and to
provide a running record of a
fluid situation. This is the first
of the project's tri-annual updates
on Hong Kong and Canada,
which will cover some topics
(viz immigration, trade,
settlement) at regular intervals,
and others as they arise.

Material for the updates is
provided by a number of
correspondents in Canada, the
United States, Hong Kong, China
and the United Kingdom. The
project will also sponsor a series
of academic workshops,
coordinated by Canadian
researchers, which will produce
short, readable publications on
specialised topics. The overall
intention of the project is to
provide objective, consistent
information which may be useful
in ensuring that Canadian
involvement with Hong Kong
develops as smoothly and as
beneficially as possible.
References to materials on all
aspects of the Canada-Hong
Kong relations are being
collected from many Canadian,
American, British and Hong
Kong sources to be stored in a
bibliographic database in the
project office.

In This Issue...

Visa Students in Ontario

Immigration Statistics

Democratization in Hong Kong

The Basic Law Explicated

per

F1029.5
H6 C36

Immigration Statistics

by Diana Lary
Toronto

Over the past two years, the
number of immigration
applications received at the
Canadian Commission in Hong
Kong has risen steeply, from
15,334 in 1988 to 29,584 in
1989. The unsetUing effect of
the Tiananmen Massacre in
Peking on June 4th, 1989 on
Hong Kong shows up clearly:

Quarter

Applications

1988

First

3,456

Second

3,615

Third

5,161

Fourth

3,102

Total

15,334

1989

First

3,837

Second

4,765

Third

12,750

Fourth

8,232

Total

29,584

These are formal applications;
they run well below pre-
application questionnaires (PAQ),
the first sign of interest in
emigration to Canada, of which
there were 42,052 in 1988 and
45,229 in 1989. No fee is
payable for a PAQ; many
people who feel after they have
submitted a PAQ that they are
unlikely to be accepted as
immigrants do not proceed to
submit a formal application.

There is often a considerable
time lag between making an
application and (for the
successful) being issued a visa.
The length of the lag depends on
the case load of immigration
officers, and the relative priority
of the class under which a
person is applying. Very few of
the applications made in 1989

will yet have resulted in visas
being issued.

One way of avoiding the
lengthy waiting period for
processing at the Commission in
Hong Kong is to make an
application at another Canadian
immigration office abroad. The
major country in which such
applications are likely to be
made is the United States. In

1988, 722 applications were
screened at Canadian consulates
for people whose last country of
permanent residence was Hong
Kong; in 1989 the figure was
1287.

Between 1988 and 1989 the
number of visas issued rose
slightly. The types of successful
applicants changed significantly.
In 1988 independent immigrants
(people accepted on the strength
of their qualifications under the
point system) accounted for
54.5% of visas issued, in Hong
Kong and at other posts, to
people whose country of last
permanent residence was Hong
Kong (CLPR Hong Kong); in
1989 that proportion fell to
41.4%. Some of the difference
can be explained in terms of an
expansion of the independent
class in 1987, which allowed
some people previously ineligible
to apply. By 1989 the bulge
had passed through system. The
business classes (entrepreneurs,
investors and self-employed), the
groups which have received most
publicity in Canada remained
stable; in 1988 they accounted
for 23.8%of visas issued, in
1989 22.9%. Family class v

(direct dependents and close
relatives) grew in importance
from 13.7% in 1988 to 22.9% in

1989. It is likely that a
substantial proportion of retired
applicants also have relatives in
Canada.

Visas issued, by class. CLPR
Hong Kong. 1988-1989

CLASS

1988 1989

Family 2,467 3,858

Conv. refugee 12*

Designated 74 1,121*

Retired 1,494 1,699

Assisted relative 623 1,669

Entrepreneurs 4,490 4,210

Investors 699 1,132

Self-employed 173 206

Independent 12,353 9,993

Not-stated 103 232

Total

22,476 24,132

* Vietnamese refugees

The change in composition of
successful visa applicants is
accentuated when the pass rates
are examined. From 1988 to
1989 they shifted only slightly in
most classes, but declined
sharply in the independent class.

Pass rate, by class. CLPR Hong
Kong. 1988-1989

CLASS 1988 1989

Family 89.5 95.2

Conv. refugee - 100.0
Designated 72.3 75.9
Retired 83.6 81.5
Assisted relative 76.3 81.1
Entrepreneurs 86.1 71.6
Investors 94.1 79.5

Self-employed 92.2 62.8

Independent 70.9 43.3

Total

77.3 74.4

After being accepted as an
immigrant, a person has up to a
year in which to arrange

STATS ■ page 5

2 UPDATE

CANADA AND HONG KONG UPDATE

Editors Diana Lory

Stephanie Gould

Illustration Joe Burdzy

Design Stephanie Gould

Contributors Philip Calvert

Ho-yin Cheung
Harriet Clompus
Keung-sing Ho
Tan Xiaobing
Chow Ying Wong

Canada and Hong Kong Update is
published three times a year by the

Canada and Hong Kong Project,
Joint Centre for Asia Pacific Studies,
Suite 200K, Administrative Studies Bldg.
York University, 4700 Keele St.,
North York, Ontario,
CANADA M3J 1P3

Telephone: (416) 736-5784
Fax: (416) 736-5687

CANADA AND HONG KONG PROJECT

Director
Coordinator

Advisory Board

Diana Lary
Stephanie Gould

Denise Chong
Eh. Bernie Frolic
John Higginbolham
Dr. T.G. McGee
Graeme McDonald
Jules Nadeau
Dr. William Saywell
Dr. Wang Gungwu

We want to thank the Donner Canadian
Foundation for its very generous support
which has made this project possible. The
Foundation's long-standing interest in
Canada's international relations with Asia
has enabled us to conduct research which we
consider to be of great significance for the
future of the country.

In the Next Issue...

Status Dislocation for Immigrants

Interview with Author Sky Lee

Torontians Responses to Tiananmen

1997 and Emigration
in Hong Kong

by Lau Siu-kai and Wan Po-san
Hong Kong

The increasing exodus

Despite the promise of the
Chinese Government and
constitutional measures designed
to maintain the existing social
structure and lifestyles of Hong
Kong under the formula "one
country, two systems" for fifty
years after 1997, the scheduled
return of Hong Kong to China
has driven an increasing number
of Hong Kong people to obtain a
foreign passport or right of
abode in a foreign country.
From 1980 to 1986, people
emigrated at around 20,000 a
year. The annual outflow of
emigrants rose to approximately
30,000 in 1987 and 46,000 in
1988. The most popular
destination countries are Canada,
the United States of America and
Australia

1987

1988

Total 22.300 19.000

Canada 7380 5.893

Australia* 4.610 4.940

L'iA." 8.530 7.473

30.000 45300

16.170 22.802

6.420 9^30

8.517 11,394

Source: Hong Kong Government ' ■ task force on
9 September 1989; Nia Uagaau. 15 Much 1990.

'Number of migrants residing in Australia.

"By March, the Hong Kong backlog amounted to

nearly 50,000 If any of the reform billi before the

United Stares Congress can be legislated, the outflow

of Hong Kong people to the States will increase

accordingly.

In view of Hong Kong's return
to Chinese sovereignty after
1997, people are watching the
sociopolitical situation of the
mainland and the words and
deeds of the Chinese political
leaders closely. The June 4
Tiananmen Square massacre, the
subsequent political crackdown
on the pro-democracy movement
and the tough economic austerity
programme in China, and the
promulgation of the final draft of
the Basic Law have significantly
depressed Hong Kong people's
confidence in the territory's
future. The number of people
inquiring and applying for
emigration visas has drastically

increased. Nevertheless, given
the present immigration
regulations of major host
countries and the time required
to process applications, the
number of people leaving the
territory in the next two or three
years is expected to be between
55,000 and 60,000 a year.

In the meantime, emigration-
linked investment companies and
schemes are increasing and
creating a growing passport
market for those who are
desperate to get a second
passport but cannot meet the
selection criteria of major host
countries. Many second-rung
countries have joined in to cash
in on the capital and brain drain
from the territory. Some (e.g.
Singapore and South Africa)
have eased their migration
regulations to lure capital and
professionals and skilled workers,
while others (e.g. Tonga and
Belize) are simply "selling"
passports. Anticipating the setup
of the common market of the
European Economic Community
in 1992, the latest trend in the
passport market is to buy
property in Portugal and Spain
and then apply for residency.

The international safety net

The rising trend to emigration
has a potentially catastrophic
impact on the prosperity and
stability of the territory and has
become one of the major social
concerns. On the one hand,
owing to the immigration
policies of the host countries, the
majority of emigrants are either
the well-off (who are usually
qualified to emigrate by investing
no less than CS 150,000 in the
host country), or key personnel
in the labour force (who can
meet the visa criteria of
independent migrants and who
are mainly highly educated,
young, professional, technical,
managerial and administrative
workers). In 1988, the capital
outflow to Canada alone
amounted to CS2.4 billion.
Degree holders made up 15% of
the emigrants while only 3.5% of
the population had this level of

UPDATE 3

1997 and Emigration

From page 3

educational attainment. Of all
employed emigrants, 33.6% were
professional and technical
workers, 16.2% were
administrative and managerial
workers, as compared to 7.4%
and 3.8% respectively of the
labour force was in these
occupational categories. Surveys
of professional associations
published in the past few months
illustrated further the seriousness
of brain drain - e.g. 85% of the
local members of the Royal
Institute of Chartered Surveyors,
80% of the members of the
Hong Kong Society of
Accountants, and 60% of the
members of the Law Society
expressed their intention to leave
the territory. The accelerating
outflow of emigrants not only
would threaten the economy,
increase the emigration
propensity of those staying
behind, but also would dampen
the morale and confidence of
those who do not want to or
cannot qualify to emigrate.

In view of the alarming
problem and its negative effects
on the territory, collective efforts
have been made by the
Government and the private
sector (especially the business
leaders) to help arrest the
worsening brain drain and boost
confidence in the run-up to 1997.
For example, studies have been
commissioned to examine the
impact of emigration and
possible strategies for retaining
key personnel of the labour
force. Campaigns have been
launched to lobby foreign
countries for granting passports
or right of abode for Hong Kong
people. Emigrant businessmen
and professionals have been
encouraged to return to Hong
Kong after gaining the security
of a second passport. An
unprecedented expansion of
infrastructural development and
higher education are planned.

The foci and strategies of these
campaigns are shaped by two

prevailing viewpoints. In the
first place, a healthy economy is
regarded as the key to the future
of Hong Kong. As a result, the
rationale adopted by the
lobbyists, especially the business
leaders and overseas Chambers
of Commerce, is generally based
on the bilateral economic
interests between the destination
country and the territory. The
anxiety, helplessness and the
future of the general public are
deemed to be of less significance
than the maintenance of
economic prosperity by retaining
key personnel of the labour
force. In the second place, the
major objective is to secure an
exit route for insurance instead
of immediate escape. This in
fact coincides with the dilemma
of Hong Kong people. On the
one hand, people generally
distrust the Chinese government,
lack confidence in Hong Kong's
future and are desperate for a
foreign passport. On the other
hand, apart from the difficulties
of adaptation, it is quite common
for emigrants (particularly
professional, managerial and
administrative workers) to
experience downward social
mobility in destination countries.
Hence people generally want a
passport to stay more than a
passport to leave. In a similar
vein, the length of residency
required by the immigration
regulations of host countries
(called by Hong Kong people as
"emigrant imprisonment") is one
of the major concerns in
considering the destination of
emigration.

Restoring the right of abode in
Britain is thus not only regarded
by the concerned parties in Hong
Kong as the moral and legal
responsibility of the British
Government for all of the 3.25
million Hong Kong British
passport holders, it is also seen
to be the first necessary step to
lobby other countries to offer
similar "delayed action" passport
schemes (packages that do not
require the passport holder to
relocate immediately to qualify),

thereby constructing an
international safety net for Hong
Kong people should needs arise.
In this connection, the changes
to the Singaporean immigration
policy made last July are a
significant breakthrough. Right
of abode will be granted to
/ 25,000 Hong Kong skilled
workers. Successful applicants
have up to five years to relocate
in Singapore. By February,
20,038 people had applied and
16,691 applications have been
approved.

Yet the nationality package
proposed by the British
Government to grant British
passports to a selected 50,000
Hong Kong residents and their
dependents (a total of about
225,000 beneficiaries) has
become a matter of controversy.
In Britain, it might still be
rejected or substantially revised
by Parliament and repealed later
by the Labour Party when it is
in power [ihe bill has since been
passed]. In Hong Kong, due to
the limited quota of the package,
a majority of people will still be
excluded from the scheme.
Under the proposed selection
criteria, priority is to be given to
those who probably are qualified
to obtain other foreign passports.
Therefore, the package is likely
to be socially divisive and may
thus intensify the confidence
crisis. To the Chinese
Government, the package and the
internationalization of the Hong
Kong issue have made Beijing
lose face. China also sees a
conspiracy of the British
Government either to retain her
influence on the territory after
1997, or to destabilize the
Special Administrative Region
(SAR) by draining its talent.
After the June 4 event, Chinese
officials have taken a tough
stance on the nationality issue of
Hong Kong. They oppose the
plan fiercely because if an
increasing number of foreign
passports are granted to

4 UPDATE

From page 4

Hong Kong people without the
requirement of residency, then
after 1997 Hong Kong might
become a place administered by
people of foreign nationalities.
If these foreign passport holders
stay in Hong Kong after 1997,
their loyalty to China will be
held in suspicion. If they choose
to leave on the eve of the
takeover, which is very likely
according to the findings of
opinion surveys, the functioning
of the territory may be
jeopardized. Both possible
outcomes will undoubtedly be to
the detriment of the interests of
China. In responding to the
right of abode issue, the Chinese
Government has imposed more
nationality restrictions on key
government officials and
legislators of the SAR; stressed
the contradiction between the
package and the nationality law
of China (which does not
recognize dual nationality, does
not recognize foreign passports
obtained without residence
requirements, regards all Hong
Kong people residing in the
territory as Chinese nationals
unless they have renounced their
Chinese nationality, and forbids
state employers to renounce their
Chinese nationality); and
emphasized the point that
passports issued under the
scheme will not be recognized
by the Chinese Government.
Besides, it is expected that one-
third of the quota of the package
will be allocated to civil
servants, the backbone of the
government bureaucracy. While
the package is not accepted by
the Chinese Government, a
nationality and loyalty dilemma
for civil servants, whose present
terms of employment do not
restrict them from holding
foreign passports, may thus be
created.

By and large, the accelerating
trend of emigration has affected
the function and development of
the territory. Yet it is its

seriousness that prompts the
British and Chinese Governments
to take measures to deal with the
problem. Nevertheless, major
efforts carried out to stem brain
drain might at best serve their
purpose to anchor people in
Hong Kong up to or before
1997. Without any firm
structural assurance of the
autonomy of the territory and the
establishment of mutual
understanding and trust between
China and Hong Kong (and
assuming that the favourite host
countries continue to receive
immigrants from Hong Kong),
these efforts might only delay
the problem of emigration
instead of solving it. /

Immigration Stats

From page 2

departure for Canada. Landings
in Canada therefore include
many people who were approved
the year before. Total landings
for 1988 were 23,286, for 1989
19,994. The decline in
independent immigrants shows up
again - 8,669 of 19,994 (43.36%)
in 1989, as opposed to 13,739 of
23,286 (59%) in 1988.

Immigrants, bv class

CLPR Hong Kong.

1988-1989

CLASS 1988

1989

Family 3,045

3,180

Conv. refugee

3

Designated 52

887

Retired 1,231

1,449

Asst. rel. 742

810

Entrepren. 3,872

3,933

Investors 472

888

Self-employed 133

175

Independent 13,739

8,669

Total 23,286

19,994

In terms of destination,
patterns of immigrant landings
from Hong Kong were stable.
In 1988, 58.07% of immigrants
were destined for Ontario
(13,523), in 1989, 53.98%
(10,793). In 1988, 22.27%
(5,185) went to British
Columbia, in 1989, 23.82%
(4,763). There was a rise in
landings in Quebec: in 1988 the
province accounted for 5.93%
(1,380) of Hong Kong
immigrants, in 1989, 9.78%
(1,956).

Immigrants (by province)

1988 1989

Alberta 2,257 1,668

B.C. 5,185 4,763

Manitoba 409 290

New Brunswick 33 49

Newfoundland 30 30

NWT 7 9

Nova Scotia 63 84

Ontario 13,523 10,793

PEI 5 8

Quebec 1,380 1,956

Saskatchewan 390 344

Yukon 4

Total

23,286 19,994

Within each province, movement
was overwhelmingly to the major
cities: in 1988, Toronto
accounted for 1 1 ,779 of the
13,523 landings in Ontario, in
1989 for 9,010 of 10,793; in
1988, 4,962 of 5,185 landings in
British Columbia were in
Vancouver, in 1989 4,520 of
4,763.

All statistics used have been
supplied to us by the Department
of Employment and Immigration,
Hull. We are most grateful for
this assistance, and for the speed
at which statistics have been
made available.

UPDATE 5

Adjusting to Life in Canada: Visa Students in Ontario

by Stephanie Gould
Toronto

"In the late 1970s and early
1980s, a large number of the
students who studied abroad
returned to Hong Kong to live
and work after the completion of
their studies; but in recent years,
there are indications that more
and more are not returning,
probably out of personal or
family concern for 1997."

Bernard Hung-kay Luk,

"Education" in

The Other Hong Kong Report,

1989.

In 1989, more of Hong Kong's
students chose to study abroad
than ever before and more chose
to study in Canada than in any
other country. Last year, 5,096
students from Hong Kong
obtained visas to study in
Canadian secondary and post-
secondary institutions, an
increase of 34 percent over 1988.
Students from the territory now
make up the largest group of
foreign students in Canada, with
a total of about 14,000. Like all
others studying in Canada on a
visa, students from Hong Kong
must return to their own country.
While they may not be choosing
to emigrate when they obtain a
visa, the numbers alone indicate
that the approach of 1997 is
making studying abroad an
attractive idea.

Articles and advertisements
about educational opportunities in
Canada and elsewhere abound in
Hong Kong's newspapers and
magazines. But the most reliable
place to get information on
education abroad is The Hang
Seng Bank which provides a
non-profit Education Advisory
Service. The bank keeps its
information on Canada current
by maintaining close ties with
provincial trade representatives in
Hong Kong and educational
bodies here. Ms. Corina Tsang, a
senior student counsellor at the

bank, is quoted in the South
China Morning Post, March 8,
1990, as saying "the low cost of
tuition for foreign students is a
major attraction [to Canada]."

But- few students are prepared
for what they encounter in
Canadian schools and
universities. "Actually when I
think about it, I didn't have very
much preparation," said Evelyn
Man, a Ph.D. student at the
Ontario Institute for Studies in
Education. "I knew very little
about everything in Canada.
Before you come the Canadian
consulate arranges some sort of a
briefing session in which you
can ask questions. But actually
you don't even know which
questions to ask." Man is
determined to return to her
country to live and work, but she
doesn't know whether she will
stay after 1997. She describes
herself as committed to the
territory despite apprehensions
about its future.

"Be prepared for a much freer
kind of atmosphere," said Man
when asked if she has any
advice for students in Hong
Kong who are considering
studying in Canada. "I don't
think a lot of Hong Kong
students are trained to cope with
a very free system. I mean, if
you're going to read a book you
choose your own, but only
within a very small range. So
learn to take more initiative, try
to find things out for yourself."
Man describes the school system
in Hong Kong as very "exam
oriented" and academically
competitive, but she says in
many ways their academic
training puts students from the
territory at an advantage in
Canada.

Many students from Hong
Kong are choosing to come to
Canada in the transition stage
between secondary and post-
secondary education. Even
though Hong Kong has been a
British colony and most students
attend Anglo-Chinese schools,

the first challenge for most
students on arrival in Canada is
to learn English well enough to
qualify for university entrance. In
Hong Kong, while "primary
education is mostly in Chinese,
and secondary education is
mostly in English," students and
teachers have great difficulty
with the transition, writes
Bernard Luk in The Other Hong
Kong Report. The result is that
in Anglo-Chinese schools,
textbooks and exams are in
English, but Cantonese is spoken
in the classroom, he explains.

Jane Sims, English as a
Second Language (ESL) teacher
at Sir Sandford Fleming
Secondary School in North York,
Ontario, where 72 percent of
visa students are from Hong
Kong, says that they are very
dedicated to their school work.
"In spite of homesickness and
culture shock and goodness
knows what difficulties with the
language, they work extremely
hard and the success rate is very
high."

Tarn Goossen, School Trustee
for the Toronto Board of
Education who came from Hong
Kong 20 years ago, says visa
students from Hong Kong also
do well socially in the Canadian
system at the secondary school
level. She described "one group
of visa students [who] took on
the Christmas party and
fundraising. They've put on
functions that include the whole
student body and have provided
leadership in the school." But
she stressed that some students
need more assistance adapting to
life here. "You also hear stories
of kids who are so lonely they
don't know what to do with
themselves."

To make it easier for visa
students to adapt to life in
Canada and our school system,
Goossen would like to see more
information about Canada
available to students and their
parents before they leave the

6 UPDATE

territory. "People in Hong Kong
really don't know any details
about how the education system
works here. They don't know
that we have all these different
high schools. So, we're asking
for a pamphlet that can explain
the system better."

When students arrive in
Canada, Goossen believes more
should be done to help them
adjust to their new life. "We're
trying to encourage them to
come two weeks earlier in the
summer. And then we'll provide
them with an orientation course,
combined with ESL. We're
looking into doing that, but we
can't do it this year. We might
do it next year."

Both Sims and Goossen are
concerned about some students
under the age .of 16 who appear
to be living in Canada without a
guardian. Under Canadian
immigration regulations, students
younger than 13 are not granted
visas on the grounds that they
are too young to be away from
their families, while students
under 16 must have a guardian
living here. "A lot of times, the
people in Hong Kong will just
give you a name of a relative
here and, really, a name only."
When faced with an emergency
situation, social workers with the
Toronto board have experienced
difficulty reaching people named
as guardians, said Goossen.
"They have had to call Hong
Kong on a number of occasions
to find the parents to tell them
what's happening."

She says another problem is
that the social worker responsible
for visa students is only on a ten
month contract "It's not easy
for them [students from Hong
Kong] to make friends outside
the school situation. So, they
get very lonely. And a lot of
them live in rooming houses,
contrary to all that myth about
rich Hong Kong students. And
then when the summer comes,
it's even worse. They can't
work. And I don't think many
of them can really manage to go
back to Hong Kong to visit. So
they're here!"

She and other members of the

Toronto Board "have been trying
to figure out a way to make it
really clear" that students under
16 must have a guardian living
in Canada. "One relative
suggested that we should tie it in
with immigration. Back in Hong
Kong, the parents should
accompany the children when
they get a visa." In addition, she
thinks guardians should be
required to attend an interview
when the student registers at the
school he or she will attend in
Toronto.

Goossen says "visa students
tend to be neglected in the
system because they don't have a
spokesperson. They don't have
the same rights that most
Canadians enjoy. All immigrants
are eventually voters, so they
manage to have a voice. But
visa students have no status."

Sims would like to help young
students living on their own
here, but she doesn't want to
take any action that would
jeopardize their chances of
continuing their studies in
Canada. She gives her home
telephone number to students. "I
don't think children should be
living alone and not have an
adult's number that they can call
if they have a fire."

Sims would like to see more
students from Hong Kong able to
return to Canada to live and
work once they have completed
their education. "People from
Hong Kong are leaving not
because they want to come to
Canada, but because they are
leaving a bad situation. A lot of
immigrants leave against their
will; certainly no refugee ever
wants to come. But once the
students are here, they would
love to come back. I have any
number of students who would
love to come to Canada, but
unless their family has money
[they are unable to return] which
strikes me as very unfortunate
because once we've educated
them in Canada it seems a
shame to loose them."

Citizenship Law Explained

by Chi-Kun Shi
Toronto

Hong Kong citizenship law is
stipulated by a series of British
legislation as it relates to
nationality in Briush colonies.
Under the British Nationality
Act, 1948, all citizens of the
United Kingdom and Colonies
(CUKC) are British subjects.
They enjoy the right to enter and
reside in Britain in addition to
their rights as a citizen of the
particular colony where they live
as well as travelling convenience
within the Commonwealth.
CUKC may be secured by birth,
by descent from a CUKC on the
paternal side, by marriage, in
case of women, to a male
CUKC or by naturalization after
five years of residence in the
colony.

The structure of the 1948 Act
has been maintained throughout
subsequent legislation. The
changes introduced by the latter
are largely concentrated in
redefining the rights of a CUKC.
The series of legislation
following the 1948 Act
consistently erodes a CUKC's
right to enter and remain in
Britain. This is achieved by
narrowing the group of colonial
subjects who are to receive such
rights, coined by the 1971 Act as
the "right of abode".

The most recent legislation is
the 1981 Act. It devised three
types of citizenship; British
citizen, British Dependent
Territories Citizens (BDTC) and
British Overseas Citizens.
British Citizens enjoy the right
of abode in Britain, BDTCs do
not.

Most Hong Kong people fall
within the BDTC category.
BDTC may be conferred upon
Hong Kong people by birth,
adoption, registration in case of
minor children of naturalized
BDTC parents, marriage in case

CITIZENSHIP - page 8

UPDATE 7

Citizenship

From page 7

of alien women and by descent
BDTC may also be secured
through naturalization, after
residency of five years in Hong
Kong and fulfilment of other
qualifications such as command
of the English language.

Most significantly, BDTCs are
thrust upon existing CUKCs who
do not hold the "right of abode"
under the 1971 Act Under the
1971 Act, only CUKCs who
were bom, adopted, registered or
naturalized in Britain have the
"right of abode". Such rights
were also allowed to people who
qualify due to complicated
ancestral link to Britain or, in
the case of alien women, through
marriage. While the 1971 Act
stripped all the Hong Kong
originated CUKCs of their right
to reside in Britain, the 1981 Act
took the further step of lumping
them into a separate category
from the other CUKCs who are
assimilated into the "British
Citizen" category. The travelling
convenience enjoyed by CUKCs
within the Commonwealth is
subject to the discretion of the
individual countries. For
example, BDTCs cannot enter
Britain without a visa.

Most people in Hong Kong
today hold the BDTC. However,
there are some who do not
qualify for it; they are then
stateless. The travelling
document they hold is the
Certificate of Identity issued
pursuant to the United Nations
Convention Relating to the Status
of Stateless Persons.

Finally, there are a growing
number of Hong Kong people
who hold foreign citizenship. To
the extent that it is not repugnant
to the foreign citizenship law,
they may hold such citizenship
in conjunction with their BDTC.

"Between the Cracks of
Contradiction..."

by Chow Ying Wong
Toronto

An article titled "Between the
cracks of contradiction: where
do the new immigrants from
Hong Kong fit?" was published
in the Modern Times Weekly on
March 30, 1990. The author, Su
Guannan, attributes adjustment
problems of recent immigrants to
(i) a lack of accurate
information; (ii) the 'safety net'
mentality and, most importantly,
(iii) a 'vacuum' in the value
system -- one which is created
when Hong Kong culture meets
Canadian culture.

The author contends that
although prospective immigrants
can get information about
Canada from the Canadian
Commission, most readily
available information doesn't
address social problems and
pressures existing in the host
society. As a result, many are
shocked, or feel they are "being
cheated" when they come to
Toronto.

With the approach of 1997,
emigration has almost become a
fad in Hong Kong. However,
many people treat the experience
of migration as "moving, touring,
having a vacation, or visiting
relatives," without realizing its
impact on themselves and
possibly the lives of their next
few generations.

Like other newcomers to this
country, immigrants from Hong
Kong experience unemployment
and underemployment. Su
Guannan argues that this is
critical to the settlement process
only when downward mobility is
related to the value system the
immigrants bring with them.
Hong Kong is highly
materialistic and competitive.
Status, and therefore happiness,
is determined by the
accumulation of assets. Many
recent immigrants try to re-
establish their status in Canada

when they arrive. This often
means transplanting their lifestyle
from Hong Kong to Toronto. It
also includes spending most of
their savings on an automobile
and the down payment on a
house. By obligating themselves
to a huge mortgage, many
immigrants are prone to family
crises and other problems of
adjustment. Finally, the author
suggests a more flexible financial
policy for new immigrants.

The 'vacuum' in the value
system Su Guannan refers to is
an important element in the
process of cultural adjustment.
Dissonance is created when the
cultural values of newcomers and
the host society are not mutually
accepted. More than one
'vacuum' may exist for recent
Hong Kong immigrants. Not
only do they have to adapt to
the 'mainstream' society, they
have to be accepted by the local
Chinese community as well.
The author describes recent Hong
Kong immigrants as unwilling to
adjust to the new society.
Rather than adapting to that of
the host society, they My to bring
their lifestyle to Toronto, to
change the environment by
making it similar to the one they
have left behind.

The comment, although not a
representative one, sounds similar
to the saying about the
"unassimalatable Asian" in the
early part of the century. It
reflects a certain degree of
conservatism in the Chinese
community toward newcomers.
The image of recent Hong Kong
immigrants as a bunch of well-
off yuppies and conspicuous
consumers is popular not only in
the dominant society, but among
some members of the local
Chinese community, who try to
recall the hard times they had
when they first settled in
Canada. Hence, it is important
to bear in mind that the issue
isn't limited to seulement in the
mainstream society, but also into
one's ethnic community as well.

8 UPDATE

Chinese-Canadians Split

by Tan Xiaobing
Vancouver

A battle over whether a plaque
should be mounted to recognize
China's continuing struggle for
democracy and to commemorate
those killed in Beijing last June
disrupted Vancouver's Qing
Ming, a festival for Chinese to
pay tribute to departed ancestors,
relatives and friends, this year on
April 5th./

Last August, The Vancouver
Society in Support of Democratic
Movement proposed that a
replica of the Goddess of
Democracy, the statue that was
erected in Tiananmen Square, be
built in the Dr. Sun Yat-Sen
Garden. But the Dr. Sun Yat-Sen
Garden Society refused to
provide space, for it was
reluctant to become part of "a
political forum." This year, the
Vancouver Society in Support of
Democratic Movement applied to
the Vancouver Parks Board to
place a plaque in the city-run
Sun Yat-sen Park, adjacent to the
Garden.

The Chinese Benevolent
Association, which has a
membership of more than 50
Chinese organizations, apposed
placing the plaque in the garden,
saying that the events in Beijing
in June were an internal affair of
China, and overseas Chinese, no
longer being Chinese nationals,
should not get involved.

During a heated debate in a
City Council committee room on
Wednesday, March 21, the
Council's Race Relations
Committee recommended that the
Vancouver Parks Board establish
a subcommittee, including one
member of the Race Relations
Committee, to examine the issue
further.

After the debate, as the
controversy spread within the
Chinese community, some
organizations took sides.
Individuals also expressed their
opinions by writing to Chinese
newspapers and calling the
"Voice of Overseas Chinese", a
Chinese-language radio station.

Over Commemoration of

Duan Jin, the departing Chinese
Consul-General in Vancouver,
reportedly said that to
commemorate the deaths in the
June 4th incident was to
commemorate the counter-
revolutionary ruffians, and, thus,
was to intervene in China's
internal affairs. However, a
person using the name of a
"UBC student from Mainland
China," argued that Dr. Sun Yat-
Sen was a Chinese political
leader, and to use his name for a
plaque in Vancouver could also
be considered an act to
"intervene in China's internal
affairs". He suggested the park's
name should be changed.

Although Qing Ming has come
and gone for this year, the
debate over whether to
commemorate the deaths in
Beijing continues. The
Vancouver Society in Support of
Democratic Movement will
organize activities in May and
June to mark the one year
anniversary of the events in
Beijing.

Immigration's Impact on
Vancouver Housing

by Diana Lary
Toronto

One frequently expressed
concern in Vancouver is that
immigrants from Asia, notably
Hong Kong, have driven up
house prices. A report published
in 1989 by the Laurier Institute,
When did you move to
Vancouver?, by Gregory
Schwann, suggests a different
picture. Using a series of
federal government statistics for
1971, 1976, 1981 and 1986, the
report shows that international
immigration to Vancouver
declined from 1976 to 1986, and
that intra- and inter-provincial
migration into Vancouver far
exceeded international migration.

Massacre Victims

Intra + inter- International
provincial

1967-71 176,810 71,760

1972-66 122,475 74,830

1977-81 145,660 61,250

1982-6 135,235 50,190

The pressure on Vancouver
housing has more to do with
demographic characteristics of
the local population (the baby
boom, decline in household size)
than to movement into the area
from abroad. As for the famous
"monster homes," immigrants
were less likely to occupy larger
homes (9+ rooms) than local
purchasers; 73% of such homes
occupied during the 1981-6
period were taken up by people
moving within the Vancouver
area. The report does not
distinguish between origins of
immigrants, nor does it cover the
period since 1986 when the issue
of housing has surfaced -
statistics for that period will not
be available until the next census
in 1991.

A more recent Laurier Institute
report, The Housing Crisis: The
Effects of Local Government
Regulation, W.T. Stanbury and
John Todd, (January, 1990)
suggests that the situation has
changed since 1986.
Immigration has risen; in the
two and a half years from 1987
to June, 1989, 42,476 immigrants
arrived in Vancouver,
proportionally a much higher
number than for the previous
five year period. 10,897 were
from Hong Kong, a slightly
higher proportion than the 8,178
(of 49,775)* who came in the
period 1982-6 (p. 103). The new
immigrant group has included
significant numbers of people
wanting to live in and able to
afford large homes. / vty 6

This report provides a
considerable amount of statistical
and anecdotal information which
indicates that monster homes
have come to be seen as a
serious problem to many
Vancouverites over the last few

HOUSING ■ page 13

UPDATE 9

Information on Canada

by Diana Lary
Toronto

The Hong Kong emigration
climate has spawned a migration
industry, which involves
immigration consultants, lawyers,
real estate agents, investment
councillors, employment
agencies, and household movers.
The industry also provides
information to let people know
what they can expect from
emigration.

Canada is particularly well
known in Hong Kong. There are
regular newspaper columns on
Canada, such as "Words from
the Maple Woods" (Singtao
Daily). There are numerous
publications, in the vein of the
late 19th century publications
which circulated in Europe, and
extolled the virtues of countries,
to "sell" emigration to potential
migrants. They tend to be vague
and general, and to offer some
quite dubious means of getting
abroad. But in Hong Kong now
emigration is a serious business,
and much of the information
presented is serious and accurate.
General emigration publications
focus on all possible destinations;
they include a monthly
periodical, The Emigrant. Others
deal with one country only; at a
local bookstall in Causeway Bay
in January, 1990, ten
introductions to Canada in
Chinese were on sale. Some,
such as the Guide to Canadian
Immigration (which has gone
through five editions since 1987)
are detailed instructions on
immigrant eligibility and
application procedures.' Others,
such as the Handbook for
Immigrants to Canada, are
general introductions to every
aspect of Canadian life, from the
government and taxation systems
to sites of interest, all condensed
into just over a hundred pages. 2
The amount of detailed
information available means that
would-be immigrants tend to be
well informed before they make
an enquiry at the Canadian
Commission. Those unlikely to

succeed in gaining an immigrant
visa know not to apply. In
1989, formal applications
received from Hong Kong people
(29,584) were less than double
the number of pre-application
questionnaires filled out (45,229).
This contrasted with the previous
year in which 42,052 PAQs were
filled out for 15,334 formal
applications. 3 The pass rates in
both years for those making
formal applications were high -
77.3% for 1988, and 74.4% for
1989/ This high success rate
can be ascribed partly to good
advice from Commission staff,
and partly to the fact that would-
be immigrants to Canada are
well-informed of their chances of
success. Immigration
publications must take some
credit for getting the information
out

(1) Guide to Canadian Immigration
(Jianada yimin zhinan), CEMA (Hong
Kong and Toronto), 1989.

(2) Handbook for Immigrants to Canada
(Jiannada yimin shouce), Xiong Dezhang
(Kowloon), 1989.

(3) Immigrant Applications Received
(Post and CLPR Hong Kong), DepL of
Employment and Immigration, March,
1990

(4) Pass Rates (Post and CLPR Hong /
Kong), ibid. /

The Basic Law

The Basic Law (of the Hong
Kong Special Administrative
Region of the People's Republic
of China), in effect the
constitution for Hong Kong after
July, 1997, was adopted on April
4th, 1990 by the Seventh
National People's Congress
meeting in Peking. The Law's
most important stipulations are
that "the socialist system and
policies shall not be practised in
the Hong Kong Special
Administrative Region, and the
previous capitalist system and
way of life shall remain
unchanged for 50 years (Article
5); there are specific guarantees
of the continuation of a wide
range of freedoms such as
speech, the press, publication, the

person, communication,
conscience, creativity, marriage,
access to the law (Articles 27-
35, 37), and of rights of property
and social benefits (Articles 6,
36). These grand, lofty
guarantees are matched by
stipulations that military forces
of the Central People's
Government will be stationed in
Hong Kong (Article 14), that the
Region will enact laws to
prohibit "any act of treason,
secession, sedition, subversion
against the Central People's
Government (Article 23), and
that the powers of interpretation
and amendment of the Basic
Law are vested with the National
People's Congress in Peking
(Articles 158 and 159).

The response to the adoption
of the Basic Law in Hong Kong
was muted. Its contents were
already widely known, and most
of the articles which aroused
particular concern had already
received wide-spread coverage in
the local press. The only
elements of some novelty were
the new regional flag, "a red flag
with a bauhinia flower
highlighted by five star-tipped
stamens" (Article 10), and the
stipulation, reiterated in many
articles, that the chief executive,
the members of the Executive
Council, the principal executive
officials, 80% of the members of
the Legislative Council, the Chief
Justice of the Court of Final
Appeal and the Chief Judge of
the High Court, and most senior
public servants are to be
"Chinese citizens who are
permanent residents of the
Region without right of abode
in any foreign country"
(Articles 44, 55, 61, 67, 101).

There was little show of
enthusiasm for the Law. In a
climate of continuing mistrust of
the Peking authorities, the
contents of the Law were less
significant than the fact that
public confidence in its intention
or ability to protect the present
way of life in Hong Kong is
very limited.

10 UPDATE

Democratization In Hong Kong

by Sonny Lo
Hong Kong

Since the military crackdown
on student demonstrators in the
People's Republic of China
(PRC) on 4 June 1989,
democratization has become the
most controversial issue in Hong
Kong's political development.
Democratization refers to the
process of allowing citizens to
exercise civil or political rights
which they have never enjoyed
before. It may be a long
process with a transitional period
of at least one generation.

Prior to 1982, the colonial
administrators in Hong Kong
refrained from democratizing the
political system. Although the
British Colonial Office supported
electoral reform in the territory
after World War II, the Governor
Sir Mark Young felt that
membership of the law-making
body, the Legislative Council
(Legco), should be confined to
British subjects and that only
British should be entitled to vote.
Governor Young's successor, Sir
Alexander Grantham, feared that
democratization could provide an
opportunity for the Chinese
Communist Party to influence the
politics of Hong Kong. It was
not until the 1970s that the
Governor Sir Murray LacLehose ^
appointed some members at the
grassroots level such as workers
to the Legco.

Democratization of the colonial
polity has taken place since 1982
when District Board elections
were held. District Boards were
advisory bodies with members
elected by citizens and appointed
by the government to discuss
district affairs such as repairing
roads and building traffic lights.
The introduction of District
Board elections can be jegarded
as a purposive adaptation to
changing circumstances. In the
late 1970s, a large number of
citizens moved to reside in new
towns, a demographic change
that called for the government to
meet the basic needs of the
migrants and to allocate

resources effectively by
decentralizing the administration.
Moreover, the colonial authorities
perceived an urgent need to
strengthen their rule. The 1970s
saw the rise of numerous interest
groups formed by such middle-
class intellectuals as social
workers and students, who
protested the government and
who urged it to combat
corruption. In order to curb
protests and to minimize the
influence of these interest
groups, the government
channelled citizen participation
into such institutions as District
Boards.

After the Sino-British
agreement on Hong Kong was
initialled in 1984,
democratization is no longer an
occasional phenomenon and
becomes a British policy towards
Hong Kong. Originally, the
Hong Kong government in 1984
intended to introduce some
Legco seats directly elected by
citizens in 1988. Because of the
opposition from China, the
colonial policy-makers in 1987
abandoned such electoral reform.
In fact, the colonial admini-
strators, the local capitalists and
PRC officials formed a triple
alliance that opposed the
introduction of direct elections to
the Legco in 1988.

In the wake of the June 4
incident in China, British policy-
makers decided to introduce a
bill of human rights in Hong
Kong and to increase the number
of legislators elected directly
through geographical
constituencies in 1991. These
decisions were due to Britain's
desire to curb the anti-British
sentiment in Hong Kong using
democratization in exchange for
the refusal to grant the right of
abode in the United Kingdom to
3.25 million Hong Kong British
subjects, and to respond to the
domestic criticism from the
Labour Party, the Social and
Liberal Democratic Party and the
media.

However, there are several

limits to democratization in Hong
Kong. First and foremost, PRC
officials, who have been alarmed
by the activities of some
Hongkongers to give financial
support to mainland Chinese
protestors in June 1989, use the
Hong Kong Basic Law to limit
the scope and decelerate the pace
of electoral reform in the
territory before and after 1997.
After 1997, the power of China's
National People's Congress will
probably override that of the bill
of rights in Hong Kong.
Second, the disunity among
Hongkongers is an obstacle to
democratization. While some
pro-Beijing capitalists and
middle-class liberals are at
loggerheads concerning the pace
and scope of electoral reform,
the middle class has also been
split into pro-China and pro-
democracy camps. Under these
circumstances, PRC officials find
it easy to prevent half of Legco
members from being directly
elected by citizens before 1997.
Third, Britain is still reluctant to
accelerate political reform in
Hong Kong at the expense of
jeopardizing the friendly Sino-
Bntish relations. Finally, as a
large number of middle-class
Hongkongers continue to
emigrate, middle -class liberals
who formed such new mini-
political parties as the
Democratic Association and the
United Democratic Party will
lack a strong foundation to
influence the direction of
electoral reform. The June 4
incident exacerbates the mutual
distrust between China and the
Hong Kong people, delegitimizes
the Basic Law, and convinces
many Honglcongers that it is
necessary to adopt an insurance
policy through emigration. The
prospect of democratization in
Hong Kong depends not only on
China, but also on most Hong
Kong people whose refugee or
escapist mentality will inevitably
weaken the democracy movement
in the future Special
Administrative Region.

UPDATE 11

Citizenship Bill Sparks Controversy In Britain

passport will inevitably come to

by Harriet Clompus
Leeds

In mid-April, the British
parliament voted in favour of a
controverial bill to grant full
citizenship to up to 225,000
(50,000 key workers and their
dependents) Hong Kong
residents, despite rebellion in the
governing Conservative Party's
ranks. In reaction, the Chinese
Foreign Ministry stressed that the
British Government has no right
to "setUe unilaterally the
nationality status of Chinese
citizens of Hong Kong."

When the British government,
under pressure from Hong Kong,
proposed the bill in December
1989, the Foreign Minister, Mr.
Douglas Hurd, stressed that the
bill was to be an "insurance
policy" giving right of abode to
professionals. It was argued that
it would stem the "brain drain"
and ensure Hong Kong's smooth
running and stability.

The 50,000 plus dependents
was the maximum the
government judged would be
acceptable at home and the
minimum they thought Hong
Kong would accept. On his
return from Hong Kong in mid-
January, Mr. Hurd said "We
have tried to strike a balance,
which is disappointing to almost
everyone in Hong Kong, but we
believe it is a reasonable
balance.", I\u

The government of mainland
China called the proposal "a
gross violation" of the Joint
Declaration. On the 18th of
January, Minister Lu Ping in
Canton said consular protection
would be withdrawn from the
holders of such passports after
1997, and moreover that such
people could only hold up to
15% of top civil service and
governmental positions in Hong
Kong. Gerald Kaufman, the
shadow foreign minister asked
Mr. Hurd in session, "Does this
statement on behalf of the
Chinese Government not mean
that if the British plan is
enacted, everyone awarded a

Britain in 1997, thus making a
nonsense of the government's
claim that the purpose of the
plan is to anchor people in Hong
Kong?"

The bill has received
vociferous criticism within the
British government and the Tory
party. A group of 30 or 40
right wing dissidents led by
Norman Tebbit, former
Conservative party Chairman,
says the cabinet has been swayed
by the Foreign Office and that
Prime Minister Margaret
Thatcher should be rescued from
the error of her ways.
Conservative MP Tony Marlow
said "We have a multi-cultural,
multi-racial society that no-one
has debated or requested. Now
the government has gaily decided
to invite another quarter of a
million in."

Some centre and left Tory
dissidents argue that the bill is
elitist and not likely to restore
confidence, or unfair in light of
the long queue of people from
the Indian Subcontinent waiting
to join relatives in Britain and
who must go through the
processes of the 1981 Nationality
Act to be admitted. In late
February a three strong
Conservative MP delegation went
to Mrs. Thatcher to tell her of a
letter signed by over 80
Conservative MPs saying that
they would not support the
government in this Bill. Even
more Tories had privately
expressed their opposition to it.
Many wanted the Nationality Bill
of 1981, which provides for
discretionary Entry Certificates
without full citizenship, to apply
to the Hong Kong citizens. All
wanted the Bill to be debated
clause by clause in the House of
Commons rather than by
Committee.

The Bill also faced opposition
from the Labour Party. Gerald
Kaufman, the shadow foreign
secretary, described the plan as
"elitist, unfair and impractical."
On 21st of January it was
reported in The Guardian that
Labour had identified three

categories that it would welcome.
These were 6,000 Indians who
could become stateless after
1997, a similar number of British
intelligence staff, and a few
hundred war widows.
The Guardian noted that "Many
MPs believe the Party has
ducked the issue of larger,
potentially unpopular classes of
refugee."

Perhaps the last word on what
Peter Jenkins, a columnist in The
Independent has dubbed "The
Prejudicial Numbers Game"
should go to a British born
Chinese who said in a Guardian
article titled "Passport to the big
money", "Britain has lost a big
chance. All the Big Money that
has been moving out of Hong
Kong in the last few years has
gone elsewhere. And even now,
instead of encouraging it, the
British government has been
discouraging them and making
them feel like beggars."

The British Nationality Bill

by Ho-yin Cheung
and Keung-sing Ho
Hong Kong

The details of The British
Nationality (Hong Kong) Bill,
published on Wednesday, 4th
April 1990, were announced in
Hong Kong by the Director of
Administration, Mr. Donald
Tsang Yam-kuen. This passport
scheme was devised to relieve
Hong Kong's confidence crisis
and curb the "brain drain" by
granting British Citizenship to
50,000 heads of families and
their dependents in the run up to
1997. Mr. Tsang said the whole
process was designed to ensure
that all the applicants will be
treated fairly.

The quota of 50,000 will be
divided into four sections:
General Allocation; Key
Entrepreneurs; people in
disciplined services such as the
police force and prison guards;
people in intelligence, all of

NATIONALITY ■ page 15

V

12 UPDATE

Canada - Hong Kong Trade and Investment Overview

the Territory has also grown.

excerpts from "Hong Kong,"
External Affairs and International
Trade, Government of Canada.

In 1989, Hong Kong was
Canada's 12th (16th in 1987)
largest market while Canada was
Hong Kong's 6th largest
customer. Two-way trade with
Hong Kong increased slightly
(2.5%) in 1989 to reach S2.2
billion. Canada completed 1989
with a merchandise trade deficit
with Hong Kong of SI 11.8
million, 25% less than that
registered for 1988. Canadian
exports have increased from
S10O4.3 million to $1049.9
million (up by 4.5%), while
Hong Kong domestic exports to
Canada increased by 0.6% from
$1153.4 million to $1160.7
million.

For 1989, exports of valued at
precious metals and gold Maple
Leaf coins ($590 million)
represented 56% of Canadian
exports to Hong Kong and
accounted for much of the
increased trade. Other major
items were spcl confidential
transactions ($106.3 million),
paperboard (S47 million),
aluminum (S44 million), and
plastics and plastic articles ($40
million).

Hong Kong is an important
source of investment for Canada,
with a significant potential for
growth. In 1989, the total flow
of investment from Hong Kong
to foreign countries was
estimated a $12 billion. That
Canadian share is estimated to
represent 20 percent or $2.4
billion. The value of the
estimated outflow of capital from
Hong Kong in 1990 is $20
billion. Of this amount, one-half
is considered portfolio
investment.

Domestic Political Situation

The Tiananmen violence in
China resulted in an accelerated
loss of confidence by the
residents of Hong Kong

regarding post- 1997 arrangements
when the Territory will become a
Special Administrative Region of
the PRC. Since then, the British
Government has sought
international support to promote
confidence in the future of Hong
Kong after 1997.

The framework of Hong Kong
after 1997 has been determined
by the Sino-British Joint
Declaration, and by the Basic
Law (BL), the constitution for
the Territory which was
promulgated by the National
Peoples Congress in March 1990.
The Basic Law grants
considerable autonomy in
economic trade, cultural and
political affairs for 50 years after
1997 and outlines procedures for
a system to govern the Territory.

While there is dissatisfaction
with the final version of the BL
which slows the democratization
process in the Territory and
limits the participation, in elected
positions, of citizens with dual or
foreign nationality, there is
appreciation that the framework
of post- 1997 Hong Kong is now
more clearly defined.

Bilateral Relations

Bilateral relations between
Canada and Hong Kong are very
good. Canada is perceived as a
friend of the Territory and
supportive of efforts to re-
establish confidence in Hong
Kong's future. This was
reinforced by the Prime
Minister's statements and actions
at the 1989 Commonwealth
Heads of Government Meeting
and through the Secretary of
State for External Affairs'
meeting with representatives of
the Hong Kong Executive and
Legislative Councils at the
CHOGM.

For the past three years, Hong
Kong has been Canada's
principle source of immigrants
(approximately 19,950 in 1989).
This trend is expected to
continue. Canadian interest in

Since 1985, the estimated
population of Canadian citizens
in Hong Kong has increased
from 18,000 to over 35,000.
The tens of thousands of
Canadian citizens of Hong Kong
origin who travel back and forth
between Canada and the territory
are building bridges between the
two societies and contributing to
the prosperity of both Canada
and Hong Kong.

Canadian officials visited
London, Hong Kong and Beijing
in February to express concerns
about the lack of confidence in
Hong Kong's future as a cause
of increased interest in
emigrating. As a result of the
frank and positive discussions,
mutually a series of confidence
building measures will be
implemented.

TABLES - page 14

Housing

From page 9

years, and that an association is
made between them and
immigrants from Asia. The
report analyses the anxieties,
misconceptions and fears
involved in the reaction to
monster homes; its conclusion is
that the fundamental problems
are the weakness of Vancouver's
planning system, and the
reluctance of some people to
accept change. Its most
important indirect revelation is
that solid data is very hard to
come by, and that in a situation
marked by heightened sensitivity
on one jide (opposed to
"neighbourhood change") and
insensitivity on the other
(builders of monster homes) the
solutions will lie in attempts at
mutual understanding and
reconciliation.

•this report uses statistics from the BC
Ministry of Finance and Corporate
Relations which differ slightly from those
of the Department of Employment and
Immigration used by the first report.

UPDATE 13

see Overview page 13

HS Description

62 Clothing, not knitted

61 Clothing, knitted

85 Electrical Equipment

84 Mechanical Equipment

91 Clocks, watches and parts

95 Toys, games, sports equipment

71 Pearls, precious stones, metals

52 Cotton

90 Optical precision equipment

39 Plastics and plastic goods

All categories (HS 1-99)

Hong Kong Trade

January-December
thousands of Canadian Dollars

Imports

1988

HS Description

71 Pearls, precious stones, metals

99 Spcl, confidential transactions

85 Electrical Equipment

48 Paper and Paperboard

76 Aluminum and aluminum products

39 Plastics and plastic articles

84 Mechanical Equipment

12 Oil Seeds

55 Man-made staple fibres

47 Wood Pulp

All categories (HS 1-99)

Two Way Trade

Bilateral Balance

203

655

208

628

175

277

83

100

57

414

70

061

30

815

33

208

28

511

29

673

1 153

400

Exports

1988

432

711

137

754

40

876

44

720

44

961

46

044

29

217

20

324

7

828

38

644

1004

300

2157.700

-149.1

1989

1989

% change

228

106

+12.0%

223

005

+6.9%

171

533

-2.1%

82

288

-1.0%

55

969

-2.5%

44

708

-36.2%

36

997

+20.1%

33

806

+1.8%

28

574

+0.9%

27

488

-7.5%

160

725

+0.6%

% change

590

002

+36.4%

106

331

-22.8%

50

081

+22.5%

46

958

+4.7%

43

958

-2.2%

39

926

-19.8%

22

280

-23.7%

15

835

-22.1%

13

556

+73.2%

13

401

-65.3%

049

927

+4.5%

2210.652

+2.5%

-111.8

-25.0%

UPDATE 14

J

Nationality

From page 12

whom are in especially sensitive
positions. About 13% of the
quota will be granted later to
those who hold important
positions and those who failed in
the first attempt.

The General Allocation
section will account for 36,200;
approximately 72% of a total
500 (i.e. 1%) will be allocated to
the important entrepreneurs;
7,000 (u^ 14%) to the
Disciplined Service group; and
6,300 (approximately 13%) to the
Sensitive Service group. Only
the British (Hong Kong) Passport
holders and those who have
naturalised before the legislation
is enacted (predicted for late
summer), will be eligible to
apply.

In the point scoring system,
the highest score is 800. There
are seven factors to be
considered in the system: age,
experience, education and
training, special circumstances,
proficiency in English, British
links and public/community
service. Age is considered the
most important factor and 200
points will be given to applicants
between 30 and 40 years old.
Fewer points will be awarded to
applicants younger than 30 or
over 40. A maximum of 150
points (or 50 points each) will
be allocated for working
experience, education and
training.

Under the General Allocation
section, sub quotas are planned
for job allocations including
business and management
19,703; accountants 1,615;
engineers 3,230; information
service 1,938; medical and
science 2,584; legal service 323;
and education 2,907.

The director of immigration
will be responsible for codifying
applications and a steering
committee chaired by the Chief
Secretary, Sir David Ford, will
recommend applicants with the
highest scores to the Governor
who will make the final decision
on the granting of applications.

HONG KONG-CHINA
TRADE AND COMMERCE

by Philip Calvert
Seattle

Attention in this quarter
focused on the economic
implications of the Basic Law
and decisions about the structure
of the Hong Kong government
after 1997: the expansion of
China's presence in Hong
Kong's economic infrastructure;
attempts in Beijing to deal with
foreign investment in China;
policy statements from Beijing
on the Special Economic Zones
(SEZs) which have implications
for Hong Kong both as a future
Special Administrative Region
(SAR) of China and a strong
presence in other SEZs.

In the first three months of
1990, through its state-run
corporations, China increased its
presence in Hong Kong's airline
and telecommunications sectors.
In January, China International
Trust and Investment Corporation
(CITIC), which already holds
12.5 percent of shares in Cathay
Pacific, announced that it would
purchase Hong Kong's
Dragonair. In late February, in a
deal financed with loans from 19
international banks, CrTIC
announced the purchase of 20
percent of the shares of Hong
Kong Telecom. It was rumoured
that there would also be a
similar expansion into the power
sector. While speculation
abounded that CITIC was about
to purchase an interest in China
Light and Power (a player in the
Daya Bay nuclear project), the
territory, which relies on
,/ Guangdong for much of its water
supply, signed a long-term
agreement with the Guangdong
provincial government.

Some observers expressed
apprehension about this growth
of China's presence in some key
infrastructure sectors in Hong
Kong and raised concerns about
the outflow of capital for the
loan supporting CITIC in the
Hong Kong Telecom deal -

capital which could be better
used in direct investment in
Hong Kong's air and port
facilities, they argued. In a
meeting with Hong Kong
governor David Wilson, Chinese
Premier Li Peng stated that
projects in the latter sectors
already initiated by Hong Kong
should not expect Beijing's help
after 1997 and should not be
funded by the Land Fund set up
for the government of the Hong
Kong SAR after 1997.// -

At the same time, Beijing has
been sending some mixed
messages regarding Hong Kong
investment in China. While the
Bank of China reaffirmed its
interest in easing access to loans
for foreign-funded enterprises,
particularly those in energy or
export industries, and the State
Planning Commission announced
that it would further encourage
the growth of export industries
(particularly textiles and light
industry), it was also reported
that China was about to put firm
controls on foreign-funded, low-
technology export industries such
as the Hong Kong financed
textile industries which have
sprung up in the SEA's. Other
reports indicated that foreign
investors faced increased
bureaucratic obstructionism with
the new, more centralised
economic policies. It appears,
too, that Jiang Zemin, General
Secretary of the Chinese
Communist Party, is directing
more central government capital
toward projects in Shanghai (his
power base) at the expense of
Guangdong which had benefitted
from its ties with Jiang's
predecessor Zhao Ziyang, and
which, because of it proximity,
has been the target of the bulk
of Hong Kong trade and
investment.

Trade with Hong Kong was
the subject of several statements
in china, including the unrealistic
proposal that a strategy be
developed in which each of

TRADE - page 16

UPDATE 15

TRADE AND COMMERCE

From page 15

China's coastal regions target a
particular regional export market,
with the Guangdong area being
focused on Hong Kong and
Southeast Asia. Year end
reports showed a 12 percent
increase in Hong Kong exports
to China and a 25 percent
increase in re-exports in 1989,
coupled with a decline in Hong
Kong's proportion of the total
foreign investment in

Guangdong. Hong Kong
exporters, however, may feel
threatened by the attempts by the
Mayor of Shenzhen, an SEZ, to
have Beijing lift the customs
wall with Hong Kong and allow
for exports to the rest of the
country through Shenzhen. This
was raised at a February
conference on SEZs at which Li
Peng called for increased use of
market forces in these regions,
while at the same time
admonishing them to maintain a
politically correct altitude toward

"bourgeois liberalisation".
Official Chinese interpretations
of this indicated that Beijing
would continue to support the
more liberal policies of the
SEZs. In light of the several
indications from Beijing that the
prosperity of Hong Kong — both
before and after 1997 ~ is
essential to China, Beijing's
treatment of these regions no
doubt is being closely monitored
by the residents of China's
future Special Administrative
Region.

NEW BOOKS

The Basic Law of the Special
Administrative Region of the People's
Republic of China,

by the Consultative Committee for the
Basic Law of the Hong Kong Special
Administrative Region of the People's
Republic of China,
April, 1990.

China Tide

by Margaret Cannon

Harper & Collins, 1989

City on the Rocks:

Hong Kong's Uncertain Future

by Kevin Rafferty

Douglas & Mclntyre, 1989

The Ethos of the Hong Kong Chinese
by Lau Siu-kai & Kuan Hsian-chi
The Chinese University Press, 1988

Hong Kong Countdown

by George Hicks

Writer's & Publisher's Cooperative

Hong Kong Epilogue to an Empire
by Jan Morris
Viking-Penguin. 1988

The Hong Kong Money

by Tom Fennell & John Demont

Key Porter 1990

Hong Kong Voices
edited by Gerd Balke
Longman

Kowtow!

by William Shawcross

Chatto Counterblasts

Mouldering Pearl
by Felix Patrikeef
George Philip Ltd.,

1989

The Other Hong Kong Report

by Bernard Luk

The Chinese University Press, 1989

The Canada and Hong Kong Update is distributed free at your request. Please let us know if you would like to be on our mailing
list by calling (416) 736-5784 exL 2051. Or write to us at the address below:

Canada and Hong Kong Project

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4700 Keele St.

North York, Ontario

CANADA

M3J 1P3

p-1

T

■ ASS 1

■ Ifh rt tfT l I I I M ill A

CANADA AND HONG KONG UPDATE

FALL 1990

Hong Kong Governor Received as Head of State by Canada

on External Affairs and International
by Diana Lary Trade and the Right Honourable Joe

Toronto Clark, Secretary of State for External

Affairs. At a dinner the same evening

given by Clark, the stress was on the

length and warmth of the relationship

between Hong Kong and Canada.

There were a number of Canadian

Hong Kong veterans at the dinner, and

both Clark and Wilson made

prominent mention of Canada's help in

defending Hong Kong during the 1941

Japanese invasion, in which many

Canadians lost their lives.
Canada's warm and serious

reception of the Governor gave the

message that all Hong Kong issues are

taken seriously, and Canada is willing

to assist, where possible, in their

successful resolution. There were no

formal promises of specific action to

deal with issues over which Canada

might help, such as Vietnamese

refugees, granting of delayed visas to

Hong Kong citizens planning to move

During his three day visit to
Ottawa and Toronto at the end of
May, Sir David Wilson was received
as a head of state, though, as governor
of the one of the last remaining
colonies, he might have been received
at a lower level. This was the first
official visit by a Hong Kong governor
to Canada. Lady Wilson did not
accompany her husband because of the
sudden and sad death of her father.
Sir David's visit to Vancouver
International Airport scheduled for
May 25th was cancelled to enable him
to attend the funeral.

On the day of his arrival. Sir
David met with the Prime Minister
Brian Mulroney, Mr. Marchand, Under
Secretary of State for External Affairs,
members of the Standing Committee

to Canada, or the encouragement of
return migration after immigrants have
acquired Canadian citizenship. But,
there was a sense that Canada is one
of the few countries to show
understanding for Hong Kong's
difficult situation.

CLARK'S ADDRESS - next page

In This Issue...

Immigration Statistics 6

Status Dislocation 8

French Courses in H.K. 9

Return Migration 10
H.K. in Canada-China Trade 12

Expo '86 Site 13

B.C. Author Sky Lee 14

Crisis in the Gulf

Temporary Dual Citizenship?

by Diana Lary
Toronto

A strange twist has been added to
the vexed issue of nationality and dual
nationality for people with Hong Kong
passports by the crisis in the Gulf.
The issue is being followed closely in
Canada because in future it may affect
many Canadian citizens. On August
13th, Albert Lam, who holds a Hong
Kong (British Dependent Territories
Citizen [BDTC]) passport, arrived in

Jordan from Iraq, travelling on a
document issued by the Chinese
Embassy in Kuwait which stated that
he was a Chinese national. Mr. Lam
made his request after it became clear
that, as a British national, he would
not be allowed to leave Iraq. A
number of other Hong Kong people
subsequently took the same path to
leave Iraq and Kuwait.

On August 15th, Zhou Nan,
China's chief representative in Hong
Kong, made a public statement that
China would offer assistance to any
Hong Kong people, or "Chinese
compatriots," who were stranded in the

GULF CRISIS - next page

per

F1029.5
H6 C36

Up to Date

NEWS IN BRIEF

"The Bauhinia blakeana (Hong
Kong Orchid Tree) was discovered
in 1908 at Pok Fu Lam and was
named after former governor Sir
Henry Blake. It is among the finest
of the Bauhinia genus anywhere in
the world and has been adopted as
Hong Kong's floral emblem. It is
widely planted - being propogated
by cuttings since, like most hybrids,
its seeds are usually sterile." (Hong
Kong: The Facts - Flora and Fauna,
P-l.)

Emigration - The official emigration
forecast for 1990 is 55 thousand,
compared with an estimate of 42
thousand for 1989. The government
predicts that 426 thousand [see new
figure p. 5] will leave Hong Kong
during 1989-96 for emigration and
overseas studies. It plans to set up
employment services overseas to
entice former Hong Kong residents
to return to work. (Hong Kong
Economic Profile, 70, 15.8.90, p.2.)

Commemoration of Tiananmen -

more than 100 thousand people took
part in demonstrations in Hong Kong
on June 3rd and June 4th to mark
the first anniversary of the Peking
Massacre.

Lawyers - almost 80 percent of
Hong Kong lawyers plan to leave
before 1997, according to a survey
conducted by the Hong Kong Bar
Association. (Far Eastern Economic
Review 24.5.90.)

Gulf Crisis

From page one

Gulf. He referred to the section of
the Joint Declaration which stipulates
that all people with Hong Kong
passports are to be considered Chinese
nationals after 1997. This declaration
would only make sense if Mr. Lam
and others rescued from Kuwait and
Iraq had to surrender their Hong Kong
passports, which apparently they did
not. Thus Mr. Zhou's overt insistence

From page one

Rt. Hon. Joe Clark's Address

Governor, Ladies and Gentlemen,

It is a great honour and a distinct
pleasure for me to be able to welcome
you to Ottawa. Yours is an historic
visit, the first by a Governor of Hong
Kong to Canada. Your visit provides
an opportunity to celebrate the strong
ties between Canada and Hong Kong,
ties of history, of trade, of family, and
of trust

We are not strangers. The links
between Canada and Hong Kong
stretch back over the centuries to the
days of the British Empire, the days
of sailing ships, a period when
thousands of Southern Chinese arrived
in British Columbia and contributed so
much to the building of our young
nation.

The complex history of ties
between Hong Kong and Canada also
extends to earlier, sad days of conflict.
In 1941, Canadian troops were called
upon to defend Hong Kong. 550
Canadian soldiers died during that
conflict. They are not forgotten; every
December their sacrifice is
commemorated at Sai Wan cemetery.

Hong Kong owes its origins to its
role as an entrepot post in the China
trade, a role which the territory
continues to fulfil with brilliance. It is
out of this role that a strong trading
relationship across the Pacific
developed with Canada. That trading
relationship continues and grows to
this day. Two-way trade stands at
over $2.2 billion, and Hong Kong
investment in Canada was $2.4 billion
in 1989 alone.

on single (Chinese) nationality is
contradicted by the de facto
recognition of dual nationality. This
issue will undoubtedly continue to
generate intense interest.

The Chinese Embassy in Kuwait
also assisted Taiwanese staff members
of the BES Engineering Corp to leave
Kuwait for Jordan by issuing them
with PRC passports.

n.b. In Canada the lerm citizenship is used, in
the United Kingdom and Hong Kong the normal
term is nationality.

But our relationship goes well beyond
the ties of trade and investment. An
important bridge between us has been
the flow of people. From modest 19th
century beginnings, emigration to
Canada has expanded dramatically.
One in seven new immigrants to
Canada now comes from Hong Kong.
Hong Kong is our largest single
source of new citizens. Hundreds of
thousands of Canadians of Hong Kong
origin are contributing their
tremendous talents and hard work in
almost every field of human
endeavour.

These new Canadians are helping
to build a modern and dynamic and
multicultural Canada. We are proud
of their contribution. That contribution
not only enriches Canadian society; it
is also a business asset, an invaluable
resource for Canada as we seek to
compete successfully and develop new
markets in the Pacific.

The flow of people has not been
just one way. The Canadian
population in Hong Kong now exceeds
30,000. That is the largest Canadian
community in Asia. In addition, some u
70,000 Hong Kong graduates of
Canadian universities live and work in
Hong Kong, enhancing the strong
personal links between our two
societies.

Both of us depend heavily on trade
for our prosperity and security. The
people of Hong Kong are the singular
traders of Asia and your city remains
the best entree to the Asia market.
Canada and Hong Kong share a
common commitment to open markets
and free trade around the world. And
in the Pacific region, we share an
interest in promoting prosperity
through more liberal trade in goods
and services.

Our shared interest in freer trade
was demonstrated by the fact that the
Hong Kong business community was
among the first to recognize that the
Canada-US Free Trade Agreement
would have a positive impact on
Canadian trade with all our partners.
The Free Trade Agreement will
continue to act as a catalyst for the
Canada/Hong Kong economic
partnership.

CLARK'S ADDRESS - page 3

2 UPDATE

CANADA AND HONG KONG UPDATE

Editors

Diana Lary
Stephanie Gould

Illustration

Joe Burdzy

Design

Stephanie Gould

Contributors

Philip Calvert
Ho-yin Cheung
Harriet Clompus
Keung-sing Ho
Tan Xiaobing
Chow Ying Wong

Canada and Hong Kong Update is
published three times a year by the

Canada and Hong Kong Project,
Joint Centre for Asia Pacific Studies,
Suite 200K, Administrative Studies Bldg.
York University, 4700 Keele St.,
North York, Ontario,
CANADA M3J 1P3

Telephone: (416) 736-5784
Fax: (416) 736-5687

Opinions expressed in this newsjoumal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Director
Coordinator

Advisory Board

Diana Lary
Stephanie Gould

Maurice Copithorne
Denise Chong
Dr. Bernie Frolic
John Higginbolham
Dr. T.G. McGee
Graeme McDonald
Jules Nadeau
Dr. William Saywell
Dr. Wang Gungwu

We want to thank the Donner Canadian
Foundation for its very generous support
which has made this project possible. The
Foundation's long-standing interest in
Canada's international relations with Asia
has enabled us to conduct research which we
consider to be of great significance for the
future of the country.

In The Next Issue....

1990 Immigration Statistics
Problems of Interpreting Statistics
Settlement in Manitoba
Hong Kong and Japan

This publication is tree. Please call or write
lo us for past or Mure Issues.

From page 2

Your Excellency, (he growth of
Hong Kong from a quiet harbor on the
South China Sea to a dynamic and
creative center for global finance, trade
and industry has been an extraordinary
triumph of human will and ingenuity.
It is also testimony to the values of
human freedom and the rule of law.

Canada has an abiding interest in
the shape of post- 1997 Hong Kong.
The undertakings between Great
Britain and China, reflected in the
Basic Law, provide a framework for
the future. But that future will only
be bright if these undertakings are
observed in their spirit as well as their
letter.

There is no doubt that confidence
in Hong Kong was shaken by the
tragic events in the Chinese capital in
June, 1989. You have already taken
many positive steps to face this
challenge. Canada strongly supports
these steps - your bold infrastructure
projects, your accelerated pace of
democratization and your Bill of
Rights.

As you face the future, you can be
assured of our steadfast support.
Canada stands ready to help. Let me
provide some examples.

- We are exploring with Britain and
China the establishment of a wide
network of bilateral agreements
between Hong Kong and Canada.
This network would preserve the
informal ties which have developed
between Canada and Hong Kong. We
believe this would be fully consistent
with the Sino-British Joint Declaration.
The purpose of that network will be to
make it clear that the unique role of
Hong Kong will not change in 1997.

It is our goal to ensure that at the turn
of the century the opportunities for
cooperation between Canada and Hong
Kong are the same then as they are
now.

- In 1988, we signed our first bilateral
agreement with Hong Kong and there
is now direct air service between
Canada and Hong Kong.

- In April of this year, we initialled a
bilateral mutual legal assistance treaty.
That agreement, the first ever entered
into by Hong Kong, will promote co-

operation in the fight against the
international drug trade.

- As Hong Kong drafted its Bill of
Rights, we seconded a senior justice of
the Federal Court to Hong Kong to
assist in drafting that important
document. Judge Strayer's
contribution is a demonstration of our
commitment to providing expertise as
Hong Kong builds its own durable and
democratic institutions.

- We have initiated discussions
designed to put in place an exchange
program of officials between our two
governments. This would enable
young leaders to gain familiarity with
the Canadian approach to the
regulation of financial institutions,
broadcasting, and transport.

- Canada and Hong Kong have entered
into discussions of a film co-
production agreement.

- And after the conclusion of the
multilateral trade negotiations, we will
explore a financial market access
agreement whereby the existing
environment governing financial
institutions in Hong Kong is preserved.

- Finally, Canada believes strongly that
Hong Kong should participate in the
emerging web of regional institutions.
This includes Asia-Pacific Economic
Co-operation and the Pacific Economic
Conference. We also strongly support
Hong Kong's participation in other
international agencies, including the
GATT and OECD.

Your Excellency, Canada's
commitment to, and our faith in, the
future of Hong Kong is unwavering.
We have made this clear to both the
British and Chinese governments. We
are prepared to do our part to ensure
that Hong Kong's future remains
bright and that the relationship
between us continues to be strong and
to grow.

Your Excellency, if you take back
one message to the people of Hong
Kong, let it be a clear and simple one:
that Canada is committed to your
success, and that we will stand by you
faithfully in the critical years which lie
ahead.

UPDATE 3

Governor Wilson's Reply

Thank you very much for your
kind words. You have given us a
truly magnificent welcome to Canada.

I believe I am the first serving
Governor of Hong Kong to visit this
fine capital city. It is therefore right
that I should, on behalf of the people
of Hong Kong, express our thanks for
everything that Canada and Canadians
have done for our community over
many years. Many years it is. In this
context, I would like to pay particular
tribute to the gallantry of the men of
the Royal Rifles and Winnipeg
Grenadiers who came to join in the
defence of Hong Kong in 1941 with
such conspicuous bravery. Their
sacrifice is not, and will not be,
forgotten.

In more recent times, and happier
circumstances, Canada has continued
to make a major contribution to Hong
Kong's welfare and prosperity. The
Canadian business community in Hong

Kong, now at least 11,500 strong, is
flourishing and continues to expand.
Trade between us is booming. We are
developing close links in co-operation
against drug trafficking. We have
reached a new agreement on air
services between Hong Kong and
Canada, which provides for increased
air links on both sides. And, as you
know, we hope to open a new
economic and trade office in Toronto
before too long.

Standing in this magnificent
building, a wider theme occurs to me.
That is the mingling of civilisations
and traditions. In this respect Hong
Kong and Canada have much in
common. We are both multi-cultural
societies. We share the advantages of
creativity and vitality this brings. We
share a high regard for human rights
and values. We both enjoy vigorous
free market economies. We are both
international in our outlook. We are
both major trading societies on the

Pacific Rim, an area of enormous
economic opportunity now and in the
decades ahead.

Perhaps all these shared
experiences explain why we in Hong
Kong feel that Canada understands us,
and our special circumstances, so well.
We have developed a close
relationship cemented by trade, by
investment, by education, and by
personal ties. We are most grateful
for the positive and active support
which your government has offered to
Hong Kong. You have a major
economic and cultural stake in Hong
Kong and its future prosperity, and we
hope that you will continue to take
good care of, and a close interest in,
the investment your community has
made. It is reassuring to know that,
whatever the future may hold, we have
a good friend across the Pacific. I
hope and believe you will find Hong
Kong has much to offer in return and
that this Pacific partnership will
endure.

Destinations for Hong Kong People

by Ho-yin Cheung
Hong Kong

The migration climate in Hong
Kong has drawn international attention.
The promulgation of the British
Nationality (HK) Bill, which will grant
50 thousand heads of families and
their dependents British citizenship has
stirred up controversy in Hong Kong
and overseas. Provisions similar to
those in the British Nationality Bill
have been made by many countries.

It is widely criticized for its
stipulations in favour of businessmen
and professionals. Under the package,
professionals will earn points for the
number of years experience they
possess in their fields. Years of
experience for people in business will
be linked directly to their salaries,
with the most points awarded to those
with the highest earnings. It seems
likely that high income earners and
those between 30 and 40 years of age
with experience in their field will have
the best chance of obtaining British
passports. In the territory, such
mechanisms are seen as prejudicial to
the general populace and have aroused

a pervasive sense of dissatisfaction
with the package.

The West German Government has
promised right of abode to managerial
staff and their families working for the
34 German companies in Hong Kong.
However, the stringent requirements
mean it is likely that only a small
number will be granted residency
rights. It is alleged that France,
Belgium and Luxembourg have
announced similar arrangements
without specifying the number of
people who might benefit.

The American Chamber of
Commerce has sent a delegation to
Washington to lobby for more
immigration visas for Hong Kong
people. AmCham wants the number
of visas to be increased from 5
thousand to 20 thousand annually and
more visas to be allocated to
employment and professional
categories. The legislation is before a
recently approved congressional
committee in the U.S.

A record 12 thousand people have
applied for visas to emigrate with the
Australian consulate in Hong Kong.
(The actual number of people covered

in the application would be about 24
thousand.) But immigration to
Australia will be cut by 10 percent in
the coming year to make room for
about 20 thousand mainland Chinese
students. The consulate expects that
about 13 thousand immigrant visas
will be issued to Hong Kong
applicants.

Singapore has adopted a rather
different migration policy toward Hong
Kong people. Hong Kong's skilled,
clerical workers, blue-collar technicians
and craftspeople are on its list of
favoured migrants. Out of the
migration quota of 25 thousand Hong
Kong people, 13 thousand are
allocated in the above mentioned
categories. The actual relocation of
people from Hong Kong to Singapore
is so far about 400.

There are estimates that as many
as one fifth of emigrants are being
lured back by money, friends and the
quality of life in Hong Kong.
Residency rights in a foreign country
appear to be a necessary insurance
policy for Hong Kong people.

4 UPDATE

Barbara McDougall Visits H.K.

by Diana Lary
Toronto

J

Canada's Minister of Employment
and Immigration, Barbara McDougall,
visited Hong Kong in early September
to familiarise herself with the
emigration situation there and to meet
officials of the H.K. Government and
the Canadian Commission. Her visit
coincided with that of the Australian
Minister of Immigration, Gerry Hand.
The ministers met the governor
together on September 3rd. Neither
spoke of the content of the meeting,
though there were reports they had
been urged not to try to entice "the
cream of Hong Kong" away.

In a speech, McDougall said that
while the current slow down in
processing applications and issuing
visas had to do with the fact that the
global figure of immigrants to Canada
for 1990 had been reached, and did
not relate specifically to Hong Kong,
she also indicated that there would be
no special "insurance scheme"
(preferential visa treatment). "A basic
requirement for all immigrants is that
they share a commitment to Canada
and to Canada's future. That is why
we cannot, and will not, allow our
immigration programs to be used
simply as a kind of 'insurance policy'.

"There has been speculation in the
media recently that we are cutting
back on immigration, specifically from
Hong Kong. I cannot stress too
strongly that this speculation is false.

"Because the number of immigrants
coming to Canada has been much
higher than expected this year, we
have been forced to temporarily slow
down visa issuance. But this
temporary slow down is not a cut
back, and it is definitely not aimed at
Hong Kong. It applies universally to
all countries, and it is intended to give
our service and support agencies time
to adjust to increased demands," said
McDougall.

During the visit, the H.K.
government estimate of the number of
people who will leave Hong Kong in
1990 was published. At 62 thousand,
it is nearly 50 percent above the figure
for 1989. Government spokesman
Mike Rowse said it consists largely of
professionals between 25 and 40,
people the government considers most
essential to maintain stability in Hong
Kong before and after 1997.

British Nationality Proposals

In late July, during the week that
royal assent was given to the British
Nationality (HK) Bill, which will grant
British nationality to 50 thousand
heads of families and their dependents,
the junior Foreign Office Minister,
Francis Maude, visited Peking, to try
to mollify Chinese antipathy to the
scheme. On July 25th, Maude had a
public meeting with the Chinese
premier, Li Peng, the man considered
chiefly responsible for the Peking
Massacre last year. Maude's visit was
a publicity coup for Mr. Li, who has
had few senior visitors this year, but
was criticised in England as
'kowtowing' to Peking. The visit did
not succeed in muting Chinese
opposition to the British nationality
scheme; the day after Maude left
Peking, the Chinese Ministry of
Foreign Affairs put out a statement
which sternly reiterated Peking's
rejection of it.

Maude's visit coincided with the
trial in Hong Kong of five members
of the recently established United
Democrats of Hong Kong, who were
charged with the illegal use of loud
hailers during protests in February
against the Basic Law. They were
convicted on July 27th. The trial was

seen in Hong Kong as an effort on the
part of the Hong Kong government to
reassure Peking that Hong Kong would
not be used as a base of "subversive"
activities. It was not immediately
clear whether the pettiness of the
charges, launched under an antiquated,
little used statute, was a demonstration
that any act of defiance to China
would be punished, or whether it was
meant in a subtle way to ridicule
Chinese fears of subversion.

In the same week that Maude
visited Peking, there was a rush in
Hong Kong to apply for registration as
British Dependent Territories citizens.
Thousands of people tried to register
before the deadline of July 27th;
registration is a minimum qualification
for application for British nationality.
The process of selecting the 50
thousand heads of household will
begin in December, 1990. One and a
half million application forms will be
distributed in November. The first
passports will be issued at Easter,
1991. There is some concern that if
the Chinese government continues to
refuse recognition of these passports
while the holders remain in Peking,
the desired effect of the scheme of
allowing people to remain in Hong
Kong will be reversed, and passport
holders will instead be forced to use
them to leave Hong Kong.

Xu Jiatun Leaves Hong Kong

by Diana Lary «/
Toronto

Many observers of the Hong Kong
scene were startled to hear in May
that Xu Jiatun, former director of the
New China News Agency in Hong
Kong, and de facto Chinese chief
there, had left for California on an
extended vacation. Xu has been a
member of the Chinese Communist
Party for 54 years, and at the time of
his departure was still a member of its
Central Committee. Xu retired from
his position in February under a cloud
because of his loss of control over
previously pro-Communist elements in
Hong Kong in May and June, 1989.
On his departure he was publicly
humiliated by his successor, Zhou
Nan, who made a point of not
thanking Xu for his many years of
work in Hong Kong. Xu had done a
good job on behalf of China, and had
gained a measure of popularity in
Hong Kong; his apparent
understanding of capitalism - he

described the modern capitalist system
as "a great invention of human
civilisation" - was both surprising and
reassuring to many Hong Kong people.
The fact that his departure was
transformed into a dismissal conveyed
another clear message that "niceness"
in terms of China's treatment of Hong
Kong was no longer in the cards. Xu
was ordered to return to his home in
Nanjing for his retirement; only his
wife went - he and other members of
his family went off to the States.
Both the United States and the
Chinese governments were careful not
to refer to his move as a defection,
though a three year tourist visas is
unprecedented. Whether a defection
or not, Xu is the most senior person
to leave China since Lin Biao's
attempt to fly out of China in 1973,
an attempt which ended in his death
when his plane was shot down. Xu's
departure had a disturbing effect in
Hong Kong, where the disillusionment
of a top Chinese official gave no
cause for encouragement about China's
attitude towards Hong Kong.

UPDATE 5

Demographic Characteristics of Hong Kong Immigrants

by Diana Lary
Toronto

y

In any migration, the characteristics of the migrants are
determined in part by the nature of the applicants, and in
part by the immigration policies of the host country. The
pressure to leave Hong Kong before 1997 is an extra factor
of major significance in the determination of who is
emigrating and who is staying in the territory. Under
different circumstances, many of the people now migrating
would seem too well established to want to move. The
demographic statistics from Employment and Immigration
Canada cited below, give us some indication of what types
of Hong Kong people are now immigrating to Canada. The
figures are for immigrants whose country of last permanent
residence (CLPR) was Hong Kong and who landed in
Canada in 1988 and 1989; they do not yet include people
who applied to emigrate in 1989, when the number of
applications went up dramatically (see last Update).

In looking at statistics for only two years, it is not easy
to make worthwhile comparisons. These figures should be
taken as an indication of the overall composition of the
group, rather than as signs of significant changes from one
year to the next.

Principal immigrants (those who made the successful
applications) accounted for somewhat under half the total
number of immigrants in each year. This is consistent with
the global proportion of principal to spouse and dependents
of 1:1.2.

1988 %

1989 %

Principal

10353 (44.47)

8407 (42.33)

Spouse

5400 (23.19)

4359 (21.95)

Dependents

7528 (32.34)

7083 (35.66)

Total

23281

19861

Sex

Females slightly outnumbered males by 52 percent to 48
percent in both 1988 and 1989. The percentage of female
principal immigrants is unusually high - 41 percent in 1988,
and 43 percent in 1989. Quite a large number of female
principal immigrants sponsored their husbands: in 1988,
10.23 percent of all male immigrants were sponsored
spouses; in 1989, 10.08 percent. Wives made up 35.09
percent of all female immigrants in 1988; 32.59 percent in
1989. This pattern is in part a reflection of employment
demand; some of the categories in which there was high
demand are ones dominated by women - viz. secretaries.

Male

Female

1988

Principal

6059

4294

Spouse

1140

4260

Dependent

3943

3585

Not stated

Total

11142

12139

1989

Principal

4782

3625

Spouse

948

3411

Dependent

3661

3422

Not stated

5

7

Total

9396

10465

Marital status

Approximately half of all immigrants in both 1988 and 1989
were married: in 1988, 50 percent were married, 46.8
percent single; in 1989, 48.6 percent were married, 48.3
percent single. While these statistics do not indicate whether
spouses came to this country together, they do suggest, when
dependent children are taken into account, an immigrant
group heavily concentrated in families.

1988

1989

Single

10914

9603

Married

11645

9656

Widowed

503

437

Divorced

168

118

Separated

51

47

Total

23281

19861

Ages

The current migration is concentrated in the most productive
years: 50 percent of the immigrants in 1989 were between
25 and 44; in 1989, 48 percent. People over 45 accounted
only for 15.65 percent in 1988; 17.25 percent in 1989. This
is a standard age distribution for any immigrant group, and
indicates that the pressure to leave Hong Kong has not
greatly distorted normal patterns of migrant behaviour.

0-14 15-24 25-44 45-64 65+

1988 5126 2825 11686 2911 733 23281

1989 4132 2769 9532 2723 705 19861

Language abilities

Over half the Hong Kong immigrants who landed in 1988
and 1989 spoke English; for principal immigrants the
percentages were even higher (77.12 percent in 1988; 70.82
percent in 1989). There was a decline in the proportion of
English speakers from 1988 to 1989. The number of French
speakers, both people who spoke French only, and people
who were bilingual, did not reach 1 percent of the total in
either year. The number of people who speak only their
mother tongue (predominantly Cantonese) was high, and rose
proportionately between 1988 and 1989. This rise can be
attributed to the rise in the proportion of people coming in
under the family class, from 13.7 percent in 1988 to 22.9
percent in 1989 (see last Update, p.2).

6 UPDATE

Mother
Bilingual tongue

Total

English French
1988

Principal 7984 49 66 2254 10353

Spouse 3374 6 18 2202 5400

Dependent 1718 1 7 5802 7528

Total 13076 56 91 10058 23281

% (56.17) (0.24) (0.39) (43.20)

1989

Principal 5954 21 57 2375 8407

Spouse 2366 3 11 1979 4359

Dependent 1905 2 7 5169 7083

Not stated 8 4 12

Total 10233 26 75 9527 19681

% (51.52) (0.13) (0.38) (47.97)

Educational levels

As a rule. Hong Kong people put great stress on education,
though opportunities for university education have been
limited by the fact that until now there have only been two
small universities. The number of immigrants with one or
more university degrees is not striking, (3597 or 15.05
percent in 1988; 2340 or 11.79 percent in 1989), but if
principal immigrants are taken separately, then the figures
for university graduates are 2869 (27.71 percent) in 1988,
1681 (20 percent) in 1989. The number of people with
trade certificates, non-university post-secondary training or
university diplomas is quite substantial: 5959 or 25.60
percent in 1988; 4807 or 24.22 percent in 1989. The number
of principal immigrants with such training was 3980 or
38.44 percent in 1988; 3116 or 37.10 percent in 1989. At
the bottom end, in 1988, 3503 (33.83 percent) principal
immigrants had secondary school education or less, as did
3119 (57.75 percent) spouses and 7101 (94.32 percent)
dependents (the great majority of dependents would be
infants or children still in school). In 1989, the figures for
secondary school education or less were: principal
immigrants, 3603 (42.85 percent), spouses, 2803 (64.3
percent) and dependents 6292 (88.83 percent).

1988 %

1989 %

None

2660 (11.43)

2031 (10.23)

Secondary or less

11063 (47.52)

10672 (53.76)

Trade certificate

3282 (14.10)

2527 (12.73)

Non-university

1974 (8.48)

1458 (7.35)

Univ, non-degree

703 (3.02)

822 (4.14)

B.A.

2665 (11.45)

1740 (8.77)

Post-graduate

192 (0.82)

123 (0.62)

Master

702 (3.02)

445 (2.24)

Ph.D.

38 (0.16)

32 (0.16)

Not known

2

Total

23281

19861

Principal immigrants: education

1988 %
None 384 (3.71)

Secondary or less 3119 (30.13)
Trade certificate 2255 (21.78)
Non-university 1354 (13.08)
Univ. non-degree 371 (3.58)
B.A. 2137 (20.64)

Post-grad 127 (1.23)

Master 579 (5.59)

Ph.D. 26 (0.25)

Not known 1

Total 10353

Spouses: education levels

None 203 (3.76)

Secondary or less 2916 (54.00)

levels

1989

272

3331

1728

986

402

1231

89

338

23

7

8407

(3.24)
(39.65)
(20.57)
(11.74)
(4.79)
(14.65)
(1.06)
(4.02)
(0.27)

Trade certificate

Non-university

Univ. non-degree

B.A.

Post-grad

Master

Ph.D

Not known

Total

921 (17.06)
576 (10.67)
70 (1.30)
(9.67)
(1.07)
(2.26)
(0.22)

156 (3.58)

2647 (60.72)

639 (14.66)

376 (8.62)

522

58

122

12

5400

81

347

27

78

8

4359

(1.86)
(7.96)
(0.62)
(1.79)
(0.18)

Dependents: educational levels

None 2073 (27.54)

Secondary or less 5028 (66.80)

Trade certificate

Non-university

Univ. no degree

B.A.

Post-grad

Master

Ph.D

Not known

Total

Occupation

106

44

262

6

7

1

1

7528

(1.41)
(0.58)
(3.48)
(0.08)
(0.09)
(0.01)

(0.01)

1600 (22.60)
4692 (66.28)
160 (2.26)
95 (1.34)
335 (4.73)
160 (2.26)
7 (0.10)
29 (0.41)
1 (0.01)
4 (0.04)
7083

Listed here are the occupations people hope to take up on
arrival in Canada. To some extent they reflect occupational
demand (viz. secretarial). Independent immigrants applying in
categories of high demand get more points than do people
applying in areas of low demand. There were some changes
in the occupational composition of the immigrant group from
1988 to 1989. The percentage of entrepreneurs rose from
4.67 percent in 1988 to 6.48 percent in 1989, while the
managerial and administrative category declined from 12.35
percent to 8.61 percent. New workers rose from 4.35
percent to 10.12 percent; this category is made up largely of
people coming into Canada as dependents in the family class
or as refugees. These figures do not differentiate between
principal immigrants and their spouses or dependents; it can
be assumed that the vast majority of those listed as 'other
workers' are children.

DEMOGRAPHICS - next page

We would like to thank Meyer Bur stein, Director, Strategic
Planning and Research, Employment and Immigration
Canada, for his help in making these statistics available to

UPDATE 7

"Place" and "Face": One

by Wendy Tang
Toronto

V

Many recent immigrants from
Hong Kong are accomplished
professionals and entrepreneurs. Yet
too much attention has been focused
on their economic power. Despite
their previous achievements, these
people still face the challenge of re-
establishing their former social status
in this country. As Max Weber once
pointed out, mere economic power is
by no means the sole basis of social
honor. New immigrants, with few
exceptions, experience downward
social mobility. My own experience,
and that of many others I know,
seems to bear this out.

An immigrant who has an
academic or professional degree from
a North American university should be
able to secure a position comparable
to his former occupational attainments.
It is very difficult, if not impossible,
for those immigrants who are "self-
made" individuals to do the same.
Experience is all they have, but it is
not Canadian experience.

In 1985, armed with fifteen years
of experience at an executive level, I
had to start from the very beginning at
York University as a
clerk/typist/receptionist to gain
"Canadian" experience. It was only
after many good supervisory reports on
my first few assignments that I was
approached with an offer of a
permanent and better position. Of
course, I did have another option at
the time: working in Canada for a
Chinese employer at a lower salary
but with higher status.

In addition to demotion in
occupational status, the new immigrant
experiences self-perceived demotion
which is attributable to the structure of
Canadian society. Hong Kong is a
highly stratified society with a good
supply of cheap labour. Consequently,
the small middle class, to which the
great majority of immigrants from
Hong Kong belong, enjoys many
services and comforts for just a tiny
fraction of their income. In the
workplace, for example, administrative
personnel are served by a large pool
of "minor staff who perform all kinds

8 UPDATE

Immigrant's Experience

of menial tasks such as photocopying,
message delivery, and filling teacups.
Thus, immigrants from Hong Kong
starting out in Canada may perceive a
loss of status as they suddenly find
themselves deprived of the personal
benefits derived from cheap labour.
Worse still, they may find themselves
performing menial tasks for others!

Another factor influencing the
immigrant's employment status is the
loss of business, familial, and social
networks: the old-boy connection,
personal links, or what would be
referred to in Chinese as guan-xi . The
new immigrant can no longer "pull
strings" because he or she no longer
has pals in high places. So, instead of
picking up the phone and calling a
friend in the government department
responsible for employment, he/she
now has to line up with the "common"
people early in the morning. This
scenario is duplicated in the
workplace. The immigrant has no
more properly positioned "good
friends" to give him or her "face."
Everything is done in a formal and
business-like manner. Rules are to be
observed down to the letter, which is
especially true in a unionized work
environment. Guan-xi may not be
particular to the Chinese, but the fact
that one is not a "local boy or girl"
denies one access to local networks.

This situation inevitably gives rise to
the perception of lost status, especially
for someone who is used to being
"somebody."

Higher social status generally
results in special privileges and
unequal access to opportunity. Its
loss, therefore, should not be regretted.
Unfortunately, status is often correlated
positively with self-esteem. The loss
of status and a diminished sense of
self-esteem is intensified by feelings of
personal inefficiency in a new
environment. Psychologically
disoriented, some individuals react
with resignation while forcing their
hopes onto their children. Some
individuals find compensation in other
aspects of life. Some turn into
incessant complainers. And still others
choose to postpone the inevitable by
staying in Hong Kong as long as
possible while sending the family over
first.

Canada needs the human and
economic resources provided by
immigrants from Hong Kong, while
Hong Kong emigrants believe they
need a haven from the risks of the
change of government in 1997. A
healthy relationship between new
immigrants from Hong Kong and the
Canadian people cannot, therefore, be
left to chance but must be engineered
with care and intelligence.

Demographic Characteristics

from page 7

1988

%

1989

%

Entrepreneur

1087

(4.67)

1276

(6.48)

Managerial & Admin.

2876 (12.35)

1696

(8.61)

Science, engineering

1170

(5.02)

493

(2.5)

Social Science

283

(1.22)

131

(0.66)

Religion

19

(0.18)

22

(0.11)

Teacher

148

(0.64)

95

(0.48)

Medicine & health

335

(1.44)

215

(1.08)

Arts

275

(1.18)

242

(1.22)

Sports & recreation

4

(0.02)

2

(0.01)

Clerical

2604 (11.19)

1872

(9.43)

Sales

912

(3.92)

632

(3.18)

Service

325

(1.4)

344

(1.73)

Farming

8

(0.03)

4

(0.02)

Fishing, hunting

7

(0.03)

Forestry

1

(0.00)

Mining

(0.00)

Processing

20

(0.09)

21

(0.11)

Machining

27

(0.12)

23

(0.12)

Fabricating

361

(1.55)

250

(1.26)

Construction

49

(0.21)

58

(0.29)

Transport

31

(0.13)

18

(0.09)

Material handling

23

(0.1)

11

(0.06)

Other crafts

53

(0.23)

55

(0.28)

New workers

1013

(4.35)

1994 (10.04)

Other workers

11650 (50.04)

10407 (52.40)

Tolal

23281

1986

French Language Courses More Popular Than Ever in Hong Kong

by Francis Allard
Toronto

si

As central as they are to helping
define the political climate in Canada,
language issues also play an important
role in the nation's immigration policy.
While it is generally less important in
determining the outcome of
applications by investors or
entrepreneurs, language proficiency
may be very important for other
immigrants in the independent class.
While Canada's national immigration
policy and Quebec's provincial one
use a similar point system, the number
of points allocated in each category
differs. In the language category, out
of 15 points, Canada allocates a
maximum of nine points for the
applicant's knowledge of French or
English (whichever the applicant is
most fluent in), with another maximum
of six points for the second of these
languages. Quebec, on the other hand,
allocates a maximum of 15 points for
the knowledge of French, while
English receives only two points.

For Hong Kong people who have
decided to apply for immigration at
the Quebec office rather than at the
Canadian Commission (in some cases
because they have decided that the
overall requirements are less stringent
in Quebec), this decision may entail
learning French in order to improve
their chances of scoring high in the
language category. While language
proficiency may be of little
consequence in the case of those many
"business" immigrants from Hong
Kong who scored high in the point
system while having little or no
knowledge of French, the same is not
true of the many non-business
immigrants who wish to enter Canada
through Quebec, where such
proficiency becomes an important
issue. In fact, Hong Kong based
immigration lawyers are advising their
clients to learn French prior to their
interviews.

The desire to emigrate to Canada
is believed to be at least partly
responsible for a rapid increase in
enrolments at Alliance Francaise (AF),
France's "instrument" for the
dissemination of French culture abroad.
The school has seen a marked increase
in the number of people learning

French at their Hong Kong offices,
which together mark the territory as
AF's third or fourth largest presence
in the world. The number of such
students jumped from 7,040 in 1986-
87 to well over 13 thousand in 1989-
90, with a particularly strong demand
for French courses in the last year.
Mi. Herve Braneyre, of the central AF
office in Hong Kong, points out that,
although the school does not poll its
students as to their reasons for
enrolling, and although some of the
increase may be explained by the
opening of a new centre in the New
Territories, there is little doubt that
many students are in fact looking to
improve their chances of emigrating to
Quebec (other French-speaking
countries have not been attracting as
many Hong Kong people because of
their more restrictive immigration
policies, said Braneyre).

Already plagued by a declining
birth rate and a smaller share of
immigrants (16%) than its
demographic weight in Canada (25%),
Quebec also faces the problem of
ensuring that the newly arrived
immigrants will decide to remain in
the province rather than leave for
anglophone communities in other parts
of Canada. Though there are no formal
statistics, many Hong Kong immigrants
who have obtained a CSQ (Certificat
de Selection du Quebec) leave the
province soon after their arrival, often
moving to Toronto or Vancouver. In
order to solve this problem and allay
dissatisfaction from its French
speaking community about the lack of
integration by some ethnic groups,
Quebec is now trying to promote
immigration from French-speaking
countries which are culturally most
similar to it, such as France and
Belgium. In the case of Hong Kong, it
has come up with a solution which it
hopes may in the long run prove
beneficial. On August 29, Monique
Gagnon-Tremblay, Quebec's Ministre
des Communautes Culturelles et de
l'lmmigration, signed an agreement
with Alliance Francaise establishing a
two semester pilot project in which
50-60 people now holding a CSQ will
take French language courses given by
teachers from Quebec (or French
teachers who are familiar with the
province), using Quebec leaching

materials. With Monlmartrc giving way
to la rue Saint-Denis in the textbooks,
the hope is that early identification
with Quebecois culture will facilitate
the integration of immigrants following
their arrival in the province. It is also
possible that the program may be
expanded later to allow prospective
applicants (those without a CSQ) to
take the classes.

Report From China's Capital

by Mark Rowswell
Beijing

V

Chinese press coverage of Hong
Kong over the past few months can be
easily divided under three headings:
positive economic reports, criticism of
London's nationality package (the
British Nationality [Hong Kong] Act
1990) and calls for unity and
cooperation between Hong Kong and
the mainland. All the coverage gives
the reader the impression that
everything is fine and would be even
better if the British stopped meddling
and Hong Kongers quit squabbling.

The positive economic reports
come in the form of short summaries
of selectively chosen statistics.
Glowing coverage was given to the
official opening of the 70-storey Bank
of China (BOC) building in May, an
occasion attended by the president of
the state-owned bank, Wang Deyan.
BOC loans to local Hong Kong
industries were said to have increased
by 17 percent, but no time frame was
specified. Headlines such as "HK sees
increase in foreign firms," and "More
ships arrive in Hong Kong" appeared
in the week before the British
parliament passed the nationality
package.

This move by London, which
grants full British citizenship, including
right of abode in the United Kingdom,
to 50,000 heads of families and their
dependents, has been repeatedly
criticized in the Chinese press. A new
round of condemnation followed the
British Parliament's final passing of
the proposals in July. The Chinese
claim that the nationality package is a
clear violation of the spirit of the
Sino-British Joint Declaration and
other relevant agreements. Beijing has

BEIJING - page 11

UPDATE 9

Return Migration to Hong Kong

by Josephine Smart
Calgary

Emigration is nothing new for
Hong Kong, but the recent wave of
1997-related departures of skilled and
professional, middle-class Chinese to
Canada, Australia and the United
States has caused much concern and
debate. An estimated 95 thousand
people left in the period 1986 to 1988
[scmp, 20-H-1988]. In 1989 alone, over
42 thousand people left Hong Kong.
The Hong Kong government estimates
a net out migration of 425,664 persons
for the period 1989-1996 [scmp, 8-os-
1990]. Some multinational companies
are concerned enough about the
instability generated by the steady loss
of qualified personnel to consider
moving their headquarters to Thailand

[Hong Kong Business Today, March 1988; 17-18].

Local residents, many enjoying
unprecedented wage increases and
promotional opportunities due to the
increasing labour demand, also express
concern about the economic and social
stability of Hong Kong as a result of
the "brain drain". The government,
naturally, tries to downplay the
negative impact of brain drain [scmp,
17-03-1989). However, even the
government admits that foreign
investors are shying away from Hong
Kong because of the brain drain

[Hong Kong Standard 6-19-1989].

It is not surprising that both the
public and private sectors in Hong
Kong share a common interest in
return migration of Hong Kong
emigrants. More pointedly, they are
interested in finding ways to encourage
and facilitate return migration. The
Institute of Personnel Management,
representing 665 major firms in Hong
Kong, has just launched a plan code
named Net Project to reverse the brain
drain via active recruitment of Hong
Kong immigrants in North America
and Australia [scmp. 15-05-1990].
Similarly, the Hong Kong government
is considering sending senior officials
overseas to lure Hong Kong emigrants
and university students back to the
territory [scmp, i2-io-i989]. Many
multinational companies have been
doing that for some time with mixed
results. Last year. Price Waterhouse
advertised in Toronto for positions in
Hong Kong and received 800

responses, of which 120 were
interviewed for positions as
accountants, engineers, marketing and
financial consultants. In contrast,
Louis Thomas of Odgers and
Company received only 67 responses
from his English and Chinese
advertisements in Vancouver last
October seeking Hong Kong
professionals who wished to return

[SCMP, 12-10-1989].

Nobody knows exactly how many
emigrants return to Hong Kong to live
and work despite repeated attempts by
the government and other non-
government bodies, like the Institute of
Personnel Management, to pin-point
the phenomenon through surveys. In a
recent government survey of 60
thousand people, the result was
considered invalid due to the people's
unwillingness to respond truthfully to a
survey on the subject after the June
massacre in Beijing in 1989 [scmp, 21-
05-1990]. In an earlier survey in 1989,
a government task force found that
there were about 41 thousand Hong
Kong people holding foreign passports
who had returned to the territory
[scmp, 9-09-1989]. The Canadian
Commission estimated there are about
26 to 29 thousand Canadian passport
holders of Hong Kong origin living in
Hong Kong in 1990 [scmp. 22-04-1990].
It is not clear from these figures
whether the people included are recent
emigrants or whether they left Hong
Kong more than a decade ago and
whether their stay in Hong Kong is
temporary or permanent. There is a
general optimism about return
migration based on the belief that once
they secure their foreign passport and
citizenship, emigrants will be attracted
to the greater economic opportunities
in Hong Kong. At present, the return
rate of recent Hong Kong emigrants is
estimated at 10-15 percent [scmp, 22-04
1990]. It is expected that the rate of
return will increase from 1991 under
the influence of more active overseas
recruitment campaigns and the ongoing
strength of the Hong Kong economy.

The optimism about return
migration, however, is not shared by
all. The recruitment of Hong Kong
emigrants holding foreign passports to
alleviate the labour shortage in Hong
Kong is at the best a band-aid

solution. Many, if not all, of the
returnees will leave again in or before
1997 when The People's Republic of
China takes over Hong Kong [Ming Pao,
9-01-1990]. In a recent survey by the
City Polytechnic of Hong Kong, about
50 percent of returned emigrants
indicated they would leave before
1997 [scmp. 6-01-1990]. More
importantly, the assumption that
economic incentives are the primary
driving force behind return migration
is both simplistic and misleading. It
cannot be denied that economic factors
are major issues for some returnees.
A survey by The Survey Research
HongKong in 1990 revealed that
almost half of those coming back to
Hong Kong did so because they could
earn more or find better jobs in the
territory, a third cited nostalgia and
other social reasons as the reason for
coming back, and a fifth came back
because they had trouble adapting to
life overseas (scmp, 12-07-1990]. The
significant number of "astronauts" with
or without a foreign passport living
and working in Hong Kong while their
family lives overseas is a strong
indication that good jobs and high
wages are strong attractions indeed for
some. However, money alone is
unlikely to increase the return rate
significantly. There are several major
factors contributing to many emigrants'
lack of interest in return migration.

First, it may not be economically
viable to return to Hong Kong after
living overseas for several years to
qualify for citizenship and a new
passport. Even with a job guarantee,
the new job in Hong Kong may not
pay sufficiently to cover the cost of
relocation. Housing is extremely
expensive in Hong Kong, it can cost
up to Cdn$l million to duplicate an
average Canadian family's living space
and style in Hong Kong. The children
will not be able to follow the more
rigorous curriculum and higher demand
of Chinese language skills in the
public schools. The only alternative is
the international schools which offer
North American, British and, in future,
Canadian curricula. There are 17
international schools at the secondary
level and 28 at the primary and pre-
school level. Altogether they offer
about 10 thousand places at a cost of
Cdn$3-$10 thousand a year which

10 UPDATE

increases by 15-20 percent every year

|SCMP, 1303-1989; 18-06-1990; 29-06-1990) .A

Some schools have a waiting list of
several years iscmp, 04-03-19901. For a
returnee, a move back to Hong Kong
is simply not viable economically if
his income cannot cover these and
other costs. Some companies
obviously will pay a candidate that
they really need and want, but other
companies are expressing concern
about the divisive effect of offering
returnees a better package than that
offered to their local staff [scmp, n-03-
1989]. Such differential treatment is
likely to cause internal unrest and loss
of staff loyalty.

Secondly, many social and non-
economic factors arising from an
emigrant's experience of living in
another country can affect his/her
decision about return migration. Some
Hong Kong emigrants left initially
with the intention of returning after
they obtained their foreign passport,
and their experience of downward
mobility and loss of status/rank and
income in the new host country might
very well intensify this desire for
return migration in their first year
away from Hong Kong. However, as
time goes on, they experience a way
of life that they enjoy like nothing
they ever had in Hong Kong. They
have more time to spend with their
family, they have more space to
themselves, their children enjoy school
and the parents no longer have to
spend all evenings and holidays
supervising and preparing the children
for the never ending examinations.
They can slow down and take
holidays, they no longer have to drive
like Mad Max or to get all stressed
out on the road to avoid aggressive

drivers as they did in Hong Kong.
They can be more casual in their dress
and lifestyle since there is not the
same pressure on consumption and
keeping up with the Joneses. In short,
they become more human. They are
happier. Many still miss the
excitement and material extravagance
of Hong Kong, but at the same time
they are not willing to give up their
better quality of life in return for more
money, more stress, more pollution
and more work. One senior
telecommunications executive from
Hong Kong earning a yearly income
of close to Cdn$100 thousand before
he left last month sums it up this way,
"I have had enough of it. I sold my
body and soul to the company for
almost twenty years. Now I want to
live." For people like that, no amount
of money will lure him back to Hong
Kong before or after 1997.

Lastly, most professionals and
middle-class Chinese leave Hong Kong
because they fear the uncertainty of
1997. They give up their career,
income and status in order to resettle
their family in a place they can call
home permanently. The relative lack
of interest in Singapore, Taiwan and a
myriad of smaller and unstable
countries as a final destination for
Hong Kong emigrants, reflects clearly
this sentiment Return migration, for
these emigrants, means a transitional
phenomenon that will be modified or
reversed once the conditions change.
Older folks may return to live in Hong
Kong for social and cultural reasons,
but they will move back to North
America or Australia if political and
social stability in Hong Kong should
worsen. "Astronaut" husbands and
wives will continue their divided

existence between Hong Kong and
another country for as long as the
economic incentives are strong, and
the social pressure to rejoin the family
remains low. In view of the
increasing awareness of the
psychological and social problems
associated with the astronaut
phenomenon, maybe more Hong Kong
emigrants would decide not to become
"astronauts" in order to reduce the
possibility of divorce, generational
hostility and mental stress associated
with single-parenthood and migration

[Hong Kong Standard, 28-04-1990; Lam, 1990;

Smart, in press]. Most return emigrants
intend to take their family out of
Hong Kong before 1997 to ensure
their safety. If conditions remain good
in Hong Kong after 1997 they may go
back, but clearly they do not intend to
put their families at risk for the sake
of money or position. It must be
made clear to the policy makers and
other significant players in Hong Kong
that return migration before or after
1997 is a volatile phenomenon
governed only partially by economic
forces. There are the many social and
individualistic factors that no amount
of money or material attraction can
displace to increase the rate of return
migration or to keep the returnees in
Hong Kong for any longer than they
wish.

References: Hong Kong Business Today, Hong
Kong Standard; Lawrence Lam, The New
Chinese Immigrants in Toronto: The Hidden
Injury of Their Migration, Paper presented at the
Learned Societies Meetings, University of
Victoria, May 1990, Josephine Smart.
Immigration and Household Formation: The
Emergence of Female-centred Households
Among Hong Kong Business Immigrants in
Canada, International Migration Review, South
China Morning Post [SCMP).

Report from Beijing

from page 9

declared that it will not recognise the
British citizenships granted to "a
number of Hong Kong Chinese
citizens" and vowed that "the
government of the Hong Kong Special
Administrative Region will be
composed of local inhabitants." This
latest round of criticism was merely a
repetition of previous statements by
China.

The remainder of news articles on
Hong Kong consist of calls for
stability and a sense of unity and
cooperation among Chinese from the

mainland and Hong Kong. This was
the thrust of CCP General Secretary
Jiang Zemin's message to prominent
Hong Kong figures such as Li Ka
Shing when they met in Shenzhen in
June. Also in June, director of the
Hong Kong branch of the Xinhua
News Agency, Zhou Nan, urged Hong
Kong businessmen to learn how to live
in harmony and cooperate under the
"one country, two systems"
arrangement. These calls reflect
Beijing's desire to avoid the
internationalization of the Hong Kong

question and instead treat it as an
internal Chinese affair.

Chinese press coverage of Hong
Kong has been very sparse, especially
in comparison with news related to
Taiwan. Beijing apparently believes
that the Hong Kong question has been
settled and any difficulties arising
during the transition of power to the
mainland can and must be solved by
the Chinese government, without
interference from international or
dissident Hong Kong forces.

UPDATE 11

Hong Kong in Canada-China Trade

by Philip Calvert
Ottawa

•

Hong Kong was born out of Sino-
British hostilities over access to the
China market, and its proximity to
China has dominated its life ever
since. Created by the treaty which
ended the first Opium War in 1842,
Hong Kong has served as a listening
post for the gathering of intelligence
on mainland China, as a goal for
refugees from the mainland, and as a
centre for the study of Chinese
politics, history and culture. The
impact of its proximity has also
dominated its economic life. Although
Hong Kong in its own right serves as
an important market for Canadian
goods and services, the territory has
also become increasingly important for
the access it provides to China and the
Chinese market. Hong Kong based
trading companies are playing
important intermediary roles in the
expansion and maturing of trade
relations, and with the increasing
economic presence of China in Hong
Kong and the growing fusion and
interdependence of the two economies,
this role is likely to become even
more important in the future.

Re-exports dominate Hong Kong's
export trade. According to figures
provided by the Hong Kong Trade
Development Council, the territory's
1989 re-exports were worth about
US$44 billion, as compared with
US$29 billion worth of domestic
exports. Figures for the first six
months of 1990 indicate a
continuation, even a strengthening of
this trend: the value of re-exports
(US$23.5 billion) was nearly double
that of domestic exports (US$12.9
billion). The bulk of the re-export
trade comes from factories in
Guangdong (Canton Province), China,
where assembling and processing is
carried out for foreign (mainly Hong
Kong) companies. These re-exports of
Chinese origin continue to increase,

despite a drop this year in Hong
Kong's overall re-export trade. Re-
exports also play an important role in
Canada's trade with Hong Kong and
China. Currently, Canada exports
about $1.1 billion (Canadian) to Hong
Kong, about 25 percent (or $275
million) of which is re-exported; of
this, about 80 percent (or $220
million) goes to the People's Republic
of China.

Figures on the value of exports
passing through Hong Kong trading
houses, however, only tell part of the
story, for Hong Kong's importance in
Sino-Canadian trade takes on many
more dimensions. Many Canadian
companies and organisations, including
some provincial governments, have
offices in Hong Kong which serve as
a base for their Asian activities,
allowing for more regular, frequent
contact with Asian markets —
including China - and promoting the
development of ongoing personal
associations which are so important to
the conduct of business in this region.
Other companies make use of Hong
Kong agents for the promotion of their
activities in China. A good agent can
provide an understanding of the
language and cultural traditions of the
market: proximity to the mainland,
careful cultivation of contacts within
the Chinese bureaucracy, and the
judicious use of ties of ethnicity and
locality can give them access to
essential technical or commercial
intelligence, while knowledge of the
structure of, and key players within,
the Chinese bureaucracy can allow
them to cut through the red tape
associated with transactions in China.
Of course, any company wishing to
have its own effective Hong Kong
office will be aware of these
considerations when hiring its own
staff as well.

The use of Hong Kong offices or
Hong Kong-based trading companies
and agents (some of which have
offices in Canada) continues to play

an important role within the
framework of Canadian trade with
China. Wheat, of course, dominates
our exports to China: this is managed
through negotiations between the
Canadian Wheat Board and central
agencies in China, and shipped mainly
through northern ports such as Dalian
and Tianjin. However, a significant
part of the growth of trade in other
sectors comes from activities generated
or managed through Hong Kong. This
trade tends to focus on South China,
where ties of language and personal
connections are stronger.

The growth of Hong Kong export
industries based in Guangdong and
China's Special Economic Zones
(SEZ's), however, also reflects the
growing interdependence of the
economies of China (particularly South
China) and Hong Kong. Hong Kong
companies are major investors in the
mainland, and the most powerful Hong
Kong entrepreneurs have access to
China's top leadership. In the past
few years, Chinese government
corporations, particularly China
International Trust and Investment
Corporation (OTIC), have been
investing heavily in the Hong Kong
economy, especially in the energy and
transportation sectors. CITIC now has
shares in Cathay Pacific, Dragon Air
and Hong Kong Telecom, and is
pursuing interests in China Light and
Power. It is significant, too, that
when the United States was
considering not renewing China's Most
Favoured Nation Status, the Hong
Kong government and business leaders
strongly urged that the status be
renewed, arguing that cancellation of
this status would have devastating
effects on the Hong Kong economy.
As we approach 1997, we can expect
the two economies to become even
more interlocked, and Hong Kong's
importance as an entrepot to become
more crucial in trade relations with the
People's Republic of China.

Workshop on Project's Future /

On June 1, 1990, the Asia Pacific
Foundation in Vancouver hosted the
first workshop of the Canada and
Hong Kong Project since it began
operations in January of this year.
Key participants from Toronto,
Vancouver, and Victoria gathered to
help define the issues to be addressed

over the course of the four year
project. The day was divided into
four sessions: an Introduction, Hong
Kong Issues, Settlement Issues and
International Issues.

During the morning sessions.
Professor Diana Lary, Director of the
Project, led informal discussions on
the project's objectives and issues to
be addressed in research, workshops,
conferences, newsjournals and

publications. The issues include how
new immigrants from Hong Kong are
perceived by Canadians including the
Chinese community and how they are
portrayed in media reports. Professor
Lary said the project is to be a sober
counter-balance to any existing or
potentially negative atmosphere
anywhere in Canada in response to the
large-scale immigration of people from
Hong Kong.

WORKSHOP - page 16

12 UPDATE

Immigration Brings New Challenges for B.C. Schools y*

by Stephanie Gould
Toronto

Like many others in Canada's
urban areas, school districts in British
Columbia, especially in Richmond,
Surrey and Burnaby, are facing the
challenge of rapidly increasing
enrolments of children recently arrived
from Hong Kong.

For the second year in a row.
School District #38 in Richmond, is
not accepting fee-paying international
students this year because English as a
Second Language (ESL) Programs are
bursting at the seams. Mr. Rubin
Chan, Director of Special Programs,
reports that from 1982-1986, the
school district had 180-190 students
enroled in ESL classes; in 1987, 220;
in 1988, 400; in 1989, 950; in
September of this year there are 2100
ESL students. "Last year, every
month, 50-70 new kids needed ESL.
This gives you an idea of the
magnitude and speed of change.
Ninety percent of these are from Hong
Kong and Taiwan," said Chan.

Last year, the school district
subsidized the program by over a
million dollars. Funding from the
Ministry of Education in B.C. is based
on a head count on the 30th of
September every year. "They kept
coming, every month we'd get 50-70
[students], so for those that arrived
after September 30th, we did not get
funding," said Chan. "We have made
submissions to our local MLA and to
our MPs and they said they would
look into it and try to come up with a

funding formula that is more
equitable." Despite lack of funding, the
school board has taken a "pro-active"
approach to meet the challenges of a
rapid influx of new students. "Now,
this is an evolution rather than a
revolution because we have some
inkling about the fact that there will
be more and more coming, not
knowing the magnitude of the whole
thing," said Chan. Programs have
been designed and implemented for
teachers, students and parents.

Much has been accomplished by an
ESL Teacher Consultant, "who
organized our teachers and
administrators to raise their awareness,
acceptance and their understanding of
the students' needs." At monthly
meetings, coordinators of ESL
programs "compare notes and share
ideas so we can help each other meet
the challenge of the newly arrived
ESL students, said Chan.

The board has worked closely with
community organizations and the
teacher's association to organize
professional workshops and seminars.
Members of community groups
working with Indo-Chinese and Indo-
Canadians have been brought in to
speak and meet with teachers. Last
year, the theme of the annual teachers'
association convention was
multiculturalism and English as a
Second Language.

They are also working with local
universities to offer credit courses for
teachers. University professors are
teaching credit courses in
multiculturalism, teaching ESL and

teaching ESL students in regular
classrooms. Chan said the courses,
which are offered in Richmond to save
teachers travelling to university, are
oversubscribed.

A program for students called
English as a Second Culture was
designed to provide orientations about
Canada and Richmond "as cultural
communities." A buddy system has
also been started in the schools. "We
call them friendship clubs where you
have the kids make friends and work
together. And that's to avoid any
possible racial tensions."

Chan is also pleased with the
reception of the first orientations and
workshops for parents last October.
"We have set up parents' nights to
provide orientations about the
community, about what the education
system can offer, the health
department and support services in the
community. Last year, over 200
parents came to the meeting. That
was followed by a one day workshop
on parenting called 'Bringing Up
Children in the Land of Your Choice'
and about 100 people showed up for
that day."

Chan admits that there are still
many problems to be overcome, but he
prefers to see them as challenges and
opportunities. "A lot of people see
the immigration as a problem. You
know, of course it has presented us
with many challenges, like funding,
staffing and whatnot. But it has also
offered us many opportunities to
cultivate acceptance, understanding and
multiculturalism."

Expo Site Still an Issue

by Tan Xiaobing
Vancouver

sy

In April 1988, the site of Expo '86
sold to a consortium headed by Hong
Kong billionaire Li Ka-shing. The site
is about 96 hectares, or one sixth of
the downtown area, by some estimates.
The sale to off-shore interests aroused
public concern and controversy among
politicians because the property is seen
by some as "the jewel in the city's
crown".

Not long after, Grace McCarthy,
then B.C. Minister of Economic
Development, resigned. Four months
later, the B.C. Enterprise Corporation
(BCEC) board, which engineered the
sale, was fired. Premier Vander Zalm

advocated the sale, then, after it was
signed, called for it to be renegotiated.
Later, he again supported the sale as it
had originally been negotiated.

The concern and controversy
remain strong. On April 28, two
years after the land was sold, the
Vancouver Sun published reports to
provide the public with more
information on the central questions:
how much money the government got
from the sale, and why the land was
sold to the Hong Kong company.

According to reports, the B.C.
government will get between $125
million and $320 million, depending
on how it is calculated. Li Ka-shing's
Concord Pacific Developments Ltd.
will have paid a total of $320 million
by the year 2003. Once interest is

deducted, the company will have paid
$125 million.

Grace McCarthy says the land was
sold for the "market value" determined
by an open-bidding process. But there
were only two potential buyers, Li's
Concord Pacific and the Vancouver
Land Corp., a consortium headed by
Vancouver developer Jack Poole.
Only Li's company proposal met the
B.C. cabinet's objective of privatizing
the lands quickly. Poole's bid
included a 25-percent participation by
the province. A third potential bidder,
Toronto-based Bramalea Ltd., asked
for more time to submit a proposal but
was turned down by BCEC, under
pressure from the premier to proceed.
Li's company paid about $1.3 million
a hectare. The B.C. government must

EXPO - page 15

UPDATE 13

Sky Lee: Embracing the Past with Love and Anger ^

by Stephanie Gould
Toronto

"Documents and facts are intended to direct
our prejudiced hearts but rarely provide direction
by themselves. I have boxes and boxes of
documents but what I need is vision and vision
comes from relationship. Facts bereft of love
direct us nowhere."

Joy Kogawa in Magdalene Redekop,

"The Literary Politics of the Victim,"

Canadian Forum . November 1989.

Sky Lee's recent novel,
Disappearing Moon Cafe , like Joy
Kogawa's Obasan , is based on
historical documents and facts. Like
Kogawa's, Lee's "vision comes from
relationship"; history and fact are
transformed into fiction by intense
feeling, if not love. In her first novel,
which Lee describes as a "protest
novel," the characters, plots and
themes are animated by protest and
anger. Lee's voice of protest is "a
Chinese voice that has been silenced
for many, many decades here in
Canada," she said. It has taken several
generations for Chinese Canadians to
regain the cultural voice which they
lost in the "process of being displaced
from China to Canada." Lee
researched and wrote Disappearing
Moon Cafe over a fifteen year period

while she worked as a nurse and a
single parent to her six year old son.
The novel is not autobiographical, but
her themes are strongly influenced by
her own experience as a woman and a
Chinese Canadian. One of five
children born into a Chinese Canadian
family who lived in Port Alberni, a
small mill town in British Columbia,
Lee experienced poverty and isolation
as a child. Her mother, who was bom
in Burma, was barred from coming to
Canada by the Chinese Exclusion Act
of 1923 which was not repealed until
1947. Her father was bom in Canada,
but in keeping with tradition, he
returned to China to "take a wife."
Many things have changed since
her family came to Canada, but Lee
said Chinese Canadians experience as
much prejudice and stereotyping as
ever. Her novel will have special
significance for people leaving behind
a whole way of life to come to
Canada -- especially people who share
her own cultural roots, such as those
moving from Hong Kong, said Lee. "I
think the human response to
displacement, alienation, isolation are
the same experience [as they were
early in this century]. And the nice
thing about Disappearing Moon is that
those things are not at all diminished.

On the other hand, they are not
portrayed as something that is crushing
emotionally. Given a certain
intactness of being people will not
only survive but thrive."

For Lee, the book is a celebration
of her cultural roots. She believes
Chinese Canadians have always been,
not "ethnic," but part of the
"mainstream". The novel traces the
history of the Wong family over five
generations, beginning with Wong
Gwei Chang, who fell in love with a
native woman in the wilds of British
Columbia where he hunted for the
bones of deceased railway workers.

"There's a way in which I just
assume that we are very mainstream,
very much present. And I've never
really had to defend that in the book.
That's the wonderful part. In the
book you'll find that there are
recorded incidences of racism over and
over again. But they seem to be very
much on the outside. And the
personal drama that's happening within
the community, within the generations
of women in the Wong family, were
very much the centre stage. And they
had no other sense of themselves
except as that."

LEE - next page

Democracy Month in Toronto

by Yang He

Toronto

V

Overseas Chinese in Toronto used
to be regarded as hardworking citizens
who concentrate their lives on business
and aren't particularly interested in
politics. But this image has changed
dramatically since the June 4th event
in Tiananmen Square in 1989. Like
overseas Chinese around the world, the
Chinese community in Toronto has
been mobilized and united by the
student-led democratic movement in
Beijing. During May and June, 1989,
many community and student
organizations, including the Toronto
Association for Democracy in China,
the Federation for a Democratic China
(Toronto chapter), the Chinese Alliance
for Democracy (Toronto), the
Federation of Chinese Students &
Scholars in Canada, Design for

Democracy and the University of
Toronto Students Concerned About
Student Movement in China were
established. These groups play a
leading role in organizing activities to
support the student movement in
Beijing.

To commemorate the anniversary
of June 4th, the Toronto Association
for Democracy in China and Design
for Democracy launched a joint
project, Democracy Month, from May
4 to June 4, 1990 in Toronto.
Democracy Month began with an
opening ceremony in the Peace Garden
at Toronto City Hall on May 4th.
Four days after the opening ceremony,
a concert for democracy in China,
performed by ten top singers from
Hong Kong, Taiwan and Canada, was
held on May 9th at Maple Leaf
Gardens. The concert was sponsored
by Sing Tao Newspapers, Am-Can
Sino Broadcasting Toronto Ltd.,
Channel Forty Seven Cable Four
Television and Essex Park Hotel.
Twelve thousand fans and more than

300 volunteer workers joined the
singers at Maple Leaf Gardens. The
concert received wide media coverage
and raised more than $60 thousand.
The second climax of the month
was the "Democracy in Motion" rally
and march on Sunday, June 3rd. Over
seven thousand people from all walks
of life gathered at Nathan Philip
Square in front of City Hall that
afternoon. The crowd was singing
"Elegance Stained With Blood" and
"We Shall Overcome". One after
another, speakers commemorated those
who devoted their lives to democracy
in China and called for solidarity to
continue the struggle. Among them
was Premier Bob Rae, then leader of
the New Democratic Party in Ontario,
representatives from Toronto women's
organizations and members of the
former independent Worker's Union in
Beijing. Both the federal and the
Ontario governments sent endorsements
to the rally. Afterwards, people
marched from Nathan Philips Square

DEMOCRACY - next page

14 UPDATE

Sky Lee

Lee interweaves historical truths and
fictional dramas to create the sense of
a community rife with intrigue in
which women must think up strategies
to survive. Lee's contribution to
Canadian literature and to the
understanding of Canadian history is
peppered with protest against the
misogyny not just of Chinese culture
but all cultures. She has written an
historical novel that traces the lives of
Chinese Canadian women in
Chinatown. Lee's contribution fills a
void in a country where very little has
been written about either the Oriental
women of B.C. or Canadian
Chinatowns (see Margaret Conrad,
"'Sundays Always Make Me Think of
Home,' Time and Place in Canadian
Women's History," in Rethinking

Canada: The Promise of Women's
History , Toronto, 1986). As the title
suggests (the name of a restaurant in
Saskatchewan was the inspiration for
the title), Lee is also protesting the
disappearance of a way of life which
she believes is being obliterated by
white Canadians.

"One of the most compelling
elements in this book, I find, is that it
portrays Chinatown to be small town
Canada, which is exactly what
Chinatown is — in this case Chinatown
Vancouver. But there have been
many, many Chinatowns in many
small centres all over B.C. at one
point or another in history, in
Cumberland, Nanaimo, Courtney, even
Port Albemi," said Lee. "And I
suppose because Chinese were such an
unwanted element by white Canadian

standards, the powers that be worked
on getting rid of them as soon as they
could."

As a feminist and a Chinese
Canadian who took part in protests
against urban renewal (a phase in
Vancouver's Chinatown history), Lee
has a strong message for people
settling in a country dominated by
white Canadians of European origin
who she believes are responsible for
the disappearance of cultures all over
the world. "It is very important for
them to maintain their own sense of
being and their own love of
themselves," she said. But as a writer,
Lee has another message for
Canadians, and especially for scholars:
"I'd like to warn them and say watch
out for the passion, anger and
intensity."

Democracy Month

from previous page

to the consulate of the People's
Republic of China. The seven
thousand protestors stretched over a
mile long and people constantly joined
the march from the streets. The
commemorative rally and march took
more than three and a half hours.
Like the concert for democracy in
China, it was also reported by all
major press in Canada.

In addition to the two major
activities, a number of art exhibitions
and speeches were organized by the
Toronto Association for Democracy in
China and the Federation of Chinese
Students and Scholars in Canada
during Democracy Month 1990. On
May 13, a children's drawing contest
called "Democracy Through the Eyes
of a Child" was organized at Nathan
Philip Square. On May 19, an art
exhibition, "Democracy in

Perspective," was opened at the
Ontario College of Art and later
moved to the City Hall rotunda.
Through their works, many well-
respected artists, designers and art
educators from Canada and the U.S.
expressed their perspectives on
democracy. Another exhibition tour,
"1989," organized by the Edmonton
Federation for Democracy had a show
in Toronto during May 19 to 21.

On May 13th, Mr. Liu Binyan, a
famous investigative writer who was
expelled by the Chinese Communist
party in 1987, was invited by the
Federation of Chinese Students &
Scholars in Canada to give a speech at
the University of Toronto. An
enthusiastic audience of over 500
packed the Medical Sciences
Auditorium to listen to Mr. Liu's
speech. On May 20, again invited by
the Federation of Chinese Students &
Scholars in Canada, Mr. Wan Runnan,
secretary of the Federation for a
Democratic China based in Paris and

the Chinese government's top fugitive,
gave a speech at the University of
Toronto. Mr. Wan's speech was
considered one of the most informative
and clear-minded analyses of the
democratic movement in China. On
both occasions, audience members
donated funds for a Toronto based
newspaper - Press Freedom Herald,
Canadian Edition. Over $1 thousand
was raised for the newspaper.

The 1990 Democracy Month in
Toronto was a remarkable success.
The concert, the march, the arts and
the speeches touched every
participant's heart and will constantly
remind people what happened at
Tiananmen Square on June 4, 1989.
As Dick Chan, chairman of the
Toronto Association for Democracy in
China, put it: "As long as we do not
forget, the children of China will soon
see a new country where they will be
able to determine their own destiny
democratically and where human rights
are truly valued."

Expo Site

from page 13

\

clean up toxic waste on the land and
in the water.

While the bidding process seemed
to favor Li's company, things after the
sale were not so smooth. The
company originally planned to have
construction under way by December
1989. But, the rezoning proposal was
not passed until June 1990. Public
hearings were held and proposals were
changed again and again. One factor
in the delay was the deletion of
islands and lagoons from the plan -

the city planning department was
concerned about public accessibility to
the False Creek waterfront The cost
of the delay was substantial, up to $25
million, according to a former BCEC
official. However, the land itself
gained value during the 1989/90 real
estate boom. In April, it was estimated
to be worth between $310 million and
$1 billion.

On June 14, Vancouver City
council approved a CD-I rezoning
application for developing the land, a
site-specific bylaw tailor-made to the
intended form of development. Under
the agreement, the developers will

provide a maximum of 720 dwellings
in buildings no taller than 285 feet.
They must also supply 25 percent
family housing over the entire site,
and 144 units of social housing.

After the plan passed, Concord
Pacific acted quickly. On July 9, 802
days after sale, the company declared
an official start of its development.
The first phase included a ten-acre
public park between Quebec, Keefer
Streets and Pacific Boulevard. The
Vice-President of Concord Pacific said
that the project would cost about $2
billion and create more than 28
thousand jobs a year in Vancouver.

UPDATE 15

What the Ads Say

by Chow Ying Wong
Toronto

Since large numbers of people
from Hong Kong decided to make
Canada their home, a new market has
opened up for services designed to
make their lives easier. The
advertisement of a product or service
can be seen as an entrepreneur or
service provider's attempt to cater to
the needs of prospective customers.
The attempt is, of course, based on a
set of assumptions or perceptions on
the part of the seller. Advertisements
published in the Sing Tao Daily
Newspaper between April and August
1990 reflect the perceived needs of
this immigrant community.

Out of an average of 88.4 pages
published daily by Sing Tao during
this period, 80 percent or 72.5 pages
were filled with ads. About one third
(34 percent) of these ads were related
to the buying and selling of property,
the majority of which being
residential. Another 2.5 percent of the
ads dealt with mortgage arrangements
and options available, and another
seven percent associated with home
renovation services. More than seven
percent of the advertisements were
selling cars or offering different
packages of driving lessons. Another
seven percent offered attractive
travelling packages. About three
percent advertised for legal, accounting
and other professional or para-

professional services. Almost ten
percent were related to ethnic food,
eateries and entertainment. It should
be noted that employment-related ads
only accounted for 1.4 percent of the
commercial coverage.

On closer inspection, many of the
advertisements published during this
period, offer services designed
specifically for newcomers from Hong
Kong, particularly those who conform
to the "typical" image of wealthy
immigrants. For instance, one of the
ads by a bank offered special relief to
the wives of "astronauts", promising
that arranging a mortgage will be easy
despite the absence of the husband.
Another reminds investors that they
are legally bound to fulfil their
immigration agreement and the
company will guarantee them a safe
return. Indeed, about 1 percent of the
ads explicitly offer investment
opportunities, not only to immigrants,
but to prospective ones overseas. It is
not unusual to find real estate ads
which emphasize the proximity to
local "prestigious" schools. Others
offer to buy properties in Hong Kong
from immigrants already landed in
Canada.

There are, of course, immigration
consultants, traffic ticket/accident
consultants and various kinds of para-
professionals offering services to new
immigrants. Other services include
visits to ancestors' graves in Hong
Kong, complete with a choice of
religious ceremonies; sending flowers

to Hong Kong on Mother's day; a call
to advertise in a bilingual magazine
which promised access to the "high
income professionals in Hong Kong
and Taiwan"; language classes and
tutoring services for children (very
popular in Hong Kong). For those
seeking entertainment, there are tours
to favorite casinos in Atlantic City and
competitive rates to Hong Kong
including accommodation packages. A
recently popular pastime in Hong
Kong called karaoke and other high-
tech features such as laser discs are
advertised.

The entrepreneurs behind these ads
have isolated people from Hong Kong
into a market, or group, with special
needs and desires. These ads capitalize
on the assumption that new immigrants
from Hong Kong maintain close ties
to the country of origin, and that they
are in search of a sense of
continuation, both culturally and
socially. Members of a family may
be landed, but still have elderly
parents and other extended relatives
remaining in Hong Kong; the husband
may need to travel regularly to Hong
Kong where part of the business
continues to operate; alternatively, the
entire extended family has emigrated,
leaving no one to pay respect to the
ancestors. ..the services suggested in the
ads are trying to provide such
linkages.

But if people from Hong Kong and
entrepreneurs could get together and
talk about real needs and real people,
I wonder what they'd say?

Workshop

from page 12

V

The first afternoon session on
Settlement Issues, chaired by Professor
Graham Johnson of the University of
British Columbia, looked at patterns of
settlement. Professor Johnson said that
Canada must be looked at as a
composite of regions with different
responses to the settlement of people
from Hong Kong. Issues differ across
the country and must be approached
differently by researchers, he said.
Discussion centred on how to carry
out quantitative research on the ethnic
makeup of the Canadian population
considering the difficulties of gathering
accurate statistics. Professor Lary said
the project would like to encourage
graduate students to consider Hong
Kong issues and to coordinate with
other individuals, institutions or
projects undertaking complementary
research.

During the final session of the day,
chaired by Professor B. Michael Frolic
of York University, issues such as
where Hong Kong fits into the
international scene and how changing
regional, economic and financial
patterns will affect Canada-Hong Kong
relations as 1997 approaches, were
raised and discussed. Professor Lary
said that it is important for people in
the academic community to tackle
international issues relating to Hong
Kong's future because of the "policy
relevance" of this work.

One sad piece of news - Stephanie Gould, who
played a major role in designing and setting up
the project, has moved to Winnipeg, and so has
had to leave the project. We thank her for all
her excllent work, and look forward to
contributions from her for future updates, fanet
Rubinoff will be joining the project in
Stephanie's place.
Piflna Lory

Hong Kong Conference Report

Professors Donald McMillen and Daniel
Kwan Yat-kau were the principal organizers of a
major three-day conference on "China and Hong
Kong at a Crossroads: Prospects for the 21st
century." Held at Hong Kong Baptist College,
September 3-5, 1990, it gathered more than 150
participants from H.K., Macau, the PRC,
Taiwan, Japan, the U.S., Australia, the U.K. and
Canada. Paul Evans of York University
represented the Canada and Hong Kong Project.

In his keynote address. Professor Wang
Gungwu, Vice -Chancellor, Hong Kong
University, outlined promising lines of new
research by a generation of young scholars in
U.K., but also offered a somber assessment of
the prospects of independent scholarly research
and activity after 1997.

More than half of the fifty papers were
delivered by H.K. based social scientists, several
of whom are collaborating on a long-term
project on "Hong Kong and Politics in
Transition." One focus of the project is a
detailed examination of political attitudes and
participation. The researchers emphasized their
interest in cooperative research with Canadian
scholars in examining the attitudinal and
behavioural changes that occur after H.K.
residents emigrate overseas.

5

CANADA AND HONG KONG UPDATE

■i^i^i^iM

Number 3

WINTKR 1991

Excerpts From the Hon. Barbara McDougall's Address
Canadian Chamber of Commerce, Hong Kong, September 5, 1990

"Hong Kong has always seemed a bit of
an enigma to me. It's just a tiny patch of
land on the edge of China, with few if
any natural resources. Yet it has become
a manufacturing giant and a household
name throughout the Western
hemisphere.

It is one of the most modern urbanized
centres in the world and a major
international commercial centre. It's little
wonder that Hong Kong holds a special
grip on the world's imagination, it is a
symbol of entrepreneurial drive. And it is
a gateway - not just to the "mysteries of
the Orient," but to the fastest growing
market in world trade today.

It's also little wonder that the largest
foreign branch of Canada's largest
business organization - the Canadian
Chamber of Commerce - is right here in
Hong Kong. Or that the Hong Kong
Canada Business Association, with 1 1
chapters and more than 3,000 members,
is the largest bilateral group of its kind in
our country.

Organizations like these attest to the
growing ties between Canada and Hong

Kong. These lies are based, in part, on
our shared economic interests. Over the
last ten years, the Asia-Pacific region has
become Canada's largest single trading
area outside of the United States.

But behind these ties are strong
human ties between Canada and Hong
Kong, stretching back well over a
century. Canada's commitment to Hong
Kong remains firm whether expressed in
the movement of people or through
bilateral agreements with your
government.

The movement of people between our
countries is growing steadily. Over the
past three years, more than 65,000 Hong
Kong citizens have decided to make a
new home in Canada. Moving the other
way, well over 30,000 Canadians now
live and work in Hong Kong and about
150,000 Canadians visit Hong Kong each
year.

We have about 15,000 Hong Kong
students studying in our schools - more
than a quarter of our total foreign student
population. Already more than 70,000
university graduates in Hong Kong

graduated from Canadian universities.
This movement of people is, without
question, a good thing for both Canada
and Hong Kong. It brings with it a
movement of ideas, an enrichment of our
cultures, and new opportunities for
economic exchange and development.
And it forms a human bond that will
endure and prosper well beyond the year
1997.

A large proportion of Hong Kong
immigrants to Canada enter as part of the
family stream of our programs. I've
already mentioned the growing numbers
of Hong Kong people who decide to
come to Canada. Many of those have left
close family behind. As far as possible,
we want to help those families come
together again in Canada.

Hong Kong entrepreneurs and
investors are putting their faith in Canada
and investing heavily in Canadian
business and industry. By doing so, they

McDougall's Address cont'd, page 2

Two Chinese-Canadian Development Projects in Richmond, B.C

by Hugh Xiaobing Tan
Vancouver

Two significant development projects,
financed by the Chinese Canadian
community in Vancouver, are the
International Buddhist temple and the
new Aberdeen Mall. Both are located in
Richmond, a suburb south of Vancouver
where many new immigrants from Hong
Kong, as well as Taiwan, have recently

per

F1029.5
H6 C36

settled. Since it is estimated that one out
of every three or four people living in the
area are now of Chinese origin,
Richmond was a logical place for this
development.

Located on Steveston Highway, the

B.C. Development cont'd, page 14

McDoilgall's Address, from page 1

are contributing directly to our economic
growth, and they are creating jobs in
areas where jobs are needed, as was
intended.

During consultations on immigration
levels over the past year, I found support
for the Business Immigration program in
all parts of Canada. Concerns were
expressed though about the need to
encourage these immigrants to consider
other destinations in Canada besides the
traditional ones of Montreal, Toronto and
Vancouver.

In addition, Canadians want to see the
intended benefits of this program
realized. They do not want to see people
simply using the program as a short-cut to
obtain a Canadian passport. As with
anything new, there were some problems
to be ironed out. But we have recently
taken steps to improve the management
and effectiveness of the program.

We must protect the integrity of the
program by eliminating suspect
investment plans and by discouraging
unscrupulous operators. As you may
know, new regulations for the investor
category were made public in August.
These new regulations are not designed to
discourage the legitimate investor
immigrant - here in Hong Kong or
anywhere else - from coming to Canada.
Rather, they are intended to make it very
clear to all business immigrants that we
expect from them a certain level of
commitment to Canada. The business
program will continue, although not as a
dominant element of our immigration
program.

We welcome the legitimate business
immigrant and acknowledge that most are
prepared to invest for the benefit of their
chosen country and to participate fully in
all aspects of Canadian life. In a general
sense, that is true for all immigrants to
Canada, whatever category they may fall
under. A basic requirement for all
immigrants is that they share a
commitment to Canada and to Canada's
future. That is why we cannot and will
not allow our immigration programs to be
used simply as a kind of 'insurance
policy.'

There has been speculation in the
media recently that we are cutting back
on immigration, specifically from Hong

Kong. I cannot stress too strongly that
this speculation is false.

Because the number of immigrants
coming to Canada has been much higher
than expected this year, we have been
forced to temporarily slow down visa
issuance. But this temporary slow down
is not a cut back, and it is definitely not
aimed at Hong Kong. It applies
universally to all countries, and it is
intended to give our service and support
agencies time to adjust to the increased
demands. We have taken, and we will
continue to take, whatever steps are
necessary to ensure that the flow of
people into Canada is managed properly.

In the case of Hong Kong, we are
working to ensure that the thousands and
thousands of immigrant and temporary
visa applications are handled as
effectively as possible. Despite
significant resource restraints, we have
been able to put extra resources into our
Hong Kong office as part of our
commitment to better management of the
immigration program.

We have strong and growing interests
in Hong Kong and its people - trade,
education and most importantly, the
people to people relationship. The
principles underlying our immigration
policy towards Hong Kong are stability
and continuity. The ties of family, which
strengthen daily, are the bedrock of our
approach to Hong Kong and its people.

The most hopeful prospect for Hong
Kong's future lies in increased
opportunities for Hong Kong citizens to
manage their own affairs. We encourage
the rapid development of democratic
institutions and processes within the
territory.

We care about what happens in Hong
Kong, and we have spoken out on various
occasions. As Prime Minister Mulroney
said last fall in Singapore, just before the
Commonwealth Heads of Government
Meetings, 'Hong Kong involves us all, as
we have to accept part of the
responsibility and provide some
leadership.'

We strongly support and will continue
to work for Hong Kong's participation in
the emerging web of regional institutions,
including the Asia-Pacific Economic
Cooperation and the Pacific Economic
Conference.

We are working to set in place a wide
network of bilateral agreements between
Hong Kong and Canada. The purpose of
this network will help to ensure that the
special relationships between Hong Kong
and Canada will remain in place after
1997. We have already begun work on
agreements involving film co-production,
mutual legal assistance and an exchange
program involving our two governments.

Canada's commitment to Hong Kong
remains firm. We are determined to see
Hong Kong prosper. Together, we will
work towards this goal."

Visits to and from
Hong Kong

by Diana Lary
Toronto

Hon. Barbara McDougall, Minister
of Employment and Immigration, visited
Hong Kong from September 1st to 6th to
familiarize herself with the emigration
situation there, and to talk about Canada's
immigration program. (See Excerpts)
Her comments were positive, but she
made it clear that there would be no
special concessions from Canada on
delayed visas for Hong Kong emigrants
to Canada.

Martin Lee, Hong Kong legislative
councillor, visited Canada from October
25th to November 3rd. The theme of his

visit was the promotion of confidence in
Hong Kong's future through the
strengthening of democratic institutions
and the protection of human rights. In
Toronto he was given a luncheon by the
Hong Kong-Canada Business Association
and had discussions with faculty

Visits cont'd, page 3

2 UPDATE

-

CANADA AND HONG KONG UPDATE

Editors Diana Lary

Janet A. Rubinoff
Illustration & IMS Creative

Design Communications

Contributors Francis Allard

Philip Calvert
Ho-yin Cheung
Harriet Clompus
Susan Henders
Keung-sing Ho
Mark Rowswell
Hugh Xiaobing Tan

Canada and Hong Kong Update

is published three times a year by the
Canada and Hong Kong Project,
Joint Centre for Asia Pacific Studies,
Suite 200K,

Administrative Studies Bldg.
York University, 4700 Keele St..
North York, Ontario,
CANADA M3J 1P3

Telephone:
Fax:

(416) 736-5784
(416)736-5687

Opinions expressed in this newsjoumal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Director Diana Lary

Coordinator Janet A. Rubinoff

Advisory Board David Bond
Denise Chong
Maurice Copithome
Dr. Bernie Frolic
John Higginbotham
Graeme McDonald
Dr. T.G. McGee
Jules Nadeau
Dr. William Saywell
Dr. Wang Gungwu
We want to thank the Dormer Canadian
Foundation for its very generous support
which has made this project possible. The
Foundation's long-standing interest in
Canada's international relations with Asia
has enabled us to conduct research which
we consider to be of great significance for
the future of the country.

In This Issue...

McDougall Address 1

Richmond Development Projects 1

Immigration to Quebec 3

Airport Development Scheme 5

Immigration Statistics 6

Destinations 7

Media in Hong Kong 8

UK Nationality Package 10

Statistical Imponderables 12

British Ministers 13

Visits, from page 2

members of the Joint Centre for Asia
Pacific Studies.

In Ottawa he met Justice Strayer, who
was involved in the drafting of Hong
Kong's bill of rights, was hosted for
lunch by the Department of External
Affairs, met a number of DEA officials,
including Raymond Chretien, Acting
Undersecretary of State, and had dinner
with the Hong Kong Students'
Association. He also met officials from
the Justice Department, and spoke to the
Canadian Institute for International Peace
and Security about the future of Hong
Kong. He held talks with a group of
members of parliament led by John
Bosley, chairman of the Standing
Committee on External affairs.

In Vancouver he met the deputy
mayor, members of the Hong Kong-
Canada Business Association, visited the
Asia Pacific Foundation, and talked to
Chinese students, writers and scholars. In
Victoria he met Lieutenant Governor
David Lam and had discussions with
provincial officials. Throughout his visit
he was interviewed by national and local
media.

Sir David Ford, Chief Secretary of
the Hong Kong Government, was in
Vancouver and Victoria from November
14th to 16th to promote Hong Kong. His
remarks were generally hopeful and
reassuring about the future of Hong
Kong.

Hon. Pierre Cadieux, the Solicitor
General, made a brief visit to Hong Kong
in November, and signed an agreement
with the Hong Kong Government calling
for increased cooperation in combatting
drug smuggling.

Premier Joe Ghiz of Prince Edward
Island visited Hong Kong in November
to open a PEI office there. An officer for
Newfoundland has been attached to the
Commission. Eight out of the ten
provinces now have representation in
Hong Kong, and the other two (New
Brunswick and Nova Scotia) are
represented by the office of the Council
of Maritime Premiers. This is a higher
level of representation than any other city
in the world.

Hong Kong et la Politique
d'Immigration du Quebec

par Francis Allard
Toronto

Jusqu'a l'an demier, e'est a Hong
Kong que Ton trouvail lc plus important
bureau d'immigration du Qudbec a
l'dtrangcr, un poste desund a sollicitcr ct
a attirer les capitaux. Bien que
maintenant reldgues au second rang par
ceux de Paris, les services d'immigration
du gouvernement quebecois a Hong
Kong continuent a jouer un role
preponderant. En 1989, 48% des 2 851
dossiers approuvds pour l'obtention des
Certificats de selection du Qudbcc (CSQ)
dans le «territoire» de Hong Kong
(comprenant la Coree et Taiwan mais
dont le volume est moindre par rapport a
Hong Kong proprement dit) dtaient des
dossiers de «gens d'affaires», e'est-a-dire
des investisseurs et des entrepreneurs.

Ces donnees contrastent avec celles de
l'ensemble des autres postes du Quebec a
l'etranger, ou seulement 12% des «dossiers
approuv6s» entrent dans cette categoric
Guide par une politique d'immigration
visant en partie a ralentir le decroissement
demographique auquel il fait presentement
face, le Quebec explique que son intention
est d'etablir des services d'immigration la
ou l'interet se fait sentir. La presence a
Hong Kong demeure toutefois
essentiellement economique. Dans un
communique^ de presse recent intitule'
immigrants gens d'affaires a Hong Kong,
Quebec maintient ses objectifs», la
ministre des CommunauuSs culturelles et
de l'lmmigration du Quebec, Mme
Monique Gagnon-Tremblay, disaiu «Je
crois qu'en augmentant de facon
significative le personnel et les ressourccs
du Service d'immigration a Hong Kong au
cours des demieres annees, le Quebec a eu
1 'occasion de dehiontrer a quel point ces
candidats nous int6ressenL» Toute
evaluation des tendances futures a propos
de l'lmmigration des gens de Hong Kong
vers le Qudbec doit toutefois tenir compte
non seulement des facteurs economiqucs
prevalants, mais aussi des courants
culturels et linguistiques exislant au sein de
la societe quebecoise.

Le probleme demographique auquel
fait face le Quebec depuis deja plusieurs
annees est le resultat d'un taux de

Quebec cont'd, page 4

UPDATE 3

Quebec, from page 3

naissance faible, d'une population
vieillissante, et aussi d'une immigration qui
ne reflete pas son poids demographique a
l'interieur du Canada (26%). Par exemple,
en 1989, le Qudbec ne recevaitque 17,7%
de tous les immigrants arrivant au pays.
Visant a corriger cette disproportion, la
nouvelle entente entre le gouvernement
federal et le Quebec garantit a ce dernier un
minimum de 25 a 30% des nouveaux
immigrants. Une telle augmentation est
salutaire sur le plan demographique. On
doit toutefois tenir compte du contexte
economique et d'une population
quebecoise de plus en plus irritde par
l'inhabilete de plusieurs nouveaux
immigrants a s'intdgrer a la majorite
francophone.

En 1989, malgrd un objectif fixd a 40%
d'immigrants francophones, seulement
28,4% des nouveaux venus parlaient
francais, tandis que 34,1% parlaient
l'anglais et que 49,6% ne parlaient ni l'un
ni l'autre. A cause des problemes
engendres par plusieurs de ces derniers, il
n'est pas surprenant que le Quebec,
desirant affirmer avec plus d'emphase que
jamais son identitd culturelle, s'engage
maintenant a attirer une plus grande
proportion d'immigrants francophones de
pays comme la France et la Belgique. Bien
qu'il soit difficile de prdvoir les rdsultats, il
semble bien que la grille de selection
uulisde par le Qu6bec dans son choix
d'immigrants dits «inddpendants» puisse
l'aider a atteindre ses objectifs. Certains
predisent que cette grille, dans laquelle sont
presentement alloues des points pour la
«langue» et r«adaptabilitd», sera bientot
modifiee dans le but de donner au
processus de selection une flexibility
encore plus grande.

Comment situer l'immigrant de Hong
Kong dans ce contexte? En premier lieu, il
va sans dire que les considdrations
dconomiques jouent encore un role
important Au cours de sa conference de
presse a Hong Kong, en aout dernier, Mme
Monique Gagnon-Tremblay declarait «Je
puis vous assurer, qu'en 1990, nous
sclectionnerons au moins le meme nombre
d'immigrants gens d'affaires que par les
anndes prdcddentes.(...) J'ai aussi precisd
que nos objectifs de selection pour 1990
sont les memes qu'en 1989.»

Par ailleurs, la decision recente du
gouvernement fdddral de permettre au

Qudbec de maintenir le montant
d'investissement minimum a $250 000
(par opposition aux $350 000 requis pour
certaines autres provinces) a ete bien
recue par les fonctionnaires de
1'immigration de la Delegation du
Quebec a Hong Kong: on se dit confiant
que le Quebec pourra ainsi demeurer une
destination attrayante pour les
investisseurs de Hong Kong.

Pierre Saint-Louis, avocat specialise
en immigration et domicilid a Hong Kong
depuis quelques annees, observe le
phenomene d'une diminution marquee
dans la «qualite economique* des
Hongkongais interesses a investir au
Quebec. L'avocat montrdalais ajoute que
le Quebec est maintenant plus selectif
dans le choix des investisseurs et des
entrepreneurs. Jusqu'a maintenant, la
perception de plusieurs de ces «gens
d'affaires* a Hong Kong etait que les
chances d'obtenir un visa pour le Canada
dtaient meilleures si Ton s'adressait a la
delegation du Quebec plutot qu'au
Commissariat du Canada. Le fait que le
Quebec devienne plus vigilant envers ces
«gens d'affaires* est surement lid au fait
qu'un bon nombre d'entre eux (pres des
deux tiers, selon certains), n'y sejournent
qu'une breve pdriode de temps avant
d'aller s'installer a Toronto ou a
Vancouver ou existent d'importantes
communautds chinoises. Bien que ces
investisseurs doivent ddposer $250 000
chez un courtier reconnu au Qudbec,
aucune loi ne les empeche d'aller vivre
ailleurs au pays. Plutot que de servir de
simple porte d'entree au reste du pays, le
Quebec aimerait mieux profiter
pleinement du dynamisme des hommes
d'affaires du Manhattan de l'Asie.

Personne ne doute du fait que les
immigrants de Hong Kong sont en grande
majoritd de vaillants travailleurs; ils
n'abusent que rarement des services
sociaux offerts aux Canadiens. Ils sont
toutefois moins portds a s'intdgrer a la
culture quebecoise francophone que les
autres minorites. Jean Larue, chef de la
section Asie du ministere de
l'lmmigration a Montreal, souligne que le
Quebec, tout en visant maintenant a
sdlectionner des candidats susceptibles de
mieux s'intdgrer, entreprend dgalement
de pourvoir aux besoins des nouveaux
immigrants afin de les convaincre qu'ils
sont les bienvenus au Qudbec et qu'ils
pourront y prospdrer. A ce sujet, l'entente

recente entre Ottawa et le Qudbec en
matiere d' immigration comprend
justement le transfert a cette province de
tous les programmes fdddraux
d'intdgration linguistique, culturelle et
economique. II faut aussi signaler qu'a
Hong Kong meme, un nombre
grandissant de personnes suivent des
cours a l'Alliance Francaise dans le but
evident d'amdliorer leurs chances d'etre
admis au Quebec. De plus, dans ces
memes dcoles, le Qudbec a lui-meme mis
sur pied un programme de Iangue destine
a faire connaitre des elements de la
culture quebecoise a ceux qui ddtiennent
ddja un CSQ. Bien que positives et
encourageantes, ces demarches ne
peuvent quand meme pas garantir de
facon absolue que le nouvel arrivant de
Hong Kong voudra bien s'dtablir de
fa?on permanente dans la province
francophone et assimiler sa culture.

En 1989, plus de 20% de tous les CSQ
dtaient dmis a Hong Kong. Dans un
avenir rapproche, il est probable que le
gouvernement du Qudbec s'intdressera
moins a ces moins a ces immigrants.
Cette annde, on ne prevoit qu'une ldgere
diminution du nombre de CSQ dmis a
Hong Kong (par rapport a plus de 8 000
en 1990), mais il faut souligner qu'il y
aura en fait une augmentation du nombre
total d'immigrants que le Qudbec s'attend
arecevoiren 1991.

En vue du regain d'interet du Quebec
pour une immigration provenant des pays
francophones de 1' Europe, du
mecontentement de plus en plus grand des
Quebecois, et du refus d'une bonne partie
des Hongkongais de s'dtablir de facon
permanente au Qudbec, on peut prevoir
que leur pouvoir d'investissement dans la
province demeurera leur principal atout.
Au cours des prochaines annees, non
seulement peut-on s'attendre a une
diminution de la «qualite dconomique» de
ceux qui n'ont pas encore rdussi a quitter
Hong Kong de facon definitive, mais il
faudra dgalement considdrer les problemes
soulevds par les demandes de rdunion de
famille (faites par les Hongkongais qui
resident ddja au Qudbec). Pour des raisons
humanitaires, la majorite de ces requetes
sont acceptdes. Les beneficiaires de ce
programme auront tendance a demeurer
avec leurs proches au Qudbec, c'est
certain, mais il s'agit toutefois d'un groupe
plus agd qui a plus de difficultd a se
trouver des emplois.

4 UPDATE

Notre analyse nous porte done a
predirc non seulemcnt unc rdduction dans
ce mouvement migratoire vers le Quebec,
mais egalement un changement dans le
type d'immigranis admis dans cette
province. On peut s'allcndre a une
diminution du nombre de «gens
d'affaires» et a une augmentation dans le

nombre de «parents aidds.» Quoi qu'il en
soit, une fois vidd de ses riches citoyens.
Hong Kong deviendra certainement, dans
les annees a venir, une source moins
attrayante d'immigranis.

Je remercie Jules Nadeau pour son aide
dans la redaction de eel article.

Hong Kong's Port and Airport Development Scheme

by Philip Calvert
Ottawa

Hong Kong is embarking on an
ambitious and expensive project involving
the construction of a new airport and
container shipping complex on Lantau
island. A massive undertaking, which will
involve extensive land reclamation on
Lantau as well as construction of a fixed
crossing, the US S16.3 billion project has
become a subject of public disagreement
between the governments of Hong Kong
and Beijing. This has cast something of a
cloud over the financing of the project.

In addiuon to the economic aspects of
PADS (Port and Airport Development
Scheme), the project has a great deal of
political symbolism. Undertaking a project
of this magnitude in the shadow of
China's takeover of the colony in 1997 is
in part an attempt to express optimism for
the future of Hong Kong as a Special
Administrative Region of China. Thus, the
disagreement between Hong Kong and
Beijing over the project has strong political
overtones and reflects the complex
dimension which 1997 adds to economic
and policy decisions taken in the 1990's.

Scheduled for completion in 1997,
PADS is to be funded from a combination
of surplus reserves in Hong Kong and
private sector financing from international
banks. In public statements, Hong Kong
originally maintained that the project is a
local economic matter. However, it
softened this position when several
representatives of the Beijing government
(including Zhou Nan, head of the New
China News Agency's Hong Kong office
and the highest-ranking Chinese official in
Hong Kong) protested that the project
would be a liability for China as the
financial implications of the project
extended well beyond 1997 and urged that
it be delayed. Further, they argued Hong
Kong had not been keeping Beijing
informed on the project. Before issuing
any statement approving the project, they

wanted to see a detailed financial and
engineering analysis.

Tensions between the two governments
were also heightened when Hong Kong
announced invitations for bids on the
fixed crossing component of the project.
The situation became even more
complicated when Gordon Wu of
Hopewell Holdings, who had been
involved in initial planning of the project
since 1986, publicly criticized this move,
saying that the fixed project component
could be replaced by less expensive
alternative links. He fiuther criticized the
Hong Kong government for not consulting
as widely as it might have on the project.
Hong Kong's position was also
undermined by Lord Caithness, the newly
appointed British Minister responsible for
Hong Kong, who stated in early October
that the project would be a "liability" for
China after 1997 and that they ought to be
consulted more on the project.

Later the same month, perhaps in
response to this pressure, experts from
both governments met for eleven days in
Hong Kong to review the project. The
atmosphere, from all reports, was more
cordial than might have been expected in
light of the acrimonious statements
leading up to it. However, after the
meetings the Chinese side let it be known
that while they were still considering the
project, they remained "unconvinced" of
the feasibility of the scheme. For about six
weeks, it seemed that confidence in the
project was building again until Lu Ping,
the new director of Beijing's Hong Kong
and Macao Affairs Office, publicly stated
that Hong Kong's pursuit of the project
risked the financial stability of the colony
and its currency. He demanded that
Beijing be given a say in the membership
of the body overseeing the project.

Despite the strength of this public
stand, officials involved in the process

have indicated that Beijing privately
recognizes the need for the project and
that their public criticisms reflect a
genuine desire to be more frequently and
thoroughly consulted on its development.
Earlier in the autumn, Hong Kong
Governor Sir David Wilson had stated he
felt that Beijing was warming to the
project. Lu Ping's predecessor, Ji Pengfei,
told a visiting Hong Kong delegation in
September that Beijing had agreed to the
project "in principle". One Hong Kong-
based senior official in the New China
News Agency apparently confirmed that
the project would go ahead "eventually"
because China has "no choice" - a
statement echoed by officials in Beijing.
China's Guangdong province, in a
separate move, has already expressed its
approval, reportedly in exchange for
guaranteed labour and raw materials
contracts.

There is no doubt that a new airport is
needed in Hong Kong. The main issue
seems to be Beijing's desire to have more
of a say in the project for reasons of
economics, politics and international
prestige. Nevertheless, interested parties
should not be complacent; controversy
between the two governments and delays
in Beijing's expression of approval of the
project may delay financing from the
private sector and, thus, drag out the
implementation of the new airport and
port scheme. Nor should Chinese
domestic politics be ignored. The outcome
of the current power struggle at the upper
levels of the Chinese government may
have an impact on its stance on the project
as well.

One thing is certain. When the project
goes ahead, international competition for a
piece of the action is going be intense.
Attracted by the opportunities they see in
PADS, a number of Canadian companies
are actively marketing their capabilities in
engineering, aerospace and financial
management and have travelled to Hong
Kong in January to participate in Airport
discussions on the scheme. Canadian
governments, at the federal and (in one
case) the provincial level, are actively
involved in mobilizing Canadian
resources, an indication that the project is
being taken as a serious and potentially
lucrative opportunity. No one will feel
really secure though until Hong Kong and
Beijing come to some kind of agreement
on the issue.

UPDATE 5

Immigration to Canada, 1990

by Diana Lary
Toronto

During 1990, interest in Hong Kong in
migrating to Canada remained strong. As
applications continue at high levels, a
major concern in Hong Kong will be the
back-log. The average processing time,
the period between making a formal
application, including medicals, and the
final disposition of a case, was 288 days
in 1988. By 1989 it had risen to 384 days,
and by 1990 to 461 days. The future
processing time will depend on the
number of applications.

Immigrant applications screened,
by class, Hong Kong - 1990*

Family

14528

Conv. refugee

Designated

124

Retired

3416

Assisted relative

5358

Entrepreneur

16908

Investor

6709

Self-employed

768

Independent

5955

Not stated

16

Total

53782

* all figures given here and in subsequent
charts refer only to the first eleven
months of 1990.

Figures for applications should not be
closely linked to the number of visas
issued, many of which will be the result
of applications made in 1989 or earlier.

Visas issued, by class,
CLPR Hong Kong - 1990

Family

Conv. refugee
Designated
Retired

Assisted relative
Entrepreneurs

2703 p

5407 t

P

t

282 p

691 t

524 p

1801 t

880 p

2529 t

1078 p

4382 t

Investors
Self-employed
Independent
Not stated

Total

687 p

2944 t

73 p

224 t

2610 p

7079 t

71 p

205 t

8905 p

25262 t

p = principal applicant; t = principal
applicant plus dependents.

The number of visas issued in 1990 did
not increase much over the previous year -
from 24,132 in 1989 to 25,262 in 1990 -
but shifts in the composition of the
movement continued, in the same general
direction as in 1989. The family class
(family and assisted relatives) made up
3 1 .42% of the total (7936 people), a
substantial increase over the 22.9% in
1989. The independent class, at 28%
(7079), continued to decline, from 54.5%
in 1988 and41.4% in 1989. The business
class (entrepreneurs, investors and self-
employed) meanwhile was still increasing;
in 1990 these categories accounted for
29.88% of the total (7550), up from 22.9%
in 1989, and 13.7% in 1988. The main
increase was in the investor category,
which went from 699 in 1988, to 1,132 in
1989 to 2,944 in 1990. The entrepreneur
category has been stable over the past three
years, as has the self-employed category.
The decline in the independent class may
be caused in part by the fact that family and
business classes have priority in
processing. We should not assume that the
decline in the independent class means that
the calibre of immigrants is declining, as
measured by the point system for
independent immigrants. Some people who
could qualify in the independent class still
apply in the family or business class in the
hope of speedier processing.

Another noticeable shift is in the
number of dependents per principal
immigrant. In 1989 the ratio was 2.2:1, in
1990, 2.3: 1 . The ratio varied considerably
by class, ranging from a low of 1 : 1 for
family class, to 1.7:1 for independent
immigrants, to 3.28:1 for investors.

Landings in Canada, CLPR Hong

Kong - 1990

First quarter

4089

Second quarter

7753

Third quarter

12124

Fourth quarter

3177

Total

27143

The total number of landings in Canada
in 1990 was up from 19,994 in 1989 and
23,286 in 1989. The 1990 figure could
include people who were visaed up to a
year before the date they actually arrived in
Canada, so may include many people who
were visaed in 1989. The figure may be
still higher, because the figures we have so
far cover only until the end of November.
Many people moved in the third quarter;
one possible explanation is that some of
these people were families who planned to
arrive in Canada for the start of the school
year.

Landings, CLPR Hong Kong,
by province, 1990

Alberta

2335

B.C.

6965

Manitoba

323

New Brunswick

39

Newfoundland

17

NWT

17

Nova Scotia

91

Ontario

15205

PEI

12

Quebec

1825

Saskatchewan

313

Yukon

1

Total

27143

In terms of the declared destinations of
immigrants within Canada, Ontario is
still by far the most popular destination;
in 1990 the percentage was 56%, up
slighUy from 53.98% in 1989. British
Columbia is still in second place, at
25.66%, slighdy up from 23.82% in
1989. Alberta is fourth, at 8.60%, and
Quebec fifth at 6.72%

We would like to thank the Strategic
Planning and Research Branch,
Employment and Immigration Canada,
for supplying us with these statistics.

6 UPDATE

Destinations

In the continuing emigration from Hong
Kong, changes in immigration policies
for receiving countries get close attention
in the territory. These are some of the
changes noted over the past six months.

Changes in US Policy

On October 28th the US Congress passed
a new immigration bill which will have
important effects for Hong Kong.
Amongst many provisions, most of which
are global, the bill increases the number
of Hong Kong residents who can
emigrate to the States from the present
5,000 p.a. to 10,000, until 1994, and
thereafter to 27,000. Part of the increase
will be taken up by people already in the
States who have not yet reached their turn
on the previous quotas. Special
provisions are to be made for employees
of the US Consulate, American
companies trading in Hong Kong, and
employees of the Foreign Broadcast
Information Service. Some of those
granted visas in the future will have the
option of entering the States at any time
up to 2001. This provision is designed to
encourage people, especially those
employed by US companies, to stay in
Hong Kong as long as possible.

Dominican Republic

The Dominican Republic is one of a
number of Caribbean countries which are
encouraging the immigration of Hong
Kong residents. For an investment of
USS50,000 and a six month stay in the
country, landed immigrant status may be
acquired which, after two years, may be
transformed into citizenship.

Tonga

Investors may acquire a "protected
person passport," which gives them a
certificate of nationality but not
citizenship. Until June, 1990, such
passports could only be acquired on
payment of a lump sum; payments can
now be made on an instalment basis
spread over three years. The total sum
involved is USS1 1 ,868 for an individual
or 522,550 for a family. Protected
persons are not required to move to
Tonga but are encouraged to visit.

Hungary

One new potential destination, still only
at the general proposal level, is Budapest.
The mayor of Budapest is said to have
come up with a proposal to establish a
Hong Kong enclave on an island in the
Danube.

Immigration Policy

Canada's global ceiling for
immigration, which was 180,000 for
1990, is to be raised to 220,000 for
1991 and 250,000 for the next four
years. Although the global figure
makes no specific reference to Hong
Kong, unlike the new US
immigration policy (see
DESTINATIONS), the higher figure
can only be helpful to people
wanting to move here from Hong
Kong. There will not, however, be
any special programmes for Hong
Kong, such as delayed visas or an
expansion of the family and/or
assisted relative class. Potential
Hong Kong immigrants may be
affected by the raising of the
minimum amount needed to qualify
as an investor immigrant - now
$250,000. The new levels were
announced as Canada was officially
entering a recession, but there has
been little protest over their raising.

Emigration Rate

The Hong Kong government
believes that the rate of emigration
is easing. The number of people
seeking US and Canadian visas is
declining slightly. At the same time
the number of people returning to
Hong Kong may be higher than was
previously estimated. Up to 30% of
those who go abroad already have or
will return after they have acquired
foreign citizenship. Mrs. Regina
Yip, Deputy Director of
Administration, reported these
estimates in December. She made it
clear that these figures were
"guesstimates," since there are no
firm figures either for the total
number of visa applicants or for
returnees (Hong Kong Digest,
December 19, 1990).

THE EMIGRANT

The emigration from Hong Kong has
spawned an emigration industry. Much
of its activity is reflected in the pages of
The Emigrant, a glossy, highly
professional magazine published
monthly by Trade Media. It is directed
at middle-class professionals in Hong
Kong and Taiwan, and aims to provide
information and analysis on emigration
possibilities. The magazine is put
together by an eight person team in
Hong Kong with contributions from
about thirty free-lancers abroad. It does
not specifically encourage emigration.
On its masthead is the statement: "This
magazine neither advocates nor
discourages emigration. Its purpose is to
offer information so that people can
make their own choice".

In the two years since it started (the
first issue appeared on the auspicious
date of August 8th, 1988), its size has
expanded from 102 pages (42
advertising) to 140 pages (74
advertising) for 1990. The largest
section of the magazine is devoted to
Destinations, which gives detailed
descriptions of life and opportunities in
countries which receive immigrants. At
first the section concentrated on
Australia, Canada, New Zealand and the
United States, but after June, 1989, the
range of countries covered was
expanded to include previously less
desirable destinations such as Tonga and
Belize. These articles are very specific;
in the November, 1990 issue, for
example, the major article on Canada is
about Markham, Ontario.

The magazine always includes at
least one article on an emigrant's
experience abroad. The November issue
looks at Andrea Eng, an outstandingly
successful real estate agent in
Vancouver. One section of the magazine
is devoted to current emigration
regulations from various countries; the
occupational rating for independent
immigrants to Canada, for example, is
updated regularly. Though the magazine
is bilingual, much of the advertising is
in Chinese only. The advertisers range
from emigration consultants, to schools
and universities, to moving companies.
Circulation Office: Dataford Ltd.,
Block A, 13/F, Vita Tower, 29 Wong
Chuk Hang Road, Hong Kong

UPDATE 7

Precarious Future of the Media in Hong Kong

by Susan Menders
Hong Kong

Although Hong Kong faces no serious
challenges to its role as Asia's press and
publishing centre, it may now confront
threats from within. Britain's legacy of
colonial laws, China's intimidation
campaign against local media, and self-
censorship threaten what is regarded as
an island of press freedom in the sea of
intolerant regimes that govern much of
East and Southeast Asia.

"I don't necessarily think Beijing is
going to send in the big guns in 1997,"
Cliff Bale, an executive committee
member of the Hong Kong Journalists
Association, said in an interview. "It's
the subtle stuff that is really damaging -
the intimidation and currying favour in
media circles. China is already doing
that."

Barry Wain, editor of the Hong Kong-
based Asian Wall Street Journal, says
local media began accommodating
Beijing's new role almost immediately
after Britain and China signed the 1984
Joint Declaration, the agreement under
which China will regain sovereignty over
the colony in 1997. In response to
banquets, gifts and other enticements
offered by Beijing officials, relief that
China would not retake the territory by
force or just plain fear of reprisals, local
editorialists became visibly less critical of
the Beijing regime, Wain told a gathering
of the Asia-Pacific Foreign Exchange
Assembly in Hong Kong. Reporters have
avoided topics that might upset the
Chinese government.

With China's carrot and stick tactics
very much on their mind, many
journalists fear that self-censorship is
already eating away at the freedom and
independence of the media. In a recent
survey of local journalists, Joseph Man
Chan, a lecturer in the Journalism and
Communications Department at the
Chinese University of Hong Kong, found
that about half of the respondents said
they thought other journalists were
apprehensive when they wrote reports
critical of the Chinese government
About 20 per cent said they themselves
were apprehensive about writing such
stories. Reporters pick up cues about
what is politically acceptable from their

organizations's editorials and their
bosses' behaviour, Chan said in an
interview. "They know that the Chinese
government remembers, that the Chinese
government will punish them, if not now,
then later."

Self -censorship is a problem for media
around the world, but conditions in Hong
Kong could make local reporters
particularly vulnerable to its influence.
Lorraine Hahn, a Canadian journalist
reporting for Hong Kong's privately
owned TVB, says salaries are generally
low, so reporters tend to be young and
inexperienced. Management styles are
hierarchical and reporters have little
influence over editorial decisions.

Hong Kong's media are no stranger to
the pressures of Chinese politics. Over
the past century, the colony has played
host to dozens of partisan newspapers
taking advantage of its liberal press
climate to wage propaganda wars. Even
today, both the Mainland-based Chinese
Communist Party and its rival, the
Taiwan-based Nationalist Party, continue
to own, subsidize or maintain close links
with local newspapers.

According to Chin-Chuan Lee of the
School of Journalism and Mass
Communication at the University of
Minnesota, it was not until 1970 that
Hong Kong newspapers moved beyond
their preoccupation with Chinese politics
- in particular, the Communist-
Nationalist battle - to pay significant
attention to local Hong Kong affairs.
Today several market-oriented
newspapers with "centrist" Hong Kong
perspectives, but no binding partisan ties,
dominate local circulation wars. A
significant amount of space is still
reserved for the discussion of Chinese
politics which is of salient concern for
Hong Kong citizens.

At the same time Joseph Man Chan
maintains that this highly charged
political atmosphere has helped make
Hong Kong one of the most competitive
print media markets in the world. While
two newspaper cities are a rarity in
Canada, Hong Kong readers can chose
from more than 60 newspapers, about 20
of which concentrate on news and

opinion while the rest (known locally as
the "mosquito" press) devote themselves
to entertainment, gossip and horse racing
tips. Dozens of magazines - including
locally-headquartered international
publications like the Asian Wall Street
Journal, Asiaweek and the Far Eastern
Economic Review - two television
stations (each with English and
Cantonese channels) and two radio
networks (also with both English and
Cantonese stations) compete for
consumers in this city of almost six
million inhabitants. New satellite
television stations and a third radio
network are in the planning stages.

"We have a market place of ideas in
Hong Kong and it is very competitive,
stretching from the far right to the far
left," Chan claims. "Hong Kong has
always been a publication hotbed and
now it is becoming a communications
centre for Asia too."

Chan also maintains that this
competitiveness and diversity could
inhibit the extent and speed of the
Chinese government's ability to muzzle
its media critics after 1997. As long as
local media businesses are governed by
market forces and there is consumer
appetite for dissenting voices, some news
organizations will take a critical editorial
position if only to attract customers. The
growing number of media companies
listed on the stock exchange could be less
vulnerable to political pressure because
they have to answer to profit conscious
shareholders, even if their proprietors
succumb to Beijing's co-optive efforts.
Foreign owned media organizations and
those headquartered or with assets
offshore could also be less susceptible to
pressure. New television and radio
channels will soon make the territory's
electronic media market more
competitive as well. "What all these add
up to is growth in pluralism in our
channels of media communication," Chan
says, and "pluralism means it is more
difficult to curtail press freedom."

Paradoxically, however, this
increasingly lively communications hub
sits atop a foundation of less-than-liberal
colonial laws and a non-democratic, if

8 UPDATE

benign government. Hong Kong's British
rulers have permitted a very significant
degTec of media freedom, defined in
terms of an absence of official censorship
and of government persecution of media.
Yet, a wide range of ordinances still give
the government broad authority to do
such things as ban or edit television
programmes, prohibit the broadcast of
false news, censor films deemed
prejudicial to relations with China, obtain
search warrants and prohibit public
entertainment.

These laws are seldom used. However,
fearing they could prove formidable
weapons against the media in the hands
of a less liberal government after 1997,
the Hong Kong Journalists Association
and others have called for government
action to repeal or amend them before the
transfer of sovereignty. The government
is currently reviewing its ordinances for
compliance with the territory's proposed
new bill of rights. "We have a sort of
benevolent dictatorship here now, but
these laws could be used to severely
repress the press after 1997," maintains
Cliff Bale, who covers the Hong Kong-
Beijing affairs beat for the publicly-
owned Radio Television Hong Kong.

Both Bale and Chan point to the
urgent need for access to information
legislation to aid journalists' and other
citizens' efforts to obtain information
about government policies. 'The media
can say what it wants about the
government, but the closed nature of the
colonial government system means they
have trouble finding out enough
information to be able to report
effectively," Bale argues. Access to
information legislation will be critical
after 1997 because Hong Kong's
government will not be fully accountable
to citizens through direct elections.

The Beijing government's actions
since June 4th have done little to inspire
confidence in media circles, according to
Barry Wain. China has curbed Hong
Kong journalists' access to reporting on
Mainland affairs through visa restrictions,
blacklisting individual journalists and
publications and other controls. It fired
the publisher, who had sided with the
students during the democracy movement
in 1989, of the locally-based but
Mainland-controlled Wen Wei Po
newspaper. Furthermore, China has
openly attacked Hong Kong media for

spreading rumours about Mainland
politics and undermining confidence in
the territory's future.

"The local press has taken the full
brunt of what is nothing less than a
heavy-handed intimidation campaign,"
Wain maintains. "Peking has moved to
regain control of its own propaganda
apparatus in Hong Kong while employing
every tactic from continuing seduction to
punishment and even dirty tricks to
convince journalists that there is only one
way to report - and that is China's way."

Finding a way to address China's
legitimate concerns about the territory
being used to subvert the Beijing
government, without jeopardizing Hong
Kong's freedoms and autonomy, will be
difficult in practice. As Chan maintains,
"China has a mentality of controlling
everything. They think that when they
can control Hong Kong, then 'one
country, two systems' will work. But
control is the very thing that will destroy
Hong Kong."

In the end, it could be a dollars and
cents argument that proves most
persuasive in convincing China and its
conservative Hong Kong business allies
to put up with the territory's liberal media
traditions. Chan and Bale argue that a
decline in press freedom would not only
hamper the activities of film making,
publishing, television production and
other profitable industries in Hong Kong,
it would hurt Hong Kong's position as a
regional financial centre.

William Overholt, a regional strategist
with Bankers Trust Securities Research,
concludes that the "Chinese government
has moved so far toward a hard line thai
it is raising legitimate doubts about
whether freedom of press and opinion
after 1997 will be adequate to sustain
information-intensive businesses such as
regional banking, stockbroking, and
publishing, and also to sustain a large
population of the kinds of sensitive,
opinionated, highly educated individuals
who are the principal resource of such
businesses."

At this point, no other city in the
region has the combination of good
facilities and press freedom that would
allow it to replace Hong Kong's financial
centre role, but this could change,
Overholt warned the American Chamber
of Commerce. "Depending on the attitude
of Beijing, Hong Kong's long-term
attractiveness in this area could weaken
substantially at a time when one can
imagine possible improvements in
Singapore or Bangkok. This is a role
Hong Kong can lose. China will certainly
be tempted to curb 'slander' and
'rumours' about China, as Lee Kwan
Yew currently does in Singapore."

Reference: Chin-Chuan Lee and Joseph
Man Chan, Mass Media and Political
Transition: The Hong Kong Press in
China's Orbit, will be published by
Guilford Press, New York in April, 1991.

Report from Britain

by Harriet Clompus
London

In the past few months, there has been
litde British press coverage of Hong
Kong issues, partly because the Gulf
crisis and the recent British leadership
election have dominated the media.
Another factor is that since passage of the
British Nationality (H.K.) Bill, the Hong
Kong question is largely seen by the
Government as setded.

One effect of the Gulf crisis has been
the rapprochement between Beijing and
the West - an objective, Britain has
actively sought On September 29, 1990,
the U.K. submitted a proposal at a
meeting of the European Community's
Asian Group of Political Directors to

drop sanctions imposed on China after
Tiananmen. Indicative of the growing
relaxation of the prohibition on high level
contacts, the British Foreign Minister,
Douglas Hurd, met in October with his
Chinese counterpart, Qian Qichen in New
York.

In early November, a statement was
issued by the Chinese ambassador to
Britain, Ji Chaozu, indicating that Hong
Kong had nothing to fear from 1997.
Several weeks later on November 19th,
Tian Zengpei, the Chinese Deputy
Foreign Minister, arrived in Britain for a

Britain, cont'd page 11

UPDATE 9

Controversy Over UK Nationality Package and Residency Rules

by Ho-yin Cheung and
Keung-sing Ho
Hong Kong

While the UK Nationality Act refers
only to the acceptance of 50,000 heads of
household as emigrants from Hong Kong,
the British Government originally
estimated that a total of 225,000
passports would actually be issued under
the nationality package. The total would
include all the spouses and children of the
primary emigrants. This figure of
225,000 was first mentioned by British
Home Secretary, Douglas Hurd, when he
announced the Right of Abode scheme in
the House of Commons in December
1989. Although it has generally been
accepted by the Hong Kong press, there
is now growing evidence to doubt such a
high estimate.

In November 1990, Dr. Paul Kwong
Chun-kuen of the Chinese University
indicated that the actual figures would be
closer to 158,000 and possibly even
lower. To arrive at this revised figure, he
used the 1986 census tabulations that list
average household size, according to the
occupation of head of household. The UK
estimate of 225,000 suggests an average
Hong Kong family size of 4.5 members,
considerably higher than the actual 1986
census figure of 3.8 for those in a higher
income bracket. As Dr. Kwong
concluded, "It seems like they just picked
that number out of the air. It's very easy
just to talk in terms of 2.5 kids."

Computer analysis of a 1987 Family
Planning Association survey of 1,51 1

women of child-bearing age also
indicated that those who were better
educated tend to have fewer children, on
the average 1.4. The overwhelming
majority of these women were married to
professional, well-educated men - to
whom most of the 50,000 UK passports
will be issued. Taking account of a
percentage of bachelors and using the 1 .4
figure for children, Dr. Kwong estimated
a more accurate figure of only 150,000
passports to be issued.

Canadian and American consulate
officials have confirmed that this lower
estimate corresponds to their own figures
on the average size of Hong Kong
families emigrating to their countries.
The Canadian Commission estimates 2.8
as the average nuclear family size while
the US consulate uses a figure of 3.

How the now disputed UK figure of
225,000 passports was arrived at remains
unclear. A Home Office spokesman has
conceded the final number might be less
than the original estimate which was only
intended to be a maximum figure.
Furthermore, British government officials
in both London and Hong Kong have
confirmed that the 225,000 estimate was
only meant to refer to those receiving
passports in the run up to 1997, and does
not include the distant future.

The May 1990 amendment to the UK
residency rules has also caused potential
difficulties for those who hold Hong
Kong British Dependency Territory

(BDTC) passports. In order to retain their
residency status in the UK, those who
hold such passports must now convince
immigration officers that they are seeking
admission to Britain for the purpose of
permanent settlement. Prior to the
amendment, people who acquired
indefinite leave to enter or stay in Britain
were allowed to re-enter the UK as long
as they had not been away for more than
two years. Essentially the change in the
law has meant that Hong Kong people
who have residency rights in Britain
cannot retain this status if they return to
their careers in Hong Kong.

In May and June of 1990, 570 people,
who hold BDTC passports and are
thereby entitled to residency status in the
UK, entered Britain without difficulty.
However last June, one Hong Kong
resident failed to convince British
immigration officers that he intended to
settle there. As a result his residency right
was removed. Last September, Hong
Kong Executive and Legislative
Councillors met with Lord Caithness, the
British Foreign Minister with
responsibility for Hong Kong, to discuss
this problem and the stricter requirements
for settlement in the UK. While Lord
Caithness claimed the above was an
exceptional incident, Lady Dunn
recognized that there was a potentially
serious problem as it was not possible to
tell whether this was an isolated incident
or a trend.

Applications for British Citizenship

The application procedures for people
who may apply for British citizenship are
now under way, and the process of
selection will start soon. The application
date is February 28, 1991. Applications
are open to people ordinarily resident in
Hong Kong who hold some form of
British-connected passport or who as
holders of certificates of identity, applied
for naturalization before July 26, 1990.
Applications are only open to a head of
family, his or her spouse, and children
under 1 8 at the time of application; there
is no provision for parents or for other
relatives. There are 36,200 places for the

general occupational class, 13,000 for
disciplined and sensitive services, and 500
for entrepreneurs. Eighty-seven per cent
of places will be dispersed in the first
phase and the rest at an unspecified later
date.

A point system rather like the Canadian
one for independent immigrants will be
used, with the following categories and
maximum number of points: age (200),
experience (150), education and training
(150), special circumstances (150),
proficiency in English (50), connections in
the UK (50), public or community service
(50), for a total of 800. In order to make

sure that the citizenships are allocated
fairly, 200 points will be deducted from an
applicant who already holds another
citizenship. The large number of points to
be allocated under 'special circumstances'
is to ensure that people most necessary to
the running of Hong Kong will stay as
long as possible. It covers people in
occupations where there has been 'an
exceptional propensity' to emigrate (75),
people who have shown 'exceptional
merit' (50), or people who have
committed acts of bravery (25). This is not
a process for the faint-hearted; the
application form is 32 pages long.

10 UPDATE

Hong Kong Coverage in Beijing

by Mark Rowswell
Beijing

News about Hong Kong that appears in
the mainland Chinese press tends to consist
of short reports on how well the local
economy and cooperation with the
mainland are progressing. This regular
trickle of good news was interrupted twice
during the latter half of 1990, by reports on
the Hongkong Bank's decision to move its
domicile to Britain and Beijing's reaction
to the Hong Kong airport project. Still, the
reader is left to decipher what the real
news is between the lines of Chinese press
reports.

Hong Kong's economic growth was
reported to be modest but "healthy by
world standards" in the wake of a global
economic slow-down. Closer economic
ties between Hong Kong and the mainland
were credited with reducing the negative
effects of a sluggish US economy on Hong
Kong exports and aiding the development
of the mainland's foreign trade. Hong
Kong businessmen were reported to be
increasing investment in the mainland now
that the political and social situation had
stabilized and the impact of the "June 4th
incident" was "fading." Hong Kong
investment has already recovered to pre-
June 4th levels and accounts for 63% of
the total value of overseas investment in

China, according to a China Daily report

Hong Kong and the mainland have
been each other's largest trading partners
since 1985, and the "we need each other"
theme is often repeated in the Chinese
press. Deputy Director of the Hong Kong
and Macao Affairs Office, Chen Baoyin,
predicted "brighter times ahead" for
Hong Kong. Chen boasted that China's
reforms and opening "had become one of
the major factors which had brought
about the rapid growth of the Hong Kong
economy in the 1980's." With China
providing the base for economic
development, Hong Kong will become an
even more important centre of finance,
trade and communications in the future,
Chen claimed.

In a September interview, Jiang Zemin
spoke highly of Hong Kong's role in
China's development Hong Kong and
the mainland "each complement the other
for the sake of common prosperity." In
August the State Council issued a set of
regulations to encourage overseas, Hong
Kong and Macao Chinese to invest in the
mainland. These regulations give
preferential treatment to export-oriented
and technologically-advanced enterprises,
allowing them to remit profits and

Britain, from page 9

five day visit. He was a last minute
replacement for the ailing Wan Li,
Chairmen of the National People's
Congress. Tian had talks with then Prime
Minister, Mrs. Thatcher and Lord
Caithness, the newly appointed Minister
of State with responsibility for Hong
Kong. The resignation of Mrs. Thatcher
one week later on November 23rd
prompted Sir David Wilson, Governor of
Hong Kong, to state, "I am quite sure that
it will not mean any change at all to
British policy towards Hong Kong."
Other H.K. news which received
media coverage in the U.K. was the court
case of 1 1 1 Vietnamese boat people who,
Judge Raymond Spears ruled on
November 12th, had been illegally
imprisoned for 18 months. They had been
detained under Section 13d of the

immigration law dealing with refugees
entering Hong Kong, a status which none
of them had claimed. In fact, they had
never sought to enter Hong Kong but
only sought assistance to repair their boat
before continuing their voyage to Japan.
Instead, the Hong Kong authorities
destroyed the boat and held them under
the immigration law despite the fact that
they refused to apply for asylum in Hong
Kong. After the hearing, representatives
of the 1 1 1 left the court as free men but
were immediately rearrested under
section 4 of the immigration ordinance
covering illegal immigration, although
they never sought to enter H.K. On
November 13th, a Times leader
commented that, "This happened not in
Albania or China but on British soil." It
criticized Hong Kong's Secretary for
Security, Alistair Asprey, for his "high
handed contempt" of due process.

transfer assets more freely and granting
autonomy of management. Clearly,
Beijing hopes that Hong Kong will play
an important role in investment and
technology transfer in mainland
development projects.

However, Hong Kong's own mega-
projects are a major concern for Beijing.
A December article in China Daily, under
the headline "HK urged not to fund large
projects," failed to mention the enormous
(US$16.3 billion) Hong Kong airport
project, but it was clear that this was
precisely the source of Beijing's worries.
The Chinese government has repeatedly
balked at the cost of this project,
reiterating that Hong Kong's financial
reserves should not be drastically
depleted. The need for a new airport has
not been questioned, but Beijing insists
that it must be consulted on such large
projects, especially as the construction of
this one will extend beyond 1997.

The news that the Hongkong and
Shanghai Banking Corporation had
decided to move its domicile to Britain
was reported very briefly in the China
Daily. This was followed three days later
with a summary of Chinese Foreign
Ministry spokesman, Li Zhaoxin's
remarks, urging the British government
to "abide by its responsibility in
safeguarding and maintaining the social
stability and economic prosperity of
Hong Kong during the transitional
period." The Hongkong Bank's move
was mentioned, but no specific
recommendations on how the British
government should act were made. No
mention of the Hongkong Bank's move
or of Li Zhaoxin's exhortation was made
in the People's Daily although his
comments on other topics were reported.

Articles on Hong Kong in the English
language China Daily greatly outnumber
their counterparts in the Chinese
language People's Daily. Clearly, this is
in part due to the "what we think you need
to know" fashion that news is published in
China. The China Daily is read by a
relatively small audience of intellectuals
and foreigners and can, therefore, afford to
be more open in its reporting. Still, reports
in the China Daily are very sketchy when
compared to their counterparts in the Hong
Kong press. At best, Chinese readers get
only half the story and are left to infer and
imagine the rest

UPDATE 11

Statistical Imponderables:

What we do not know.

by Diana Lary
Toronto

One of the best and most satisfying
ways to deal with an issue objectively is
to rely on hard statistical evidence. But
the desire to be precise may be thwarted
by statistical imponderables. In some
instances statistics are not available; in
others there are only partial statistics or
ones which cannot be correlated within a
specific time frame. These imponderables
present some problems in looking at
Canada and Hong Kong. Here are some
examples:

Immigration applications

There are several areas of imprecision
with immigrant applications. 1) The time
lag between application and decision is
often so long that it is impossible to make
accurate correlations between
applications and landings, which are
spread over a number of reporting
periods. 2) It is impossible to tell whether
all successful immigrant applicants will
come to Canada. Some people apply
concurrently as immigrants to more than
one country; they only decide where to
go when they have heard the outcome of
all their applications. One guide is to
correlate the number of certificates of
good behaviour issued by the Hong Kong
Police with the number of applications
made to foreign representatives in Hong
Kong, but only the Hong Kong
government can do this. 3) It is difficult
to tell how long people will take between
receiving a visa and departing for Canada
though not more than one year is
allowed. These imprecisions make it hard
to predict the rate of future immigration
in precise terms.

Family size

Immigration applications are made by
an individual who is then entitled to
sponsor his or her immediate family
(spouse and children under 18).
Estimating the number of dependents is
difficult since the size of family varies.
(See Immigration statistics and the
Cheung/Ho article.)

Location of immigrants
in Canada

Immigrants to Canada declare a
specific destination within Canada, but
the declared place of landing gives no
firm indication as to where people will
actually settle. There are no barriers to
movement within the country; once
people have landed it is up to them where
they chose to live. Records are not kept
on where immigrants live after they
arrive. The next census figures, not due
until 1992 or 1993, will only reveal
ethnicity, not place of birth. It is difficult
to predict the demand for services if it is
not clear where the people who may need
them are. It may also run counter to the
immigration policy of a specific province
if people who enter the country destined
for a particular province do not stay
there.

Investment from Hong Kong
in Canada

One of the anticipated benefits of the
migration from Hong Kong to Canada is
investment in this country. Though large
figures are quoted, they are seldom
reliable because the process of
investment is complex and constantly
shifting. Although the amount of money
locked in investment funds specifically
geared to investor immigrants can be
established at any given point, other
investments are less clear cut. It is
impossible to distinguish between long
and short term investments, between
money brought in by immigrants for their
personal or business use, and money
which is here only as long as the returns
are good. There are no controls on the
departure of money. It is also impossible
to distinguish between investments made
by non-residents, immigrants and
Canadian citizens and, thus, to establish
how much investment can be attributed
directly to immigration. There is little
specific significance here to the Hong
Kong/Canada relationship, since the
issues discussed relate to standard
international market transactions.

Job opportunities for
immigrants

Immigrant applicants in the
independent class are given up to ten
points for the demand for their
occupation in Canada. Shifts in the point
system are noted widely in Hong Kong
and followed by potential immigrants as
they make up their mind where to apply.
However, by the time successful
applicants arrive in Canada, many
months or years will have elapsed since
the time of application, and the
occupational demand pattern may have
shifted. At the end of 1989, for example,
funeral directors got ten points for
demand, but by the time successful
applicants arrive, the demand may not be
there. The immigrant experience is more
painful if the immigrant has to suffer
status dislocation alongside the process of
migration.

People of Chinese origin
in Canada

At the moment, it is difficult to tell the
size of the Chinese ethnic group in
Canada. Results of the 1991 census will
not be available until 1992 or 1993, and
in a period of heavy immigration from
Asia, the 1981 statistics no longer give an
accurate picture.

If immigration statistics are added to
the 1981 census figures, it is still not
possible to produce an accurate figure for
the Chinese group. Immigrants of
Chinese origin may come from Hong
Kong, the PRC, Taiwan and Southeast
Asian countries, as well as from non-
Asian sources. The size of the Canadian-
born population of Chinese ancestry may
also have changed, but birth and death
figures are not tabulated by ethnicity.
Though there are real distinctions
amongst immigrants, and between them
and Canadian-born people of Chinese
descent, visible distinctions are slight.

Amongst the various categories of
Chinese, connections are often limited,
except for special circumstances such as
the pro-Democracy movement last year.
Knowledge of common ethnicity is,
however, significant in certain public
spheres - the provision of heritage
language services and of social services
in one or more dialects of Chinese. It is
also significant in terms of investment

next page

12 UPDATE

decisions for businesses geared to the
Chinese community. So far, no means
has been found of getting round the
imprecision other than by subjective
'guesswork'.

Canadian citizens in Hong Kong

It is impossible to tell with any degree
of accuracy how many Canadian citizens
are living in Hong Kong at any given
time. Estimates range from as low as
9,000 to over 30,000. There is no
requirement for Canadian citizens to
register at the Commission. Dual citizens

live in Hong Kong as local citizens. This
is a common situation; Canadian
authorities seldom know how many of
their citizens are in a specific country at
any given time. Canadians are only
advised to register at an embassy or
commission if they are going to be
'residing abroad for a protracted period,
or travelling in a disturbed area' (back
page of passport). Lack of precision
would only take on real significance if it
were ever necessary to evacuate
Canadians from Hong Kong.

British Ministers with Responsibility
for Hong Kong

by Harriet Clompus
London

There have been many "reshuffles"
within the British Government since the
Joint Declaration with China was signed
in December, 1984, and it is useful to
examine these changes as they affect
Hong Kong.

Secretary of State for Foreign and
Commonwealth Affairs

Sir Geoffrey Howe
1983-July 1989:

Sir Geoffrey was Foreign Secretary at
the time of the signing of the Joint
Declaration, and he made frequent visits
to both China and Hong Kong during this
period. After the Peking Massacre, Sir
Geoffrey stated in Parliament on June 6,
1989 that Britain "condemned the
merciless treatment of peaceful
demonstrators and deeply deplored the
use of force to suppress the democratic
aspirations of the Chinese people." The
resignation of the Chancellor of the
Exchequer in July 1989 precipitated a
cabinet reshuffle, and Sir Geoffrey
became Deputy Prime Minister. He was
replaced in the Foreign Office by John
Major.

John Major

July 1989-October 1989:

During John Major's three-month
tenure as Foreign Secretary, Parliament

discussed measures that should be taken
to protect the interests of the Hong Kong
people. Various immigration policies
were proposed, but no final decision was
reached. Mr. Major did not visit Hong
Kong.

Douglas Hurd
October 1989-present:

Under Hurd, the Nationality (H.K.) Bill
was introduced and passed in April 1990.
On his return from Hong Kong in mid-
January 1990, Mr. Hurd stated, "We have
tried to strike a balance which is
disappointing to almost everyone in Hong
Kong, but we believe that it is a
reasonable balance." Since the passing of
the Nationality Bill, the Foreign
Secretary has not visited Hong Kong
although he has had high level talks with
Chinese officials.

Minister of State, Foreign and
Commonwealth Office, with
responsibility for Hong Kong

Richard Luce, M.P.
1984-85

Timothy Renton, M.P.
1986-87:

Mr. Renton made a trip to Hong Kong
in January 1986 after the publication of a
Green paper on Hong Kong's future.

Lord Glenarthur
1988-89

Francis Maude, M.P.
September 1989-August 1990:

Francis Maude visited Hong Kong in
April 1 990 to reassure the colony about
the terms of the Nationality (H.K.) Bill
and to suggest that several Western allies
were considering plans to allow more
Hong Kong people to have 'insurance'
visas for their countries. This statement,
designed to allay Hong Kong jitters,
backfired when many of the countries
Maude had mentioned, including Canada,
denied that they had any such policy.

Lord Caithness
August 1990-present:

Lord Caithness has no background in
foreign affairs and no special knowledge
of Hong Kong. He visited Hong Kong for
the first time in September 1990. In a
Times article (Oct.l, 1990) about the trip,
entitled "A Minister Adrift in an Ocean
of Indifference," Bernard Levin
suggested that although the general
consensus in Hong Kong was that, "Lord
Caithness was not as bad as Lord
Glenarthur," his lack of knowledge was
profound. "What the betrayed people of
Hong Kong really made of this
astonishing Bertie Wooster, apparently
made of ectoplasm, there is no knowing,
but the choice of such an insubstantial
political figure for the political
overseeing of Hong Kong demonstrates
with saddening clarity our government's
indifference to the colony's fate."

In November 1990, Lord Caithness
had talks with Tian Zengpei, the Chinese
Deputy Foreign Minister, on the latter's
visit to Britain.

In Future Issues. . .

Legal Terminology in Chinese
and English

Japan and Hong Kong: Trade and
Investment Trends

Hong Kong Visa Students in
Toronto Schools

European Views of Hong Kong

The Indian Commmunity of Hong
Kong: Citizenship After 1997?

UPDATE 13

NEWS IN BRIEF

Five Arrested in Immigration
Case

by Janet A. Rubinoff
Toronto

On October 31, 1990, the St. John's
Evening Telegram reported that three
people had been arrested and charged in
connection with an alleged immigration
scam involving Hong Kong residents
seeking Canadian citizenship. After a
nine month investigation the RCMP
arrested two Newfoundland residents,
Citizenship Judge Eric Noseworthy and
Jocelyn Saulnier, an immigration
administrator in the Department of the
Secretary of State, and Ottawa
businessman Paul Vai Seng Ho. The
three were charged with 22 offenses
including conspiracy, breach of trust,
bribery, and issuing false documents. The
preliminary inquiry is scheduled for April
1 , 1991 and is expected to last up to six
weeks, according to Colin Flynn, director
of public prosecutions.

Two days later in connection with the
same investigation, two more people, a
husband and wife who are Hong Kong
nationals living in Ottawa, were
arraigned on charges of giving false
statements to obtain a Canadian passport.
These offenses are alleged to have
occurred in St. Johns. A tragic result of
this case was the sudden death on
November 3rd of Judge Noseworthy, five
days after his arrest and release on
S30.000 bail. He had been charged with
"accepting commissions and rewards,
breech of trust, conspiracy and
possession of property obtained by
crime."

According to Superintendent Emerson
Kaiser, the RCMP "have reliable
information from Hong Kong that people
have paid and are willing to pay
anywhere from S 10,000 to SI 2,000 up to
as high as $100,000 to get into Canada."

Hong Kong 1997: dans la gueule du
Dragon rouge

Jules Nadeau, with the collaboration of
Mathieu-Robert Sauve and the
photography of Luc Sauve
Quebec/Amerique, 1990

This is the first serious treatment of

Hong Kong published in Quebec, and,
fittingly, it is written by one of the
Quebecois who knows most about Hong
Kong, Jules Nadeau. Nadeau has spent a
considerable amount of time in Hong
Kong over the past twenty years, and has
close family connections there. After the
debacle in Peking in June, 1989, he went
to Hong Kong and conducted an
intensive enquiry into the state of the
territory. He interviewed people from all
walks of life, and looked at Macao and
Shenzhen, as well as Hong Kong itself.
The report of his enquiry reveals a
generally pessimistic view of the future
of Hong Kong amongst me people he
talked to, but it also shows that there is
still the possibility of less negative
scenarios.

Hongkong Bank

In December, 1990 the Hongkong and
Shanghai Bank, one of Hong Kong's key
financial organizations was reorganized
under a British holding company,
effectively moving the headquarters of the
bank to London. The bank's substantial
Hong Kong assets will remain there, but
non-Hong Kong assets, including the
Hongkong Bank of Canada, will come
under the new London-based Hongkong
and Shanghai Bank Holdings. The move
was covered sympathetically in an editorial
in the Globe and Mail on December 22nd:
"...only by signalling its ability to rapidly
decamp can the bank hope to retain the
confidence of fretful foreign investors..."
The move is not expected to effect the
operations of the Hongkong Bank of
Canada, according to a spokesman (Globe
and Mail, Dec 18, 1990, B2).

Hong Kong Government
Recruitment in North America

In an effort to maintain the Hong
Kong civil service at desirable levels, the
Hong Kong government has for the past
few years been recruiting in North
America. In 1990, 154 applications were
received in Toronto and Vancouver, up
from 105 the year before. These figures
compare with 243 (1990) and 107 (1989)
from the United States. No information is
available on the success rate of
applicants.

Lu Ping

On November 23rd, 1990, the deputy
director of the Hong Kong and Macao
Affairs Office of the State Council in
Peking was promoted director, replacing
Ji Pengfei, the 80-ycar old director. Lu
Ping is said to share the hard-line
attitudes of Li Peng, the prime minister.

B.C. Development, from page l

one-acre Buddhist temple compound
includes the Main Gracious Hall, where
most of the activities take place, living
quarters, a parking lot and the newly
completed Seven Buddha Mural. Plans
have been made to construct a new building
which will include a Meditation Hall,
teaching facility, library and new offices.
Temple administrators have asked the Cily
of Richmond to re-zone part of the
surrounding farmland for this purpose.

Construction of the temple began on
September 25, 1982 when the foundation
stone was laid by then mayor B.J. Blair. It
was officially opened on August 3, 1986.
The project was first initiated by Mr. and
Mrs. Wang, devout Buddhists, who had
immigrated to Canada from Hong Kong.
They donated both the land and the first
$300,000 towards the building of the
temple. Additional funds were collected
from the local Chinese community to cover
a total cost of about $2.5 million. The
temple is mainly financed by donations
from supporters.

There are four priests at the temple,
including the main administrator, Reverend
Cheng-Ming, originally from Mainland
China. Temple staff includes sixteen
members who work in the office, kitchen
and farm. On the weekend, worshippers arc
provided with vegetarian food prepared in
the temple kitchens while vegetables from
the farm are sold.

Major temple activities centre on prayer
and the chanting of Buddhist scriptures
(sutras). There are no set services and
worshippers can enter any time the temple
is open to pray in front of the Kuan-Yin
Bodhisattva or the Buddha of Healing. One
of the main events sponsored by the temple
is the yearly Da-Fo-Qi ceremony which is
held at the end of November. Essentially a

next page

14 UPDATE

meditation, the ceremony includes seven
parts and lasts for seven days from 5 in the
morning till 9:30 at night. The object for
worshippers is to control their physical
desires and concentrate on the teachings of
Buddha. Besides religious activities, the
temple also offers training in Chinese
culture, such as traditional painting and
stone-carving. Thus, it functions as both a
religious and cultural centre for the
Chinese-Canadian community.

Not far from the Buddhist temple is the
major commercial development project,
Aberdeen Mall, the largest enclosed Asian
retail centre in North America. Thomas
Fung, developer of the Mall and the 39-year
old president of Fairchild Developments
Ltd., immigrated to Vancouver from Hong
Kong with his family in 1984. Prior to his
immigration, Mr Fung attended high school
in Vancouver as well as the University of
British Columbia. Aberdeen Mall is his
ninth real estate investment project in
Vancouver.

Named after the Aberdeen tourist district
on Hong Kong Island, the Mall has two
levels and covers a total of 1 1 ,000 square
metres. Total cost was approximately $20
million. When it was officially opened June
30, 1990, 95% of the retail space (over 40
shops) had been leased. They include
fashion boutiques, groceries, restaurants,
bowling alley and a number of businesses
(electronic equipment, furniture, stationery
and book stores where the HK South China
Morning Post is available, Chinese cinema,
and even a traditional herbal tea house) that
cater to an Asian clientele. The developer
attributes the success of the mall to a
"strong pent-up demand in the Asian
community." Mr. Fung wants the mall to be
a lively place especially in the evenings, to
replicate the busy night life of Hong Kong.
To this end, all stores must remain open to
at least 7:30pm from Sunday to Wednesday
and until 9:30pm from Thursday to
Saturday.

B.C. Buddhist temple compound

Canada/HK Project:

First Workshop Held

The first workshop of the Canada and
Hong Kong Project was successfully held
at Brock University on Saturday, January
5, 1991. Convened by Prof. Charles
Burton of the Department of Political
Science at Brock, the workshop focused
on Politics and Society in Hong Kong up
to and after 1997, and included papers on
religion, education, and labour unions.
Papers were presented by Thomas Leung,
Regent College, Vancouver, on "The
Crisis and Transformation of the Role of
Hong Kong Religious Organizations
Before and After 1997;" Bernard Luk,
Chinese University of Hong Kong,
School of Education and visiting scholar
at Victoria College, University of
Toronto, on "Education in Hong Kong
Up to 1997 and Beyond;" and Ming
Chan, University of Hong Kong,
Department of History, "Forever Under
China's Shadow: Historical Perspectives
on the Realpolitik of Hong Kong Labour
Unionism Toward 1997."

The papers will be published by the
Joint Centre for Asia Pacific Studies in
the late spring as part of our new Canada
and Hong Kong series. The next
workshop, on legal issues involved in the
return of Hong Kong to China, will be
held this June in Hong Kong. It will
coincide with the "Festival of Canada,"
sponsored by the Canadian Commission.
The convenor of the workshop is Prof.
William Angus, Faculty of Law, York
University.

A unique feature of the mall is the
Chinese herbal tea house, called Fook Po
Tong - meaning "Bringing Good Luck and
Prosperity." Financed by real estate agent
Willie Chan and two brothers, Patrick and
Peter Chan, it is the first traditional tea
house established in
Canada. The Chan
brothers, who immigrated
from Hong Kong only a
year ago, are the fourth
generation of a well-known
tea house in Hong Kong.
Although the business is
primarily for the local
Chinese community, the
Chans also "hope to sell
the idea to Canadians as a
natural health food."

Hong Kong Institute for
Asia Pacific Studies

The Chinese University
of Hong Kong

The Institute was established in
September 1990 to promote multi-
disciplinary social science research on
social, political and economic
development. The Institute's research
emphasis is on the role of Hong Kong in
the Asia-Pacific Region. The director is
Dr. Yeung Yue-man, and the associate
director Dr. Lau Siu-kai. The current
research projects directly related to
Hong Kong are: Hong Kong and Asia-
Pacific Economies, directed by Dr. Liu
Pak-wai and Dr. Wong Yue-chim;
Political Development of Hong Kong,
directed by Dr. Lau Siu-kai; and Social
Indicators and Social Development of
Hong Kong, directed by Lai Siu-kai.
There is an Information and
Documentation Unit, headed by Dr.
Maurice Brosseau.
The address is:

Chinese University of Hong Kong,

Shatin, N.T., Hong Kong.

Oxford Hong Kong Project

The Hong Kong Project at the Centre
for Modem Chinese Studies, Oxford
University, was set up in 1986,
sponsored jointly by the Rhodes House
Library. Its aim is to secure research
materials on Hong Kong and promote
research and better understanding of
Hong Kong. One of its prime tasks is to
collect the private papers of retired civil
servants, and to conduct interviews with
them and with other people who have
made major contributions to modern
Hong Kong. More than 50 people have
already been interviewed. The
interviews are transcribed and then
deposited in the Rhodes House Library.
If no specific restrictions are imposed by
the interviewee, the transcripts will be
released for scholarly research thirty
years after the last event discussed in the
transcript.
Director:

Dr. Steven Tsang
Address:

Centre for Modern Chinese Studies

57, Woodstock Road

Oxford OX2 6JF

UPDATE 15

The Canada and Hong Kong Update

is distributed free. Please call or write to

us if you are not on our mailing list. Past

issues are available on request

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Canada and Hong Kong Project

Joint Centre for Asia Pacific Studies

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CANADA M3J 1P3

16 UPDATE

5.

CANADA AND HONG KONG UPDATE

Number 4

SPRING 1991

Prime Minister's Visit to Hong Kong

Prime Minister Mulroney visited Hong
Kong from May 22-26, to launch the
Festival of Canada. At a dinner on May 24,
given by the governor, Sir David Wilson,
the PM talked about the importance of
Hong Kong to Canada. "People from Hong
Kong have settled throughout Canada; it is
a rare town that has no families of Chinese
origin. And these families have brought the
same qualities of enterprise, energy and
self-reliance to their communities in
Canada that have made such a contribution
to economic and cultural life here. With
more than 28,000 more immigrants this
past year from Hong Kong and with further
immigrants still to come in future years, the
Hong Kong thread in the Canadian national
tapestry is becoming brighter and stronger
and more mutually rewarding."

He underlined Canada's intention to
treat Hong Kong as a distinct political
entity. At the dinner he said: "As we end
this century, the name Hong Kong takes on
a new meaning. Hong Kong becomes
synonymous with autonomy and with the
co-existence of two social systems. Canada
wants to see Hong Kong's constitutional
development and democratic institutions
grow to match your economic enterprise
and your truly impressive achievements.

"Canada values its relationship with
Hong Kong. We believe that it is in
everyone's best interest that it continue and

prosper long into the next century and
beyond. You can count on Canada's
friendship and support throughout this
delicate and challenging period." The fact
that the PM's visit to Asia did not include a
trip to China underscored this sense of
Hong Kong's autonomy.

His visit also stressed past ties; with Sir
David he visited the war memorial for
Canadian soldiers killed during the
Japanese occupation of Hong Kong and
reaffirmed present and future Canadian
commitment to Hong Kong.

In a speech to the Canadian Chamber of
Commerce on May 24, the Prime Minister
talked about the growing trade between
Hong Kong and Canada: "the economic
links between our societies continue to
expand and deepen. The numbers tell the
story. Our two-way merchandise trade in
1990 was over $1.7 billion (Canadian).
Canadian exports to Hong Kong have
almost doubled in the last five years. In
1990, Hong Kong was our fifth most
important trading partner in the Asia-
Pacific region. Billions of dollars of
investment from Hong Kong are
contributing to the dynamism of both our
economy and yours

"Trade with Asia is crucial to Canada's
future. Canada trades more with Asia than
it does with Western Europe. Our two-way
merchandise trade with this region hit

S33.5 billion in 1990, and through the
'80's, that trade grew at a pace which
exceeded that with any other part of the
world. Canada's past has been largely an
Atlantic past. Canada's future will be
increasingly a Pacific future. We want
Hong Kong to play a major role in that
future.

"Canada's partnership with Hong Kong
goes far beyond trade. I want to assure you
today of Canada's support as you meet the
challenges of the years ahead. Canada
endorses the autonomy preserved for Hong
Kong by the Joint Declaration, particularly
in areas of trade, economy and law. That
autonomy is essential to Hong Kong's
prosperity. And, as important, Canada
believes that the autonomy of Hong Kong
is essential for the prosperity of this entire
region, including China itself."

On May 23, after a visit with a group of
Vietnamese boat people about to leave for
Canada, the Prime Minister said, in a
spontaneous gesture of compassion, that
Canada would take more refugees and,
thus, help to reduce the scale of the world
refugee problem: "if you take more than
your share, not less, you eventually
alleviate the human suffering." However,
he made no commitment of the kind hoped
for by many Hong Kong people to increase
the scale of Hong Kong immigration to
Canada.

IN THIS ISSUE:

Prime Minister's Visit to Hong Kong 1

Guarantees of Human Rights 2

Hong Kong Veterans 3

PADS - Further Development 3

per

F1029.5

H6 C36

Response to UK Nationality

Package 3

Beijing Update on Hong Kong 4

Immigrant Demographics 5

Macau's Transition to Chinese Rule 8

Indians of Hong Kong 9

Associations 11

Support for Hong Kong in the UK 14

Winnipeg Hosts First National Meeting

of Chinese Canadians Since '75 15

Conference on Human Rights &

Democracy in China 16

CANADA AND

HONG KONG UPDATE

Editor; Diana Lary

Janet A. Rubinoff

Illustration & Design

IMS Creative Communications

Contributors Philip Calvert
Ho-yin Cheung
Harriet Clompus
Stephanie Gould
Susan Henders
Keung-sing Ho
Mark Rowswell
Hugh Xiaobing Tan
Irene Tong

Canada and Hong Kong Update is
published three times a year by the
Canada and Hong Kong Project,
Joint Centre for Asia Pacific Studies,
Suite 200K, Administrative Studies Bldg.
York University, 4700 Keele St.,
North York, Ontario,
CANADA M3J 1P3

Telephone: (416) 736-5784
Fax:(416)736-5687

Opinions expressed in this newsjoumal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Director Diana Lary

Coordinator Janet A. Rubinoff

Advisory Board David Bond
Denise Chong
Maurice Copithome
Dr. Bemie Frolic
John Higginbotham
Graeme McDonald
Dr. T.G. McGee
Jules Nadeau
Dr. William Saywell
Dr. Wang Gungwu

We want to thank the Dormer Canadian
Foundation for its very generous support
which has made this project possible. The
Foundation's long-standing interest in
Canada's international relations with Asia
has enabled us to conduct research which we
consider to be of great significance for the
future of the country.

This publication is free.

Please call or write to us for past

or future issues.

Festival of Canada in Hong Kong

The Festival of Canada was launched by
Prime Minister Mulroney on May 24th. The
heart of the Festival will start on June 19th,
and will be officially opened by the
governor of Hong Kong, Sir David Wilson.
Altogether fifty events have been arranged
on the theme of "Canada and Hong Kong:
Friends Yesterday, Today and Tomorrow."

There are several strands to the Festival
programme: in the cultural area, there will
be performances by Les Grands Ballets
Canadiens, Jean-Paul Sevilla^ Margie Gillis,
Mimeworks and Ofra Harnoy.jThere will
also be a film festival, including the Hong
Kong premier of Bethune: The Making of a
Hero. The business programme will be

highlighted by trade promotions and
meetings of Canadian business associations
from all over Asia. There will be showcases
on tourism, industry and technology, and
the environment. On the academic side,
there will be two legal events, both held at
the University of Hong Kong. One will be a
conference on the Bill of Rights, the second
a workshop on a series of specialized legal
issues.

The Festival will finish with a picnic on
June 30th, the day before Canada Day. On
Canada Day itself there will be a gala
reception, and a totem pole, given by the
government of Canada to the people of Hong
Kong, will be erected in Kowloon Park.

Guarantees of Human Rights in Hong Kong

• The United Nations Human Rights
Committee meets several times a year to
hear reports from signatories of the
International Covenant on Civil and
Political Rights. (Eighty countries are
signatories of the Covenant; China is one of
the few countries which has not signed.)
Signatories are bound to implement the
rights listed in the Covenant and must report
every four years to the Committee. Hong
Kong has been covered under the Covenant
since 1976 when the British government
ratified it. Article 156 of the Joint
Declaration guarantees the continuation of
the Covenant after 1997: "the International
Covenant on Civil and Political Rights will
remain in force." The Hong Kong Bill of
Rights, soon to become law, is based word
for word on the Covenant.

On April 1, 1991, United Kingdom
representatives were called to answer
questions on the periodic report from Britain,
which included a section on Hong Kong. The
UK government sent a five person team
principally to answer questions about
Northern Ireland; a second five -man group
was sent from the Hong Kong government.
The team was led by Solicitor General Frank
Stock, who was accompanied by the
Assistant Solicitor, General Philip Dykes,
and three principal assistant secretaries.

The Human Rights Committee members
asked a number of questions about the
enforcement of the Covenant in Hong Kong
after 1997, given that China has not signed it.
The UK delegation was asked about

"measures regarding the protection of human
rights of citizens of Hong Kong after the
territory is handed over to China in 1997."
The Committee wanted to know what Britain
would do to ensure compliance after 1997.
The United Kingdom was asked if it would be
willing to sign the Optional Protocol, which
would allow people suffering human rights
abuses to complain to the Committee directly.
(Canada has signed this protocol; it is used
quite often by native people. The UK has not).

The Committee requested another report
on the situation in Hong Kong in two years,
instead of the normal four. At the end of the
meeting, the UK government was asked by
the Committee to ensure that irreversible
human rights statutes be put in place in Hong
Kong before the territory's transfer to China
in 1997. The Committee made it clear that it
considered the UK responsible for ensuring
that the people of Hong Kong not be exposed
to abuses in the future.

After their stay in New York, Mr. Stock
and Mr. Dykes visited Ottawa on April 4th
and met people involved with human rights
issues in Canada, including Justice Strayer,
who helped in preparing Hong Kong's Bill
of Rights. Mr Dykes then came to Toronto
for a visit to the Ontario Human Rights
Commission. Canada is the only country
with a common law system to have
developed legislation and administrative
procedures for the protection of human
rights, and this experience may be useful to
Hong Kong in the future.

2 UPDATE

PADS: Further Developments

Hong Kong's Port and Airport
Development Project continues to be a
focal point of concern for both parties
involved, as well as an indicator of some of
Peking's attitudes towards its relationship
with the territory as 1997 approaches.
While negotiations on the project are still
taking place, all indications are that the
project itself will be scaled down if it is to
obtain the approval of the Chinese
government - approval which is needed for
private sector support of the project.

In January of this year, after some initial
negotiations in the fall of 1990, Hong Kong
and Chinese officials met for further
discussions on PADS. During the course of
these discussions, the Chinese side stated
that Peking had to be consulted on all
matters which straddle 1997. The Hong
Kong side reacted firmly to what seemed to
be a move towards veto power over major
policy decisions before 1997, and Peking's
position was rejected.

By early March, however, it appeared
that the Hong Kong government was
willing to reconsider the phasing of
financing for the project and to have Peking
representation in its development.
However, no progress was made during the
visit of British Foreign Secretary Douglas
Hurd to Peking in April, and the airport

project now seems to be stalled. Meetings
between officials from Britain, Hong Kong
and China, which, it had been hoped, would
break the deadlock, ended inconclusively in
Peking on May 22.

Peking continues to express concern that
the Hong Kong Special Administrative
Region will have adequate fiscal reserves in
1997, arguing that the projects being
planned could leave as little as HKS5
billion in the reserves. Hong Kong
estimates that the figure will be closer to
S30 billion, as compared with present
levels of $72 billion. Peking has asked
Hong Kong to set aside a substantial
portion of the fiscal reserves for
management of the new SAR after 1997.

The issue is as much political as fiscal.
Peking wants a say in a project which will
not only have downstream benefits to the
region but also great costs. Peking also
seems to be putting an interventionist
definition to the clause of the 1984 Joint
Declaration which allowed for "increased
consultation" in the latter part of the
countdown to 1997. Peking's interpretation
of "consultation" goes well beyond that of
the Hong Kong Government. The final
definition agreed on will have great
influence over the evolution of Hong Kong
in the next six years.

Hong Kong Veterans

A highlight of Prime Minister
Mulroney's visit to Tokyo came on May
28, when Japanese Prime Minister Kaifu
made a formal apology for the
maltreatment of Canadian prisoners of war
in Hong Kong and Japan during the Second
World War. He apologised for the
"unbearable suffering and pain that were
caused by the Japanese state against the
Canadian people who experienced such
sufferings." Almost fifty years ago, 1,975
Canadians were taken prisoner by Japanese

forces who took Hong Kong on Christmas
Day, 1941. Five-hundred and fifty -seven
died during the War; seven-hundred are still
alive today. Spokesmen for the survivors
reacted negatively to the Japanese apology.
Clifford Chatterton, CEO of the War
Amputations of Canada, said that an
apology without compensation was an
insult. The survivors filed a claim against
the Japanese government for reparations
with the United Nations Human Rights
Committee in February of this year.

Poor Response to UK
Nationality Package

by llo-yin Cheung and
Keung-sing Ho
Hong Kong

The poor response to the controversial
British nationality package, which provides
right of abode to qualified Hong Kong
people, was unanticipated. At the end of the
three month application period on February
28, the total number of forms received was
only 65,674. This figure was far lower than
the 300,000 predicted by Hong Kong
Government officials. Initial processing
indicated that there were about 48,380
applications under the general occupation
class, which provides places for 32300
households in this first round. (A second
round is to begin after 1993.) Only 7,750
forms have been received from people in
the Government's disciplined services
class, which had been allotted 6,100 places.
A further 1,500 applications were made
under the sensitive service class, which
provides for a total of 6,300 households. Of
the 500 places in the entrepreneur class,
reserved for those invited by the Governor,
just 200 were received. Separate quotas
cannot be transferred from undersubscribed
classes to oversubscribed. Altogether, only
one-tenth of those targeted by the scheme
had submitted an application.

The British Home Office declined to
give any reasons for the poor response to
the right of abode plan, while the Director
of Administration of the territory, Donald
Tsang Yam-kuen, insisted that the British
nationality scheme has already been a
success. The administration has rejected
criticism directed against both the abode
plan and its failure to adequately publicize
the scheme.

The unexpected poor response is
attributed to a number of factors. One
obvious factor is the very length and
complexity of the application form which is
32 pages long [see Canada and Hong Kong
Update, Winter 1991: 10]. The reference
manual for the form is over 250 pages. In
many cases it would be difficult to prepare
the application without special expertise or
legal advice. Although officials may feel
the lengthy form is clear and
comprehensive, most members of the

UK Package, cont'd page 4

UPDATE 3

UK Package, from page 3

public have found it very complicated and
also too limited in its scope. Many simply
did not apply because they thought they
would not qualify.

A second factor is the Government's
failure to sufficiently publicize the scheme.
One of the main reasons for this low profile
promotion was the sensitivity of the Hong
Kong Government to Beijing's antagonism
to the plan. Since Parliament's passage of
the Nationality Package in October 1990,
Chinese officials have opposed the
provision of an "insurance plan" for highly
qualified administrative and business
people to leave the territory.

A third reason is the perception of Hong
Kong people that the abode plan merely
offered a "travel document" rather than
citizenship. Since only 50,000 heads of
households were to receive passports, many
people believed they had little chance of
success. That fact coupled with the limited
focus of the abode scheme on professional
and managerial elites discouraged many
people from applying for migration to
Britain. At the same time, according to
Michael Davis, law lecturer at the Chinese
University, there is considerable resentment
among Hong Kong people that they must
now "apply for something that should
already be theirs." Many of these
professionals or their parents previously
held British Hong Kong Territory passports

that guaranteed a right of abode before Britain
recently changed the law [Far Eastern
Economic Review, April 18, 1991: 20].

In Britain, the Labour Party's home
affairs spokesman, Mr. Alistair Darling,
maintained that the low number of
applications indicated growing confidence
in Hong Kong. He suggested that recent
tough Chinese statements on the future of
the territory were only diplomatic rhetoric.
However, the fact that the rate of migration
out of Hong Kong is one every six minutes
at Hong Kong International Airport belies
this optimistic assessment. More
importantly, the preferred destinations for
Hong Kong migrants are Canada, Australia
and the United States, which are perceived
to have more vital economies and greater
opportunities than Great Britain. This
perception has also contributed to the poor
response to the UK Nationality Package.

As Liberal Democrat foreign affairs
spokesman, David Steel, concluded, "The
UK is not as attractive a location as Her
Majesty's Government thought." One
troubling implication of Britain's
embarrassment over the poor return is that
MP's and other government officials are
likely to assume that the problem of Hong
Kong is no longer a pressing issue and that
the crisis of confidence of Hong Kong
people has dissipated [South China
Morning Post, March 1, 1991: 7].

Fearful Fours

There is a belief in some circles, much
stressed in some of the recent
commentaries on Hong Kong immigration,
that no person of Chinese ethnicity will
ever buy a house with a 4 in its number.
('Four' is a homonym of the word 'death';
it is also a homonym of 'silk', 'private' and
'thought'). This belief recently led some
residents of Metro Toronto to make a
formal request to the North York Council
to allow applications to delete the numeral
four from a house number "where proven
hardship exists with respect to the sale of a
property due to its existing number"
{Minutes of the Meeting of North York

Council, February 20, 1991). The proposers
are non-Chinese people who are
considering selling their houses, and
believe that having a four in the number of
their house will make it impossible for
them to sell to a Chinese buyer. The request
was denied by Council by a vote of 14 to 1.
North York Mayor Mel Lastman, well-
known for his pithy comments, described
the request as "the stupidest thing I have
ever heard of." The request was also
opposed by the Toronto chapter of the
Chinese Canadian Council; a spokeswoman
said that the superstition about four was
held by only a small number of Chinese.

Beijing Update on
Hong Kong

by Mark Rowswell
Beijing

In early 1991 news about Hong Kong in
the Chinese press increased in frequency,
reaching a peak during British Foreign
Secretary Douglas Hurd's visit to China in
early April. Despite the increase, however,
there remained little of substance in reports
on Hong Kong.

The frequency of news reports
corresponded to a relative flurry of diplomatic
activity between Chinese, Hong Kong and
British officials and businessmea In early
January the second round of talks between
Chinese and British experts on large-scale
capital construction in Hong Kong was held
in Beijing. (The first round took place last
October.) At the same time, Chinese
President Yang Shangkun met with a
delegation from the Hong Kong Chinese
General Chamber of Commerce. Another
high-level economic mission, headed by the
executive director of the Hong Kong Trade
Development Council, Jack So, arrived in
Beijing for the opening of a trade exhibition
in April. In late January Hong Kong
Governor Sir David Wilson met in Beijing
with Chinese Premier Li Peng, the director of
the Hong Kong and Macao Affairs Office, Lu
Ping, and former director Ji Pengfei. Six
weeks later Lu and Ji held meetings with Sir
David in Hong Kong and again the following
month, in early April. British Foreign
Secretary Douglas Hurd met with top Chinese
officials in Beijing.

Despite all this activity, nothing
substantial seems to have happened judging
from the Chinese news reports. Results of the
meetings and British views rarely are
reported. News articles mainly relay the
concerns expressed by the Chinese side,
making for very monotonous reading.

Central to this diplomatic activity is the
new Hong Kong airport scheme, often
referred to under the broader terms "large
scale capital construction" or "large
infrastructure projects." The Chinese
repeatedly stressed that such projects "have
created concern among Hong Kong residents
who fear the projects, which were
haphazardly drawn up, will require too much
capital" and will "add burdens to Hong Kong
and its taxpayers." In January Li Peng

4 UPDATE

suggested it was possible to have a smaller
investment but higher economic efficiency
and added that "the Chinese side docs not
seek any selfish interest in this matter."

The Chinese have emphasized the need
for a cooperative relationship with British
authorities. In February the director of the
Hong Kong branch of the Xinhua News
Agency, Zhou Nan, stated that the Chinese
government has "no intention of interfering in
the purely administrative affairs of Hong
Kong before 1997, but was duty bound to
look into important matters that straddle 1997
and on which the future government of the
Hong Kong Special Administrative Region
will bear responsibilities and commitments."
During Douglas Hurd's visit, the Chinese
Foreign Minister, Qian Qichen, remarked that
"there is no such thing as China maintaining
control or veto power" over such matters.
Communist Party General Secretary Jiang
Zemin said that China and Britain are "in the
same boat" and should work closely together.

Considerable emphasis is placed on the
Basic Law, which was claimed to have
already begun to play a guiding role in
handling Hong Kong affairs, although the law
does not come into effect until July 1, 1997.
A front page editorial commemorating the
first anniversary of the law appeared in the
Peoples Daily on April 4. On April 15, a long
editorial in China Daily summed up Douglas
Hurd's visit, repeated Chinese concerns about
Hong Kong and stressed the role of the Basic
Law. The article quoted from an editorial in
Ta Gong Poo which compared Hong Kong to
a running train, the Basic Law having laid
down a new track on which it would run. The
conclusion was that "unless the train heads
for the beginning of the new track now, it
might go off the rails and overturn."

Douglas Hurd's comments to Li Peng
expressing the hope that "with your [Li's] help
this visit may mark a step forward in giving
greater practical content to cooperation
between our two countries" seems to have
been in vain, at least for the time being. The
same article that reported this comment added,
"a Chinese Foreign Ministry spokesman did
not elaborate on the outcome of their
discussion or the Hong Kong airport issue -
besides quoting Premier Li Peng as saying that
China has adopted a 'cooperative attitude' on
the issue of Hong Kong's new airport." It
seems clear that the Chinese are not as
interested in resolving concrete matters such as
the airport plan as they are in using such issues
to define the role China plays in Hong Kong
during these final years of British rule.

Immigrant Demographics, 1990

by Diana Lary
Toronto

The number of immigrants from Hong
Kong landed in 1990 was 28,949, a rise of
45% over 1989 and 24% over 1988. The
change in numbers did not have any major
effect on the demographic characteristics of
the immigrants. Some changes are apparent,
in terms of language knowledge and levels
of education, but these are slight shifts
rather than dramatic alterations.

Principal immigrants/dependents

Over the past three years, the number of
principal immigrants has been declining
slowly as a proportion of all immigrants,
while the number of dependents has risen.

1988 1989 1990

Single 10914 9603 14269

Married 11645 9656 13837

Widowed 503 437 613

Divorced 168 118 177

Separated 51 47 53

Total 23281 19861 28949

Ages

The age range of immigrants over the
past three years has shown little change.
The majority continue to be in the most
productive years: 50% of immigrants in
1988 were between 25 and 44, 48% in 1989

1988

%

1989

%

1990

%

Principal

10353

(44.5)

8407

(42.3)

11169

(38.6%)

Spouse

5400

(23.2)

4359

(21.9)

6449

(22.8%)

Dependents

7528

(32.3)

7083

(35.7)

11304

(39.0%)

Total

23281

19861

28949

Male/female ratios

Male/female ratios have remained
constant: in 1990 the ratio was 52%:48%; in
1989 it was 59%:49%. The percentage of
female principal immigrants remains high,
though at 34% (1990) it is well below the
41% for 1988 and 43% for 1989. The
number of sponsored husbands declined in
parallel from 10.23% in 1988 to 10% in
1989 and to 7.2% in 1990.

Total Male Female

1988 11142 12139

1989 9396 10465

1990 14159 14790

Marital status

The number of married immigrants
declined slightly in 1990: 47.8% were
married, as opposed to 50% in 1988 and
48.6% in 1989. These changes are too small
to suggest a major change away from the
predominantly family migration.

and 49.4% in 1990. Other age groups show
equally minor fluctuations. Children made
up 22% of the group in 1988, 20% in 1989
and 22% in 1990. Young people accounted
for 12% in 1988, 13.9% in 1989 and 1 1.8%
in 1990. Middle-aged people made up
12.5% of the 1988 intake, 13.7% of 1989
and 12.3% of 1990. The retired group has
grown slightly, from 3% in 1988, to 3.5% in
1989, to 4% in 1990.

0-14 15-24 25-44 45-64 65+

1988 5126 2825 11686 2911 733

1989 4132 2769 9532 2723 705

1990 6478 3432 14303 3565 1171

Language abilities

Over half of Hong Kong immigrants
who landed in 1988 and 1989 spoke
English; in 1990 the figure dipped slightly
to 49%. In the category of principal
immigrants the percentages were higher
(77.1% in 1988, 70.8% in 1989, 68.8% in
1990). There has been a gradual decline
over the past three years in the proportion of
English speakers. There is a similar decline
in the proportion of French speakers
(unilingual or bilingual) from 0.63% in
1988, to 0.51% in 1989 and 0.37% in 1990.

Immigrant Demographics, cont'd page 6

UPDATE 5

Immigrant Demographics, frorr

page 5

Mother

Principal immigrants:

education levels

English

-rench

Bilingual tongue

1988

%

1989

%

1990

%

1988

None

384

(3.7)

272

(3.2)

444

(3.9)

Principal

7984

49

66 2254

Secondary or less

3119

(30.1)

3331

(39.7)

4637

(41.5)

Spouse

3374

6

18 2202

Trade certificate

2255

(21.8)

1728

(20.6)

2039

(17.4)

Dependent

1718

1

7 5802

Non-university

1354

(13.1)

986

(11.7)

1199

(10.7)

Total

13076

56

91 10058

Univ. non-degree

371

(3.6)

402

(4.8)

453

(4.0)

%

(56.2)

(0.24)

(0.39) (43.2)

B.A.

2137

(20.6)

1231

(14.7)

1686

(15.1)

Some post-grad

127

(1.2)

89

(1.1)

106

(0.9)

1989

M.A.

579

(5.6)

338

(4.0)

459

(4.1)

Principal

5954

21

57 2375

Ph.D.

26

(0.3)

23

(0.3)

31

(0.3)

Spouse

2366

3

11 1979

Non known

1

7

116

(1.0)

Dependent

1905

2

7 5169

Total

10353

8407

11169

Not stated

8

4

Total

10233

26

75 9527

Spouses: education levels

%

(51.5)

(0.13)

(0.38) (47.9)

None

203

(3.8)

156

(3.6)

6

(4.3)

Secondary or less

2916

(54.0)

2647

(60.7)

3979

(61.7)

1990

Trade certificate

921

(17.1)

639

(14.7)

958

(14.8)

Principal

7687

2

71 3407

Non-university

576

(10.7)

376

(8.6)

514

(7.9)

Spouse

3524

15 2909

Univ. non-degree

70

(1.3)

81

(1.9)

115

(1.8)

Dependent

3064

6

12 8222

B.A.

522

(9.7)

347

(7.9)

464

(7.2)

Not stated

22

5

Some post-grad

58

(1.1)

27

(0.6)

33

(0.5)

Total

14297

8

98 14543

M.A.

122

(2.3)

78

(1.8)

79

(1.2)

%

(49.3)

(0.03)

(0.34) (50.2)

Ph.D

Not known
Total

12

5400

(0.2)

8

4359

(0.2)

6

25
6449

(0.09)

Educational levels

There has been a slight decline

in the educational levels of

Dependents: educational level}

immigrants over

he period 1988-1990, caused perhaps by a rise in

None

2073

(27.5)

1600

(22.6)

2703

(23.9)

the proportion of

people coming in under the family class. This

Secondary or less

5028

(66.8)

4692

(66.3)

7107

(62.8)

decline does not effect the fact that this is a

highly educated group

Trade certificate

106

160

314

of immigrants.

Non-university
Univ. no degree

44
262

95
335

184
418

1988 %

1989

% 1990 %

B.A.

6

160

390

None

2660 (11.4)

2031

(10.2) 3423 (11.8)

Post-grad

7

7

29

Secondary or less 1 1063 (47.5)

10672

(53.8) 15723 (54.4)

Master

1

29

72

Trade certificate

3282 (14.1)

2527

(12.7) 3311 (11.4)

Ph.D

1

84

Non-university

1974 (8.5)

1458

(7.4) 1897 (6.6)

Not known

1

4

Univ, non-degree

703 (3.0)

822

(4.1) 986 (3.4)

Total

7528

7083

11304

B.A.

2665 (11.5)

1740

(8.8) 2540 (8.8)

Some post-graduate 192 (0.8)

123

(0.6) 168 (0.6)

Occupation

M.A.

702 (3.0)

445

(2.2) 610 (2.1)

In 1990, about half of all immigrants from Hong Kong were

Ph.D.

38 (0.16)

32

(0.16) 40 (0.14)

destined for the work force. There were some significant changes in

Not known

2

1

224

the occupational composition of the

immigrant group

from 1988 to

Total

23281

19861

28922

1990. The percent

ige of e

ntreprenei

irs fluctuated from 4.7%

in 1988

At the highest levels of education, the number of university
graduates was 3597 (15.1%) in 1988, 2340 (11.8%) in 1989 and
3358 (1 1.6%) in 1990. For principal immigrants alone, the figures
for university graduates were 2869 (27.7%)in 1988, 1681 (20%) in
1989 and 2282 (20.4%) in 1990. At the bottom end of the
educational spectrum, the proportion of adults with little education
included: in 1988, 3503 (33.8%) principal immigrants with
secondary school education or less, in 1989 42.9%, and in 1990
45.4%. In 1988 57.8% of spouses had secondary school education
or less, in 1989 65%, and in 1990 66%. Many of the dependents are
still at school.

to 6.5% in 1989, to 3.5% in 1990, while the managerial and
administrative category declined from 12.5% to 8.6% (1989) to
7.6% (1990). New workers rose from 4.4% to 10.1%.

6 UPDATE

1988

%

1989

%

1990

%

Entrepreneur

1087

(4.7)

1276

(6.5)

1030

(3.5)

Investors

533*

Managerial

& admin.

2876

(12.4)

1696

(8.6)

2189

(7.6)

Science/

engineering

1170

(5.0)

493

(2.5)

613

(2.1)

Social Science

283

131

213

Religion

19

22

19

Teacher

148

95

95

Medicine & health

335

215

294

Arts

275

242

269

Sports & recreation

4

2

4

Clerical

2604

(11.2)

1872

(9.4)

1280

(4.4)

Sales

912

632

895

Service

325

344

379

Farming

8

4

7

Fishing, hunting

7

Forestry

1

Mining

1

Processing

20

21

29

Machining

27

23

55

Fabricating

361

250

493

Construction

49

58

166

Transport

31

18

19

Material handling

23

11

3

Other crafts

53

55

170

New workers

1013

1994

Not classified

-

-

5742

Not stated

-

-

32

Other

11650

10407

-

Total workers

-

-

14540

Non-workers

-

-

14409

Total

23281

19861

28949

* classification introduced in 1990

We should like to thank Meyer Burstein, Ludvik Medona and Ron Cadieux of
Employment and Immigration Canada, for making these statistics available to us.

Martin Pilzmaker

On April 19, 1991, Martin Pilzmaker
was found dead in his Toronto apartment;
his death appears to have been a suicide.
When he died, Mr. Pilzmaker was free on
bail, facing a series of charges of
conspiracy, forgery, making false
declarations, uttering false documents, theft
and fraud. The charges related to his
immigration practice at Lang Michener
Lash Johnston, a prominent Toronto law

firm. His practice centred on bringing in
people from Hong Kong under the Business
Immigration Program. He was disbarred
from the Law Society of Upper Canada in
January, 1990. His trial was to have started
on May 20. His lonely death brought to an
end a career which for a brief period was
glamorous and highly lucrative, but crashed
in ruins when his activities came to light.

Immigration Patterns,
1990-91

by Diana Lary
Toronto

The final immigration figures for 1990
reveal that the number of Hong Kong
immigrants landed in 1990 rose
significantly over previous years, from
23,281 in 1988 and 19,861 in 1989 to
28,949 in 1990. The number of immigrants
may be expected to continue at a high rate;
in 1990, 13,273 applications* were
received from people whose country of last
permanent residence was Hong Kong.

Applications received 1990, CLPR

Hong Kong

Family class

5048

Convention refugee

Designated class

48

Assisted relatives

1512

Entrepreneurs

3210

Investors

1074

Self-employed

220

Retired

758

Other independents

1403

Total

13273

Family and business classes accounted
for 71.9% of these while the independent
class accounted for only 10.6%. Not all
these applications were received in Hong
Kong; 2,042 were made at other posts,
principally in the USA. Processing times
can be expected to be shorter at these posts
than in Hong Kong where there is a
considerable backlog. There are presently
21,020 applications in process at the HK
Canadian Commission, the majority in the
family and business classes which are
given priority in processing. There are
several thousand further applications at the
Commission whose processing has not yet
started; these are principally in the
independent and assisted relative classes
which do not have processing priority.

* An application may be for more than one
person.

UPDATE 7

Macau's Transition to Chinese Rule

After almost 450 years as a Portuguese
administered territory, Macau, the oldest
European enclave in China, confronts an
uncertain future as it prepares for Beijing to
take the reigns in less than nine years. On
December 20, 1999, Macau will become a
Special Administrative Region of China,
theoretically with the same "high degree of
autonomy" and right to continue its
capitalist, liberal way of life for 50 years as
granted to Hong Kong. However,
Portuguese officials and Macau people
alike fear the People's Republic of China
will swallow Macau's almost 17 square
kilometres in one bite. In many ways
Macau is already half way into the dragon's
mouth.

A Monaco of the Far East to the Hong
Kong Chinese who crowd its casinos on
weekends, the Portuguese enclave has long
lived under the British colony's economic
shadow, Lisbon's benign neglect and
China's political thumb. There are
advantages to its close relationship with the
PRC, according to Edmund Ho, a
prominent Macau Chinese banker and York
University alumnus. Ho, who received his
high school as well as university education
in Canada, is considered to be Beijing's
choice for governor of Macau after 1999.
"The majority of Macau people are willing
to work with China," Ho maintained in an
interview. "In this respect it [the transition]
will go much more smoothly than in Hong
Kong." However, Ho, whose late father Ho
Yin was Beijing's unofficial representative
in Macau for years, admitted mere are other
problems to overcome if Macau is to make
a successful transition to PRC rule.

As the majority of its inhabitants were
born in China and many are recent
immigrants, identity with Portuguese
Macau is very weak and attachment to
China is strong. Portuguese remains the
territory's only official language although it
is spoken by only 4% of Macau's 500,000
overwhelmingly Chinese residents. As a
result, very few local people have either the
linguistic or technical capacity to run the
Portuguese-style government or legal
system. Furthermore, Macau's economy is
dominated by Hong Kong investors in
textiles, toys, plastics and electronics

by Susan Henders
Hong Kong

manufacturing and Hong Kong weekend
gamblers.

"Our future autonomy is forced, not
natural," Macau Legislative Assembly
deputy, Alexandre Ho, said in an interview.
"We have to try to create the conditions
that will make it work, but it's very
difficult." These measures include the
strengthening of Macau's economic and
political infrastructure.

The Portuguese say they are reluctant to
let the last remnant of their empire be
absorbed into Hong Kong or the
neighbouring PRC Special Economic Zone
of Zhuhai. After the debacles of Portuguese
decolonization in Goa (now part of India),
Africa and East Timor (now part of
Indonesia) in the 1960's and 1970's, Macau
is Portugal's last chance at a dignified,
peaceful exit. With the way smoothed by
Lisbon's generally cordial relationship with
China, Portuguese officials are trying to
make the most of their last years in the
enclave.

In partnership with casino magnate
Stanley Ho and Portuguese and PRC
investors, the present Macau government is
spending billions of dollars trying to
transform its faded colonial facade and
quiet alleys into the chrome and glass-lined
streets of a booming regional service
centre. "It can't be autonomous politically,
in size or in population," concludes Joao de
Deus Ramos, an expatriate Portuguese who
is Macau's Secretary for Transitional
Affairs. "The only place where we can do
things is in the economy."

The government and its partners are
pushing ahead construction of the
territory's new airport and deepwatcr port,
its first international transportation links
that do not depend on Hong Kong. With a
new 3.9 kilometre bridge to the PRC
border, high-tech industrial park,
technology institute and United Nations
software centre also planned, the
government hopes to attract enough
international investors to turn Macau into a
service hub for the west side of China's
prosperous Pearl River delta.

Portugal's history of uncertain
sovereignty in the territory has traditionally
hampered its administration in Macau,

which is officially described as Chinese
territory under Portuguese administration.
"I don't think we've ever had a clearer cut
plan for the next 60 years than we do now,"
Ramos commented.

If global business cycles cooperate and
the strategy succeeds, economic success
could provide significant benefits for
Macau's political autonomy. Until now the
main guarantee of its post- 1999 status as a
liberal, capitalist enclave in communist
China has been Beijing's desire not to do
anything in Macau that might upset
business confidence in Hong Kong. The
enclave is assuming the Chinese
government would be more likely to keep
its hands off if Macau is independently
useful to China's economic modernization
drive and if it has a higher international
profile. Other potential barriers to PRC
interference, such as a strong local civil
service, independent judiciary and a vibrant
political system, might not provide much
help.

Macau Chinese, few of whom have been
motivated to leam Portuguese, have
traditionally been excluded from all but the
lowest ranks of the civil service. All
government policy-making and senior
technical posts are occupied by expatriate
Portuguese on short-term contracts. The
Macanese, 10,000-15,000 locally-born
Eurasians who speak both Cantonese and
Portuguese, dominate the administrations 's
middle ranks and act as intermediaries
between Chinese residents and their
Portuguese rulers. All of Macau's judges
and all but a handful of its lawyers are
Portuguese. The rest are Macanese.

The Portuguese have begun training
younger local Chinese to assume senior
civil service positions. This involves
Portuguese language instruction so they can
communicate with departing expatriate
administrators and read the numerous
Por'uguese documents and laws of the
colonial enclave. However, even if
localization efforts succeed, there is no
guarantee the newly-trained bureaucrats
will stay in Macau beyond 1999. More than
100,000 Macau people, most of them
Chinese, have full Portuguese citizenship,
including the right to live in Portugal and,

8 UPDATE

after 1992, anywhere in the European
Community. Ironically, this will entitle
them to live in Britain, an option available
to few Hong Kong Chinese under current
British nationality laws.

Opinion polls taken in late 1989
indicated about one in five Macau Chinese
plan to emigrate, most to Canada, the
United States or Australia, and not to
Portugal. Younger, better educated Chinese
who make up the majority of new civil
service recruits are particularly distrustful
of China's intentions toward Macau and are
most likely to leave unless their confidence
improves. The 1989 polls found as many as
65% of Macanese also plan to leave, many
of them civil servants.

Prospects for a smooth transition are no
better for the legal system. In 1989 the
Macau government began in earnest to
translate Macau's Portuguese legal codes
into Chinese. It hopes to have the bulk of
the job completed by late 1999, but it is still
unclear who will be administering and
interpreting the law after the Portuguese
leave. A new law program at Macau's
University of East Asia (the name will
change to the University of Macau in the
next academic year) will graduate the
enclave's first class of Macau-trained
lawyers in 1993. However, difficulties in
studying law in Portuguese have forced
some local Chinese to drop out of the
program. Most of the first graduating class
will be expatriate Portuguese with little
reason to remain in Macau although some
will be allowed to work for the post-1999
government.

Fortunately, the number of local
Chinese law students is increasing each
year. Nevertheless, Macau people still
worry that shortages of local Chinese
administrators, interpreters, judges and
lawyers after 1999 will make it easier for
Beijing to bring in its own people to fill
vacant positions. Macau's Secretary for
Justice, Sebastiao Povoas, admitted that
two PRC students in the first year of the
Macau law program - both fluent in
Portuguese and armed with mainland law
degrees - have caused some anxiety.
However, he defends their presence by
saying, "It's better to bring them into
Macau now than wait for them to come
after 1999 anyway, but without training in
our way of understanding the law."

Beijing's political influence in Macau
has always been significant. Local Chinese
business, labour and kai fong
(neighbourhood) associations with close
ties to Beijing have secure control over the
Portuguese Governor's Consultative
Council and the Legislative Assembly,
which has had a minority of directly elected
seats since 1976.

With economic prosperity in recent
years, Macau society is better educated,
richer and more pluralistic. In 1988
Alexandre Ho's liberals won three out of
six of the elected seats in the assembly for
the first lime. In May and June 1989, an
estimated 100,000 Macau people
demonstrated in support of the Tianamen
Square student movement in Beijing,
proportionately as many as marched in the
streets of Hong Kong.

However, in the March 1991 interim
elections, traditional pro-Beijing forces
showed their tenacity by winning both of
two contested seats. Macau democracy
activists worry that expanding the number
of directly elected seats in the legislature -
indirectly elected and appointed deputies
have the majority - will not bolster
Macau's defenses against China, at least in
the short run.

"If we open up now, we will only have
the traditional business community, labour
unions and kai fong association parties
control everything," predicted Catarina
Mok, a Macau journalist. "When the civic
education level is a little bit higher, then we
should have more directly elected seats.
"Without maintaining its political, legal and
administrative differences, without a
population that sees itself as distinct from
other Chinese, people like Catarina Mok
fear Macau could soon disappear into the
flourishing economy of South China.

Indians of Hong Kong:
Citizenship After 1997?

by Janet A . Rubinoff
Toronto

As the countdown to 1997 approaches,
it is not only the Chinese of Hong Kong
who are concerned about their economic
and political fate under PRC sovereignty.
The nationality issue of ethnic minorities
like the Indians of Hong Kong - especially
those who hold British Dependent Territory
Citizenship (BDTC) passports - is of
particular concern.

One of the largest non-Chinese
communities of Hong Kong are the ethnic
Indians who number approximately 20,000.
While the majority (15,300) of these
remain Indian citizens, a number (4,518)
who were bom in the territory or who have
lived there for years are BDTC passport
holders [1986 Hong Kong Census]. It is the
concern of the latter that they will be
"stateless" after 1997. As one Indian
businessman in Hong Kong described his
nationality situation, "Deep down, I am
nowhere. My family left Sind, now part of
Pakistan, after the partition of India and
came to Hong Kong. We are not citizens of
India, and our BDTC passports no longer
give automatic right of abode in the U.K."

The Joint Declaration and Basic Law
failed to settle the nationality issue of Hong
Kong's minorities. In subsequent
Memoranda between the PRC and UK
governments, Beijing has asserted only that
the Chinese of Hong Kong will be
automatically recognized as Chinese
citizens in the HK Special Administrative
Region. Other ethnic minorities like the
Indian community will receive rights of
residence only and must apply for Chinese
citizenship. On its part, Britain has
accepted the BDTC passports merely as
travel documents after 1997 that do not
confer a right of abode or citizenship in the
U.K. As a result, non-Chinese BDTC
passport holders feel doubly betrayed. As
one Indian researcher, Rup Narayan Das,
has concluded in a recent article, "The
rights of residence [in Hong Kong] bereft
of the status of nationality reduces the
position of ethnic minorities to that of
aliens living in a foreign land" [The Other
Hong Kong Report, 1990: 151].

Indians of Hong Kong, cont'd page 10

UPDATE 9

Indians of Hong Kong, from page 9

The Indian presence in the colony goes
back to its founding in 1841 when 2,700
Indian soldiers and four traders
accompanied the British landing forces in
Hong Kong. As in other parts of the British
Empire during the 19th and early 20th
centuries, a number of lower echelon civil
servants and police were recruited from
India. In addition, a number of Indian
business families established themselves
over the years in Hong Kong and
contributed significantly to the economic
development of the territory, especially
after World War II. Two events in
particular stimulated the exodus of Hindu
business families to Hong Kong: the
partition of India in 1947 and the
Communist takeover of China in 1949
when Indian traders left Shanghai and
Canton.

The composition of the South Asian
community of Hong Kong is diverse and
reflects the many different cultural groups
of the Indian subcontinent. The largest
group (roughly 50%), especially within the
business community, are of Sindhi origin
(from the city of Hyderabad, now part of
Pakistan). Some Sindhi families like the
now prominent Harilelas arrived in Hong
Kong in the early 1930's from Canton or
Singapore. The second largest group are the
Sikhs who number about 2,000 and are
mainly employed in the police and armed
forces. Others include the Parsis who were
the earliest traders to arrive with the British
in the mid- 19th century; the Marwaris,
originally from Rajasthan, who fled Burma
in the 1960's; the Gujarati and Tamil
traders who dominate the diamond market;
Goans from the former Portuguese colony
in India; and a small number of others.

Overall the Indian community
represents only 2% of Hong Kong's
population, but it has done remarkably well
in trade and manufacturing, especially to
non-western markets in Africa, South
America or the Middle East. According to
the Far Eastern Economic Review [April
12, 1990: 44], over 400 Indian firms
"account for an estimated 10 % of
Hongkong's annual USS75.8 billion in
exports."

Now the Indian ethnic minorities are
faced with an uncertain future, and
members of the community have
considered a number of options. Most
Indians, especially established

professionals and businessmen, prefer to
remain in Hong Kong though they
recognize that this may not be possible
after 1997. Many would like an "insurance
policy" for immigration just in case. In an
optimistic assessment, Hari Harilela, a
prominent businessman and leader in the
Indian community, said in a speech before
the Progressive Association of Indian
businessmen on January 8, 1991, that
"Unfortunately, many people have come to
regard 1997 as a dead end.. ..they see no
future here. However, I feel such thinking
is mistaken. Far from being the end of the
road, 1997 is only a transition point,
actually, even a new beginning....

"Rather than concern themselves with
political matters, Indians have always tried
to concentrate their energies on economic
development. In this way, we become an
asset to whatever government is in power.
It is plain, therefore, to see that we can
continue to be of use to the economic
continuity of Hong Kong, come 1997 and a
long time thereafter."

With this in mind, some Indian
businessmen have adopted a "wait and see"
attitude. Some have opted for closer ties
with China and have invested more heavily
in factories in Guangdong where labour is
cheaper. Others, however, have considered
the option of emigration. In some cases
parents, who retain their businesses or
careers in Hong Kong, have sent their
children abroad to be educated and to
provide alternative employment -
citizenship options. As one businessman in
Hong Kong explained, the implications of
this emigration of the younger generation
have important repercussions on the joint
Indian business family. Many Indian firms
in Hong Kong are entirely family owned,
like the Harilela enterprises. The loss of
young adults and their dispersal in various
western countries poses some threat to the
strength, flexibility and continuity of these
family firms and the unique family-
dominated business culture of the Indian
community.

One approach of the Indian BDTC
passport holders has been to pressure the
UK Government for recognition of rights of
abode or full citizenship. They have felt
betrayed and abandoned by the British
position, with its "undertone of racial
discrimination," on immigration from Hong
Kong and the recent Nationality Act [The
Other Hong Kong Report, 1990: 153]. The

latter is perceived to be a program mainly
for the Chinese of Hong Kong.

The preferred destination for many is
Singapore or other cities of Southeast Asia
- partly for the similarity of climate and life
style and mainly for the favourable markets
and tax laws comparable to Hong Kong.
For many of the less wealthy who retain
Indian citizenship, the only option may be
to return to their country of origin.
However, in the case of ethnic Indians with
BDTC passports, New Delhi has claimed
they are the responsibility of the UK
government as British overseas citizens.
What India would do after 1997 to accept
refugees from Hong Kong of Indian origin
is an open question.

Because of differences in standards of
living, tax structures and business
environment in India, many, if qualified,
prefer to migrate to western countries,
including Canada, the U.S. and Australia.
The Goans have a unique alternative to
their BDTC passports; as natives of a
former Portuguese colony, they may still
apply for Portuguese citizenship which
allows them after 1992 rights of abode
anywhere in the European Community
including the U.K. - a right that other Hong
Kong Indians or Chinese do not have.

Because it is perceived to have a fairer
and more open visa process and a stable
government, Canada is high on the list of
preferred destinations. I interviewed several
Indian professionals and businessmen who
have recently immigrated to Toronto from
Hong Kong. Several have entered under the
retired class and have tried to re-establish
their businesses or professional careers in
Canada. They have found this difficult
because of the recession and Canadian
restrictions on job experience and foreign
qualifications. Canada was attractive
because of its high standard of living and
educational opportunities for their children.
One individual mentioned that it was not so
much fear of the Chinese that had caused
him to immigrate but for better
opportunities here for his children. He was
concerned about the possibility of
discrimination against ethnic minorities by
the Chinese government. Though many of
the community had opted to remain in
Hong Kong, one informant felt that if the
business climate deteriorated after 1997,
"most Indians would leave as there would
be no future for them there."

10 UPDATE

For this issue of the Update, our research
assistants in Toronto and Vancouver have
compiled a list of organizations within the
Chinese and Hong Kong immigrant
communities in Canada which are concerned
with a variety of issues - social, cultural,
political, economic - as well as with promoting
ties between Canada and Hong Kong. We have
only included a partial list here and will
continue with others in the Fall issue of the
Update. We have also included several pictures
of Chinese areas of Vancouver and Toronto.

Chinese-Canadian
Associations in
Vancouver

by Hugh Xiaobing Tan
Vancouver

United Chinese Community
Enrichment Services Society
(SUCCESS)

Founded in 1973, SUCCESS is a non-
profit social service agency to assist Chinese
Canadians in overcoming language and
cultural barriers so that they can more
successfully participate in Canadian society.
Its purpose is to serve as a "bridge" between
the two cultures and traditions. SUCCESS
provides services in five areas: family and
youth counselling, settlement and public
education, group and community
development, employment services, and
resource development.

From its inception, clients have mainly
been from Hong Kong; however, especially
after 1989, its services to immigrants from
mainland China and Taiwan have
considerably increased In 1990, the society
provided over 1 10,000 service contacts for
60,000 people, and this demand is expected
to increase during 1991. Most of its clientele
are between 20 and 40 years old.

Now in its 18th year of operation, the
organization is well known to the general
public. Its executive administrators, Maggie
Ip and Lilian To, are often featured in the
local Chinese newspapers. SUCCESS
employs 40 full-time and 35 part-time
people as well as 1,000 volunteers. Having
begun with only one office on Hastings
Street, the organization is now located in the
centre of Chinatown and occupies the entire
second floor of the Beijing Building.
Subsidiary offices are located in the South
Vancouver area, Richmond and Burnaby.

Chinese Cultural Centre (CCC)

The CCC mainly deals with cultural
matters. Its objectives include the
interpretation of China and its people to
Canadians, the interchange of Canadian and
Chinese cultural traditions, collaboration
with other local organizations in sponsoring
international artistic and cultural programs,
and the promotion of better understanding
and friendship between the Chinese
community and other communities and
ethnic groups.

The idea for a Chinese cultural centre
emerged from discussions at a conference in
1973 held at the Wong's Benevolent
Association in Chinatown. At the time
delegates from Chinese community
organizations formed a 21-member Cultural
Centre Building Committee to set up an
independent entity to promote cultural
events. First registered in 1974, the CCC
sponsors a number of cultural as well as
training programs. One of the main events is
the annual Spring Festival Celebration. The
CCC also invites well known anists and
performance groups from the PRC and Hong
Kong to come to Canada. Its cultural classes
include Chinese calligraphy, painting, Tai
chi, martial arts, dancing and Chinese
language training.

A permanent building for the CCC was
completed in September 1980. The China
Gate, which once stood at the entrance to the
Chinese pavilion at the 1986 Expo site, was
moved in 1988 to the main entrance of the
CCC building. Plans are now underway to
construct a S2 million museum/library
complex in the Suzhou Garden style, and a
funding campaign has begun to solicit
donations.

At present, the organization employs 16
full time administrative staff plus about 40
program training teachers. Membership in
the Centre has reached over 1,300. A new
office has been opened in Richmond where
many Chinese immigrants have recently
settled.

Gate to the Chinese Cultural Centre

The Chinese Benevolent Association

(CBA)

The CBA was founded in Victoria, B.C.
in 1906 and is one of the oldest Chinese
Canadian organizations. It moved to
Vancouver during the 1930's when the
concentration of Chinese increased in that
city. At that time, the primary focus of the
association was to provide needy Chinese
immigrants with charity and relief funds.

In 1979, internal political dissension led
to the splitting of the membership and the
formation of another organization with a
similar name, the Chinese Benevolent
Association of Canada (see below). Those
who remained in the CBA still use the
original name.

Today the CBA is an umbrella
organization which has 48 group members,
including SUCCESS, the CCC and other
major organizations in Chinatown.
Individual membership is difficult to
determine since the fee is only SI per person
and there are a variety of ways to become a
member. The president of the association
estimates about 10,000.

Distinct from the service and cultural
organizations, the CBA is mainly concerned
with social and political issues within the
Chinese Canadian community. It is one of
the organizations which initiated the recent
Chinese Canadian National Conference that
was held in Toronto, May 1991. One of the
major topics discussed at this conference
was the head tax and redress issue.

In addition to its political concerns, the
CBA also sponsors local social activities
such as the Chinese Spring Festival parade,
celebrations of the national days of Canada
and the People's Republic of China, and
memorial ceremonies in the spring and
autumn.

Chinese Benevolent Association of
Canada (CBAC)

After splitting from the CBA in 1979, the
CBAC has a group membership of 1 1 and an
individual membership of 600, most of
whom have immigrated from Taiwan. It is
not only a Vancouver-based organization but
also the headquarters of CBAC branches
across Canada. Each year delegates from
different provinces come together to hold
general meetings.

The CBAC mainly concentrates on social
activities, entertainment and education. It
sponsors both a Chinese music and a Tai Chi

Vancouver Associations, cont'd page 12

UPDATE 11

Associations, from page 1 1

group. It also provides financial support for
the Overseas Chinese Public School where
students are taught in Mandarin. In addition,
the CBAC serves as an arbitrator over minor
disputes within the Chinese Canadian
community. Recently it invited 14 famous
Taiwanese cooks to Vancouver to hold a
Food Art Festival, also known as the "Feast
of the Chinese New Year." The festival was
the first of its kind in Vancouver and
aroused considerable interest from the
community. In addition to encouraging its
young members to visit Taiwan, each year
the association sends a delegation to Taiwan
for the October 10th celebration.

The Vancouver Chinese Freemasons
(VCF)

Founded in 1888, the VCF is probably
the oldest Chinese Canadian organization in
this country. Because of the discrimination
Chinese faced at the time, the organization
provided protection and assistance to the
community and negotiated with the
government Therefore, 80% of the Chinese
immigrants in Vancouver belonged to the
VCF.

The Vancouver branch is part of the
world wide network of Chinese Freemasons.
The original revolutionary goal of the
Chinese Freemasons was to overturn the
Qing Dynasty and restore the Ming. In fact,
when Dr. Sun Yat-sen visited Vancouver to
promote his revolutionary activities, he was
supported by the VCF. In order to publicize
its goals, the VCF founded The Chinese
Times daily newspaper in 1907. As the
oldest Chinese press in continuous
publication in Canada, the paper provides
valuable information on the history of the
Vancouver Chinese community.

Today the VCF is still one of the major
organizations in Vancouver's Chinatown,
with a membership of more than 3,000
people. Its subsidiary association, the
Chinese Freemasons Athletic Club, is well
known in the community for its variety of
sports activities. A recent achievement of the
VCF is the completion of the Chinese
Freemasons' Senior Building. This 81-unit
complex was funded by the government and
is very close to Vancouver's Chinatown.
Plans are in progress to build similar homes
for Chinese senior citizens in Victoria and
Kamloops.

Wong's Benevolent Association

(WBA)

The WBA is one of the biggest and
oldest clan-charity organizations in
Vancouver's Chinatown. It was founded in
191 1. Since the main goal of the WBA is to
strengthen connections between the Wong
people/clan, anyone with the family name
Wong can join. At present it has a total
membership of 700 who work in a variety of
industries.

It has two subsidiary organizations: the
Mon Keang School and the Hon Hsing
Athletic Group. The former is said to be the
only Chinese school run by a clan
organization in North America. It recruits
students who were bom in Canada and want
to learn Chinese. The major activity of the
athletic group is the performance of the lion
dance and accompanying music and drums.
In addition to its cultural activities, the WBA
has also recently been concerned with
political issues like the head tax and other
concerns of the Chinese community.

Wong Benevolent Association

Chinese Consumers' Association of
Vancouver (CCAV)

Founded in 1986, the CCAV has now
more than 200 members. Its main goal is to
serve as negotiator for potential conflicts
between consumers and retailers. Its present
chairwomen is a recent UBC law graduate
who immigrated to Vancouver with her
family from Hong Kong eight years ago.

Chinese Canadian
Associations in Toronto

by Irene Tong
Toronto

The Chinese Cultural Centre of
Greater Toronto (CCC)

Since the formation of the Steering
Committee in the summer of 1988, the CCC
has grown to about 130 members. As a non-
political, non-religious and non-profit
organization, it aims to preserve and promote
Chinese culture and heritage as part of
multicultural development in Canada. It also
provides a focal point for the cultural
activities of the Chinese Canadian
community.

The CCC's activities planned for this year
include hosting a pavilion at Caravan 1991,
sending teams to the Dragon Boat Race,
organizing a concert on Chinese music and
hosting a table tennis tournament.
Address:

900 Don Mills Road, Unit 3
Toronto, Ontario M3C 1V8
Executive Committee Chairman:
Dr. Ming Tak Cheung
(416) 445-2808

Toronto Chinese Business Association

The Association was founded in 1972 as a
non-profit business community group and
has now a membership of about 1,100, one-
third of which is under a sister organization,
the Ontario Chinese Restaurant Association.
There has been a shift in membership from
consumer and retail businesses to major
corporations in the manufacturing sector and
professionals. It aims to represent the
Toronto Chinese business community in
response to legislation and government
policies, such as the Occupational Health and
Safety Act, the Workers' Compensation Act
and the Employment Equity Act. It has also
been playing an advisory and participatory
role on issues such as the City of Toronto
1991 Official Plan, the street vendor problem
and Sunday shopping in Chinatown.

In promoting and assisting Canadian
Chinese businesses, the Association has
established links with the Hong Kong
Government, the Hong Kong Trade
Development Council and the Hong Kong
Tourist Association.
Address:
P.O. Box 100, Station B

12 UPDATE

Toronto, Ontario VIST 2C3
(416) 595-0313

Hong Kong Canada Business
Association (HKCBA)

The HKCBA was established in 1984 to
bring together business people in Canada
who are interested in strengthening trade
relationships with Hong Kong. It has more
than 3,500 members, both corporate and
individual, in 1 1 Canadian cities; the Toronto
section alone has about 600.

As the major objective is to promote
bilateral contacts, trade and investment
between Canada and Hong Kong, the
HKCBA tries to act as an information
clearing-house. Both the Association's
national newsletter, The Hong Kong
Monitor, and the monthly bulletin published
by the individual sections inform members of
current economic and poliucal developments
in Canada and Hong Kong as they affect
trade and business relations. In the Toronto
Section, monthly workshops and occasional
seminars, luncheons and dinner meetings are
organized not only as a forum for increasing
knowledge through presentations by experts,
but also as an opportunity for networking.

The Association also tries to represent its
members' opinions and concerns to the
business community and to governments.
Occasional missions to Hong Kong are
arranged, often in cooperation with the Hong
Kong Trade Development Council. This
June, it is taking a major role in Festival
Canada 1991 in Hong Kong.
Address:

347 Bay Street, Suite 1100
Toronto, Ontario M5H 2R7
President (Toronto Section):
James Klotz
(416) 366-2642

Chinese Canadian National Council
(CCNC)

Since its inception in 1979, the CCNC
has grown to include 29 local chapters and
affiliates across Canada. As the Council was
bom of a collective reaction against media
reporting with racist overtones, its main
objective is to create an environment which
fully recognizes and protects the rights of all
individuals, particularly those of Chinese
Canadians, and their full and equal partici-
pation in Canadian society. The realization of
this objective is sought through the
development of a strong national voice and
an effective communications network, by

monitoring the media and by fighting
stereotyping and institutional racism. To
heighten political awareness and partici-
pation, it sponsors candidates' meetings,
informs the public of important issues,
organizes poliucal awareness workshops and
writes to various levels of government.

In concrete terms, the CCNC has recently
undertaken a survey on perceptions of
prejudice and racism in Vancouver and
Toronto. It hopes to cooperate with
governments to eliminate anti-immigrant
feelings and to recognize foreign
professional accreditation. It is also pushing
federal, provincial, and municipal
governments to implement mandatory
employment equity programs for the benefit
of minority groups. Since 1984 the CCNC
has been at the forefront of the campaign for
redress of the wrongs suffered because of the
head tax and the Chinese Exclusion Act.

The CCNC also seeks to cultivate in
individuals of Chinese descent, a desire to
know and to respect their historical and
cultural heritage, and to promote mutual
understanding between Chinese Canadians
and other ethnic, cultural and racial groups in
Canada. This is often done through cultural
and social activities, such as festivals, fairs
and exhibitions.
Address:

386 Bathurst St., 2nd Floor
Toronto, Ontario M5T 2S6
President (Toronto Chapter): Amy Go
(416) 868-1777

Toronto Association For Democracy in
China (TADC)

Formerly known as the Toronto
Committee of Concerned Chinese Canadians
Supporting the Democracy Movement in
China (formed on May 20, 1989), TADC
was incorporated as a non-profit organization
in Ontario in April, 1990. It now has about
200 members. Its main objectives are to
educate the Canadian public and lobby the
government on democracy and human rights
issues (e.g. Mohawk rights), and to provide
support for non-violent, pro-democracy
movements around the world, particularly in
China.

In 1990 it organized activities on the
theme "We will not forget the June 4
Massacre." During the May-June period
("Democracy Month"), a large-scale Concert
for Democracy was organized, followed by a
drawing contest, an art exhibition and a rally
in Toronto. As part of its lobbying effort,

TADC wrote to the Secretary of State for
External Affairs, Mr. Joe Clark, in support of
Canada's suspension of normal relations with
China until human rights were respected in
Beijing. It also supplied information to the
fact-finding mission of the parliamentary
delegation on human rights in China.
Together with other groups in Toronto, the
TADC organized a protest and forum on the
Chinese National Day. A joint press
conference was held on the International Day
for Human Rights on human rights violations
in China.

TADC continues to work closely with
and provide some funding for Chinese
students and scholars in Canada who
participated in the democracy movement In
addition to organizing a series of educational
seminars on Chinese politics and culture, it
sponsored the first North American
Conference of Community-Based
Organizations in San Francisco and hosted
the second one in Toronto in April this year.
(see p. 16) On some occasions, eye-witnesses
to the massacre were invited to speak. It will
continue to monitor the suppression of
dissidents and secret trials taking place in
China and to call for the release of poliucal
prisoners. Representatives of TADC also
attend meetings of other similar
organizations as part of its liaison and
networking effort It shows concern and
support for other groups such as the Tibetan
people, the Lithuanian community and South
Africans.
Address:

Suite 407, 253 College Street
Toronto, Ontario M5T 1R5
Chairperson: Dick Chan
(416) 931-7621

Spadina Chinatown

UPDATE 13

Support for Hong Kong in the UK

When the Joint Declaration between
Britain and China was signed in 1984, the
prevailing attitude in London was that duties
to Hong Kong had been satisfactorily
discharged and that there was little need for
disquiet. This perception was reflected in the
relatively small number of organizations,
MP's or other prominent people who made
Hong Kong or safeguards for its people a
particular focus of their interests.

Since the Peking massacre of June 1989
and the subsequent introduction of the HK
Nationality Bill in April 1990, the issue of
Hong Kong's future has attracted greater
media coverage in the UK. Organizations
campaigning for a more open immigration
policy and greater democracy in Hong Kong
were set up while existing groups increased
their activities. In addition, many public
figures spoke out on these issues.

The level of activity over Hong Kong
should not be overstated. Now that the
immigration controversy is considered to be
settled (see UK Nationality Package, p. 3),
there has been a concomitant decline in Hong
Kong's media profile. Consequently, there is
decreasing public awareness of and interest
in Hong Kong. Below are listed the main
organizations and notable individuals in
Britain involved with Hong Kong issues.

Friends of Hong Kong Committee

This organization was set up in 1986 in
response to uneasiness about the return of
Hong Kong to Mainland China in 1997.
Highlighting the general British
complacency on Hong Kong issues, the
Committee in a press release stated, "It is a
matter of some pride to reflect that our
Committee then and subsequently was
almost alone in taking a more sceptical view
[of the Joint Declaration]."

The main activity of the Committee is the
publication of a quarterly release, The Hong
Kong Monitor, which provides current
information on events in Hong Kong, China
and elsewhere. It also sponsors periodic
seminars on matters of concern about Hong
Kong. Its seminar in July 1989 in response to
the Peking massacre attracted considerable
publicity and was well attended. A number of
distinguished people, including academics,
politicians, businessmen and military officers,
are members of its Board of Directors.

by Harriet Clompus
London
Address:

301 Radnor House
93 Regent St., London VV1R 7TE

The Anglo-Hong Kong Trust

Founded in 1988 by two British and two
Hong Kong businessmen, the Anglo-Hong
Kong Trust aims "to preserve the special
relationship existing between Hong Kong
and Britain for the last 150 years." It
maintains strong links with Hong Kong and
expatriate Hong Kong businessmen, and has
Councils in both countries. The organization
stresses the benefit of economic and cultural
ties between Britain, Hong Kong and China
and seeks to promote understanding through
cultural and educational exchanges as well as
through the sponsorship of regular seminars
for businessmen and professionals from the
three countries.

One of its most important projects was
the establishment of Hong Kong's first
Business School of Management for
Executives. The Trust also supports
numerous cultural activities like the building
of a new opera house in the Midlands and
exchange programs that send British
musicians to Hong Kong and Hong Kong
artists to Britain. Recently in February 1991,
the Trust organized a concert of leading
young musicians from Hong Kong at the
Royal Festival Hall in London. The event
was attended by Princess Alexandra and
Douglas Hurd, the Foreign Secretary.
Address:

58 St James's Street
London SW1

Honour Hong Kong

This association was organized in 1989
by a group of British businessmen with links
to Hong Kong. Its major function is to
promote awareness of the Hong Kong
predicament and to pressure the British
government for a fair and "honourable"
immigration policy for the colony.
Address:

67-69 Whitfield Street
London W1P5RL

The Hong Kong Link

Hong Kong Link is a London-based
lobby group calling for the democratization
of Hong Kong and for British passports for

all Hong Kong citizens. It was set up in 1989
by Gideon Lung, an Oxford postgraduate
student from Hong Kong, after the Peking
massacre.

In general the British Chinese community
has been notably quiet on the issue of
passports for Hong Kong citizens. It has been
ambivalent towards the prospect of mass
immigration from Hong Kong because of the
perceived threat that an influx of new
Chinese talent would pose to their position in
British society [The Times, April 5, 1990: 2].
Hong Kong Link, based within the Chinese
community, has challenged the assumption
that this was the attitude of all Chinese in
Britain.

Politicians

The Hong Kong Immigration Act was
extremely unpopular amongst right wing
Tory MP's who viewed it as a relaxation of
the tough immigration policy on which they
had come to power. In language little short of
racist, Conservative MP Tony Marlow
registered his disgust at the "government
gaily deciding to let another quarter of a
million in." The leader of this "anti-Hong
Kong group" was Norman Tebbit, former
Conservative Party Chairman, who was
particularly vociferous in his attacks during
the passage of the Act through Parliament.

Labour's official policy on Hong Kong
has not been very consistent. In January
1990, Gerald Kaufman, shadow foreign
secretary, said regarding the immigration
issue that a Labour government would allow
only a few thousand Hong Kong Indians,
war-widows and British intelligence staff to
be given British citizenship. However, the
party's official policy was to vote for the bill
so that it would not be viewed as voting with
the Tory right wing.

The Liberal Democrats have claimed a
special concern for Hong Kong and have
stressed the promotion and safeguarding of
democracy in the territory before and after
1997. In part this position is due to the
commitment of Liberal leader Paddy
Ashdown, who was stationed in Hong Kong
as an army officer and speaks Cantonese. In
a recent letter to The Guardian (April 6,
1991), five Liberal Democrats wrote on the
occasion of Douglas Hurd's visit to China, to
criticize the Conservative Government's

14 UPDATE

"lack of concern over the half-hcaned
approach to democracy" that has been
allowed to exist in Hong Kong.

Support of individual MP's for Hong
Kong can also be determined from their list
of interests in Dodd's Parliamentary Year
Book. These include:

Robert J. Ad ley (Conservative,
Christchurch) - member of the British
Chinese Parliamentary Group.

RL Hon. Jack Ashley (Labour, Stoke-on-
Trent) - interest in China and Hong Kong.

J.W. Bray (Labour, Motherwell S.) -
Hong Kong and overseas development.

J.R. Couchman (Conservative,
Gillingham) -concern with Hong Kong and
China.

Robert Parry (Labour, Liverpool
Riverside) - patron of the UN Association of
Hong Kong 1976, Association for
Democracy in Hong Kong 1980, Association
of the Promotion of Public Justice in Hong
Kong, 1984, and founder president of the
Hong Kong Peace Association, 1986.

Robert E. Sims (Conservative,
Christchurch) - former director of Inchcape
International, lists Hong Kong as an interest.

P. Wall (Labour, Bradford North) -
interests in Hong Kong and China.

Commentators

Bernard Levin, columnist in The Times,
has written several articles criticizing the
British government's handling of Hong
Kong issues, in particular what he sees as the
government's conciliatory stance towards
Peking.

Peter Jenkins, columnist in The
Independent, has also been critical of the
Hong Kong Immigration Act, which he
dubbed "the prejudicial numbers game," and
of the British government's lacklustre pursuit
of democracy for Hong Kong.

John Walden, former Director of Home
Affairs in the Hong Kong government, has
also been an outspoken critic of the U.K.
government's Hong Kong policy. In addition
to his book, Excellency, Your Slip is
Showing! (1983), he has written several
articles on the Immigration Act, which he
described in the Times (June 29, 1989) as a
"scheme which comes too late and offers too
little," on Sino-British relations, and on
democratic rights in Hong Kong.

Winnipeg Hosts First National Meeting of Chinese
Canadians Since 1975

by Stephanie Gould
Winnipeg

On March 22-24, the Winnipeg Chinese
Cultural and Community Centre hosted a
symposium on challenges facing the Chinese
Community in Canada in the 1990's.
Discussion focused on immigrant youth
issues ("Asian Gangs/High Achievers in
Academic Institutes"), entrepreneur and
investor immigrant issues, and the head tax
redress question. It was the first national
gathering of Chinese Canadians since 1975,
when the community met in Vancouver to
discuss the federal government's Green
Paper on Immigration.

According to Dr. Joseph Du, President of
the Winnipeg Chinese Cultural and
Community Centre, "This conference should
have happened a long time ago. The Chinese
community in Canada is growing rapidly,
with a population of well over 700,000. 1
found a need for the Winnipeg conference
several years back, but I didn't get the same
level of enthusiasm and government response
until last year."

Dr. Du believes immigration regulations
must be changed to accommodate the
realistic needs of immigrants from Hong
Kong. He believes the regulation that
requires immigrants to stay in Canada six
months plus one day in order to qualify for a
visa is forcing many immigrants to become
"astronauts." "That is ridiculous. That's
created a situation in which a lot of people
are flying back and forth," says Dr. Du.

Many immigrants have difficulty
understanding the differences in labour and
safety codes and zoning laws. Dr. Du,
therefore, believes that immigration
regulations should be relaxed to make it
possible for investor immigrants to figure out
how to set up a viable business before they
are required to live here for prolonged
periods of time. He recommends that the
immigration process should be speeded up
"so people who want to come can come. If
Canada wants capital investment plus
eventually for all these people to come here,
then we have to review our policy and maybe
make it a bit more appealing."

Manitoba is not a favoured destination for
investor immigrants from Hong Kong.
However, Dr. Du maintains that will change.
"I think that people will start moving away
from Toronto because of saturation and the

housing market. With traffic pollution, noise
and security problems, Toronto is gaining a
negative image." He would like to see a
coordinated effort on the pan of the
Manitoba government to encourage investors
from Hong Kong to develop industries and
create jobs. He hopes that future investment
in Manitoba will lead to new, wealthy
immigrants from Hong Kong creating jobs to
help poorer Indochinese refugees.

He would also like to see the Manitoba
government spend money on outreach
programs for immigrants. He believes
education and social activities are important
in the assimilation and settling of immigrants
to Canada.

The "head tax" issue and redress are
important to the Winnipeg Chinese
community, and there are diverse opinions
on the issue. "Some younger groups are a
little bit more militant to say the least," says
Dr. Du. Recently, the Chinese Canadian
National Council, Winnipeg Chapter, issued
the following statement: "As Canadians, we
recognize that our society can only be as
sirong as our weakest link and that
discrimination directed against any one
group is an injustice to all."

According to Dr. Du, "The new Hong
Kong immigrants couldn't care less because
they don't know Canadian history anyway.
So the head tax and exclusion act are pretty
foreign to them. And the boat people also
don't feel very strongly because they don't
know very much about it It's the older
organizations such as the Chinese Benevolent
Association, Chinese Freemason Society and
some of the immigrants that came here in the
1960's and 1970's that care."

In 1984 a group of senior citizens in
Winnipeg asked Dr. Du to speak on their
behalf. "In fact, they turned in all their head
tax certificates to me. We have over thirty
pieces of original paper. Whether these are to
be used for redress or put in an archive in the
Chinese Cultural Centre will remain to be
seen," said Dr. Du.

At the conclusion of the Winnipeg
conference, the Chinese community decided
that demands for redress should not put too
much emphasis on dollars and cents because
Canada is in a recession and many Canadians

Winnipeg Meeting, cont'd, page 16

UPDATE 15

Winnipeg Meeting, from page 15

are losing their jobs. "We decided to ask for
something more reasonable and acceptable to
the Canadian public. Redress could be an
apology, a guarantee that it won't happen
again, the rewriting of Canadian history
books in schools so that future generations
will know about the head tax and exclusion
act, or symbolic compensation," Dr. Du
suggested.

An expanded Chinese Canadian National
Conference was held on May 18-19 at the
downtown Holiday Inn in Toronto. The
agenda was similar to that of the Winnipeg
conference but included discussion on the
Canadian constitution and the Chinese
community's increased participation in
Canadian politics.

Two Project Workshops in June

Director Lectures on
Hong Kong

Diana Lary recently gave two
lectures in England on issues related to
Hong Kong. The first, on the
internationalization of Hong Kong, was
at Chatham House (Royal Institute of
International Affairs) on April 25. The
second, on emigration from Hong
Kong, was part of a conference on a
Commonwealth issues research network
held at Cumberland Lodge, Windsor
Great Park from April 26-28.

The second and third workshops for the
Canada and Hong Kong Project are to be held
in June. One workshop, "Dialogue on Hong
Kong: Coverage of Hong Kong issues in the
Canadian media," will take place in
Vancouver at Simon Eraser University
Harbour Centre on Saturday, June 15. This
session will include over thirty invited
participants from the English and Chinese
media in Vancouver and Toronto as well as
academics, members of the federal and
provincial governments, free lance
journalists, members of the Vancouver and
Toronto police, and other specialists on Hong
Kong/Canada relations. Four sessions at the
meeting will cover the topics of Hong Kong
investment and trade in Canada, the impact of
immigration, political issues such as civil
rights, and special issues in media coverage,
including the role of the Chinese-language
press and ethical issues in press reporting.
The workshop is jointly sponsored by the
Asia Pacific Foundation of Canada and the
Joint Centre for Asia Pacific Studies.

Another workshop focusing on
international law, "Canada - Hong Kong:

Some Legal Considerations," will be held at
the University of Hong Kong on June 26 in
conjunction with "Festival Canada 1991."
(see p.2) This workshop is jointly organized
by the Faculty of Law, University of Hong
Kong and the Joint Centre for Asia Pacific
Studies. Its convenor is Prof. William Angus
of Osgoode Hall, York University. Five
papers will cover the following topics: "Hong
Kong's International Personality - Issues and
Implications," by Dr. Roda Mushkat, Faculty
of Law, Hong Kong University; "Coming
and Going under Immigration and Refugee
Law," by Prof. W. Angus; "Civil Proceedings
Arrangements between Hong Kong and
Canada: Service of Documents, Taking of
Evidence and Enforcement of Judgments," by
Prof. Maurice Copithome of the University of
British Columbia and former Commissioner
for Canada in Hong Kong; "Extradition
Between Hong Kong and Canada," by Janice
Brabyn, Faculty of Law, University of Hong
Kong; and "Personal and Corporate Status in
Hong Kong," by Philip Smart, Faculty of
Law, University of Hong Kong. The papers
will be published by the Project in the fall.

Lu Ping: Assurances on Hong Kong's Future

In an address to the Hong Kong
General Chamber of Commerce on
March 8th, Lu Ping, director of the Hong
Kong and Macau Affairs Office of the
State Council, reassured business people
about the secure future of Hong Kong

as a stable and prosperous financial and
trade centre. He also promised a great
future for Hong Kong as a "bridge,
channel and window" between China and
the rest of the world (Hong Kong Digest,
March 15th, 1991).

Conference on Human Rights and Democracy in China

The second North American
Community Based Organizations
conference on human rights and democracy
in China was held on April 6-7 at the
University of Toronto. The conference was
organized by the North American Coalition
for Chinese Democracy and was opened by
the mayor of Toronto, Art Eggleton. The
keynote speaker was the Honourable Bob
Rae, premier of Ontario. Ed Broadbent, the
president of the International Centre for
Human Rights and Democratic
Development in Montreal, spoke on the
Fifth Modernization in China - the
introduction of democracy. Gordon Cressy,
Vice-President, University of Toronto,
spoke on behalf of the university. Duo Duo,
poet in residence at York University, gave a

poetry reading. The Coalition presented
Human Rights awards to Tania Chen, an
activist in New York, to Felice Gaer, of the
International League for Human Rights,
and, in absentia, to Ren Wanding, who is in
prison in China. Citations were presented to
the Toronto City Council, Amnesty
International and Asia Watch.

Three hundred delegates attended the
conference, ninety of them from outside
Toronto: there were delegates from the
United Kingdom, the Netherlands,
Switzerland, and Hong Kong. A resolution
advocating human rights and democracy
was passed at the end of the meeting. A
connection was made by a number of
speakers between the future human rights
situation in Hong Kong and that in China as

a whole. Szcto Wah, of the Hong Kong
Alliance, called for people from Hong
Kong living abroad to keep up the pressure
for change in China. He stressed how
crucial this would be for Hong Kong in the
future. Ching Cheong, the chief editor of
Contemporary News, Hong Kong, talked
about the "demonstration effect" of human
rights activity in Hong Kong for the future
of China. He encouraged emigrants to keep
in touch with what is going on in Hong
Kong and to work for human rights there.
He saw a pattern of human rights advocacy
moving from Chinese abroad to Hong
Kong, then on to Guangdong and finally to
the rest of China.

7f CANADA AND HONG KONG UPDATE

Number 5

The first of two festivals celebrating the
Canada/Hong Kong relationship was
held this year. During his visit to Canada
in May, 1990, the governor of Hong
Kong, Sir David Wilson, and Prime
Minister Brian Mulroney agreed to hold
reciprocal festivals. Festival Canada was
held in Hong Kong in May and June.
1991: Festival Hong Kong will be held
in Canada next year.

Festival Canada '91 was composed of
a large number of events coordinated b\
the Canadian Commission: the chairman
of the Board of Festival Canada was
John Higginbotham. the
Commissioner for Canada.
There was active involvement in
planning the Festival from provincial
offices in Hong Kong, community asso-
ciations, 15 alumni associations of
Canadian universities and 20 corpora-
tions. Funding for the Festival was
largely through private sponsorship: the
Canadian Government provided 20% of
the total.

Much of the Festival w as made up of
formal events, but there were also con-
tinuing activities which ran throughout
the two weeks of the Festival and gave
prominence to Canada in many parts of
Hong Kong.

FESTIVAL CANADA '91

Festival Events

MAY 22nd-26th

The visit of Prime Minister Mulroney to
Hong Kong, to launch the Festival. (See
Update, 4. Spring 1991.)

JUNE 19th

The official opening of the heart of
Festival Canada took place at a luncheon
organized by the Canadian Chamber of
Commerce in Hong Kong. The speakers
were John Higginbotham. Commissioner
for Canada, and the Governor of Hong
Kong, Sir David Wilson. Both speakers
referred to the overall theme of the
Festival. Canada and Hong Kong:
Friends Yesterday, Today and
Tomorrow. Sir David spoke of the "cele-
bration of a very healthy relationship", and
the "demonstration of ties that bind." (see
his Speech, p. 3)

JUNE 20th

The Asia Pacific Foundation of Canada

held a symposium on An Enduring
Partnership, Planning the Co-prosperity
of Canada and Hong Kong. The day-long
series of panels looked at the economic
interrelationships between Canada and
Hong Kong. It was coordinated by Yao
Wei. Asia Pacific Foundation, Vancouver.
The Honourable David Lam. Lieutenant
Governor of British Columbia, spoke at the

FESTIVAL

CANADAO

FALL 1991

firj * * In / I

CANADA AND HONG KONG
/ riendt Yesterday, Today at

luncheon. His theme
was that the grow-
ing relationship
between
Canada and
Hong Kong
was a win-
win situation,
and that the
relationship.
it carefully
nurtured, would bring great benefit to both
sides. Victor Li. senior vice-president of
Concord Pacific Holdings, spoke of the bene-
fits of investment in Canada for various types
of Hong Kong investors.

JUNE 20th

A Gala Fashion Show featured styles by a
number of Canadian designers, including
Alfred Sung, a native of Hong Kong. About
three hundred people were at the show and
the dinner which preceded it.

JUNE21st-22nd

A three day conference on the Hong Kong
Bill of Rights Conference was organized by
the Faculty of Law. University of Hong
Kong. The Canadian Government was one of
the conference sponsors and arranged the
\ isits of a number of Canadian legal experts.
The Canadian contributors were Madam

Festival Canada cont'i page 2

IN THIS ISSUE:

Festival Canada '91 1

Hong Kong Festival in Canada '92 2

Sir David Wilson's Speech 3

Comments by John Higginbotham 3

per

F1029.5

H6 C36

Reporting Crime Statistics 4

Controversy o\er Dim Sum Diaries 5

Regional Variations 6

Hong Kong Students in Ontario 7

Hong Kong's New Manufacturing Base 8

Japan & Hong Kong Trade 9

PADS Agreement I

Hong Kong Elections 12

Emigration from Hong Kong 12

Choosing to Stay Behind 12

Associations 14

Conferences IS

Justice Bertha Wilson (former judge of the
Court of Appeal, Supreme Court), the Hon.
Mr. Justice Walter Tamopolsky (Ontario
Supreme Court of Appeal), Professor
Rosemary Cairns Way (University of
Ottawa) and Chief Superintendent Patrick
Cummins (RCMP, Vancouver). They spoke
on various aspects of the implementation of
the Charter of Rights in Canada, and the
lessons there might be for Hong Kong. (See
Rights Conference, p. 18.)

JUNE 22nd

The Colourful Canada Ball was arranged
by the Canadian Chamber of Commerce. It
was attended by about 400 people.

JUNE 25 th

A seminar on Legal Issues between Canada
and Hong Kong was put on by the Canada
and Hong Kong Project and the Faculty of
Law, University of Hong Kong. (See Legal
Workshop, p. 19)

JUNE 30th

The Celebrate Canada Picnic was held at
Happy Valley Racecourse. The event was
widely advertised, and anyone who wanted
to celebrate Canada was invited. About
28,000 people came.

JULY 1st

The last event of the Festival was the dedica-
tion of a totem pole (p. 1), carved by
Tahltan-Tlingit artists Dale and Terry
Campbell, in Kowloon Park, as an enduring
symbol of the Festival. The pole had been
presented by Prime Minister Mulroney on
May 24th to Sir David Wilson. The dedica-
tion involved a Tshimishan ceremony,
attended by First Nauon representatives in
traditional costume.

Cultural Events

The Festival included a number of cul-
tural events spread out through the Festival.
There was a cinema festival of ten Canadian
films. Bethune, the Making of a Hero, a
PRC/Canadian co-production, had its Hong
Kong premiere. There were performances
by Les Grands Ballets Canadiens, by cel-
list Ofra Harnoy, by dancer Margie Gillis,
and by pianist Jean-Paul Sevilla.

Huang Zhongyang's pictures, exhibited
at the Cultural Centre, caused considerable
interest with their novel combination of
Chinese and Western themes. Some of the
most striking paintings are based on

Western paintings, transposed to a Chinese
setting. The Last Supper is a variant of
Leonardo's work, but with Christ and the
Disciples Chinese and a portrait of Mao
Zedong on the wall behind them. Butterfly
in a Dream is a female nude painted from
the rear, gazing at a picture of Chairman
Mao. Huang immigrated to Canada from
Guangdong in 1984.

There were also exhibitions of paintings
by Karen Kulyk and of pottery by Laura
Wee Lay Laq.

Many prominent Canadians were in
town for the Festival. The Honourable
David Lam, Lieutenant Governor of British

Columbia, was widely interviewed. Art
Eggleton, the mayor of Toronto, attended a
number of events. Miss Canada, Leslie
McLaren, was in Hong Kong for much of
the Festival and christened a new Canadian
Airlines International aircraft.

Business Meetings

Several business organizations held
meetings to coincide with the Festival. The
All Asia Canadian Business Association
held its annual meeting, as did the Hong
Kong Canada Business Association. The
government of British Columbia mounted a
British Columbia Film Industry Seminar.

Chinese Canadian mounties

Hong Kong Festival in Canada '92

As a counterpart to the recent Canada
Festival in Hong Kong, a reciprocal event is
now being planned to take place in cities
across Canada for the fall of 1992. In addi-
tion to the Hong Kong Government and the
Urban and Regional Councils, a number of
associations are involved in the organization
of events. They include the Hong Kong
Trade Development Council, the HK Tourist
Association, the Hong Kong-Canada
Business Association, and other major orga-
nizations in Hong Kong and Canada as well
as local community leaders of the Chinese-
Canadian community.

Like Festival Canada, the Hong Kong
Festival will feature a wide range of cultural,
sporting, social and business events with the
objective of promoting better integration of
the Hong Kong Chinese into Canadian com-
munities. According to James So, Hong
Kong Secretary for Recreation and Culture,

the theme of the festival will be "Hong Kong
and Canada: Friends Across the Ocean."
Major highlights will include trade and busi-
ness promotion, cultural performances, food
festivals, films shows, exhibitions related to
Hong Kong and recreation and sports events.
It is also proposed to celebrate the Lantern
Festival which falls within this time period.
In addition, cultural galas will be organized
to raise funds for local Canadian charities.
The festival will occur in a number of cities
with the main events in Toronto and
Vancouver.

The Canada and Hong Kong Project is
involved in planning events for Toronto. One
proposed activity is a continuation of the
Legal Issues Workshop held last June in Hong
Kong (see p. 19). Topics may include a com-
parison of the Canadian Charter with the new
Hong Kong Bill of Rights.

2 UPDATE

"Last month the Prime Minister of
Canada came to Hong Kong as a very wel-
come guest. He launched Festival Canada
'91. The finishing touches have now been
made. The entertainers have arrived. The
exhibitions have been set up. The heart of
the festival is about to begin.

Festival Canada is a celebration of a very
healthy relationship. It is a demonstration of
the common interests which bind our two
communities together. It is also an enter-
tainment, bringing to Hong Kong examples
of Canada's heritage, its culture and the
way Canadians enjoy themselves.

I am very pleased that Hong Kong is
hosting an important festival of celebration
with such a friend as Canada. Hong Kong
has much to celebrate. It also has need of
friends. We face a number of challenges. It
is good to enjoy what is going right, while
tackling what still needs to be put right.

The contrast between some of the more
alarmist news stories about Hong Kong and
what is actually happening here may strike
visitors from Canada more forcibly than
those of us who live in this unique territory.
But we too can sometimes lose sight of the
broader picture. We are sometimes prone to
being too obsessed with whatever is our
immediate problem. We need to remind
ourselves from time to time about the
broader picture.

Part of this larger picture is that Hong
Kong is not just a place with problems.
Every place in the world has that in one
way or another. Hong Kong is a place
which demonstrated success - visible suc-
cess. Success against the odds. Not every-
where can say that.

In a sense, Hong Kong's success is the
reason why most people are here - Chinese
from the Mainland who themselves or their
families before them came to find a new
life, or westerners attracted by the vibrancy

Sir David Wilson's Speech
Opening of Festival Canada '91

of Hong Kong's unique blend of cast and
west. That success has meant for the people
of Hong Kong a real growth in incomes.
This growth has averaged over 3% a year
for the past 15 years. It has meant new
housing, schools, hospitals, parks, museums
and the amenities of modem life. And it has
meant the transformation of this city from a
manufacturer of cheap products to a finan-
cial, business, transport and telecommunica-
tions centre serving the region and the
world.

Success has also meant a rapid growth in
Hong Kong's commercial and trading links.
We have played an important part in the
tremendous growth of trans-Pacific trade.
And we have made a substantial contribu-
tion to the development of southern China's
economy. Some of you will be familiar with
the statistics. But they are worth repeating.
About two million workers in Guangdong
Province are employed by Hong Kong
enterprises, over twice the size of our own
manufacturing workforce; and about 70% of
overseas investment in China derives from
Hong Kong. What is less well known is just
how successful this process has been. The
value of exports from Guangdong Province
grew by over 40% last year alone. The com-
bined talents of Guangdong and Hong Kong
is proving a powerful combination. The
potential is tremendous. With southern
China growing fast Hong Kong will have a
major role to play for many years to come
as the gateway to this area of rapid econom-
ic development.

No wonder the Canadian community
here is large - as many as 35,000 people -
and that Canadian investment in Hong
Kong and southern China is growing.
Canadian businessmen can see the potential.
They see that, whatever the immediate
political concerns may be, the opportunities
are there too; and the long-term prospects

for economic growth are at least as good in
Hong Kong as anywhere in the world.

We welcome this Canadian involvement.
And we welcome the very practical interest
which Canada has taken in Hong Kong. The
Prime Minister of Canada's visit to Hong
Kong last month was a most welcome
demonstration of that interest. In his speech-
es here and in his meetings with me, he left
a strong impression of the goodwill towards
Hong Kong that exists in Canada and of
Canada's conviction of the value to the
international community of Hong Kong's
continued success.

We treasure this goodwill. We recipro-
cate the feelings of friendship. And we look
forward to showing Canadians more about
Hong Kong next year. Some of you who are
visiting from Canada are already involved
in the planning for the Hong Kong Festival
which will take place in cities across
Canada in the autumn of 1992. That will be
our opportunity to give pleasure and enjoy-
ment in return; our chance to demonstrate
how much Hong Kong has to offer.

But this year it is Canada's turn. I con-
gratulate the organizers of Festival Canada
on putting together such an impressive
range of entertainment It represents a great
deal of effort, imagination and financial
support. It is a demonstration of the way the
Canadian community and Canadian busi-
nesses are so ready to participate in Hong
Kong life. And it says much for the dedica-
tion and efficiency of the Commission for
Canada which has pulled together these
many contributions to such good effect.

I wish Festival Canada a successful cele-
bration of its central theme "Canada and
Hong Kong: friends yesterday, today and
tomorrow."

Comments by John

Higginbotham

Commissioner for

Canada

Festival Canada Picnic,

June 30, 1991

"I'm happy to welcome you here today
as we highlight what I believe is one of the
most exciting and multifarious events of
Festival Canada '91 - the Festival Canada
Picnic.

If I were to search for any single word
that might sum up the "why" and "what" of
the more than 60 wide-ranging events, dis-
plays, activities and exhibitions that make
up Festival Canada '91, that word would

simply be "People."

Based on the theme "Canada and Hong
Kong; Friends Yesterday, Today and
Tomorrow," Festival Canada is a vibrant
and wholehearted celebration of the grow-
ing cultural, trade and personal ties that
bind the people of Canada and the people of
Hong Kong.

The idea for Festival Canada '91 origi-

John Higginbotham con't page 4

UPDATE 3

John Higginbotham. from page 3

nated when two people, Prime Minister
Brian Mulroney and the Governor, Sir
David Wilson, agreed that the very special
relationship between Canada and Hong
Kong is something worth celebrating, first
with a festival in Hong Kong in 1991, and
then with reciprocal festivals in cities across
Canada in 1992.

The reality of Festival Canada '91 came
about through the planning and organising
and hours of labour of hundreds of people,
members of the Canadian community in
Hong Kong, who worked diligently to pro-
duce a Festival that brings the culture and
lifestyle and very best of Canada to the
heart of the territory.

That reality is a Festival that all the peo-
ple of Hong Kong, no matter what their age
or interest, can join in and be part of.

And nowhere is that people-to-people,
comunity-to-community joining more evi-
dent that in the Festival Canada Picnic.

The biggest single event of Festival
Canada '91, the day-long Picnic, features

John Higginbotham

live entertainment, local celebrities, lucky
draws, games, spoils, displays, activities for
children and, of course, hearty Canadian
picnic fare like the Pancake Breakfast,
Western Barbecue, and delectable selec-
tions at the Provincial Food Tents.

In short, Canada is throwing the biggest
party ever for Hong Kong and it guarantees
fun for every member of the family, with
everything from arts and crafts, clowns and
street theatre, art in the park, hot air balloon
rides, and a variety of games booths with
proceeds going to charity.

The Festival Canada Picnic is the
climax of Festival Canada '91, which was
officially launched by Prime Minister
Mulroney and Sir David on May 24 during
Mr. Mulroney's visit to Hong Kong.

The seed of their idea and the caring of
many people, working individually and
through organisations such as the Canadian
Club, the Canadian Chamber of Commerce,
the Chinese Canadian Association, and the
Canadian University Association, has
grown into a wonderful celebration for all
of us to enjoy.

The Festival Canada Picnic is a colourful
crown for that celebration and a thoroughly
entertaining day for people everywhere."

Reporting Crime Statistics

The question of whether or not crime
statistics in Toronto should be kept on the
basis of ethnic origin has caused a major
disagreement within the Chinese Canadian
community.

Sergeant Benjamin Eng, a member of the
public affairs department of the Metro
Police, told the Toronto Crime Enquiry on
July 24th that two-thirds of offenses com-
mitted in Toronto in 1990 by people of
Asian origin were perpetrated by refugees
from Vietnam and China. (The number of
crimes was 3,000, out of a total of 273,706
offenses committed in Toronto in 1990; in
1 ,500 cases those charged were Vietnamese
refugees, in 500 cases PRC refugees). He
called for a tightening of the refugee deter-
mination procedures, so that "phoney
refugees" could not abuse the system. The
PRC is currently the largest single source of
refugee claimants in Canada.

Eng was taken to task by Susan Eng (no
relation), head of the Metro Toronto Police
Services Board, for "wilful and direct con-
travention" of the police policy that no
crime statistics should be compiled or pub-
lished on the basis of ethnic origin. Though
Sergeant Eng gave his views as a private

citizen, he was given a formal reprimand by
police authorities. The reprimand will stay
in his file for two years.

Reaction to the statements of the two
Engs from the Chinese and Vietnamese
communities was mixed. Some spokesmen,
including representatives of the Vietnamese
Association and the Chinese National
Council, condemned Benjamin Eng and
accused him of spreading a negative picture
of Asian communities in Canada. Others
commended him for speaking out about an
issue which concerns many Asian
Canadians. Those who commended him
included many of the professional and busi-
ness groups and the Eng Clan organization.
On August 13th, a group of representatives
of business and professional Chinese
Canadian organizations presented a motion
to the Police Services Board asking that the
policy on crime statistics kept by ethnic ori-
gin be reviewed. They were supported by
Chief of Police William McCormack. Six
days later, another group of representatives
of the Chinese community held a news con-
ference to oppose keeping crime statistics
by ethnic origin, on the grounds that it
would not be helpful in combatting crime

and that it might foster racism. On August
23rd, the Police Services Board decided not
to change its current policy.

Benjamin Eng's concern for precision
about the immigration status of criminals of
Asian origin stems from the wide-spread
coverage given recently to "Asian crime,"
which tends to lump all people of Asian ori-
gin together, whether they are native-born
Canadians or immigrants from China, Hong
Kong, Vietnam or Southeast Asia. This cov-
erage can be inflammatory, as evident in the
March 25, 1991 issue of Maclean s maga-
zine whose cover in red and gold had 'TER-
ROR IN THE STREETS' emblazoned
across it in 1 V 2 inch letters and a posed pic-
ture of a young Asian man holding a gun.
Eng spoke at length on this subject at the
media workshop run in Vancouver by the
Canada and Hong Kong Project, in conjunc-
tion with the Asia Pacific Foundation of
Canada. The transcript from the workshop
will be available soon and can be purchased
from the Joint Centre for Asia Pacific
Studies.

4 UPDATE

Controversy Over "Dim Sum Diaries"

"Dim Sum Diaries" is a radio series pro-
duced by the CBC Vancouver Station. Each
of its five parts - "Foreign Accents,"
"Perfect Class," "Mah Jong," "The
Sequoias" and "Dim Sum" - is about 15
minutes long when broadcast The series is
about local attitudes towards recent Hong
Kong immigrants and was meant to expose
racist views and stereotypes. The most con-
troversial part, "The Sequoias," was based
on an actual incident which took place on
Vancouver's Westside when a Chinese-
Canadian cut down two one-hundred-year
old sequoia trees.

The series, except for "The Sequoias,"
was first broadcast in February 1991 on
national CBC radio. In March and April the
whole series was aired in the Vancouver
area on five Saturday mornings.

The first negative response to the radio-
play came from Vancouver Sun columnist,
Nicole Parton. Her article on April 22nd
drew public attention to the program and
declared that the play was a "racist dia-
tribe." Leaders of the local Chinese commu-
nity sent complaints and letters of protest to
CBC. Bill Yee, president of the Chinese
Benevolent Association, declared, "I think it
is the worst kind of stereotyping I have
heard in a long time."

SUCCESS (United Chinese Community
Enrichment Services Society) president,
Maggie Ip, wrote a letter to CBC's director
of radio, Robert Sunter, arguing that the
play had promoted ethnic stereotyping and
reinforced racial hatred. She quoted
abstracts from "Dim Sum Diaries" to sup-
port her view. Such comments as "this
Hong Kong voodoo thing," which refers to
Fengshui, is an attack on some aspects of
Chinese culture and traditioa She maintains
that a quote from "The Sequoias" - "at that
moment I just wanted to take that chain saw
and go up to Chang's white Jaguar and cut
the car in two, and it would have been better
still if I had done it when Chang was inside"
- is an inspiration to violence and racial
hatred. Finally, "he likes Chinese women so
much; he says we know how to please a
man" is a comparison of Chinese immigrant
women to stereotypes like Suzy Wong.
Besides such complaints from leaders of
major Chinese-Canadian organizations,

by Hugh Xiaobing Tan
Vancouver

some politicians elected from the ethnic
community also expressed their criticism of
the play.

In response to such criticisms, the author
of the series, Mark Leiren-Young, defended
his work in an interview with a Vancouver
Sun reporter. He declared his intention was
to promote better understanding between
different communities and not the reverse. It
was very upsetting for him to be charged
with intentionally perpetuating negative
stereotypes of Chinese-Canadians. He
emphasized that "Dim Sum Diaries" is not
five separate plays but five scenes in one
work, culminating with "Dim Sum." His
final episode concludes with the message
that everyone can overcome cultural differ-
ences and live together.

While Leiren-Young defended his play,
CBC attempted to ease the anger of the
Chinese community. Robert Sunter read a
public statement to a meeting of the Chinese
Benevolent Association on May 5th. He
said the intention of broadcasting the play
was to "bring to the surface issues and atti-
tudes concerning the Chinese community,"
but now they realized "the series has
offended some Canadians of Chinese ori-
gin." He offered his apology and expressed
regret that CBC's effort to build bridges
between communities had been so pro-
foundly misunderstood.

Sunter's apology, however, was consid-
ered unacceptable by Chinese-Canadian
leaders. Lilian To, executive director of
SUCCESS, said, "The feeling is that it [the
statement] is not an acknowledgment that
the programs were undesirable." Maggie Ip
declared, "We are not questioning their
intentions; very often, we do have good
intentions but the effect may come out very,
very different." In order to put more pres-
sure on CBC, more letters of complaint
were written to the prime minister, all mem-
bers of Parliament, CBC National
Headquarters and the Canadian Radio-
Television and Telecommunications
Commissioa A protest petition was also
circulated among the ethnic Chinese com-
munity, indicating the undersigned "strong-
ly protest the broadcasting of the Dim Sum
Diaries by CBC which provokes racist vio-
lence to and hatred of the Chinese commu-

nity in Canada." More than 1,000 signatures
were collected on the petition. At the same
time, Vancouver East MP Margaret
Mitchell complained to both the CRTC and
the Canadian Race Relations Foundation
that the radio-play reinforced negative atti-
tudes among listeners.

The issue was also brought to the
National Congress of Chinese Canadians,
held in Toronto in mid-May. A resolution
on the matter was passed: 1) CBC should
not repeat such a mistake in the future;

2) CBC should apologize openly in major
newspapers and in CBC radio broadcasting;

3) CBC should report and explain the whole
event to CRTC; and 4) CBC should produce
another series emphasizing the positive
images of Chinese-Canadians. SUCCESS is
now negotiating with CBC to implement
this resolution, and a final agreement is
expected by the end of October.

While the majority of Chinese-
Canadians opposed the radio play, there
were also some who disagreed with their
indictment. Mr. Xu Xin, a well-known jour-
nalist who immigrated from Hong Kong,
wrote an article for the World Journal
Weekly, the popular newspaper distributed
free in the Chinatown area. Entitled "Is it
Racism or Overdefensiveness?", the article
defended the CBC broadcast and mentioned
that the author had carefully read the tran-
script of Dim Sum Diaries and translated it
into Chinese. He declared that he could find
nothing that could be labelled "racism"
Instead, he found only some conflicts
between different cultures and values,
which he considered quite normal for a
society like Canada. He wrote these con-
flicts should be solved with the passage of
time and by better communication between
communities. Regarding the abstracts
alleged to reinforce racial hatred, the writer
pointed out that literature is not a documen-
tary report and allows some exaggeration.

The whole issue surrounding Dim Sum
Diaries has yet to be settled. However, the
controversy aroused by the event has pro-
vided much food for thought for the public
and policy-makers concerning the issue of
properly building a multicultural society.

UPDATE 5

Regional Variations in Hong Kong Immigration

When immigrants leave their home
countries for Canada, they are asked to indi-
cate their destination in Canada. There is no
firm way of establishing whether they actu-
ally stay in their stated destinations, but the
statement of intention is generally assumed
to be a fairly reliable guide to place of set-
tlement. In 1988, 58% of immigrants from
Hong Kong were destined for Ontario, in
1989, 54%, and in 1990, 55%. In 1988,
22% went to British Columbia, in 1989,
24%, and in 1990, 26%. The rise in land-
ings in Quebec between 1988 (6%) and
1989 (10%) was not sustained; in 1990 the
Quebec percentage was 7%. Alberta
accounted for 10% of immigrants in 1988,
8% in 1989 and 9% in 1990.

Permanent Immigrants Admitted
from Hong Kong, by Province 1

1988

1989

1990

Alberta

2257

1623

2535

British Columbia

5188

4849

7660

Manitoba

409

267

340

New Brunswick

33

41

39

Newfoundland

30

28

17

NWT

7

9

17

Nova Scotia

63

71

95

Ontario

13527

10812

16032

PEI

5

3

12

Quebec

1380

1912

1939

Saskatchewan

390

319

342

Yukon

4

1

Total

23293

19934

29029

Within each province, movement of
immigrants from Hong Kong has been over-
whelmingly to the major cities. In 1988,
Toronto accounted for 1 1 ,780 of the 13,527
immigrants to Ontario (87%), in 1989 for
9,329 of 10,812 (86%), and in 1990 for
13,806 of 16,032 (86%). There is an even
more pronounced pattern in British
Columbia. In 1988, 4,965 of 5,188 landings
in British Columbia were in Vancouver
(95%), in 19894,661 of 4,849 (96%), and
in 1990 7,471 of 7,660 (97.5%).

1. These statistics are supplied by the Immigration Statistics
Division, Employment and Immigration Canada. Slight

ame statistics published in earlier Updates reflect
r corrections.

by Diana Lary
Toronto

n"-t

v rv

Permanent Residents Admitted from
Hong Kong, by Urban Area

1988 1989 1990 Total

Calgary

Edmonton

Halifax

Montreal

Ottawa

Quebec

Regina

Saskatoon

Toronto

Vancouver

Winnipeg

Other

destinations

1078

1055

52

1347

139

2

188

91

11780

4965

386

741

791

63

1837

228

15

140

54

9329

4661

225

1302

2960

77

1881

325

18

161

115

13806

7471

311

3121

2960

192

5065

892

35

489

260

34915

17097

922

2010 1850 2448 6308

Total

23293 19934 29029 72256

Amongst cities, Toronto has been con-
sistently the major destination. Over the
past three years, Toronto has been the desti-
nation of 34,915 of the 72,256 immigrants
from Hong Kong, or 48%. In the same peri-
od, Vancouver has taken 24% of all immi-
grants from Hong Kong.

Major regional variations become appar-
ent when we look at destinations in terms of
immigrant class. (In the following tables,
figures for each class include principal
immigrant and direct dependents.)
Immigrants to Montreal are concentrated
heavily in the business classes
(entrepreneur, investor and self-employed).
The percentage of business class immi-
grants destined for Montreal in 1988 was
76%, while for all Canada it was only 19%.
In 1989 the figures were 82% and 25%, in
1990 77% and 23%. The proportions of
family and independent immigrants are
lower than for other parts of Canada. In
1988 for Canada as a whole, 59% of Hong
Kong immigrants were in the independent
class, but in Montreal, 14%. In 1989 the fig-
ures were 43% and 9%, in 1990 44% and
13%.

Montreal, Permanent Immigrants
from Hong Kong, by Class

1988

1989

1990

Family

Conv. refugee

Designated

AssL relative

Entrepreneur

Investor

Self-employed

Retired

Independent

164

9
17
998
23
9

28
194

100

5

22
1167
291
46
36
170

125

1

17

1129

301

19

49

240

Total

1347

1837

1881

In Toronto, the pattern was very differ-
ent, with immigrants concentrated heavily
in the independent class. In 1988 72% of
immigrants were in the independent class
and 10% in business. In 1989 the figures
were: independent 61% and business 13%.
In 1990 they were: independent 57% and
business 12%. In Toronto, the proportion of
independents has declined over time, while
the proportion of relatives (family and
assisted relatives) has grown: 1988 13%;
1989 19%; and 1990 27%.

Toronto, Permanent Immigrants by
Class

1988

1989

1990

Family

1208

1386

2449

Conv. refugee

2

Designated

5

6

6

AssL relative

291

346

1267

Entrepreneur

1014

840

856

Investor

155

281

743

Self-employed

62

86

64

Retired

561

715

606

Independent

8484

5667

7815

Total

11780

9329

13806

Vancouver's intake of immigrants has
also contained a high proportion of indepen-
dents, though not as high as Toronto. In
1988 independents made up 48% of all
Hong Kong immigrants and
business 27%. In 1989 the figures were
independent 37%, business 36%, and in

Hong Kong Immigration cont'd page 7

6 UPDATE

Hong Kong Students In Ontario

Large numbers of students from Hong
Kong have entered schools in Ontario at
both the elementary and secondary levels in
recent years. According to statistics collect-
ed for the Ontario Ministry of Education,
the enrolment of students from Hong Kong
has increased for the period from 1987-88 to
1989-90, from 2337 to 2710 in elementary
public and separate (Roman Catholic)
schools and from 2356 to 3214 in secondary
public and separate schools.

Students from Hong Kong Entering
Ontario Schools (1987-88 to 1989-90)

Year

Public Separate

Elementary Secondary Elemenlary Secondary

1987-88

1847

2224

490

132

1988-89

1582

2201

378

144

1989-90

2238

2963

472

251

The apparent decline for the year 1988-
89 can be explained by the drop in the total
number of landings in Canada of Hong
Kong immigrants from 23,286 in 1988 to
19,994 in 1989. The corresponding numbers
of landings in Ontario are 13,523 in 1988

Hong Kong Immigration from page 6

1990, independent 35%,

business 36%.

The proportion

of relatives increased

(1988 15%; 1989 16%;

1990 19%) though

not as rapidly as in Toronto.

Vancouver, by Class

1988

1989

1990

Family

582

588

1081

Conv. refugee

1

Designated

6

8

AssL relative

155

141

423

Entrepreneur

1064

1317

1554

Investor

257

326

1046

Self-employed

30

49

93

Retired

482

522

645

Independent

2389

1709

2629

Total

4965

4661

7471

by Paul L M. Lee
Toronto

and 10,793 in 1989. [Sec Canada and Hong
Kong Update, Spring 1990.1

It should be noted that statistics on stu-
dents coming to study in Ontario public or
Catholic schools for a particular year are
gathered according to their location of study
in the previous year. Hence, a Hong Kong
student who is studying for the second year
in Ontario will not be regarded as having
come from Hong Kong but from Ontario.
Furthermore, there is no distinction between
visa students and those with immigrant sta-
tus. These facts affect the statistics on Hong
Kong students, as those originally from
Hong Kong are included with students from
Ontario in successive years.

However, statistics for students enroled
in private schools are collected by province
or country of permanent residence. These
indicate that students from outside the
province studying in Ontario private schools
come mainly from Hong Kong, Quebec and
China. (Statistics from the Ministry of
Education do not differentiate between stu-
dents coming from Mainland China or
Taiwan. It is presumed the majority of stu-
dents in the China category are from Taiwan
or Southeast Asia.) The enrolment of stu-
dents from Hong Kong is increasing from
1038 in 1988 to 1685 in 1990, which repre-
sents an increase of 62% within two years.
These are all visa students.

Ontario Private School Enrolment by
Province or Country of Permanent
Residence (1988-90)

Year Hong Kong China

Quebec

1988

1038

107

425

1989

1246

106

450

1990

1685

208

508

Students from Hong Kong coming to
study in Ontario tend to concentrate in
Metro Toronto and its neighbouring regions.
For 1989-90, over 4000 elementary and sec-
ondary students of new immigrants from
Hong Kong enroled with schools in the city
of Metro Toronto and Peel and York
Regions.

Students from Hong Kong
Entering Public Schools in Metro
Toronto and Neighbouring Regions
in 1987-88 to 1989-90

City/Region Elementary Secondary

87- 88- 89- 87- 88- 89-
88 89 90 88 89 90

East York 30 19 37 25 23 31

Etobicoke 12 23 17 26 23 73

North York 431 244 351 5% 558 572

Scarborough 715 677 840 508 511 517

Toronto 212 201 238 628 651 1043

York 10 8 4 13 11 17

Metro 1410

1172

1487

17% 1777 2253

Peel Region 116

130

206

56 90 175

York Region 177

182

361

112 112 233

The number of students entering separate
schools is limited because these schools
give preference in admission to students of
Catholic faith. These students enter schools
mainly in Metro Toronto and neighbouring
regions.

Students from Hong Kong
Entering Separate Schools in Metro
Toronto and Neighbouring Regions
in 1987-88 to 1989-90

School Board Elementary Secondary

87- 88- 89- 87- 88- 89-
88 89 90 88 89 90

Metro 315

214

262

21

22

50

Dufferin/Peel 53

46

62

11

4

29

York Region 83

83

106

42

48

75

As mentioned earlier, students coming to
study in Ontario are classified according to
their place of study in the previous year.
There are about 20,000 immigrants from
Hong Kong entering Canada each year, and
more than half of these immigrants will set-
tle in Ontario, in particular Metro Toronto
and the neighbouring regions.
There will be a great demand on the educa-
tional services in these regions by students
originally coming from Hong Kong.

Partially funded by the Canada and Hong
Kong Project, a detailed study of Hong Kong
visa students in Metro Toronto is being
planned. Researchers involved are Kathryn
Mickie, Paul Lee and Bernard Luk.

UPDATE 7

Development of Hong Kong's New Manufacturing Base: Guangdong Accelerates

Since the mid-1980's, South China has
experienced major economic and social
changes but nowhere more than in the
Shenzhen Special Economic Zone (SEZ)
and its Pearl River hinterland. This region
lies just to the north of the Lo Wu border
crossing from Hong Kong. Once a collec-
tion of sleepy villages with less than
50,000 people, Shenzhen has become a
bustling manufacturing city of 2 million in
the past ten years. It is accessible by fre-
quent train and bus from Hong Kong, as
well as by private boat.

The recent ease of communication is the
result of renewed historical ties between
Shenzhen and Hong Kong and the greater
economic development taking place
throughout the provinces of Guangdong
and Fujian in southeast China. The
involvement of Hong Kong in this rapid
development has been recognized by the
Beijing government. In a recent interview
with a Hong Kong TVB reporter, Premier
Li Peng emphasized that Beijing has a
great interest in securing the economic sta-
bility of Hong Kong because China's well
being is directly affected.

Following Shenzhen's phenomenal suc-
cess in the late 1980's, other Special
Economic Zones and SEZ clones were set
up all along the China coast, stretching to
the northeast coastal areas and parts of the
interior. However, Shenzhen and
Guangdong province as a whole occupy a
special place in the development of China.
Until the 1980's, Guangdong was not
allowed to industrialize by the Central
Government as a matter of policy. It
remained an agricultural backwater com-
pared with other cities such as Shanghai or
Dalian in the north. With the opening of
China to Western investment, the situation
changed dramatically.

By 1984 Guangdong as a whole had
caught up with and surpassed most other
provinces and was ranked fifth in terms of
total exports. By 1990 it ranked first with
total exports of over $10 billion U.S. The
economy of the Pearl River Delta - the
economic heartland of Guangdong which

by Paul Levine
Hong Kong

includes the Shenzhen SEZ - has grown by
a minimum of 20% each year and shows
no sign of levelling off. During the past ten
years of growth, the only downturn came
during 1988-89 when the central govern-
ment enforced austerity measures designed
to arrest near-runaway inflation and pre-
vent the Chinese economy from overheat-
ing. Since that time Shenzhen has grown
by an astonishing figure of 40% per year!

What is the cause of this dynamic activ-
ity in Guangdong and in the SEZ in partic-
ular? Three main factors can be singled
out: first, improved energy and communi-
cations infrastructure; second, attracted by
lower wages in Guangdong, the large-scale
movement by the high-volume manufac-
turing and assembly sector out of Hong
Kong; and third, to a lesser extent, a busi-
ness climate and local policies that aid
rather than hinder investment. The latter
includes investment by both Hong Kong
and overseas firms.

Because the Guangdong delta region is
adjacent to Hong Kong, there are few if
any cultural or linguistic barriers. The peo-
ple of both areas speak a similar Cantonese
dialect which increases their solidarity,
especially useful when closing business
deals. There is also a major upgrading of
communication links under way between
Guangdong and Hong Kong. These include
rapidly expanding port facilities that
should increase shipping to Hong Kong's
world-class container terminals. A new $1
billion six-lane super-highway is being
built from Hong Kong to Guangdong
through the Shenzhen SEZ. In addition,
there is an updated power grid. Its centre at
the soon-to-be -completed Daya Bay nucle-
ar power generating station, located to the
east of Shenzhen SEZ, promises new
sources of power for manufacturing and
assembly plants.

The second factor, cheaper labour, has
always been a strong attraction for foreign
investment in China. Until the mid- 1980's,
Hong Kong manufacturers did not take
advantage of this because the Chinese stan-
dard of quality-control was inadequate.

However, Hong Kong's competitiveness
was threatened as inflation rose rapidly to
about 13% and the cost of foreign materi-
als increased in relation to the Hong Kong
dollar. The latter is pegged to the more
expensive US currency which has
remained high in relation to international
manufacturing in other lesser developed
countries (LDC).

After 1984 the Shenzhen SEZ received
special treatment from the Beijing govern-
ment in order to attract overseas compa-
nies. With lower wages and costs,
Shenzhen became a magnet for Hong
Kong companies. Smaller overseas firms
have had more difficulties because of the
local costs added to labour, as well region-
al taxes and subsidiary costs. However,
larger, multi-national companies have
found that manufacturing in the
SEZ/Guangdong is more profitable as long
as quality-control can be assured. Such
companies include Alcan or Northern
Telecom in the Canadian case, Heinz,
General Foods or Proctor & Gamble from
the U.S., as well as Hong Kong factories
that produce garments for such names as
Daniel Hechter and Marks & Spencer.

The key factor has been the hiring and
training of new workers, many of whom
are just out of middle school, rather than
employing those from state-run factories.
As one engineer, responsible for a joint
venture in the energy sector, said, "At first
I worried about the quality of workers
from the villages, but after about six
months of training, I found that they made
the transition from lack of respect for
machinery to a fairly high level of exper-
tise, better than workers on projects in
other third-world countries where I have
supervised."

Strolling in the centre of Shenzhen
amidst the high-rise office buildings along
Liberation Road with its all-day traffic
jams, one has the feeling that efficiency and
capitalism are concepts whose time has
arrived in southern Guangdong.

8 UPDATE

Japan and Hong Kong: Trade and Investment Trends

Substantial Japanese trade with and
investment in Hong Kong since the 1950's
suggests confidence in the future of the
colony after 1997. However, recent trends
show that the increase in the value of the
yen since 1985 has negatively effected trade
and has had implications for Japanese
investment. Japan is Hong Kong's second
largest trading partner after China, and after
Indonesia, Hong Kong has received the
most Japanese foreign investment between
1951 and 1988. Since 1985, the average
number of Japanese investments per year in
Hong Kong has been higher than that of any
other country investing in the territory.
Japanese government immigration policy
regarding Hong Kong reflects a cautious-
ness in acknowledging any doubt in Chinese
intentions to maintain HK's present economic
system for at least fifty years after 1997.

Trade

Japanese trade statistics reveal that Hong
Kong imports from Japan have increased an
average 15% between 1987 and 1989,
despite the doubling of the value of the yen
since 1985. Between February 1989 and
May 1990,* the value of the yen rose
against the Hong Kong dollar by 13%. In
the first quarter of 1991, the yen was up
9.4% against the H.K. dollar, compared to
the same period a year earlier. This dramatic
increase in the cost of Japanese goods did
not halt the trend for more Japanese imports
to Hong Kong. While the percentage
increase of imports from Japan dropped to
.2% in 1988-89, down from 29% in 1987-88
and 27% in 1986-86, it rebounded to 13% in
1989-90. The 1988-89 rate was the most
dramatic slow down in growth of imports
for a major Hong Kong trading partner. It
can be partially explained by the dip in the
value of the Hong Kong dollar during this
period combined with the substantial
increase of yen value.

* 1989-91 figures are in real terms and are from First
Quarter Economic Report 1991 (Hong Kong:
Government Secretarial, Economic Services Branch,
May, 1991).

by D. Wendy McCallum
Kyoto
China, Hong Kong's largest trading part-
ner, also saw a drop, but much smaller, in the
percentage increase of its exports to Hong
Kong, from 30% in 1987-88 to 26% in 1988-
89 and 17% in 1989-90. U.S. imports to
Hong Kong, the fourth largest after Taiwan,
dropped from a 28% to 12% to 10% annual
increase over the same period.

Hong Kong Imports (U.S. millions)*

Hong Kong Domestic Exports

(not including re-exports) (U.S. millions):

From: Japan

China

US.

1990 103.36114

236,133.73

51,788.38

1989 93,202.34

196,675,95

46,233.81

1988 93,007.76

155,633.53

41,347.37

1987 71,904.75

117,356.67

32,241.72

First 3 months:

1991 27,13101

57,173.98

13,050.88

1990 21,235.09

46,008.45

12,693.19

1989 23,35172

40,584.91

10,765.33

*Statistics from Hong Kong Monthly Digest of
Statistics, April 1991.

Hong Kong imports more from Japan
than it exports, but its domestic exports (not
including re-exports) to Japan increased
steadily between 1986 and 1989. From
1987-1989, the average increase in the terri-
tory's exports to Japan was 18%, but in
1990 the growth rate dropped sharply by
8%. This was a result of the appreciation of
the Hong Kong dollar and the reduced price
competitiveness of its goods.

Hong Kong exports the most in terms of
value to the U.S., while China is second and
Japan fifth, after Germany and the U.K.
Since 1987 Hong Kong exports to China
have increased the most. Japan has the sec-
ond largest increase while exports to the
U.S. dropped .9% during 1988-89 and a fur-
ther 10% in 1989-90. The weak perfor-
mance of domestic exports to the U.S.
should be viewed against the substantial
increase of 77% in re-exports to this market
from 1988 through 1990. Hong Kong
exports to Japan and the U.S. are consider-
ably less than its exports to China. Hong
Kong's domestic exports to Japan are val-
ued at approximately 30% of its exports to
China and only 18% of its exports to the
U.S.

To:

Japan

China

US.

1990

12,079.11

47,469.59

66,369.77

1989

13,027.82

43,272.20

71161.61

1988

11,435.47

38,043.01

71884.33

1987

9,489.08

27,870.91

71817.21

First 3 months:

1991

2,634.99

10.247.77

11,677.88

1990

2,587.81

9,288.29

13.579.07

1989

2,941.58

9.226.62

14,132.69

Exports of manufactured products to
Japan from South Korea, Taiwan and Hong
Kong jumped from US$18.2 billion in 1985
to $27. 1 billion in 1989. Analysts have
noted that these exports have consisted
mainly of goods made by or produced under
contract for large Japanese companies.
Efforts by the Newly Industrializing
Economies (NIEs) to penetrate Japan's
domestic market with their own manufac-
tures have generally been unsuccessful
except for a brief boom in NTE-made elec-
tronic consumer goods in 1987-88 [Far
Eastern Economic Review, May 3, 1990].

Domestic exports originate in Hong
Kong. This status is decided by product-
specific government delineations of the per-
centage of value added, content or produc-
tion process which determines country of
origin. Re-exports are those produced in
another country, brought to Hong Kong
where no significant value is added, and
then re-exported to a third country. Current
observations of increasing integration of the
regional economies of East and Southeast
Asia provoke special interest in re-exporting
trends through Hong Kong. Linda Y.S. Lim
and Clyde D. Stoltenberg of the University
of Michigan contend that, "Regional trade
now has a pronounced triangular pattern:
Southeast Asian countries import capital
goods and manufactured inputs from Japan
and the NIEs for local processing, with the
final products exported to the United States,
or increasingly within Asia." [China
Business Review, May-June 1990]. Recent
statistics on re-exports from Hong Kong sug-
gest a significant role for the colony in this
process.

Japan and Hong Kong, cont'd page 10

UPDATE 9

Japan and Hong Kong, from page 9

Re-exports from Hong Kong/
Percentage of Total Re-exports

To:

Japan

China

U.S.

1990 24,375.81 110,907.94 87,752.47

(6%) (27%) (21%)

1989 22,268.16 103,491.71 72,032.85

(6%) (30%) (21%)

1988 17,417.66 94,895.11 49,482.99

(6%) (34%) (18%)

Total Re-exports from Hong Kong:

1990
1989
1988
1987

413,998.66
346,405.47
275,405.29
182,780.42

Total 1990 H.K. Exports* by
Country of Destination:

Japan
China
U.S.

36,454.92
158,377.53
154,122.24

Re-exports as a Percentage of Total
Exports* to a Country:

To:

Japan

China

U.S.

1990 67% 70% 57%

1989 63% 81% 27%

1988 60% 78% 21%

1987 51% 75% 16%

* Total exports = domestic exports + re-exports.

The high proportion of Hong Kong
exports to Japan and China which originate
in a third country suggests that Hong Kong's
role in the triangular pattern of trade is that of
a processing centre or a buffer in politically
sensitive situations such as Taiwan's trade
with China or Japan's enormous trade sur-
pluses with the United States.

Attempts to determine from statistics
what percentage of imports from Japan to
Hong Kong are being re-exported and to
where are unreliable and speculative. A
spokesperson for the U.S. customs depart-
ment said that re-exported goods from Hong
Kong which originated in Japan cannot be
identified because the country-of-origin
delineations vary by country and product
and because there is a time lag between
importing and re-exporting. Imported goods
may sit in Hong Kong for months before
being re-exported to the United States.

Investment

Japanese annual foreign direct investment
in Hong Kong (in U.S. dollars) has increased
from $131 million in 1985 to S1.9 billion in
1989, according to Japanese Ministry of
Finance statistics. Hong Kong's director of
industry, Mr. Andrew Leung Kin Pong said
that if Japan continues its current rate of
investment, it could overtake the U.S. as the
territory's largest overseas investor and tech-
nology transfer partner by the year 2000. The
U.S. currently contributes 3 1% of the total
value of industrial investment in Hong Kong,
and Japan contributes 29%, according to a
1990 survey of overseas investment in Hong
Kong's manufacturing sector conducted by
the Hong Kong government industry depart-
ment The value of Japan's cumulative
investment in Hong Kong's manufacturing
industries (at original cost) is S8.6 billion.
This is second only to the total value (at orig-
inal cost) of U.S. investment, S9.3 billion.
Compared to 43% of American investment,
62% of Japanese investment went into the
stock of fixed assets.

The first Japanese investment in Hong
Kong was recorded in 1960. Since then
investment has grown steadily over the past
30 years. Since 1985 the average number of
investment projects grew to 14 a year, while
American investments averaged 9 a year, and
Chinese investments were 6 a year. In 1989,
1 80 Japanese investments were identified, of
which 100 (56%) were wholly-owned by
Japanese interests, 9 (5%) were joint-ven-
tures without a local interest and 7 1 (39%)
joint ventures with a local interest. Together
they employ more than 20,000 staff, repre-
senting approximately 3.6% of Hong Kong's
total manufacturing workforce. Americans
had 147 investment projects in 1989, of
which 90 (61%) were wholly owned, 14
(10%) were joint-ventures without a local
interest and 43 (29%) joint ventures with a
local interest. China is the third largest indus-
trial investor in Hong Kong with a total of 49
investment projects identified in 1989. Of
these 37 (76%) were joint ventures, in con-
trast to the predominantly wholly owned
American and Japanese investments.

Japanese investment in Hong Kong indus-
tries is mainly in electronics, electrical prod-
ucts, printing and publishing, and watches
and clocks. These account for 67% of total
investment, compared to the 5 1% of
American investment in the electronics
industry. Other industries with substantial
American investment are electrical products,
textiles and clothing. Chinese investments

are mainly in transport equipment and chem-
ical products, accounting for 48% of their
total investment. Other areas for Chinese
investment are tobacco, electronics and tex-
tiles and clothing. [Report on the Survey of
Overseas Investment in Hong Kong
Manufacturing Industries, 1990. Hong Kong
Government Industry DepL, Nov. 6, 1990.]

The Hong Kong Deputy Director of
Industry, Mr. Wilfred Wong, perceives that
increasing Japanese investment signifies
Japan's confidence in and commitment to the
future of the territory. He notes that in 1990
the Hong Kong Industry Department assisted
in four new Japanese projects and the expan-
sion of five Japanese factories. Over the last
20 months, the department had assisted some
20 Japanese manufacturers in setting up
offices in Hong Kong for sales or procure-
ment activities. These projects included
Pacific Tube Corp Ltd., NEC Technologies
Hong Kong Ltd., and Ricoh Co. Ltd. [Hong
Kong Digest, HK Economic and Trade
Office, March/April 1991.]

Last year Japanese investment in Kong
Kong's property market was estimated to be
about HK $12 billion. The big players are
Nissho Iwai, EE Development and Yaohan
International. A total of 1500 Japanese com-
panies are in Hong Kong, including
Marubeni, C. Itoh, Toyo Menka Kaisha,
Mitsubishi and Mitsui. The Export-Import
Bank of Japan records the breakdown of
cumulative Japanese direct investment in
Hong Kong and notes that the commerce and
service sectors received nearly 1 2 times more
Japanese investment than the manufacturing
sector between 1951 and 1988. During this
same period, the Bank also recorded that
Hong Kong was second only to Indonesia as
recipient of cumulative Japanese investment,
which was $6.2 billion US to Indonesia's
$9.8 billion US.

Prepared by the Japan Bond Research
Institute, the Country Rbk Report survey of
specialists at fourteen Japanese entities in the
fields of banking, trading and manufacturing
confirms that the perception of investment
risks in Hong Kong is reasonably low. This
biannual survey aims to determine the level
of Japanese investor confidence in about 100
countries based on a risk rating of a number
of different factors. These include political
stability, consistency of policies, foreign
exchange policy and economic growth
potential. The rating is done on a 10 point
scale, more than 9 meaning no risk, 8.9-7.9
little risk, 6.9-5 some risk and less than 5
indicating various degrees of risk. A general

10 UPDATE

rating is offered, which is based on compre-
hensive scores given by each of Ihc fourteen
groups.

In January 1991, Hong Kong's general
rating was 8.4 which was the same as in
January 1989 and July 1989, immediately
after Tiananmen. This is compared to
Singapore, a country with a similar income
per capita (S8,162US to Hong Kong's
S9.643US in 1989), which received a general
rating of 9.9 in January 1991 and 10.0 in
January 1989. South Korea (income per capi-
ta of S4.040US) rated 7.9 in January 1991
and 8.4 in January, 1989. (Income per capita
figures torn Asia 1990 Yearbook, Hong
Kong: Review Publishing Co.) In terms of
political stability, Hong Kong is rated 7.7 as
of January 1991, compared to Singapore's
rating of 9.9 and South Korea's of 7. 1 . Hong
Kong's political stability rating dropped from
8.3 in January 1 989, to 7.4 in July of that
year reflecting a reaction to Tiananmen, but
returned to average 7.7 since January 1990.
Hong Kong's economic growth potential is
listed as 7. 1 in January 1 99 1 , while
Singapore's is 7.4 and South Korea's is 7.6.
In terms of consistency of policies, Hong
Kong is rated with 7.9, Singapore 9.3, and
South Korea is 7.6.

Despite the fact it is judged risky on some
accounts, increased Japanese investment in
Hong Kong is justified by high rates of
return. Exemplifying this optimism about the

future of Hong Kong is Kazuo Wada, chair-
man of the Japanese international retailer, the
Yaohan Department Store Group. Mr Wada
recently shifted Yaohan's Asian headquarters
from Japan to Hong Kong. He defends his
move as a foresighted strategy to expand
Yaohan internationally and to stimulate busi-
ness in China and throughout Asia, using
Hong Kong as a base. In addition to the
appeal of Hong Kong's unparalleled 16.5%
corporate tax, he considers Hong Kong to be
"Asia's strategic core, where high quality
information not available in Japan is concen-
trated." Quoted in the Hong Kong Trader,
Mr. Wada maintains, "Eventually, I antici-
pate that the southern part of China will be
the most suitable region for foreign enterpris-
es to make investments. Before such an era
arrives Yaohan will penetrate deep into
China, and when other foreign companies
turn their eyes to China, Yaohan will have
established itself in many ways, including the
operation of stores and commodity logistics."

Immigration

In December 1990, the Ministry of
Foreign Affairs in Japan released data on the
number of "foreigners" registered in Japan at
the end of 1989. People from China, Taiwan
and Hong Kong totalled 137,499. In sharp
contrast to the Canadian or American
response to the flood of Hong Kong

emigrants, the Japanese government refuses
to acknowledge any such trend. The official
Japanese response to questions about its
immigration policy towards Hong Kong has
been to treat the question as "hypothetical."
A press release from the Japanese Ministry
of Foreign Affairs states: "Rather than talk-
ing about specific hypothetical problems and
thus heightening the concern of people inside
and outside of Hong Kong, it is best that
Japan continue to express the hope that Hong
Kong will continue to play the role of a good
contact and intermediary agent between the
Chinese mainland and the outside world In
this way, we intend to foster business confi-
dence in Hong Kong even after 1997." The
main concern of the Japanese government
seems to be sending the "proper message" to
China: "We hope that China will understand
that it would be in China's interests to try to
respond appropriately to Japan's repeatedly
expressed hope and that we will be able to
avoid an exodus of people from Hong
Kong."

The author would like lo thank the Hong
Kong Trade and Development Council,
Toronto; the Japan External Trade
Organization (JETRO) offices in New York,
Hong Kong, Tokyo and Toronto; the Japan
Economic Institute (J El), Washington and
Prof. Don Daly of York University for their
assistance in research for this article.

PADS Agreement and the Future of Hong Kong-China Relations

by Phil Calvert
Ottawa

The July 4th Memorandum of
Understanding (MOU) between Britain and
Hong Kong on the Port and Airport
Development Strategy is doubtless the most
significant political development in relations
between the two, and between Britain and
China, since the signing of the 1984 Joint
Declaratioa The MOU sets the stage and the
tenor of the transition years leading up to 1997
and establishes the parameters within which
governments on all sides will be expected to
operate. In doing so, it has two, somewhat
contradictory purposes. In reaching agreement
to go ahead with the project, it lowers the high
level of Sino-British tension which had devel-
oped on the issue, and in this sense can be
seen as an important "confidence-building
measure" designed to reassure all observers
(and investors) that the future Hong Kong

Special Administrative Region will continue
to serve as an important economic centre in
Asia. At the same time it establishes clear and,
some would argue, quite generous guidelines
for giving China influence over significant
issues in Hong Kong leading up to 1997 - an
influence which, because of the PRC's
demonstrated leverage on the PADS issue,
could extend far beyond the letter of the MOU
or other previous agreements.

Some of the key provisions of the MOU
include the establishment of a special commit-
tee, operating under the auspices of the Hong
Kong-British Joint Liaison Group, to discuss
major decisions relating to the airport and the
provision that any debts larger than HKS5 bil-
lion, repayable after 1997, would need the
agreement of the PRC government. These two
provisions establish a notable level of influ-

ence on the part of the PRC over the airport
project, and by implication and precedent,
over the entire transition process. At the same
time, however, it seems to demonstrate
Beijing's willingness to get on with the project
and the indication that its previous opposition
was not directed at the project itself so much
as the approach taken by the Hong Kong gov-
ernment.

While the MOU will increase international
confidence in the future of the airport and the
equally crucial port component, it also makes
it virtually certain that the Hong Kong or
British governments will consult Beijing on
any other significant issues straddling 1997. In
this sense, then, the MOU increases short-term
economic confidence by allowing the project
to continue, while at the same time abrogating

PADS Agreement, cont'd page 12

UPDATE 11

PAD Agreement, from page n

what was one of the political aims of the
PADS project - that is, to demonstrate Hong
Kong's political and economic autonomy in
the wake of Tiananmen. Indeed, it gives fur-
ther acknowledgement to the inevitable
growth of PRC influence over Hong Kong in
the years leading up to 1997.

Doubtless the signing of the MOU on the
project was met with sighs of relief from many
quarters who saw resolution of the issue as nec-
essary to any further progress in implementing
the transition of power. With this issue, for the
time being at least, cleared out of the way,
Britain can more freely address other sensitive
concerns, such as human rights issues. Beijing,
despite its posturing, needed an agreement on
the issue as well. The MOU aids the PRC in the
rebuilding of its international credibility after
Tiananmen, in that it conveys a sense of reason-
ableness on the part of Beijing. For the same
reason, Beijing is at least appearing to acknowl-
edge international concern over human rights.

While an ongoing impasse on PADS would
no doubt have put Sino-British relations under
serious strain, the resolution of the issue has
given China a very big lever in future Hong
Kong politics. The resolution, however,
remains somewhat neo-colonialist, in that its
provisions, such as the Sino-British Council to
oversee the project, mean that this very signifi-
cant Hong Kong issue will still largely be dealt
with in Sino-British terms. This does not bode
particularly well for the growth of the proto-
demccratic Hong Kong institutions which are
intended to provide some protection for the
people in the face of China's reassertion of
sovereignty in 1 997. PRC pressure on Hong
Kong publicists to engage in self-censorship on
the whole issue of the 1997 handover has
already been notable. It remains to be seen
whether the commercial and economic implica-
tions of this agreement translate into serious
political consequences as well

Hong Kong Elections

The United Democrats of Hong Kong,
led by Martin Lee, won a landslide victory
in the September 15th partial elections for
the Hong Kong Legislative Council
(Legco). Twenty-one members of Legco are
appointed by the governor, 21 elected by
functional constituencies (professional
groups), and 18 elected by popular vote.
The United Democrats won 16 of these 18
seats. None of the communist-backed candi-
dates nor those from the Liberal Democratic
Federation, representing the interests of
business, won seats. Voter turn-out was low
at 39%, a figure which allowed Peking's
chief official concerned with Hong Kong
and Macao, Lu Ping, to pour cold water on
the results. However, in Hong Kong and in
London the results were seen as a proof of
the enthusiasm for democracy in Hong
Kong. Douglas Hurd, the Foreign Secretary
(and a historian of China) commented that
the elections "opened a new and encourag-
ing chapter" in Hong Kong's history. An
editorial in The Times on September 18th
called on the British prime minister to "lean
on the Hong Kong government to give
democracy its due."

Martin Lee allowed no time to elapse
before calling on the governor to make
appointments to the places in his gift from a
list supplied by the UDHK. Sir David
Wilson did not follow this advice. On
September 21st he named seven continuing
members and ten new members, in addition
to the four ex officio members. Pressure can
be expected now to have the number of
directly-elected members of Legco
increased and to have representation from
the UDHK on the Executive Council.

Emigration from
Hong Kong

Only 10,000 of a possible 12,000 employ-
ment visas, dedicated by the US authorities for
key personnel working for US companies in
Hong Kong, are likely to be taken up this year.
This is a lower rate than anticipated when the
scheme was launched (Hong Kong Digest, June
10th). This tepid level of interest is paralleled
by a lower than expected level of applications
for passports under the British Right of Abode
scheme. Only about 65,000 applications were
received for the 50,000 places under the first
tranche. The global figures for British passports
are misleading. Applications are made in spe-
cific categories, and some categories were
heavily over-subscribed while others were
under-subscribed. The two categories most
heavily over-subscribed were translators/ inter-
preters (291 for 42 places) and legal profession-
als (1200 for 185). Those which were most
under-subscribed were: managers and adminis-
trators (12,594 for 14,927) and the Royal Hong
Kong Police (3,299 for 3,282) (South China
Morning Post, June 23, 1991). The process of
interviewing applicants is under way, the plan is
that 200 people will be interviewed every week
for the next three years.

These two sets of figures seem to suggest a
weakening of the demand for emigration from
Hong Kong, but it would be too simplistic to
interpret them in this way. People eligible for
either scheme may not have applied because
they already hold foreign citizenship or because
they are planning to move to countries other
than the UK or the USA Others may have been
put off by the complexity of the application pro-
cess (See Update, 4, Spring 199 1, p. 3). Some
people may have felt that they were ineligible.
Concern has been expressed that the categories
being used are too rigid and limit the number of
people who can apply under the scheme.

Not everyone is leaving.

Although Hong Kong's 1997-induced
brain drain now draws away about 60,000
emigrants each year, the majority of the terri-
tory's nearly six million people have little
hope of obtaining a foreign passport. They
simply do not have the investment money,
job skills, education or family connections to
qualify for immigrant visas.

12 UPDATE

Choosing to Stay Behind

by Susan Henders
Hong Kong

However, even some of those with good
immigration prospects say they will stay
behind instead of leaving. Their deep attach-
ments to crowded, fast-moving, prosperous
Hong Kong and the risks and costs of immi-
gration are holding them back.

"I was bom in Hong Kong and I love this
place," said Steven Yip [not his real name], a
journalist who also fears his not-quite-perfect

English would keep him out of a career in
news should he emigrate.

Others choosing to stay echo Yip's wor-
ries. "My business could never survive if I
went international," said Anna Lo, who built
her successful modelling and fashion show
production company, Catwalk Productions,
from the ground up. "Besides, Hong Kong is
my home town. I have travelled a lot and I
like Hong Kong best."

Timothy Gibbs, general manager of the
Royal Bank of Canada's Hong Kong branch,
said he has employees with degrees from for-
eign universities who say they will stay.
"They aren't too scared about 1997," Gibbs
said. "There will still be a Hong Kong."

It is difficult to estimate the exact number
of people opung for life in Hong Kong
despite having the means to leave. Not only
are many people reluctant to talk about their
plans, many have not applied for immigration
visas yet but are trying to create options to
leave should it become necessary, according
to Ronald Skeldon, a senior lecturer in
Geography at the University of Hong Kong.
How many will actually stay depends on con-
ditions in Hong Kong, China and immigra-
tion destination countries like Canada in the
years before and after 1997.

Despite these difficulties, a survey of
Hong Kong professionals done in late 1988
and early 1989 gives some tentative indica-
tions of how many people with good emi-
gration prospects will potentially stay. The
study, done by the Hong Kong Institute of
Personnel Management and the City
Polytechnic of Hong Kong, found as many
as 26% of respondents were potential "stay-
ers," people who said they probably would
not or definitely would not emigrate. At the
same time, 46% of respondents said they
probably or definitely would emigrate; 8%
were undecided. Because the responses
were gathered before the June 4, 1989
crackdown on the pro-democracy move-
ment in Mainland China, the report proba-
bly underestimates the number of potential
emigrants among professionals.

The study indicates the professionals
more likely to remain in Hong Kong and the
reasons behind their decision. Those respon-
dents over 64 years old and those under 25
were more likely to be potential "stayers"
than other age groups. Single and childless
respondents were also less willing to emi-
grate, while those married professionals
with children were more determined to
leave.

Phoebus Tai Hung Wai, a 33 year-old,
university-educated senior inspector with
the Royal Hong Kong Police and father of
two small children, illustrates the dilemma
of many parents. Tai said he and his wife, a
middle manager with a local bank, have no
plans to leave their comfortable lifestyle for
the sake of a foreign passport. However,
they do worry about the long-term future of
their children. "I have confidence in the sta-

bility of Hong Kong for a decade or even a
generation," Tai said, "but after that it
becomes more uncertain." Tai was educated
in Hong Kong and, except for visits to
China and Macau, has never travelled
abroad.

Professionals educated in Hong Kong
rather than overseas showed less inclination
to leave. Those with less education and job
experience and less well-developed skills
were also less likely to leave than their bet-
ter educated and experienced counterparts.

Many of the reasons respondents had for
staying in Hong Kong were distinct, rather
than simply the opposite of those forces
pushing others to go. The study found that
fears about job opportunities and racial dis-
crimination overseas, preferences for living
conditions in Hong Kong, confidence in the
territory's post-1997 stability and kinship
ties topped the list of reasons motivating
potential "stayers" to remain in Hong Kong.
Other concerns included adaptation to a for-
eign environment, the cost of living abroad
and desire to educate their children in Hong
Kong.

Carmen Yim Ka Man is a counsellor at
the Hong Kong Catholic Marriage Advisory
Council, which works with couples making
emigration decisions. She maintains that
financial, career and quality of life concerns
often overlap. People well-employed in
Hong Kong risk losing income and status
because of difficulty finding comparable
work in their new country of residence.
Women also can end up being responsible
for unaccustomed housework because they
can no longer afford to hire domestic help.

A 1991 Hong Kong Institute of
Personnel Management survey of Hong
Kong immigrants in Canada backs up
Yim's contention that emigration is stressful
and risky. Using data collected from 47 1
immigrants in August and December 1990,
Institute researcher Sara F.Y. Tang found
74% of respondents were able to get their
first job within three months of moving to
Canada. However, almost two-thirds
dropped in job rank, nearly 30% by as many
as three or more steps. More than half of the
respondents had to change professions, and
more than half also took a drop in dispos-
able income. For 16% that income drop was
more than 50%.

Business woman Anna Lo said that
throwing a going-away party for friends
departing for a new life in Canada or the
U.S. has become a waste of money because

so many of them end up returning to Hong
Kong. "They joke that it's because they
can't play majong [a popular Chinese game)
anywhere else," Lo indicated. "The real rea-
son is that it's easier to make money in
Hong Kong." Brian Gundcrson, the
Canadian Imperial Bank of Commerce's
general manager of support services for
Asia, said he has heard of people forced to
return to Hong Kong because things have
not worked out in Canada. "That kind of
thing circulates back here and maybe dis-
courages people from leaving."

Nevertheless, intangibles, rather than
dollars and cents, motivate some people to
stay. While surveys suggest 50-60% of his
fellow lawyers could emigrate before 1997,
Albert Ho Chun Yan declared he is commit-
ted to remain. Ho is the internal vice-presi-
dent of the United Democrats of Hong
Kong, one of the most liberal and high pro-
file of the territory's new political parties
and winner of the recent Legco elections.
He indicated that love for Hong Kong,
"moral" commitment to its people and the
desire to live in a Chinese society prevent
him from seeking a foreign passport. "It is
something that is very personal," adds Ho,
who claims many other members of his
party share his sentiments. Only two of the
United Democrats' 16 candidates for
September's Legislative Council elections
have foreign passports, according to Ho.
Both acquired them years ago while they
were overseas as students.

However, researchers at the University
of Hong Kong caution that emigration deci-
sions are constantly under review, even for
most of those who say they will stay. "I sus-
pect very few people would say categorical-
ly that they would not leave under any con-
ditions," said Wong Siu Lun, a professor in
the University's Sociology Department.
"Hong Kong is basically an immigrant com-
munity, so people have that readiness to
leave."

Skeldon suspects the risks and costs of
emigration are giving some potential immi-
grants second thoughts, especially given the
current economic downturn in Canada, the
United States and Australia. However, he
expects emigration levels to continue at
approximately 60,000 people per year for
the next few years. A major shift in the
immigration policies of these key countries
or another crisis akin to the events of June
4th in Beijing could spark a new rush to
apply for immigrant visas.

UPDATE 13

The following articles by our research assistants are a continuation from the Spring 1991 Update of the

description of Chinese-Canadian organizations in Toronto and Vancouver. They also include some

of the Chinese student associations at several universities in these cities.

Chinese-Canadian Associations in Vancouver

by Hugh Xiaobing Tan
Vancouver

Chinese Community Library
Services Association

Established in 1972 as a non-profit orga-
nization, this association provides library
services to the local Chinese community. It
now has more than 500 members, most of
whom reside in the Greater Vancouver area.
The CCLSA maintains two subsidiary insti-
tutions: the Chinese Community Library
and the Chinese Community History Room

The Library collects and maintains
Chinese publications and makes them avail-
able to the public, free of charge or at mini-
mal cost. With a collection of more than
8,000 books and a regular subscription to 9
newspapers and 24 magazines, it is one of
the few libraries of its kind in the Greater
Vancouver area. In addition to its "in-
house" services, it also operates a mobile
out-reach unit which brings a variety of ser-
vices to senior citizens living in the neigh-
bourhood.

The History Room was established in
1983 in recognition of an acutely felt need
to furnish a Chinese -Canadian history of
British Columbia. It aims to collect and pre-
serve materials documenting the Chinese
heritage of the province. Over the years it
has accumulated a rich collection of diverse
materials.

Funding for the association comes from
both public and private sectors, as well as
from fund-raising events.
591 E. Pender St.
Vancouver, B.C. V6A 1V3
President: May Chu
Library (604) 254-2107
History Room (604) 254-3012

Vancouver Section of the Hong
Kong-Canada Business Association

Following the National Association's
guidelines, the Vancouver Section has a pri-
mary goal of promoting connections, com-
munication and trading relationships
between business communities in Hong
Kong and Canada. It now has a membership

of more than 500, most of whom are
Canadians doing business with Hong Kong.
About one-third of its members are original-
ly from Hong Kong.

Its regular activities include a monthly
luncheon meeting and an annual dinner
party for all members. Usually a speaker,
well-known to the community, is invited to
address the luncheon meeting.

Last year, the organization sponsored an
exhibition, called 'Transplant," in down-
town Vancouver. All exhibits were products
of manufacturing firms set up by Hong
Kong business immigrants in the Greater
Vancouver area. One purpose of the exhibi-
tion was to dispel the popular belief that
Hong Kong immigrants have invested only
in the real estate market. The Association
also participated in the Festival Canada held
in Hong Kong last June and will take part in
the organization of the Hong Kong Festival
in Canada in 1992.
700-1550 Alberni St
Vancouver, B.C. V6G 1A3
Section Pres.: Francis Cheung
(604) 669-4444; fax: (604) 681-0093

Vancouver Chinatown Merchants
Association

The primary goal of this non-profit local
organization is improving business in
Vancouver's Chinatown. All 200 members
are people or firms doing business in the
area. Founded in 1981, the Association is at
present compiling a publication for its 10th
anniversary celebration.

To attract more people to shop in
Chinatown, the organization has strongly
advocated a beautification program which
includes cleaning rear lanes and streets and
installing more street lights. To solve the
parking problem for shoppers, the Associa-
tion has negotiated with the provincial and
municipal governments to turn a parking lot
at the edge of Chinatown into a crown prop-
erty so a multi-level and lower-cost parking
facility can be constructed.

The Chinatown Merchants Association
has a board of 25 directors. Its funding
depends on membership fees and donations
from its directors and members.
206-37 E. Pender SL
Vancouver, B.C. V6A 1S9
Pres.: King Wong
(604) 682-8998

Vancouver Chinatown Lions Club

Following the general guidelines of the
International Lions Club, the Chinatown
Club is a non-profit, charity, and service
organization. Its objective is to serve those
in need. The organization was established in
1954 and is the oldest Lions Club in
Vancouver's Chinese community. Its mem-
bership varies from year to year and in 1991
was 73. About 80% of its members are of
Chinese origin, 40% of whom are originally
from Hong Kong.

The Club actively participates in com-
munity affairs. It took part in the building of
the Dr. Sun Yat-Sen Classical Park; it initi-
ated the idea of constructing the "China
Gate" and negotiated with the provincial
government on this matter. It has also built
three "Seniors Mansions" and rents the
apartments to low-income Chinese senior
citizens. Most recently it sponsored a fund-
raising sweepstakes for East China flood
relief. Every year the Chinatown Lions Club
donates $5,000 to cultural or educational
institutions in the community.

Its funding depends on membership fees
and fund-raising events, such as the annual
Miss Chinatown Pageant. In recent years
some of its former members have formed
several new Lions Clubs, including the
Vancouver Cathay Lions Club, Vancouver
Mandarin Lions Club, and most recently,
the Vancouver Pacific Lions Club whose
members are all women.
830 Campbell Ave.
Vancouver, B.C. V6A 3V2
Pres.: Bill Ma
(604) 324-7717

14 UPDATE

Dr. Sun Yat-Sen Park

Yee Fong Choy Tong

(National Headquarters and Vancouver

Branch)

The Yee Fong Choy Tong is a clan-char-
ity organization with branches all over the
world. It has sections in six major Canadian
cities. Its Canadian headquarters and
Vancouver branch are located at the same
address.

The Vancouver branch was established
89 years ago and is registered as a non-
political, non-profit organizatioa Its major
goal is to maintain connections and commu-
nication between people with the family
name of Yee or Yu and provide them with
moral, spiritual and, when necessary, finan-
cial support. At present it has about 300
members.

Its activities are mainly social and recre-
ational. Regular events include the spring
banquet, the annual memorial ceremony,
and the autumn outing. It has also set up a
scholarship program for children of its
members.

226 E. Georgia St
Vancouver, B.C. V6A 1Z7
Pres. of National Headquarters: Bill Yee
Pres. of Vancouver Branch: Ken Yu
(604) 684-3074

Vancouver Society in Support of
Democratic Movement (VSSDM)

The VSSDM was formally registered as
a non-profit society on June 28, 1991, fol-
lowing the June 4th incident in Beijing. The
idea of forming the society was initiated
during demonstrations in support of the pro-
democracy movement in China. It presently
has about 700 members, including some of
non-Chinese origin.

The Society is one of the six member
organizations of the North American
Coalition for Chinese Democracy.
According to its constitution, it aims to pro-
mote democracy, freedom, human rights
and lawful society in China. During the past
two years, it organized or sponsored several

events and activities to achieve this goal.
These have included the sponsorship for
two years of the Concert for Democracy in
China, organization of "Democracy Month"
activities, setting up a permanent Goddess
of Democracy Statue at the University of
British Columbia, and lobbying the Geneva
Human Rights conferences.

The VSSDM maintains its profile by the
following activities: 1) educating the public
on the democracy movement through the
publication of articles, organization of semi-
nars and presentation of speeches at schools
and community centres; 2) lobbying the
three levels of government and parliamen-
tarians on support of the pro-democracy
movement in China; and 3) strengthening
relations with other democracy organiza-
tions in the world, especially those in North
America.
362 E. 10th Ave.
Vancouver, B.C. VST 1Z7
Chairperson: Raymond Chan
(604) 873-2189; fax (604) 873-2181

Vancouver Hong Kong Forum

This organization was founded in April
1991 by a group of Vancouver residents con-
cerned about Hong Kong's future. It now has
a dozen active members, most of whom are
Hong Kong immigrants. These people are
attentively watching developments in the
colony including such important issues as the
Vietnamese boat people problem, the democ-
racy and human rights movement, and the
recent direct elections of members of the
Legislative Council (Legco).

The Forum organized the "Don't Forget
Our Hong-Kong Roots Movement" in
Vancouver and held a news conference last
May. With the efforts of Forum members,
over 100 landed immigrants who still have
valid Hong Kong ID numbers were regis-
tered for the September Legco elections. A
voting delegation was formed to travel to
Hong Kong as part of the larger North
American delegauoa This has aroused con-
troversy in the local Chinese community,
but the organization insists on the justifica-
tion of this activity.

Although the Forum does not have an
office, information can be obtained from its
coordinator
Alex Chan
Dynamex Ltd.
2675 Boundary Rd.
Vancouver, B.C. VSM 3Z5
(604) 876-9245

Chinese Students' Association of
U.B.C.

This association is the oldest Chinese
student organization at the University of
British Columbia and has existed for over
forty years. There are presently more than
200 members. About half of the member-
ship is originally from Hong Kong while the
others are Chinese-Canadians.

Its activities are predominantly social
and a variety of events are held such as reg-
ular dances. A Cantonese course is also
offered to members free of charge. Another
important objective of the association is to
provide scholarships for its members.
Box 25, Student Union Bldg.
Univ. of British Columbia
Vancouver, B.C.
Pres.: Simon Gee
(604) 228-4339

Chinese Students' Association of
Simon Fraser Univ. (CSA)

The oldest Chinese student organization
at Simon Fraser, the CSA was established in
1965, at the same time as the founding of
SFU. In 1991 it has a membership of about
90, the majority of whom are students from
Hong Kong. The rest are from China,
Taiwan and Singapore. The CSA is funded
partly by the universtiy and partly through
fund-raising events.

Its two main purposes are: 1) to intro-
duce Chinese culture to students from other
countries and 2) to develop connections
between members in order to help them
adjust to Canadian life. Its major events this
past year included the New Year Lion
Dance, the "Art of the Dragon" Exhibition
and the "Moon Cake Sale" for the Mid-
Autumn Festival. It also organizes regular
movie shows and outdoor activities. Last
month it co-sponsored a cinema to raise
money for China flood relief. Every Friday
from noon to 1 :00 pm, the CSA broadests in
Chinese on the SFU radio station CJIV. Its
programmes include news, Chinese songs
and comments on social events.
6725 Dumfries St
Vancouver, B.C. V5P 3B8
Pres.: Amenda Lam
(604) 324-3688

Associations, cont'd, page 16

UPDATE 15

Chinese-Canadian Associations in Toronto

Chinese Canadian Intercultural
Association (CCI)

Founded in 1980, the CCI is a non-profit
organization which today has a membership
of about 850. It has pledged to continue the
objectives of its founders: the promotion of
Chinese-Canadian cultural exchanges and
assistance to Chinese compatriots in areas
of immigration, education, employment,
health and welfare. Its activities include reg-
ular recreational and commemorative activi-
ties; classes and seminars on Chinese paint-
ing and calligraphy, tai chi, cooking and
needlework; exhibitions and free coun-
selling and English classes. In 1984 the CCI
founded the Dr. Sun Yat-Sen Chinese
School which is situated at Baldwin and
Huron Streets in the Chinatown area.
112 Huron St.
Toronto, Ont. M5T 2B2
Pres.: Moon Lum
Exec. Dir.: Yiu-Kuen Chan
(416) 591-6347

Chinese Information & Community
Services of Metro Toronto

In 1968 a number of concerned Chinese
students volunteered to provide interpreting
services to Chinese residents in downtown
Toronto. Initially a project under the
University Settlement Recreation Centre, by
1974 the service became independent. The
new organization, named Chinese
Interpreter and Information Services, was
then incorporated as a charitable organiza-
tion. Its purpose was to facilitate the cultur-
al, economic and political integration and
adaptation of Chinese Canadians in Metro
Toronto. Since its inception, the agency's
services have grown to include its main
office in the Cecil Community Centre since
1978 and a branch office in Scarborough
established in 1982. In 1988 the agency was
renamed the Chinese Information and
Community Services.

Its activities fall into six categories. The
Information and Referral Services include
interpretation, form-filling, referral and tele-
phone information services. Newcomers
Language Training Programs hold English-
as-a-second-language (ESL) classes to pre-
pare immigrants for citizenship. To facili-
tate immigrants' adaptation to Canadian
society, the Volunteer and Community

by Irene Tong
Toronto

Development Programs recruit, train and
place volunteers, organize workshops, semi-
nars and mutual-aid groups and educate the
public. Services pertaining to Community
Relations are aimed at enhancing community
orientation, political awareness and identifi-
cation with Canada. They include leadership
development programs, community network-
ing and advocacy, forums and conferences.
Senior Services are available to facilitate
Chinese seniors' integration into Canadian
society and to promote their physical and
emotional well-being. For residents in
Scarborough, Family Services provide indi-
vidual and marriage counselling, family life
education and assistance in family disputes.
58 Cecil Street
Toronto, Ont. M5T 1N6
(416) 598-2022
Scarborough Branch
3852 Finch Ave. E., Suite 310
Scarborough, Ont. MIT 3T6
(416) 292-7510

Toronto Chinese Community
Services Association (TCCSA)

The TCCSA is conveniently located in the
downtown Chinese area. It was founded in
1973 and registered as a non-profit organiza-
tion in Ontario in 1976. Its stated mandate is
"to assist newcomers to adapt to the Canadian
style of living and become the mainstream of
the Canadian mosaic." Its clients are ethnic
Chinese who speak Cantonese, Mandarin or
Vietnamese. It is supported by federal,
provincial and municipal funding.

Its services include counselling, ESL and
citizenship preparation classes, visitation of
seniors in hospitals and nursing homes, and
the orientation of immigrants to Canadian
policies through its bi-monthly information
handbook. Its Chinese school and library
hope to ensure the continuity of heritage
languages for Chinese youth by providing
reading materials in native Chinese lan-
guages. In addition, seminars and work-
shops, support and interest groups, cultural
and recreational activities are organized to
integrate Chinese immigrants into the wider
Canadian community.
310 Spadina Ave., Suite 602
Toronto, Ont. M5T 2E8
(416) 977-4026 or 977-3689

Toronto-Hongkong Fellowship
Association of Canada (THFA)

The THFA was registered in 1988 as a
non-profit organization with the objectives
of promoting the spirit of mutual assistance
among compatriots and showing concern for
human rights and freedom in Hong Kong. It
provides members from Hong Kong with
information pertaining to immigration,
employment, education and investment, thus
promoting Canada-Hong Kong links. In
addition, it hopes to promote harmonious
relationships among racial and cultural
groups within the community and their inte-
gration into mainstream Canadian society.

At present the Association has a mem-
bership of 200-300 people, most of whom
are recent immigrants from Hong Kong.
The majority are business immigrants and
professionals, such as lawyers, doctors,
architects, social workers and entertainers.
It has a 29-member Board of Directors, and
its funding comes mainly from members'
donations.

Its future projects include the establish-
ment of a permanent location for the
Association and the creation of current
affairs and elections groups to promote
political participation among the Chinese
community in Toronto.
112 Huron St.
Toronto, Ont. M5T 2B2
Chair: Allen Leung
(416) 591-6347

Federation of Chinese Canadians in
Scarborough (FCCS)

The FCCS is a community-based, non-
racial, non-profit organization active in pro-
moting human rights, race relations and
muluculturalism. It was formed in 1984 in
response to a number of racial incidents in
Scarborough, namely the "Dragon Mall
Incident" and the hate literature issue.

The main objectives of the FCCS are
advocating and promoting equality and
human rights of all residents in
Scarborough; encouraging greater participa-
tion by and integration of the Scarborough
Chinese community in the city's social, cul-
tural, economic and political life; and pro-
moting cooperation and communication
among Chinese Canadian organizations and
residents in Scarborough.

16 UPDATE

In the past few years the Federation has
been active in promoting race relatioas and
community participation in Scarborough. In
1984 along with other Chinese community
organizations, it successfully orchestrated a
deputation to the Scarborough City Council
which resulted in the passage of a motion to
condemn the distribution of hate literature in
Scarborough. It also spearheaded the cam-
paign for the Heritage Language Program in
Scarborough and participated actively as a
member of the Policy Advisory Committee
of the Scarborough Board of Education in
the development and implementation of a
policy amenable to better ethnic and racial
relations and multiculturalism.

Apart from co-sponsoring youth confer-
ences, educational conferences and semi-
nars, the FCCS advocates human rights
issues together with other Chinese commu-
nity and ethno-cultural groups. These issues
have included the redress of the Head Tax
and Chinese Exclusion Act and the 1989
pro-democracy movement in China. To pro-
mote the participation of Chinese-
Canadians in mainstream Canadian life, the
organization developed a community pro-
ject called "Participation '89" and published
a bilingual pamphlet on grassroots commu-
nity participation. In 1991 a well-attended
"Cultural Awareness Night" was organized
to promote understanding and interaction
among Scarborough residents.
P.O. Box 547
4245 Sheppard Ave. E.
Scarborough, Ont. MIS 3V6
Pres.: Dr. Anthony Kwok
(416) 321-3703 or 291-3117

The Mandarin Club of Toronto

The Mandarin Club is registered as a
non-profit, non-share-holding corporation
which was founded four or five years ago
by a "group of dedicated, socially conscious
and community -oriented Chinese and
Canadian businessmen and businesswom-
en." It is managed by professionals under
the supervision of the Board of Directors.
Its objective is to establish a world-class,
private membership organization that pro-
vides a core for business, personal and cul-
tural life. It has also established reciprocal
relationships with prestigious clubs in Hong
Kong, Taipei, Singapore and China.

Its membership in 1990-91 was 675, the
majority of whom were Chinese with about
20% non-Chinese. Members are mainly doc-
tors, lawyers, accountants and real estate
investors - a fact which the Club hopes will

Dragon City - the Mandarin Club
revamp the image of the Hong Kong
investor from that of a small-time operator
to someone "to be taken seriously." It is now
planning to solicit members in Hong Kong.
Apart from inviting prominent people to
speak during special dinner events and from
being a centre for business networking, the
Club also provides members, many of
whom are new immigrants, with a superb
Cantonese cuisine and dining environment,
as well as recreational and health facilities.
A major undertaking last year was the pur-
chase of a $7.5 million golf club in
Richmond Hill.
280 Spadina Ave.
Toronto, OnL M5T 3A5
Chair: Herbert Chang
(416)979-7110

Chinese Chamber of Commerce
(East Toronto)

Chinatown East includes the Broadview,
Eastern, Greenwood and Danforth areas.
Although it is not as big as Chinatown West
(Spadina and Dundas), it already comprises
about 400 stores, most of which are restau-
rants, groceries and beauty salons. About
half of these businesses have joined the
CCC (East Toronto).

The CCC East was established seven
years ago to promote cooperation among
Chinese-Canadians and other Canadians
and to provide a liaison with different levels
of government to ensure the security and
success of businesses in the neighbourhood.
In the past two years, the CCC has worked
with both municipal and provincial govern-
ments to improve the garbage and parking
problems as well as crime prevention in the
area. It also sponsors cultural activities such

as the Canada Day celebration and
Chinatown East Week to enhance inter-cul-
tural understanding. Its president and one of
the ten founders of the organization, Mr.
Victor Lee, seeks to increase the number of
Chinese -speaking employees in government
and social service agencies in the area.

Currently, the CCC hopes to secure the
support of at least two-thirds of local busi-
nesses to bring Chinatown East under the
umbrella of the Business Improvement Area
(BIA) program On a wider scale, Mr. Lee
is working with two other Chinese business
associations - the Toronto Chinese Business
Association and Scarborough/North York/
Markham Business Association - to estab-
lish a Chinese Business Association of
Ontario. Its main purpose would be to han-
dle issues concerning Chinese Canadians at
the provincial and federal levels. There are
also plans to establish a national organiza-
tion to represent Chinese Business
Associations in Canada.

Chinese Student Organizations at
University of Toronto

1) Association of Chinese Students and
Scholars (ACSS)

Funded by the Chinese Embassy in
Toronto, the ACSS emphasizes social rather
than political activities. Its main objective is
to provide assistance to Chinese students and
scholars at the university during their stay in
Canada. Activities include outings, dances,
Chinese film shows and counselling.
Membership, which is presently 480, is lim-
ited to PRC students, visiting scholars and
their spouses. The ACSS is affiliated with
the national Federation of Chinese Students
and Scholars in Canada (FCSSC).
Contact person: Fang Jun
Massey College, 4 Devonshire PI.
Univ. of Toronto
Toronto, Ont. M5S 2E1
(416) 348-9003

2) Mandarin Chinese Students'
Association

Formed in October 1990, this organiza-
tion aims to provide social events for
Mandarin-speaking students. Its member-
ship, now over 180, consists primarily of
students from Taiwan but also includes
some from Hong Kong and Mainland China.
Contact person: Vivien Tang
81 Wilkinson Dr.
Willowdale, Ont. M2J 3Z6
(416) 499-3549

Associations, cont'd, page 18

UPDATE 17

Associations, from page 17

3) Univ. of Toronto China Affairs
Association

First registered at U. of T. in September
1989 as the Association of U. of T. Chinese
Students Concerned for the Student
Movement in China, it was started in
response to the 1989 massacre in Peking. At
the time it had a membership of 50-60 peo-
ple, the majority of whom were students
from Hong Kong but also included some
Canadian Chinese and non-Chinese. This
past year it has kept a low profile and has
only about 10-20 active members, all of
whom are students from Hong Kong. About
half of these are visa students.

Concerned with current affairs in China
and Hong Kong, it was very active in the
summer and fall of 1989. Its activities
included issuing statements, organization of
study groups and film shows and the publi-
cation of news updates. It also organized a
signature campaign to petition the Foreign
Minister of Canada and the Prime Minister
of Britain for support of Hong Kong peo-
ple's right of abode in Britain.
Contact person: Patrick Ma
Apt. #806, 401 Queen's Quay West
Toronto, Ont. M5V 2Y2
(416) 280-1898

4) The University of Toronto Chinese
Alumni Association (UTCAA)

Composed of about 50 graduates from
U. of T., the main purpose of this organiza-
tion is to maintain the contacts of Chinese
students after graduatioa Most of these stu-
dents were active as undergraduates in the
Chinese Students' Association.
Contact person: Dominic Su
248 Alexmuir Blvd.
Scarborough, OnL M1V 1T7
(416) 754-0896

Chinese Student Organizations at

York University

1) York Univ. Chinese Students'

Association

This association was formed in the late
1970's with the aim of helping Chinese stu-
dents adjust to and integrate into the univer-
sity community. Its primary activities on
campus are social, including participation in
York Multicultural Week. It also publishes
a newsletter for members, in addition to
supporting the Chinese campus newspaper
Jin Xue. Its functions beyond the campus
include participation in the 1991 United

Way Walkathon and the coordination of 14
Chinese Students Associations of Ontario in
fund-raising efforts for China flood relief.

The majority of members come original-
ly from Hong Kong and are divided almost
equally between visa students and landed
immigrants. There are also several members
from Taiwan and Southeast Asia. The orga-
nization is open to all undergraduates,
including Canadians of non-Chinese back-
ground. It is partly funded by the Y.U.
Federation of Students and partly by mem-
bership fees and the annual fund-raising
dance.

Contact person: Angus Chan
Student Centre, Suite 448
York University
North York, Ont. M3J 1P3
(416) 490-6817
hotline: 736-2100, ext. 20495

2) York Univ. Chinese Alumni
Association

This newly formed association (Sept.
1991) is the first cultural alumni chapter
supported by York University. It was found-
ed by five graduate students who feel there
is a need to maintain communication after
graduation, especially since many former
students return to Hong Kong to work and
subsequently re-enter Canada as immi-
grants. As the Association is open to all
interested undergraduates and graduates, its
membership is expected to be large. It plans
to publish a newsletter and will support
Chinese alumni at other universities in
forming their respective alumni associa-
tions.

Chairperson: Angus Chan
c/o York Alumni Association
West Office Building
York University
North York, Ont. M3J 1P3

Chinatown East, Toronto

Bill of Rights Conference

To mark Hong Kong's entry into a new
legal era, the Faculty of Law of the
University of Hong Kong held a three day
conference on the Bill of Rights at the end
of June. The conference was sponsored in
part by the Government of Canada, which
has shown a sympathetic attitude towards
the introduction of a bill of rights. Canada,
as one of the few common law countries to
have a charter of rights, is also well placed
to give help to Hong Kong legal authorities
in implementing their new bill, especially
through the use of case law.

Wang Gungwu, the Vice Chancellor of
the University of Hong Kong, opened the
conference. He underlined the importance
of the execution of the Bill of Rights (on
June 8, 1991), but warned that the Bill was
not perfect in itself. Its implementation
depended on the probity and honesty of
lawyers, on the maintenance of the rule of
law, and on the value given to human rights
by the people of Hong Kong.

The keynote speaker was Sir Derek
Cons, Vice-President of the Court of
Appeals of the Supreme Court of Hong
Kong, who spoke about the challenges of
implementing a bill of rights. Philip Dykes,
the Assistant Solicitor-General of Hong
Kong, was caught in the Philippines by the
eruption of Mount Pinatubo. His speech,
which was read for him, described the evo-
lution of the Hong Kong Bill of Rights. He
made reference to the role in drafting the
Bill played by Mr. Justice Barry Strayer, of
the Federal Court of Canada.

Another absent speaker was Professor
Gong Xiangrui, of Peking University, who
was, for unspecified reasons, unable to
attend the conference. His paper, which was
read by the conference convenor, Dr.
Johannes Chan of the University of Hong
Kong, came out in favour of both Hong
Kong and China moving with the 'interna-
tional flow towards human rights,' but
noted that human rights required freedom of
expression and assembly and the tolerance
of minority opinions. Professor Gong's
absence was the subject of considerable
press coverage; he was interviewed from
Peking by telephone but could give no clear
reason why he had not been able to go to the
conference. The assumption in the Hong
Kong press and at the conference was that
the conclusion of his paper - that the Bill of
Rights was not incompatible with the Basic

18 UPDATE

Law - was the cause of his absence.

The Canadian speakers at the conference all
presented analyses of the working of the
Charter of Rights in Canada. Chief
Superintendent Cummins (Vancouver
RCMP) reassured the audience that the Charter
had not proved to be a 'criminals' charter' and
that although the Charter had forced some
changes in law enforcement, it had not diluted
its effectiveness. Professor Rosemary Cairns
Way (University of Ottawa) spoke about the
revitalising role of the Charter within Canadian
legal process. Judge Walter Tamopolsky
(Ontario Supreme Court of Appeal) delivered
a paper on equality and discriminatory prac-
tices. Retired Supreme Court Justice Bertha
Wilson spoke about the effect that the Charter
has had on the rights of women.

Frank Stock, the Hong Kong Solicitor
General spoke of the challenge of the Bill of
Rights, and of Hong Kong's duty to give it life.
He thanked Canada for her help in bringing it
into being and said that Justice Strayer's advice
had been of immeasurable value.

The first challenge under the Bill, on June
26th, came just after the conference. In district
court, Judge Cameron refused to sign orders
preventing three people who owed taxes from
leaving Hong Kong, on the grounds that
Section 8 of the Bill of Rights gives people the
right to leave the territory. Judge Cameron was
reported as saying that 32 orders had been
signed since June 8th, the day the Bill became
law, but only after the conference did judges
become aware that such orders might be in
contravention of the Bill.

Legal Issues Workshop

by William Angus
Toronto

Entitled "Canada-Hong Kong: Some Legal
Considerations," a workshop, sponsored by the
Canada and Hong Kong Research Project of
the Joint Centre for Asia Pacific Studies, was
held June 26, 1991, at Robert Black College of
the University of Hong Kong. Jointly orga-
nized with the UHK Faculty of Law, the work-
shop was convened by Johannes Chan of the
UHK Law Faculty and William Angus from
Osgoode Hall Law School of York University.
Vice-Chancellor Wang Gungwu of the
University of Hong Kong opened the proceed-
ings with some amusing and thoughtful obser-
vations of historical and legal dimensions. The
ensuing sessions were chaired by Diana Lary

of York University and Johannes Chan.

Proceedings focused on the presentation of
five papers: "Hong Kong's International
Personality: Issues and Implications" by Roda
Mushkat from the host Law Faculty, "Coming
and Going Under Immigration and Refugee
Law" by William Angus; "Personal and
Corporate Status in Hong Kong" by Philip
Smart of the UHK Faculty of Law; "Civil
Proceedings Arrangements between Hong
Kong and Canada: Service of Documents,
Taking of Evidence and Enforcement of
Judgments" by Maurice Copithome from the
Faculty of Law at the University of British
Columbia; and "Extradition Between Hong
Kong and Canada" by Janice Brabyn of the
Faculty of Law, UHK.

Following each paper, the approximately
25 invited guests from various Canadian and
Hong Kong backgrounds discussed its content
and offered further observations. The revised
papers will shortly be published as a mono-
graph by the Canada and Hong Kong Project.

In view of the success of this workshop, its
convenors are considering a similar proceeding
in Toronto during the Hong Kong in Canada
Festival next fall

Media Workshop

by Janet A . Rubinoff
Toronto

Another Project workshop, 'Dialogue on
Hong Kong: Coverage of Hong Kong Issues
in the Canadian Media," was held in
Vancouver on June 15, 1991. The workshop
was co-sponsored by the Asia Pacific
Foundation of Canada. The 30 invited partici-
pants included members of the English and
Chinese Canadian media as well as academics
and representatives from provincial and feder-
al government agencies, the Hong Kong
Trade Development Council, the Asia Pacific
Foundation, the Vancouver and Toronto
police, and local Chinese-Canadian communi-
ty organizations.

The workshop opened with remarks by
Graeme McDonald, President of the Asia
Pacific Foundation, who stressed the growing
mutual interdependence of Canada and Hong
Kong - not only in terms of business and trade
but also in terms of human relationships and
ideas. Four sessions focused on media cover-
age of investment and trade, the impact of
Hong Kong immigration, political issues, and
special concerns including immigrant prob-

lems, Chinese-language coverage and ethical
aspects. Highlights of the discussions included
the substantial growth and importance of
Hong Kong investment in Canada, the effec-
tiveness of Business and Entrepreneur
Immigrant Programs from both provincial and
federal perspectives, the changing focus of
immigration flows to Canada and government
planning, and the tendency of the press to
emphasize the more negative rather than posi-
tive aspects of this immigration process.

Of particular concern was the sensitive
issue of reporting "Asian Crime," avoiding
stereotypes, and the importance of disseminat-
ing accurate information to the press, includ-
ing statistics on crimes committed by Asian
immigrants and refugees. Other topics dis-
cussed in the afternoon sessions included civil
rights in Hong Kong and coverage of complex
legal issues such as the new Bill of Rights, the
media in Hong Kong and its reporting of
Canadian issues that affect immigration, dif-
ferences in the emphasis of Qu6bec's immi-
gration policy and its effect on Chinese-
Canadians. Issues raised included the predom-
inant negative images of new Hong Kong
immigrants in the press, the reporting on prob-
lems experienced by Asian newcomers to
Canada, and the specific problems of the
Chinese-language press in covering Hong
Kong immigration issues. Peter Desbarals,
Dean of the Graduate School of Journalism at
the University of Western Ontario, concluded
the workshop with a discussion of broad ethi-
cal issues in press coverage, such as the prob-
lems of sensationalism, competitiveness and
negativism He emphasized the positive devel-
opments of a more diversified media and bel-
ter educated, self-critical reporters.

The list of speakers included Victor Fung
of the Financial Post, Louis Ferguson and
Mildred Morton of Employment and
Immigration Canada; John Gray, Director of
Business Immigration, Government of British
Columbia; Kevin Griffin from the Vancouver
Sun, Sgt. Benjamin Eng, Metropolitan
Toronto Police; Prof. Maurice Copithome
of UBC, Faculty of Law; Prof. Anthony
Chan, School of Communications, Univ. of
Washington; Luc Chartrand of I'Actualite;
Prof. Bernard Luk, Dept. of History, York
University, Paul Tsang from Sing Too
Newspapers, Vancouver; and Prof. Peter
Desbarats, Univ. of Western Ontario. A
transcript of the proceedings is in prepara-
tion and will be available soon from the
Joint Centre for Asia Pacific Studies.

UPDATE 19

CANADA AND

HONG KONG UPDATE

Editors Diana Lary

Janet A. Rubinoff

Illustration & Design

IMS Creative Communications

Contributors William Angus
Phil Calvert
Susan Henders
Paul L.M. Lee
Paul Levine
D. Wendy McCallum
Bob Perrins
Hugh XiaobingTan
Irene Tong

Canada and Hong Kong Update is

published three times a year by the
Canada and Hong Kong Project,
Joint Centre for Asia Pacific Studies.
The Joint Centre has recently moved
its offices. (Please note our new
address and fax number.)
Suite 270, York Lanes,
York University, 4700 Keele St,
| North York, Ontario,
CANADA M3J 1P3

Telephone: (416)736-5784
Fax:(416)736-5688

Opinions expressed in this newsjoumal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Director

Coordinator

Diana Lary
Janet A. Rubinoff

Advisory Board David Bond
Denise Chong
Maurice Copithome
Dr. Bernie Frolic
John Higginbotham
Graeme McDonald
Dr. T.G. McGee
Jules Nadeau
Dr. William Saywell
Dr. Wang Gungwu

We want to thank the Dormer Canadian
Foundation for its very generous support
which has made this project possible. The
Foundation's long-standing interest in
Canada' s international relations with Asia
has enabled us to conduct research which we
consider to be of great significance for the
future of the country.

This publication is free.

Please call or write to us for past

or future issues.

Hong Kong Seminar at
CASA Meetings
Brock University

by Bob Perrins
Toronto

A session devoted to Hong Kong issues
was one of the best attended at the recent
Canadian Asian Studies Association (CASA)
conference held at Brock University, October
4-6, 1991. The high turnout for this session
reflects a heightened interest in Hong Kong
amongst not only the general population but
also within the community of specialists in
East Asian Studies. As 1997 draws near
scholars are attempting to understand the
colony's past and present as well as to formu-
late various scenarios of what the future may
hold. The papers that were presented at Brock
University reflect these efforts and demon-
strate that no consensus exists regarding Hong
Kong's post-1997 status.

Claude Comtois of the Universite de
Montreal addressed the historical role that
Hong Kong has played as a trading and finan-
cial hub in Britain's relations with China. He
discussed the recent Sino-British negotiations
over the PADS project and placed them with-
in a historical context His paper analyzed the
short, medium and long-term implications of
the final settlement Dr. Bernard Luk of York
University addressed the fact that Hong Kong
as a distinct entity has largely been neglected
by historians; he concluded that as much
research as possible must be conducted soon
for scholars' access to sources after 1997 is of
some doubt

Maurice Copithome of the University of
British Columbia presented a paper on the
history of Hong Kong's involvement and
membership in numerous international bod-
ies. Professor Copithome contended that the
colony's legal position within these bodies is
well established, and he predicted that Hong
Kong will retain some degree of indepen-
dence and identity after 1997 because of its
membership in these international agencies.
Sonny Lo from the University of Toronto dis-
cussed the problem of perception in Sino-
British relations with regard to Hong Kong.
He noted that a great deal of misunderstand-
ing on both sides has resulted in recent acri-
monious negotiations, most notably those that
dealt with the PADS project Professor Ruth
Hayhoe of the University of Toronto (Ontario
Institute for Studies in Education) chaired the
session, and Jules Nadeau of the Universite
du Quebec a Montreal was the discussant

Future Workshops

Two Project workshops will be
held in January of 1992. The first,
"Quebec et Hong Kong," will be
held on January 8th at the
Universite du Quebec a Montreal
and will focus on Quebec immi-
gration issues and policies. The
convenors are Prof. Claude-Yves
Charrron and Jules Nadeau, both
of the University du Quebec a
Montreal, department de commu-
nications.

The second workshop, "Hong
Kong-China Relations: Economic
and Social Dimensions," is sched-
uled in Vancouver at the
University of British Columbia on
January 17-18th. Jointly convened
by Prof. Graham Johnson of the
Department of Anthropology and
Sociology, UBC and Prof. B.
Michael Frolic, Department of
Political Science, York University,
the workshop will explore eco-
nomic and cultural aspects of the
relationship between Hong Kong
and South China.

New Books and
Articles on Hong Kong

The Hidden Establishment: The Inside
Story of Canada's International
Business Elite, by Brian Milner, Viking,
1991.

"From a Segregated Minority to
Chinese Citizens: the Hong Kong
Immigrants in Toronto," by Makio
Morikawa, in Proceedings of the First
Tsukuba Seminar on Canadian Studies,
1990, pp. 100-17.

"Personal Relations and Divergent
Economies: a Case Study of Hong Kong
Investment in South China," by Alan
and Josephine Smart, in International
Journal of Urban and Regional
Research, v.15, no.2, 1991, pp. 216-233.

c

I

^m*

CANADA AND HONG KONG UPDATE

Number 6

WINTER 1992

HSTIVALHONC; KONG 9

Bridge Across the Pacific ■ ££ ^ Wfc 5% : M 7)Q IW ■ Pont Sur Le Pacifique

Festival Hong Kong 92. to be held this
autumn, is the second of the reciprocal festi-
vals celebrating the Canada/Hong Kong rela-
tionship. Festival Canada was held in June
last year (see Update 5). While all of Festival
Canada's events were held in one place, the
size of Canada means that Festival Hong
Kong will be held in several cities. It will
start with a gala function in Toronto. Festival
events in Toronto will be spread over the
week September 28-October 4. During
October, Festival celebrations will be held in
Ottawa, Montreal, and Calgary and will end
in Vancouver on October 22. The governor
of Hong Kong is expected to attend the
Vancouver part of the Festival. (The present

governor. Sir David Wilson, visited Ottawa
and Toronto in 1990, but was not able to visit
Vancouver then).

The motto of Festival Hong Kong is
"Bridge across the Pacific/Pont sur le
Pacifique." Some of the events of the
Festival will originate in Hong Kong and will
be coordinated by a steering committee there
which is chaired by the secretary for
Recreation and Culture. These events will
include cultural and sporting events, a film
festival, trade seminars and store promotions.
Local committees in the five places where
Festival activities will be held (Calgary.
Montreal, Ottawa, Toronto, and Vancouver)
will be organizing a complementary program

to bring in local organizations with an inter-
est in Hong Kong. These will include busi-
ness, academic, cultural and social activities.

Some of the funding for the Festival will
be provided by the Hong Kong Government,
and other parts will be raised from private
sponsorships as was the case with Festival
Canada.

An office has been set up in Toronto by
the Hong Kong Government to provide
information on the Festival:

Tony Dickinson Agnes Tse

Festival Administrator Assistant Festival
Administrator

Suite 5900, One First Canadian Place.

Toronto M5X 1K2

Tel: (416)777-2209 FAX: (416) 777-2217

IN THIS ISSUE:

Festival Hong Kong '92 1

Emigration of Business & Professionals 2

Hong Kong Recruitment 4

The Points System and its Implementation 4

per

F1029.5
H6 C36

Pre-migration Programs in Hong Kong 5

Immigration Applications 6

British Parliament. Citizenship & HK Indians. .6

Beijing Update 8

Political Implications of Lu Ping's Visit to HK 8
Canadian Politicians. China & Hong Kong 9

Canadian Organizations in Hong Kong 1 1

Goddess of Democracy Erected at UBC 12

West's Democracy Push 13

HK Visa Students in Metro Toronto 14

Quebec-Hong Kong Colloque 15

Hong Kong and Its Hinterland Workshop 16

CANADA AND

HONG KONG UPDATE

Editors

Diana Lary

Bernard Luk

Janet A. Rubinoff

Illustration &

IMS Creative

Design

Communications

Contributors

Philip Calvert

Harriet Clompus

Rup Narayan Das

Jane Greaves

Paul L.M.Lee

Alan Nash

Shum Kwok-cheung

Hugh Xiaobing Tan

t anada and Hong Kong Update is
published three times a year by the
Canada and Hong Kong Project
Joint Centre for Asia Pacific Studies.
Suite 270. York Lanes,
York University, 4700 Keele St.,
North York, Ontario,
CANADA M3J 1P3

Telephone: (416) 736-5784
Fax:(416)736-5688

Opinions expressed in this newsjoumal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Dun tor Diana Lary

Assoc. Director Bernard Luk

Coordinator

Advisory Board

Janet A. Rubinoff

David Bond
Denise Chong
Maurice Copithome
B. Michael Frolic
John Higginbotham
Graeme McDonald
T.G. McGee
Jules Nadeau
William Saywell
Wang Gungwu

We want to thank the Donner Canadian
Foundation for its very generous support
which has made this project possible. The
Foundation's long-standing interest in
Canada's international relations with Asia
has enabled us to conduct research which we
consider to be of great significance for the
future of the country.

This publication is free.

Please call or write to us for past

or future issues.

The Emigration of Business People and
Professionals from Hong Kong

by Alan Nash
Concordia University, Montreal

The effects of emigration upon Hong
Kong have been the focus of considerable
controversy among academics, journalists,
government officials and business people.
Certainly, the evidence is not always as
unambiguous as one might wish.
Nevertheless, the broad outlines of the pic-
ture are beginning to emerge, and it is the
purpose of this article to report on research
in two areas of current concern: the emigra-
tion of business people and professionals.

First, let us consider the emigration of
professionals. The annual movement of
those in the category defined as "profes-
sionals, managers, administrators and tech-
nicians" from Hong Kong has represented
approximately a quarter of the colony's
total losses through emigration since 1987.
The annual figures are estimated to be
7,400, 1 1.200. 9.800 and 14,500 respective-
ly. However, Paul Kwong [The Other Hong
Kong Report 1990] has argued that such a
figure of 24%. the official government esti-
mate, gives a misleading picture of the true
extent of these losses.

He gives three reasons. First, if these
emigration statistics are re-expressed
according to the number of families leav-
ing, then the emigration of those headed by
professionals would be responsible for 62%
of the total number of families leaving the
colony. Second, in terms of their impact on
the existing size of particular professions in
Hong Kong, as measured by the 1986 cen-
sus, the losses can be severe. Calculations
for the period 1987-1988 indicate "deple-
tion rates" of 10% for Hong Kong's stock
of engineers, 13% for doctors and dentists,
and 35% for the colony's computer pro-
grammers and system analysts. Third,
although professional, administrative and
managerial losses are portrayed as only
24% of Hong Kong's emigration losses,
they in fact represent 50% of the colony's
annual emigration of "economically-active"
people. If this estimate is correct and such
rates of emigration continue until 1997,
then as Ronald Skeldon has recently
remarked, "perhaps a quarter of a million of
Hong Kong's best and brightest will depart
before the Chinese takeover" [Pacific
Affairs 63. Winter 1990-91 : 5 10).

Certainly, many more professionals have
expressed their desire to leave the colony in
the future. A recent article in the prestigious
American magazine. The Atlantic Monthly,
(April 1991 ) argued that 98% of Hong
Kong's pharmacists, 80% of its accountants
and 63% of the govern rent's doctors were
planning to leave the colony before 1997.
That such estimates are not exaggerated is
clear from a comparison with the careful
examination conducted by Kwong. His data
show that of the colony's accountants, 66%
of a group of 4,600 surveyed in late 1989
had applied for foreign passports, and an
additional 27% planned to emigrate. Of the
colony's pharmacists, 48% of an early 1990
survey already held foreign passports, and a
further 43% planned to emigrate. Overall,
the best summary of the situation is provid-
ed by Hong Kong's Institute of Personnel
Management (IPM). On the basis of a 1989
survey of its membership, IPM argued that
approximately 50% of all personnel man-
agers, engineers and bankers would "proba-
bly" or "definitely" leave the colony by
1997. Indeed, Patrick Maule, the principal
investigator of the IPM survey, remarked in
late 1989 that "the proportion of profession-
als wishing to emigrate could have reached
71% by now."

The effects of this large and ongoing
loss of professionals on Hong Kong are
already profound. Commentators have
drawn attention to the growing labour short-
age in the colony (over 120.000 in 1989), to
the current acute shortage of certain groups
(such as teachers and pharmacists), to the
need to increase salaries in order to encour-
age key workers to remain (by as much as
27% in some sectors), to the loss of educat-
ed workers (almost 15% of Hong Kong
emigrants in 1989 had degree-level educa-
tion, compared to a figure of only 3.5% for
the general population), to increased staff
turnover (as much as 33% in some cases)
and, unfortunately, to fraud and corruption
as unscrupulous individuals from Hong
Kong and elsewhere have sought to meet
the demand for foreign passports.

The Asian Development Bank in its
comments on Hong Kong contained in the
report, Asian Development Outlook for

2 UPDATE

1991, concluded that "weak fixed invest-
ment growth and continued emigration of
professionals and skilled workers have lim-
ited the capacity for an early return to the
high growth rates experienced in the past." a
\ lew w ith which the firm Price Waterhouse
has recently concurred. In the face of this, it
is perhaps little wonder that businesses have
begun to leave the colony. In this respect,
Cathay Pacific's recent move of its comput-
ing operations to Australia is but one exam-
ple of a grow ing trend.

Businesses have also began to leave
Hong Kong in growing numbers because of
the recent development, particularly by
Canada and Australia (and in the USA since
1990), of another stream of emigration -
one specifically targeted at entrepreneurs
and investors in the colony, that of "busi-
ness migration." Indeed, it could be argued
that both these countries have tolerated the
large increase of Hong Kong immigration in
recent years because it brings with it
entrepreneurs and investors. Certainly, it
appears that business migration programs in
both countries have become increasingly
tailored to meet the needs of the Hong Kong
business person.

The Canadian business migration pro-
gram, which has been in operation since
1978. has three components: the "self-
employed" (who are required to create their
own employment), the "entrepreneur" (who
must establish a business that hires at least
one Canadian), and the "investor" (who
must possess a minimum net personal worth
of Cdn$500.000 and must commit at least
Cdn$250,OOO for a five year period to an
investment that contributes to business
development and job creation, a component
only in operation since January 1986). Of
these three, the entrepreneur component has
comprised approximately 75% of all admis-
sions made under the program. The
Australian program (which operated
between 1976 and 1991 when it was
replaced by an "independent-business
skills" category) sought those who would
transfer to Australia assets of at least
Aus$500,000 "for the purposes of engaging
in a commercial enterprise of benefit to
Australia."

Data for these programs show that busi-
ness migration was responsible for 15%
(4,760) of all Hong Kong immigration into
Australia between 1982 and 1988, and for
19% (7,574) of Hong Kong immigration
into Canada over the years 1987 to 1988. It

is aKo worth noting that Hong Kong busi-
ness migrants account for the majority of
those entering Canada and Australia under
such programs. ( )t the total number of
entrepreneur and investor immigrants who
arrived in Canada in 1988 (4,437), those
from Hong Kong accounted for 37'< or
1 ,633 cases. Of the total number of 1 ,864
business migrant visas issued in Australia
between July 1988 and March 1989, Hong
Kong cases accounted for 887 or 48< < of the
total.

An impression of the economic impact
on Hong Kong of such business migration
to Australia and Canada can be readily
gained from the following statistics. During
the three year period 1984 to 1986. Hong
Kong entrepreneur migrants planned to cre-
ate or retain 1 1 ,979 jobs in Canada; those
arriving in 1988 alone planned to create or
retain 8.654 jobs. Of more concern, perhaps,
are the data on the movement of funds. By
1989 the total amount of funds transferred
to Canada by all migrants from Hong Kong
in that year was Cdn$3.5 billion, of which
some $2.21 billion or 63% was to be trans-
ferred by the business migration compo-
nent. Since it is estimated that the total dol-
lar flow (including investments) from Hong
Kong to Canada in 1989 was approximately
Cdn$5 billion, this means that business
immigration from Hong Kong was responsi-
ble for 44% of the total flow of funds in that
year and overall immigration from Hong
Kong for 70%.

Data for 1990 are still very preliminary,
but the consensus points to a figure of
approximately CdnS4 billion as the amount
estimated to be transferred by all emigrants
from Hong Kong to Canada. In fact, such a
figure is quoted in the official Canadian
government briefing book used for Prime
Minister Brian Mulroney's 1991 visit to the
Crown Colony. If we assume that the pro-
portion of this flow contributed by business
migration remains the same as in 1989. this
would mean that some Cdn$2.5 billion was
transferred by business migrants to Canada
from Hong Kong in 1990.

Turning to Australia. Kwong has esti-
mated that the 900 business migrant fami-
lies from Hong Kong who received visas in
1989-90 transferred Aus$432 million to
Australia in that fiscal year. This figure rep-
resents 84% of that transferred by all Hong
Kong migrants to Australia in 1989-90. a
total of Aus$512 million.

As far as Hong Kong itself is concerned.
business migration programs are clearK
responsible for significant losses in both
business people and funds to the colony.
During the year 1988-89 alone, a total ol
2,520 business people emigrated from Hong
Kong to Canada and Australia where they
planned to create 15,750 jobs. Those that
had left during 1987-88 indicated that the)
were transferring a total of HKS14.7 billion
out of the colony, those that left in 1989-90
took approximately HKS 15.64 billion.
According to one Australian banker, this
figure represents almost half the entire
amount transferred by all Hong Kong
migrants and investors to these two coun-
tries in 1989 and 25% of the total world-
wide transfer of funds from the colony in
that year. Such figures are estimates for
only annual periods. Clearly, the total loss
to the colony from the inception of such
programs to at least 1997 can only be
guessed at. but must be of considerable
magnitude.

The challenge that Hong Kong now
faces, therefore, is how to solve the many
problems posed by such a drain of skills and
resources due to the emigration of profes-
sionals and business people. It would be
inhumane and illegal under international
law to prevent emigration from the colony.
However, it is not with such a response that
the solution lies. Rather, existing govern-
ment policies to combat the problem should
continue. These have been styled "retain
and retrain" in the case of those designed
directly to combat the brain drain, and "new
crew" in the case of those designed through
education and overseas recruitment to
replace those lost to Hong Kong. Moreover,
the potential of the one major influx of pop-
ulation that Hong Kong has received - and
most commentators ignore in this regard -
its refugee and illegal immigrant population
of approximately 50.000. ought not to be
overlooked by the Hong Kong authorities.

However, as the evidence abundantly
indicates, these strategies alone are inade-
quate. For example, by February 1991 far
fewer people than expected had applied for
British citizenship - an important plank in
the scheme to retain key workers in Hong
Kong. Evidently, the lack of Chinese com-
mitment to recognize such arrangements
after 1997 and the unattractiveness of the
British economy relative to that of North
America have effectively eliminated this
approach as a solution.

Emigration, cont'd page 4

UPDATE 3

Emigration, cont'd from page 3

Similarly, despite HK government opti-
mism, return migration rates are woefully
low, and recruitment campaigns overseas
have so far achieved very little. The Hong
Kong Social Welfare Department's 1989
campaign only resulted in seven Canadian
applicants (only two of whom could come
in 1990), whereas total vacancies totalled
593 posts. Expanded tertiary education also
faces ever-increasing losses as students
themselves go overseas.

Rather, the answer rests with those coun-
tries that have sought after Hong Kong's

business emigrants and professionals. They
must be persuaded to renounce the lure of
what seems to be "easy money" and skills,
and instead to demonstrate their professed
faith in Hong Kong's continued economic
future. The various business migration pro-
grams that these countries have focused on
Hong Kong, by their very nature, clearly do
not do this. Therefore, at the very least. Hong
Kong ought to insist that they be abandoned
and demand that they be replaced by sup-
portive economic policies and emigration
programs which are sensitive to the needs of
Hong Kong rather than to those of the USA,
Britain, Canada or Australia.

Hong Kong Recruitment

Emigration from Hong Kong, plus eco-
nomic expansion, has created a shortage of
skilled manpower which by 1996 will be
acute. Even the rapid expansion of tertiary
education will not be enough to prevent a
shortfall of over 30% in Hong Kong's needs
in 1996 [John Chan, Secretary for
Education and Manpower, speech, 19 July
1991]. One of the ways in which this short-
fall will be filled is by recruiting qualified
overseas people, including emigrants from
Hong Kong now living abroad. The govern-
ment of Hong Kong has entered into a joint
venture with the Hong Kong Institute of
Personnel Management, the Hongkong
Bank, and other private sector interests to
set up Hong Kong IPM Manpower
International. This is a non-profit company
whose task will be to identify qualified
applicants abroad and match them with
Hong Kong employers. Toronto is to be a
major focus of activity, given the large
number of potential candidates there. The
company is also setting up a computer data

1 M\M Mm U4ii.
1 B^H^D

base, IPM-NET, which will allow overseas
candidates to learn about vacancies in Hong
Kong and employers in Hong Kong to iden-
tify suitable candidates for jobs.

One area where the shortage of local
candidates is most acute is in the Hong
Kong university system. At the end of
November, the Hong Kong Trade
Development Council in Toronto arranged a
major event for the seven publicly-funded
institutions of tertiary education in Hong
Kong, at the Metro Toronto Convention
Centre, called "Accept the Challenge:
Career Opportunities in Tertiary Education
in Hong Kong." The purpose was to provide
information for people interested in working
in Hong Kong's universities. This was the
first of five sessions (the others were held in
Chicago, San Francisco, London and
Glasgow) whose object was to recruit new
staff for the burgeoning tertiary education
sector in Hong Kong and to replace aca-
demics who have emigrated from Hong
Kong.

Thomas Wu, one of the organizers of the
event, estimates that from 400-500 people
attended the Toronto seminar, and over 1 70
resumes were received from prospective job
applicants. Over the next three years, the
HK Trade Development Council hopes to
recruit from 2000-3000 people for a variety
of university positions. Plans are now in
progress for similar seminars in Australia,
Singapore and Taiwan for the late spring;
another recruitment event is also planned
for Toronto in the fall to coincide with
Festival Hong Kong '92.

The Points System and its
Implementation

Independent immigrants to Canada are
processed on a point system which mea-
sures a variety of personal attributes, includ-
ing the demand for a particular occupation
in Canada. Though most categories within
the point system do not change, the weight-
ing for occupational demand does, in rela-
tion to the employment situation in Canada.
Information on weightings is published by
the CEIC regularly and in an area of emi-
gration such as Hong Kong, is republished
in the local media. The weightings are of
great concern to potential emigrants because
a low score may put an applicant below the
70 points required to qualify for immigrant
status.

In the process of application, a would-be
immigrant first fills in a pre-application
questionnaire (PAQ). which is checked to
see whether it is worth making a formal
application. PAQs normally run far above
formal applications. The purpose of the
PAQ is to save a person who is unlikely to
be given landed immigrant status the trouble
of applying and to save the application fee.
It also cuts down the processing work for
Canadian immigration officials. The system
works well - unless there is a major change
in the occupational demand weighting while
the PAQ is being processed.

A recent Federal Court of Appeal ruling
(December 1991 ) concerning an applicant
from Hong Kong, Yee Chuen-choi, shows
what may happen. In between Mr. Yee's
PAQ being processed in October 1987 and
his formal application being made in
November, the weighting for his occupa-
tion, business analyst, plummeted from ten
points to one. When his formal application
was processed, he received only 65 points,
instead of the 74 he would have received a
month before. This put him out of the run-
ning for a visa. The Federal Court found
that he should have been allowed to apply
directly for a visa in October, instead of
being put through the PAQ process First.
The court found that potential applicants
should be given enough information to
decide for themselves which path to choose.

Representatives from tertiary educational
institutions in Hong Kong.

4 UPDATE

Pre-migration Programs in Hong Kong

Emigration from Hong Kong to Canada
has increased rapidly in the last decade. In
human terms this figure represents a great
deal of potential anxiety and trauma as peo-
ple face the difficulty of adjusting from one
culture to another.

While there are several long-standing
post-migration organizations in Canada to
offer assistance to new immigrants from
Hong Kong, until recently there have been
no equivalent organizations in Hong Kong
working to allay pre-migration anxieties.
This has meant that prospective immigrants
have had to rely on friends and relatives
who had already emigrated, so-called
"immigration specialists/consultants" (a
term used by one of the unsuccessful candi-
dates in the September Legco elections to
describe himself), or commercially-run pub-
lications such as the Chinese Canadian
Magazine and immigration guides to obtain
the information they required. However,
within the last eighteen months the need for
impartial, non-profit-motivated pre-migra-
tion information has been recognized. In
response, two programs have been estab-
lished.

The first of these is the "Meet with
Success" seminar program, which provides
general information "regarding the cultural
differences between Canadian and Hong
Kong people" through an evening seminar
open to all those prospective migrants who
have already obtained an immigrant visa.
Set up in early 1990, "Meet with Success"
is run by the Canadian Club of Hong Kong,
which was established over forty years ago
as a social and fund raising organization for
Canadians living in the territory. The
Canadian Club is an independent organiza-
tion run entirely on its membership fees,
private donations, and fund raising.
However, it has close links with the
Canadian Commission, and its Honourary
President is John Higginbotham. the
Commissioner for Canada in Hong Kong.

"Meet with Success" has received finan-
cial support from the Canadian government,
provincial government offices in Hong
Kong, and the Commission for Canada in
Hong Kong, as well as from many corporate
and private donors and other Canadian
organizations in the territory. The latter
include the Canadian Chamber of

by Harriet Clompus

Hum; Kti/ia

Commerce, the Chinese-Canadian
Association, and the Canadian University.
Association (H.K.). With one full-time
coordinator, Lyneita Swanson. the program
consists of a seminar held one evening a
week for new immigrants. This free seminar
provides a unique service, there being no
equivalent program offered by Canadian
organizations elsewhere in the world or by
non-Canadian organizations in Hong Kong.

The program is actively supported by the
Commission with details of seminars given
at the time of visa issuance and the venue
being inside the Commission. Howe\ er.
Ms. Swanson stressed that "Meet with
Success" is independent of the Commission
and that attendance is voluntary and not a
condition of visa issuance. Nevertheless, the
attendance rate is extremely high, w ith an
85-90% uptake, which reflects the consider-
able and previously unmet demand for such
a service.

The format of the seminar is a 1 V2 nour
video, introducing a Hong Kong immigrant
couple as they go through typical Canadian
activities - grocery shopping, "do it your-
self home improvements, and sports activi-
ties. It features two well known Cantonese
actors, who are recent immigrants to
Canada and are "playing themselves." The
video is followed by a general talk about
different aspects of Canadian life, given in
conjunction w ith a very well produced and
comprehensive information package. This
covers many aspects of life in Canada and
includes practical information ranging from
education to car ownership to tips on social
and communication skills.

The audience then participates in an
exercise to create a personal "checklist" of
the issues they consider most important in
the migration adjustment process. Finally,
there is a question and answer session in
which all kinds of queries are raised from
educational matters, to taxes, to the bringing
of ancestors' bones to Canada for burial.
Occasionally guest speakers are invited to
present a seminar. Previous guests include
Mila Mulroney, the wife of the Canadian
prime minister, and David Lam, the Lt.
Governor of British Columbia. The seminar
is held in Cantonese except when there is a
non-Cantonese speaker, in which case an
interpreter is provided.

The second program was set up by
International Social Sen ices (ISS) 111
January 1991 and is funded by a private
donation from the Marden Foundation
(Hong Kong). It provides more individual-
ly-tailored and long-term services and can
be seen as complementary to the "Meet with
Success" program. The latter will refer peo-
ple to the ISS program if it cannot deal with
enquiries within the seminar format.

For a nominal fee, the ISS program
offers a series of services for those consid-
ering migration to North America and
Australia and to those who have already
obtained immigrant visas. The service
employs one full-time social worker and
one support staff member. Pre-migration
coordinator, Ms. Wan Fong Tarn, said that
the Canadian and Australian Commissions
have both been helpful in supplying infor-
mation for the program, but there has been
little encouragement or interest from the
American Consulate-General.

Services consist of answering telephone
enquiries and giving more in-depth group or
individual counselling sessions. One of the
main areas of concern is the impact of emi-
gration on children and. particularly, its effect
on their educational progress. There is a
weekly "mutual aid group" for parents where
they can discuss their anxieties.
Approximately eight couples participate in
each session, and some weeks there is a wait-
ing list. Participants are encouraged to
exchange addresses in Hong Kong and their
destination country, and they are also referred
to relevant post-migration organizations.
Dependent on funding, there are plans for
other services such as skills training classes.

In early October the ISS pre-migration
program hosted the 1 2th annual Chinese
Immigrant Service of North America con-
ference, the first time this week-long event
has been held in Hong Kong. It emphasized
the importance of exchanging information
and ideas at both ends of the migration
route. Agencies from Toronto. Vancouver.
and Montreal represented Canada at the
conference. Participants from North
America spoke of the necessity for "a
greater sensitisation of their governments
for the needs of Chinese migrants." and
stressed that migrants must prepare them-

Pre-migration. cont'd page 6

UPDATE 5

Pre-migration, cont'd from page 5

selves as much as possible before leaving
Hong Kong. A one day open forum, arranged
as part of the conference, was attended by
over 250 prospective immigrants, indicating
the high level of interest in the community for
pre-migration programs.

"Meet with Success" and the ISS Pre-
Migration program represent a first step
towards alleviating the anxiety inherent in the
migration process. However, there is a

widespread perception that this is a Canadian
rather than a Hong Kong issue. Therefore, the
ISS program, in particular, has had great dif-
ficulty in attracting local funds. The annual
Marden Foundation grant of HK$330,000
will only continue until the end of 1992, after
which alternative sources of funding must be
found. So far approaches to numerous chari-
table foundations and to the government have
proved unsuccessful, and the continued exis-
tence of the ISS program remains uncertain.

Immigration Applications, HK CLPR 1989

by Diana Lary
Hong Kong

Not all immigration applications are
made by people in the country of last perma-
nent residence (CLPR). Some people apply
elsewhere, either because there is no
Canadian mission in their own country or
because they are refugees. For others it is for
reasons of convenience. Given how long pro-
cessing delays can be in Hong Kong and how
many potential Hong Kong immigrants trav-
el, a significant number of Hong Kong CLPR
applications are made at posts other than
Hong Kong. The great majority of non-Hong
Kong applications are made in the USA,
many at border cities such as Seattle, Buffalo
and Detroit. There is some indication that
making an application outside Hong Kong is
becoming more popular. Though the overall
number of applications fell between 1989
and 1990, the proportion of applications
made outside Hong Kong increased.

1989

1990

Hong Kong
Seattle

15930(91%)
315

12912(86%)
197

New York

294

167

Buffalo

275

394

San Francisco

184

192

Detroit

79

149

Singapore
Boston

76
71

184
111

Los Angeles
Dallas

68

47

106
139

Tokyo

Minneapolis

Atlanta

31
19
18

32
67
60

London

11

80

Sydney
Bangkok

8
6

25
60

Mexico City
Other

5
65

87
106

(Non Hong Kong) 1570 (9%)

2156(14%)

Total

17500

15068

6 UPDATE

Visas issued, Hong Kong CLPR

The proportion of visas issued for people
whose CLPR was Hong Kong, but who
applied at other posts, ran at 6% in 1989 and
9% in 1991. Care should be taken with
these statistics. The two sets, for applica-
tions and visas issued, do not correlate
because of the time lag in processing, which
varies both by the business of the post and
by the class of application. Family and busi-
ness class applications, for example, are
normally processed before other classes.
Visas issued in 1989 could be based on
applications made in 1988 or earlier while
1990 visas might be for 1989 applications.
However, there may be some correlation
between the 9% of non-Hong Kong applica-
tions in 1989 and the 9% of visas issued at
posts other than Hong Kong in 1990.

Hong Kong
Other

Total

1989 1990

8935(94%) 7972(91%)
559 (6%) 748 (9%)

9494

8720

Canada, Britain and the
Hong Kong Problem

Dr. Gerald Segal, research fellow at
the Royal Institute of International
Affairs, London and reader in
International Relations at Bristol
University, has written an article analyz-
ing the complex relationship between
Britain and Canada over Hong Kong
issues. See "Canada, Britain and the
Hong Kong Problem," The Round Table,
July 1991. pp. 285-98.

British Parliament
and Citizenship for
Hong Kong Indians

by Rup Narayan Das
New Delhi

Hong Kong's ethnic South Asians, who
hold British Dependent Territory Citizenship
(BDTC) passports, have been lobbying since
1985, both in Hong Kong and London, for
full British citizenship rights, including right
of abode in the United Kingdom. Leading
this campaign are two of Hong Kong's
prominent Indian businessmen. Hari Harilela
and Kewalram Sital. president and chairman,
respectively, of the Council of Hong Kong
Indian Associations.

During the citizenship debate. Harilela.
Sital and other members of the Council flew
to London on several occasions to give pre-
sentations and meet with Ministers and
Members of Parliament. Council representa-
tives also canvassed support from the local
press. Although the efforts of the leaders of
the Indian community in Hong Kong have
not produced the desired results of full
British citizenship rights, they did succeed in
gaining support from some Members of
Parliament and the press.

In 1985 members of both Houses of the
British Parliament evinced keen interest in
and recognized their moral obligation
towards the ethnic minorities of Hong Kong,
including the Indian population. In response
to this pressure on the UK government from
Parliament, Baroness Young, then Foreign
Office Minister in the House of Lords, on 19
February 1985 clearly committed the British
government to undertake amendments
regarding citizenship in line with prevailing
views in Hong Kong and in both Houses.

A year later. Lord Glenarthur, then
Home Office Minister, conceded that every
speaker in the House of Lords debate on 20
January 1986 supported the minorities'
wishes along with other recommendations.
In the debate in the House of Commons on
January 16, all but two of the 18 members
who spoke on the nationality provisions of
the Hong Kong Act also supported the rec-
ommendations of Hong Kong's Legislative
Council, which included the extension of
full British citizenship rights to ethnic
Indians holding BDTC passports. Members
of the Commons, belonging to different par-
ties, were highly critical of the govern-
ment's refusal to recognize the just claims

of the ethnic minorities for an effective citi-
zenship.

Given the size of the government's major-
ity, the British Nationality Order-in-Council
had smooth passage in the House. However.
attempting to allay the anxiety of the ethnic
minorities as expressed by some MPs. Mr.
Waddington. then Minister of State of the
Home office, indicated that any British
nationals forced to leave Hong Kong and hav-
ing nowhere to go would be considered sym-
pathetically by the government for entry to
Britain, given their particular circumstances.

In response to overwhelming concern
expressed by MPs in the debate on 1 6 May
1986. Lord Glenarthur reiterated that. "We
should consider it an obligation for any
future government to treat with very consid-
erable and particular sympathy the case for
admission to the UK of any individual
British national under pressure to leave Hong
Kong." His statement was the first time the
word "obligation" in the context of the
nationality issue was used by any govern-
ment minister, and raised cautious optimism
amongst leaders of the Indian community of
Hong Kong.

The Foreign Affairs Committee of the
House of Commons, which visited Hong
Kong in April 1989. submitted a report in
June of that year which questioned whether
these assurances given by the British govern-
ment were sufficient. The report also recom-
mended that the British government had an
obligation to extend UK citizenship to "this
group of people which it has cooperated in
consigning them otherwise to a second class
citizenship."

Passed on 19 April 1990, the nationality
package [see Update, Spring 1990: 12; Fall
1990: 5], offering full British citizenship to
50.000 families of BDTC passport holders of
Hong Kong, came as an anticlimax to the
Indian community after its protracted lobby-
ing in the territory and in London.

The debate in Parliament for the Bill
evoked considerable sympathy for the BDTC
passport holders who could be stateless after
1997. Among Tory MPs. Peter Shore. Nigel
Forman, and Andrew Faulds had advocated
either restoration of full British citizenship
rights or stronger guarantees for the future of
the non-ethnic Chinese communities in Hong
Kong. However, right wing Conservative
MP Norman Tebbit led the Tory revolt
against the Bill, arguing that, "we have more
than enough to do to integrate existing
[immigrant] communities into British societ)
without adding to that burden or exacerbating
existing problems." At the same time, he
expressed concern about the fate of Asians of
Indian descent who were likely to become
stateless and possibly refugees, and advocat-
ed intervention by the UK Foreign Secretary
on their behalf with the Government of India.

While Labour also criticized the Bill, the
Party, represented by Roy Hattersley, Gerald
Kaufman and Max Madden, strongly argued
in favour of full British citizenship for ethnic
Indians and other vulnerable groups in Hong
Kong. Paddy Ashdown of the Liberal
Democrat Partv sousht to strenathen and

improve the Bill in Committee and pleaded
for the needs of the ethnic communities.

In response to such pleas by the opposi-
tion. Home Secretary Waddington reiterated
the government's position that if an individu-
al from the ethnic minorities were to come
under severe pressure after 1997. the govern
iiient would consider his/her application to
come to the United Kingdom.

The Nationality Bill, which obtained
royal assent in July 1990. shattered the last
hope of Hong Kong Indians for full British
citizenship rights. However, in a recent
development concerning the plight of over-
seas Indians such as in Hong Kong, the
Government of India is now considering the
possibility of amending the Constitution to
provide dual citizenship to people of Indian
origin abroad. This augurs well for ethnic
Indians in Hong Kong who hold BDTC pass-
ports. New Delhi is expected to announce its
decision very soon. Although many Hong
Kong South Asians may not prefer to return
to India, at least they need not face stateless-
ness in the worst of circumstances.

Manchester. UK Chinatown

Saskatchewan
Government Office

In November, the trade minister of the
newly elected NDP government, Dwain
Lingenfelter, announced that Saskatchewan
would close the three trade offices it main-
tains abroad in Hong Kong, Minneapolis
and Zurich. The office in London is to

remain open. The new government believes
that the offices to be closed cost more than
they are worth in terms of business done,
especially the one in Hong Kong. The
Saskatchewan representative in Hong Kong.
Graham Taylor, is a former cabinet minister
in the Conservative government; it was
claimed that his living costs in Hong Kong
were exorbitant.

According to Robert Perrin, Executive

Director of the International Division.
Saskatchewan Economic Diversification
and Trade Office, "The decision to close
Saskatchewan's international office in Hong
Kong was taken as part of a re-evaluation of
the Province's overall approach to interna-
tional trade and the severe budgetary deficit
situation of the province. The government is
looking for more rational and cost effective
ways to encourage trade."

UPDATE 7

Beijing Update

by Jane Greaves
Beijing

Continuing the recent trend in the
Chinese press, there has been little mention
of "things Hong Kong" during the winter
months. In the few articles that have
appeared, the concern of the Chinese gov-
ernment over maintaining stability in Hong
Kong (and presumably the mainland) is
apparent, no doubt a reaction to the events
in the "Soviet Union" last August. This sta-
bility, suggested Chen Ziying, Deputy
Director of the Hong Kong and Macao
Affairs Office of the State Council, can be
enhanced in two ways: through greater
cooperation between China and the United
Kingdom in affairs concerning Hong Kong
and through greater interaction and more
channels of communication between the
mainland and Hong Kong itself.
Cooperation and involvement are the key
words in the press at the moment.

The signing in September 1991 of the
Memorandum of Understanding
Concerning the Construction of the New
Hong Kong Airport is referred to several
times as a turning point in cooperation

between the United Kingdom and China as
it provides certainty for the projects and
"also provides a practical framework within
which various issues related to the develop-
ment of the new airport can be discussed by
parties concerned." The cooperation is reas-
suring not only for Beijing but also for
British business circles. A China Daily arti-
cle reported that a recent delegation of
British business people to Hong Kong saw
increasing confidence in the territory, espe-
cially as the future sourcing, financial and
distribution headquarters for Asia.

The active participation of Hong Kong
in mainland affairs was by far the dominant
issue in the news. Articles covered the
Chinese space exhibition in Hong Kong, to
which reccrd breaking crowds of overseas
Chinese and Hong Kong residents flocked;
Hong Kong investment in the mainland
stock market; ihe Hong Kong Trade
Development Council's major product pro-
motion in Tianjin; and the reprinting in a
Hong Kong magazine of a speech given by
Li Peng on Shenzhen's development and

the potential for overseas and Hong Kong
participation in it. The inference being
given is that Hong Kong is eagerly antici-
pating its return to the motherland and is
demonstrating this through its willing par-
ticipation in mainland affairs.

Bidding on the Hong Kong airport con-
tracts did actually appear in both the
English and Chinese press. This was sur-
prising as reference to PADS is usually
made under euphemisms such as "major
construction projects" or "infrastructure
development." One assumes that the
Memorandum of Understanding has less-
ened, though not eliminated, Beijing's dis-
pleasure and, hence, PADS's taboo status in
the press. That China is also bidding for
contracts is significant.

The general impression one gets from
the mainland press continues to be that the
Hong Kong issue does not merit much
space in the press, but what coverage it does
get should show the happy situation in the
countdown to 1997.

The Political Implications of Lu Ping's Visit in Hong Kong

by Shum Kwok-cheung

Hong Kong

Lu Ping, director of the China's Hong
Kong and Macao Affairs Office (HKMAO)
of the State Council, recently visited Hong
Kong on January 6-14. His visit was partly in
response to the agreement reached by China
and Britain in the Memorandum of
Understanding on the airport issue, which
stipulated regular meetings between the
Director of HKMAO and the Governor of
Hong Kong. This trip is particularly notewor-
thy because Lu Ping is the most senior
Chinese official to visit Hong Kong since the
dispute over the Final Court of Appeal and
the establishment of the standing committees
in the Legislative Council (Legco).

Although Lu Ping had official contacts
with the Governor, Sir David Wilson, the
real significance of his trip lay in the eight-
day extension of his "informal visit" in order
to approach various local communities.
These included pro-China groups, commer-
cial associations and political organizations.

These more informal contacts drew much
public attention.

His contact with many local political
organizations, including two minor liberal
groups. Meeting Point and the Association
for Democracy and People's Livelihood, was
particularly important. However, Lu Ping
excluded the most popular and powerful lib-
eral party, the United Democrats, and its
prominent chairman, Martin Lee Chu-ming.
In an open letter in the South China Morning
Post, Martin Lee demanded to speak with Lu
Ping and stressed that the HKMAO director
"regard the people of Hong Kong as an asset,
not as an enemy; work with us, not against
us" [SCMP, 12 January 1992, p. 1 1 ]. In refus-
ing to meet with Mr. Lee, Lu Ping stated,
"We have to make a selection. Some people
want to overthrow the Chinese Government
- of course we will not see those people. We
do not have a common language" [SCMP, 1 1
January 1992, p.3].

The relationship between China and local
Hong Kong liberals has worsened since the 4
June 1989 Tiananmen massacre. At that time
liberal leaders formed the Hong Kong
Alliance in Support of the Patriotic and
Democratic Movement in China
(HKAPDM) to support democracy in
Mainland China. This organization was
declared subversive by Beijing. To contest
the first direct elections to Legco last
September 1991. leaders of the majority of
liberal groups formed a political party, the
United Democrats of Hong Kong (UDHK).
in April 1990. Liberals won an overwhelm-
ing victory in the Legco elections, attaining
16 (later 17 after a by-election held in
December) of the 1 8 contested seats. Twelve
of these seats were won by UDHK candi-
dates. This rapid expansion of liberal power,
especially by the United Democrats,
increased China's suspicion. As evidenced
by Lu Ping's visit, China's tactic has not

8 UPDATE

been to condemn the whole liberal camp but
to isolate those leaders active in the alliance
for democracy movement, the HKAPDM
and the United Democrats

China's strategy of divide and rule - in
t Ihinese terms, the "united front" - led to
much criticism as reflected in editorials of
the Hong Kong press. |See H.K. Economic
Times. 10 January 1992; Hong Kong
Economic Journal. 1 1 January 1992. and the
South China Morning Post. 13 January
1992.) As one editorial proclaimed. "The
guest list to Mr. Lu's functions over the past
week reads like a political register of who is
in, who is out. who has a future and who has
none" [SCMP, 13 January 1992, p. 16].

Commenting on the implications of Lu
Ping's visit. Dr. Louie Kin-sheun. Research
Officer of the HK Institute of Asia-Pacific
Studies at the Chinese University of Hong
Kong, felt that China had successfully reinte-
grated and reorganized local political forces
sympathetic to Beijing. For instance, after the
meeting with Lu Ping, the Cooperative
Research Centre, formed by the majority of

conservative Legco members and headed by
senior legislator. Allen Lee Peng-fei, claimed
they wca- recognized as a political entity even

though the group had not yet functioned as a
political party [SCMP, 13 January 1992]. Lu
Ping's invitations also were an indication of
acceptable candidates for Hong Kong's future
ruling class. According to Dr. Louie. China's
tactic of divide and rule, both powerful and
delicate, had a negative impact on the United
Democrats who were excluded from meetings
with Lu Ping. At his encounter with two
minor liberal groups. Lu Ping reiterated that
China was not against the United Democrats
as a whole but only opposed to some members
of the "liberal flagship" because they wanted
to overthrow the mainland government.

What China is attempting to do is isolate
political leaders active in both the UDHK and
the HKAPDM. As 1997 approaches, the
"China factor" w ill become more and more
important. By undermining the solidarity of
the liberal camp, China apparently intends to
weaken its political power. Chinese leaders
like Lu Ping stress the fact that the Hong

Kong electorate should consider if the opposi-
tion to Chinese authority will be beneficial to
the territory. The political group which is not
recognized by China will inevitably face
much pressure from within and outside the
camp of Hong Kong liberals.

Undoubted!) . China has become an
important factor in the Hong Kong political
arena, and its influence will increase as 1997
approaches. However, the liberal camp is still
the strongest political force with a broad pop-
ular base in Hong Kong and cannot be easily
dismissed. In the years to come. China will
need to rethink its antagonistic and diehard
attitude towards the liberals, while the latter
will have to try to develop more flexible tac-
tics to deal with the Beijing government. It is
significant that Lu Ping met with some liberal
leaders last January. Nevertheless, if there is
to be a smooth transfer of power after 1997, a
crucial consideration will be the improvement
of relations between local liberals and
Chinese authorities in both the pre- and post-
transition period.

Canadian MPs and
Chinese Human Rights

The expulsion of three Canadian MPs
from Peking on January 7 aroused consider-
able interest and excitement in Hong Kong.
The three. Beryl Gaffney. L. Nepean. Svend
Robinson. NDP. Bumaby-Kingsway and
Geoff Scott, PC. Hamilton-Wentworth,
were greeted with bouquets and major press
coverage when they arrived in Hong Kong
on a flight from Peking. They had been
taken to the Capital Airport in Peking, with-
out prior arrangement and against their will,
from a meeting at the Great Hall of the
People with Rong Yiren. vice chairman of
the National Peoples' Conference and a
leading figure in China's foreign trade
establishment.

The MPs were in China as the guests of
the People's Institute of Foreign Affairs, a
unit connected to the Ministry of Foreign
Affairs. Their explicit intention was to look
into the human rights situation in China.
Chinese authorities became upset when the
MPs met relatives of imprisoned dissidents
and were concerned about the MPs inten-
tion to hold a press conference in Peking.
Because of the expulsion the press coverage
came from Hong Kong rather than Peking.

The incident aroused a great deal of interest
both internationally and in the territory
where human rights issues in China are very
close to the bone.

The expulsion of the MPs came a week
after the release from prison in China of
Hong Kong resident. Lau Shan-ching (Liu
Shanqing) who had served ten years in
prison in China for giving financial help to
members of the Li-Yi-Zhe group of dissi-
dents. There was much comment in Hong
Kong on the relative advantages of being
Canadian.

Hong Kong's Future
Court of Appeal

In view of the transfer of sovereignty
from Britain to China. Hong Kong will no
longer be able to use the Privy Council in
London as its final court of appeal. Both the
Joint Declaration and Basic Law describe
the setting up of a court of appeal in Hong
Kong, and allow for an unspecified number
of judges from other common law jurisdic-
tions amongst the five judges. Previous
expectations were that there would be two

such judges, but a September Joint Liaison
Group decision between Britain and China
proposed to limit foreign judges to one. On
December 4th, by a majority vote of 34 to
11, Legco asked Britain and China to recon-
sider that decision and to leave the number
of foreign judges open. The request was
rejected by the Chinese and British govern-
ments and by the Hong Kong government.
However, the fact that it was made at all
was seen as a sign of a new Legco activism
and as a manifestation of lack of confidence
in Chinese attitudes towards the rule of law.

The issue aroused considerable interest
in Hong Kong and abroad because it con-
cerns the independence of the future court
and the continuation of a common law
regime after 1997. For many Hong Kong
Chinese, and for many people doing busi-
ness there, this is seen as a fundamental
issue. Legco is the only partially elected
body in Hong Kong. Thus, its present and
future role in making its views on Hong
Kong's legal future strongly felt is being
watched with great interest. For Canada the
issue is noteworthy because of the likeli-
hood that, as a major common law jurisdic-
tion, Canadian judges will be asked to serve
on the Hong Kong court.

UPDATE 9

Premier Harcourt Emphasizes BC-Hong Kong Relationship

Shortly after his election, the new pre-
mier of British Columbia, Mike Harcourt,
visited Asia in order to underscore the
importance his province attaches to the
region. His stay in Hong Kong at the end of
November was an important part of his
visit. The following is an address Premier
Harcourt gave at the Government of British
Columbia reception for the trade and invest-
ment community. November 21, 1991.

"I am very pleased to be back in Hong
Kong. I visited here during my years as
mayor of Vancouver, and I know of the
important and special relationship that the
province of British Columbia has with the
people of Hong Kong.

As British Columbia's new premier, I
am committed to strengthening and expand-
ing BC"s ties with Hong Kong. I would like
to tell you a little bit about the province of
British Columbia - our people, our econo-
my and about our long friendship and rela-
tionship with the people of Hong Kong....

The province of British Columbia has
stunning natural beauty, a clean environ-
ment and first-class educational facilities,
hospitals and social services. We have a
thriving, dynamic, diverse and growing
economy - an economy that, like Hong
Kong, is closely tied to the international
market place.

British Columbia is a trading province
that each year exports billions of dollars
worth of products. In 1990. for example,
British Columbia's exports were valued at
over $16.5 billion.

As the westernmost province in Canada,
British Columbia is Canada's gateway to

the markets of the North and South Pacific
and the United States. In fact, from British
Columbia, it is possible to do business with
Asia, North America and Europe on the
same day.

We have strong ties with the Pacific Rim
countries, and we are a central point for
Asian goods entering North America. One
of our key trading partners in the Pacific
Rim is Hong Kong.

In 1989, for example, British Columbia's
trade with Hong Kong was in excess of
$280 million. British Columbia's links with
Hong Kong are significant and span many
decades. Our people have a close relation-
ship with the people of Hong Kong, and
there is a strong Hong Kong presence in
British Columbia.

For example, many Hong Kong students
choose to pursue their education in British
Columbia. In 1990, there were over 2,400
students from Hong Kong studying in our
province, and British Columbia is becoming
the new home for thousands of Hong Kong
residents. In 1990 alone, over 6,700 Hong
Kong residents who received immigrant
visas chose to come to British Columbia. As
more Hong Kong immigrants come to BC,
the ties between Hong Kong and our
province are becoming family ties.

Our trade, investment and business links
are also growing. There are many Hong
Kong investors who have invested in British
Columbia industries, ranging from garment
factories to light consumer goods production.

The head office of the Hongkong Bank
of Canada, Canada's largest foreign-owned
bank, is located in Vancouver. The regional

offices of Cathay Pacific Airways are locat-
ed in Vancouver, which as you know, is the
centre for trade and commerce in British
Columbia.

As well, major trading, shipping and dis-
tribution companies like Jardines and Dah
Chong Hong have a presence in British
Columbia. Many Hong Kong business peo-
ple have made prudent investments in the
province, including manufacturing plants
established by the Video Technology Group
and Qualidux Ltd. They recognize that
British Columbia is a competitive location
where their new capital investment is
always welcome and supported.

As British Columbia's new premier. I
encourage you to join the growing list of
Hong Kong businesses and corporations
who are finding that investing in British
Columbia is a wise business decision.

The people of Hong Kong are well
known for their entrepreneurial talents and
business know-how. As British
Columbians, we are eager to learn from
you. That's why, while mayor of
Vancouver, I worked hard to promote trade,
investment and cultural links with the peo-
ple of Hong Kong.

And now as premier of British
Columbia. I look forward to building upon
those efforts so that the people of British
Columbia and the people of Hong Kong can
enjoy even closer ties....

May both British Columbia and Hong
Kong continue to enjoy friendship, business
partnerships, prosperity and success."

Crosbie Visit to Hong Kong

On January 12-14. John Crosbie, Minister
for Fisheries and Oceans, visited Hong
Kong. The minister led a delegation of fish
merchants from Canada and hosted a seminar
on underutilized species for local buyers.

In a speech to the Canadian Chamber of
Commerce in Hong Kong, the Minister
reviewed the current state of the Canadian
economy, prospects for constitutional settle-
ment and opportunities for investment in

Atlantic Canada and the fisheries. He
emphasized that exports of seafood from
Canada to Hong Kong had risen from
Cnd$6.3 million (HK$38 million) in 1986
to Cnd$14.6 million in 1990. Also Minister
for the Atlantic Canada Opportunities
Agency, Mr. Crosbie stressed that Hong
Kong was limited in its investment vision of
Canada, looking to the Pacific west while
ignoring Atlantic Canada.

During his visit, the Minister also attend-
ed a luncheon with prominent journalists
from the Hong Kong media, including resi-
dent Canadians Ben Tierney (Southam
News), Susan Helwig (CBC), Don Pittis
(Standard Broadcast), and Kelly
McPharland (Toronto Sun/Financial Post).

10 UPDATE

Canadian Organizations in Hong Kong

by Harriet Clompus
Hong Kong

Hong Kong-Canada Business
Association (HKCBA)

Founded in Calgary in 1984. the
HKCBA was established by Canadian busi-
ness people to promote bilateral trade. It
now has a total membership of 3,400 indi-
viduals and corporations and maintains
offices in all Canadian provinces.

Early in 1991 John Cheng, a Chinese
Canadian and former executive director of
the HKCBA who returned to work for the
Hong Kong government, became the volun-
tary HKCBA representative in the territory.
However, operations in Hong Kong are still
at a very preliminary stage with no perma-
nent office or near-future plans to recruit
members locally. Instead Mr. Cheng acted
as a liaison officer, working with Canadian
members and Hong Kong contacts and
agencies. There are also close links between
the Canadian Chamber of Commerce in
Hong Kong and the Hong Kong Trade
Development Council, but John Cheng
emphasized the fact that because the
HKCBA is a Canada-based organization
and the other two are based in Hong Kong,
there is no duplication of their w ork.

In 1991 the HKCBA sent a delegation to
Hong Kong to participate in Festival
Canada '91, and for the first time since its
inception, the organization held its annual
general meeting there. Prof. Diana Lary,
director of the Canada and Hong Kong
Project, was invited as a guest speaker to
talk about the research project. The
HKCBA will take a leading role in the
reciprocal Festival Hong Kong '92 to be
held in Canada next fall. Andrea Eng. for-
mer national president of the HKCBA. will
serve as Co-Chair of the Festival
Committee.

Note: The editors recently learned and
regret to report that Mr. Cheng died sud-
denly of a heart attack in February; his
untimely death is a great loss to his family.
friends and colleagues, and we extend our
sincere sympathy. As a new representative
has yet to he appointed, we do not have a
contact number in Hong Kong for the
HKCBA.

Chinese Canadian Association in
Hong Kong

The Chinese Canadian Association was
set up five years ago to promote links
between Canada and Hong Kong, and in the
words of its former Chair, Felix Fong, "to
look after the interest and welfare of
Chinese Canadians living in Hong Kong."

A relatively small organization w ith only
200 members, it has, nevertheless, been
very active in many Canadian projects in
Hong Kong in the past year. These include
participation in Festival Canada '91, spon-
sorship of a concert featuring Chinese
Canadian musicians, and the hosting of a
visit by a Canadian mountain climbing
team. The association's main project was its
leading role in the establishment of the
Canadian International School, which
opened on 15 November 1991. Seven of the
twelve founding members of the school's
Foundation are from the board of the CCA,
and former Chair Felix Fong is the
Canadian International School representa-
tive on the Canada Club Executive
Committee. The Association continues to be
active in fund raising for the school and
supports the Foundations 's intention to
w ork tow ard the building of a new facility
to further improve Canadian education in
Hong Kong.
Chair: Kwan Li

c/o The Canadian International School
GPO Box 946
7 Eastern Hospital Road
Caroline Hill
Hong Kong

The Canadian Club of Hong Kong

Founded 42 years ago, the Canadian
Club aims to "create a sense of fellowship
among Canadians in Hong Kong." In addi-
tion to social functions, it organizes many
fund raising and charity events. Of the
approximately 900 members. Nancy Dixon,
Executive Director, estimates about 30%
are Hong Kong-born Canadians, with the
majority being expatriates.

The Club organizes the "Meet with
Success" pre-migration seminars [see Pre-
Migration Programs in Hong Kong. p. 5).
which provide information to new immi-

grants from Hong Kong to Canada regard-
ing cultural differences. The Club is a
founding member of the Canadian
International School and also participated m
Festival Canada '91. It has gcxxl relations
with the Chinese Canadian Association which
has contributed to the "Meet with Success"
program, and many Chinese Canadians are
members of both organizations.
President: Vincent M. Lee
Exec. Director: Nancy Dixon
GPO Box 1587
Hong Kong
Tel.Page: 1108-66244 (N.Dixon)

The Canadian Chamber of
Commerce in Hong Kong

The CCCHK is an independent, non-
profit organization with a mandate to foster
bilateral trade and investment between
Hong Kong and Canada. Since its inception
in 1977. it has grown from a loose collec-
tion of business people to an organization
with over 900 corporate and individual
members, making it the biggest Canadian
chamber of commerce outside of Canada.

The CCCHK holds up to 80 functions a
year which include many seminars, as well
as jointly sponsored events with other local
chambers and associations. Its bimonthly
publication. Canada Hong Kong Business.
has a readership of over 10,000 in Hong
Kong and Canada. The Chamber is also a
founding member of the Canadian
International School and has contributed to
the Canada Club's "Meet with Success"
Program.

Exec. Director: Heather Allen
13/F One Exchange Square
GPO Box 1587
Hong Kong
Tel: 526-3207
Fax: 845-1654

UPDATE 11

Goddess of Democracy Erected at UBC

by Hugh Xiaobing Tan
\ ancouver

Those who watched TV coverage of the
1989 June 4th incident in Beijing will
remember the destruction of the statue of
the Goddess of Democracy after the
People's Liberation Army captured
Tiananmen Square. Exactly two years later,
a replica of the statue was erected on the
campus of the University of British
Columbia in Vancouver to commemorate
the 1989 massacre.

The idea of recreating the statue was ini-
tiated by the Vancouver Society in Support
of Democratic Movement (VSSDM), an
organization founded shortly after the
Beijing incident. To raise funds for building
the statue, the VSSDM organized a Concert
for Democracy in China on 4 August 1989.
and about $20,000 was collected. At that
time, the VSSDM proposed that the statue
be built at the Dr. Sun Yat-sen Garden in
Vancouver's Chinatown. However, this pro-
posal was refused by the board of the
Garden, which was reluctant to become part
of "a political forum." In March 1990
VSSDM applied to the Vancouver Parks
Board for the placement of a plaque in the
city-run Sun Yat-sen Park, adjacent to the
Garden. This application was also turned
down because of strong opposition from
within the local Chinese community. [See
Update, Spring 1990, p. 9.] The VSSDM
began to look for other sites. A small statue
of the Goddess was later built in the Forest

Lawn Cemetery in Burnaby. B.C.. but this
did not attract much public attention.

The proposal for placing the statue at the
UBC site was first put forward by the
Chinese Student and Scholar Association
(CSS A) of UBC. In February 1990 Chair of
the Association. Dongqing Wei, was invited
to give a presentation at the Alma Mater
Society (AMS), of which the CSSA is a
member organization. A motion was passed
by the AMS to build the statue, and a mem-
orandum was given to the president of the
university, proposing a site near the Asian
Centre. UBC authorities agreed to allow the
statue to be placed at the university but
decided on a site close to the Student Union
Building. The President's Art Advisory
Committee also examined details of the
plans for the statue from an artistic perspec-
tive. Final approval for the project was
granted in May 1991.

It is rumoured that during the negotia-
tions between AMS and university authori-
ties, the Chinese Consulate General in
Vancouver contacted UBC in an attempt to
prevent the proposal from being approved.
However, the university considered this
matter mainly a student affair and refused to
intervene. After approval was granted,
Vancouver artists Tom Mash and Chung
Hung began construction of the Goddess
statue. Their final product was a three-meter
high, 800 pound statue made of a resin and
marble dust composite. The actual cost of
the sculpture was $25,000. $20,000 of
which came from the VSSDM and the rest
from CSSA. The Alma Mater Society paid
$ 1 2.000 for preparation of the site. This
statue is said to be the largest, permanent
outdoor replica of the Goddess of
Democracy in the world.

The unveiling ceremony took place on
Sunday, 2 June 1991. in commemoration of
the second anniversary of the Tiananmen mas-
sacre. Over 500 people attended the dedica-
tion in the plaza of the Student Union
Building, and participants paid tribute to those
who died in Beijing. The plaque beneath the
statue briefly describes, in both English and
Chinese, the democratic movement in China
during the spring-summer of 1989.

Speakers at the ceremony included rep-
resentatives of the three major organizations
responsible for construction of the statue
and other local political figures. Senator Pat
Carney told the audience that she had
received calls from the Chinese Consulate
General asking her not to attend the ceremo-
ny. She added. "Anyone who knows me
knows the more pressure on me not to do
something, the more likely I will show up."
Vancouver-Point Grey MLA. Dr. Tom
Perry of the New Democratic Party also
mentioned that the Consulate General had
pressured him not to attend the unveiling.
MP Svend Robinson (NDP. Burnaby-
Kingsway), who was later expelled from
China this past January 7 [see Canadian
MPs and Chinese Human Rights, p. 9],
and MLA Grace McCarthy (Social Credit.
Vancouver-Little Mountain) also paid trib-
ute at the ceremony. A letter was read from
then Premier Rita Johnston. At the end of
the gathering, participants sang "We Shall
Overcome," substituting the words "China
will be free some day." The event was cov-
ered by major local Chinese and English
newspapers and TV stations.

The response from Chinese authorities
was indirect but strong. The sister-universi-
ty relationship between UBC and
Zhongshan University in southern China
was discontinued by China, apparently as an
act of protest.

12 UPDATE

West's Democracy Push in Best Interests of All

by Danny Gittings
Hong Kong

It comes as a salutary reminder of how
patchy Britain's record is in defending
Hongkong people's interests to find other
major Western democracies are beginning to
take a keen interest in the territory's internal
affairs and, on occasion, publicly voice their
fears while London remains mute.

It is a trend that is most advanced in
Canada, but which some analysts belies e
also shows signs of emerging within the US
and Australian Governments, and which
became unmistakably apparent in the wake
of the recent Legislative Council elections.

Then, British - and Hongkong -
Government officials sat on their hands and
refused to pronounce the polls a success, let
alone endorse the idea of trying to increase
the number of directly-elected seats available
in 1995.

Canada, however, had no such reserva-
tions. Not only did Ottawa endorse the elec-
tions as a success, but she also went as close
as she could to calling for a speeding up of
the democratisation process.

"It is clear that the people of Hongkong
are ready to exercise more control over their
own affairs," External Affairs Minister Ms
Barbara McDougall said in a statement.

"This is an important first step in increas-
ing the pace of democratisation in
Hongkong," she said in a tone markedly at
odds with the tenor of the comments then
emanating from both the Foreign Office and
Lower Albert Road.

When asked why they troubled to issue
such a statement, even normally talkative
Canadian diplomats equivocate.

What they are reluctant to say. even pri-
vately, is what - reading between the lines -
is one of the main motives behind the move,
a feeling Britain can no longer be relied upon
to secure the territory's stability and protect
its people's interests.

If London was doing its job properly
there would be little need for other govern-
ments to make pointed comments about
issues such as the election.

There would be no need either for senior
figures in the US and Australian govern-
ments to voice their concerns about the terri-
tory's future.

There are persistent reports Lower Albert
Road unsuccessfully tried to tone down US
Consul-General Mr. Richard Williams'
speech last May, in which he called for the
settling of differences between Hongkong
and Beijing, and came much closer to inter-
fering - as the Chinese would put it - in the
territory's internal affairs than is the US
habit.

And while no one seems to have tried to
tone down Australian Foreign Minister
Senator Gareth Evans' remarks when he
passed through the territory earlier this year,
he too sailed closer to the wind than is diplo-
matically customary with a warning political
events on the mainland might harm interna-
tional confidence in Hongkong.

The Foreign Office - determined to show
the world it can hand a stable Hongkong over
to Chinese rule - is less than enthusiastic
about such comments.

But far-sighted officials recognise the
benefits internationalising the territory's
problems can bring, and in particular the
pressure it exerts on both Britain and China
to improve Hongkong's lot.

And it is in this that Canada is streets
ahead of the other Western democracies. Not
only has Ottawa already taken up the issue of
faster democratic reform directly with
Beijing, but officials also revealed last week
they would be prepared to do the same over
the composition of the Court of Final Appeal.

While some in the Canadian Government
might like to put this keen interest in the ter-
ritory's internal affairs down to a sense of
altruism, there are solid self-interests under-
lining it.

The first is the 40,000 Canadian nationals
now living in the territory. Many - if not
most - are Hongkong-bom Chinese whose
foreign passports, on a strict interpretation of
China's nationality law, need not necessarily
be recognised by Beijing, thus giving Ottawa
a very real stake in trying to ensure nothing
happens after 1997 that might put this to
the test.

Then there is the question of the huge
number of Hongkongers who now have rela-
tives on the other side of the Pacific.

Community leaders in Toronto, which has
the largest ethnic Chinese population outside

Asia. believe there are more than a million
people in the territory who have relations in
the city. And Canadian officials privatel)
admit that in the event of Sir David Wilson's
so called "Armageddon Scenario" they
would be hard pushed to turn them assay.

Finally there is also the not insignificant
fact the health of both the US and Canada's
economies is increasingly dependent on con-
tinuing Asian investment, much of it from
the territory.

No one knows how much Hongkong
money has flowed into Canada in recent
years, although well-informed observers
believe the popular emigration destination of
Vancouver soaked up C$2 billion (HK.S13.8
billion) alone last year.

And some local officials freely admit
their provinces would be in deep trouble if
this flow of money stopped. "We need your
investments if our people are to continue to
have the standard of living they expect in the
decades to come." said an official in Alberta,
now Canada's third most popular destination
for Hongkong emigrants.

So Canada- and perhaps also Australia
and the US - has real concerns pushing them
towards taking a closer interest in promoting
Hongkong's autonomy.

But that does not lessen the value of their
involvement. China may hate it, perhaps
Britain too, but if powerful Western democ-
racies pressure these two governments to pay
more attention to the interests of the territo-
ry's population then they will have done
Hongkong a lasting favour.

The editors have received permission to
reprint this article which appeared in the
South China Morning Post. 3 November
1991. Mr. Gittings' s trip to Canada on 2b
October-4 November 1991 was sponsored by
the Department of External Affairs and
International Trade Canada. One of four
journalists from APEC (Asia Pacific
Economic Cooperation forum) countries
invited to Canada, he visited several cities.
including Vancouver, Edmonton. Toronto,
Ottawa. Montreal and Quebec City, and
inteniewed Canadian business people, aca-
demics, politicians, and government officials
involved in Asia Pacific affairs.

UPDATE 13

Commissioner Higginbotham Participates in
"Greater China Day" Seminars

During his trip to Canada at the end of
January-early February, John
Higginbotham, Commissioner to Hong
Kong, visited both Vancouver and Toronto
where he met with businessmen, academics
and other interested professionals. In
Vancouver on January 3 1 , he spoke to the
Board of Trade on "Canada-Hong Kong
Relations as 1997 Approaches." While in
Toronto he participated in the "Greater
China Day" seminars on February 7, orga-
nized by the Joint Centre for Asia Pacific
Studies. He was co-speaker at these events
with M. Fred Bild, Canadian Ambassador
to the PRC. and John Tennant, Director
General of the Asia and Pacific North
Bureau, Dept. of External Affairs.

An early morning session, the Asia
Pacific Update breakfast on Greater China,
was attended by over 1 25 people, primarily
from the business community. It was spon-
sored by JCAPS, the Ontario Centre for
International Business, the Asia Pacific
Foundation of Canada and the World Trade
Centre. At this meeting, Mr. Higginbotham
expressed optimism for the strength of
Hong Kong's economy and its continued
development up to and after 1997, especial-
ly with the agreement between the UK and
China on the new airport and container port.

He stressed the importance of Hong
Kong as a key financial and entrepot centre
- "the gateway to the Asia Pacific
region. ..the principal hub for a rapidly
growing trade between China and the coun-
tries in the region and in the rest of the
world." Not only is Hong Kong "the Asian
headquarters for some of Canada's most
innovative corporations," it also plays an
increasingly "unique role as a source of
human and financial capital for Canada."

He reiterated that Canada and Hong
Kong have developed important trading,

financial and human ties over a long period
of time. Because of such ties, Canada has a
"major stake in Hong Kong's future" and
also has an important role to play in ensur-
ing that future. The commissioner pointed
out that since the tragic events of
Tiananmen Square, Canada has "adopted a
policy to build confidence in Hong Kong,"
and fully supports the autonomy of the
region as promised under the Sino-British
Joint Declaration. Furthermore, our govern-
ment upholds the shared, "fundamental val-
ues and liberties which have contributed to
Hong Kong's success [and] are essential to
long-term stability and prosperity."

The three speakers also met in the after-
noon with China specialists at a roundtable
held at University of Toronto, followed by a
public seminar on "The Future of Canada's
Relations with 'Greater China'." The latter
was jointly sponsored by JCAPS and the
Canadian Institute for International Affairs.

Commissioner Higginbotham stressed
the importance of Hong Kong in the phe-
nomenal economic growth over the past
decade in the Pearl River Delta of South
China, "which is helping to integrate the
two economies ahead of 1997." Many Hong
Kong industrialists "have close links to
Canada," and we should "not overlook the
unique opportunities that our ties with Hong
Kong offer." Through these links, the
Commissioner emphasized. Canada can
"become part of the economic miracle that
is Hong Kong and its Asian hinterland."

Greater China Day concluded with a
dinner meeting with presidents and repre-
sentatives of several Ontario universities to
discuss future linkages between institutions
of higher learning in Hong Kong and
Ontario and. particularly, instruments for
attracting high quality students from the ter-
ritory to Ontario universities.

Hong Kong Visa Students
in Metro Toronto - a
Research Project

by Paul L.M.Lee
Toronto

The number of Hong Kong students opt-
ing for overseas studies has steadily
increased in recent years despite the effort
made by the Hong Kong government to pro-
vide additional primary and secondary
school places, as well as to expand tertiary
education (universities and colleges). The
four countries most favoured by Hong Kong
students for overseas studies are the United
Kingdom, USA, Canada and Australia.
From 1985-1990, the statistics for student
visas issued by these four countries are as
follows:

Year UK ISA Canada Australia Total

1985 4492 3505 2912 445 11354

1986 4269 3509 2930 688 11396

1987 4232 3679 3616 1877 13404

1988 3856 4215 3808 3147 15206

1989 4539 4855 5096 4678 19168

1990 4349 5840 5681 5258 21128

From the above table, it can be observed
that the number of Hong Kong students
going abroad for further studies has doubled
from 1985 to 1990, and Canada has attract-
ed more than a quarter of these in 1990.
Generally a large proportion of visa students
are going to the US to study at the tertiary
level while increasingly large numbers of
younger Hong Kong students are attending
secondary schools in Canada and Australia.
Those coming to Canada tend to concen-
trate in Toronto and Vancouver although
Edmonton and Calgary have become more
popular.

Visa students have brought their culture
to these schools and, thus, enriched the cur-
riculum and school life in their new envi-
ronment. However, the acceptance of large
numbers of visa students, in addition to the
increasing enrolment of immigrant students
from Hong Kong, has placed great strain on
the available resources of the school boards
and individual schools accepting these stu-
dents. At the same time visa students have
often experienced culture shock which can
be especially difficult for the younger ones,
many of whom have left their families to
live on their own for the first time. Their

14 UPDATE

adjustments in the new environment can
have a tremendous effect on their personal
development, school performance, and the
perception of Canada in their future career.

An earlier study of visa students at
Canadian universities was done by Kathryn
Mickle in 1984-86. The present research on
Hong Kong visa students focuses on both
university and secondary institutions in the
Metro Toronto area. Dr. Mickle will con-
duct further research among visa students at
York University while Paul Lee and
Bernard Luk will focus on secondary
schools pupils.

The aim of the overall research project is
to concentrate on the experience and expec-
tations of Hong Kong visa students here and
the efforts being made by school boards and
universities to meet the challenge. The
researchers hope to identify specific prob-
lems of these students and ways to over-

come difficulties during this transition peri-
od and to propose possible improvements.
The research on university students will
document their experience and investigate
factors which facilitate or hinder their
adjustment. The study of Hong Kong visa
Students in secondary schools will focus on
the following points:

1 ) the trend and spread of these students in
Metro Toronto;

2) the psychological, academic, social and
financial problems faced by visa stu-
dents;

3) the provision of support by individual
institutions, school boards, community
service groups and other government and
voluntary agencies;

4) the difficulties encountered by school
teachers, principals and related personnel
in providing education and essential ser-
vices; and

5) identification of possible improvements
in solving problems faced by visa stu
dents, teachers, principals and the person-
nel of school boards and other agencies.

Questionnaires for university students
have been sent to over 500 Hong Kong visa
students at York University. With the coop-
eration and assistance of public school
boards and independent schools in Metro
Toronto, questionnaires lor secondary
schools have been administered to students
in these schools. Results of this research
w ill form the core of a workshop on visa
students to be held next September in con-
junction with Festival Hong Kong '92.
Papers will be published by the Canada and
Hong Kong Project.

Quebec-Hong Kong Colloque

Le premier colloque. les relations entre
le Quebec et Hong Kong: enjeux,
contraintes et perspectives de developpe-
ment. a eu lieu le 8 Janvier a l'universite du
Quebec a Montreal. II a ete organise con-
jointement par le Centre conjoint de
recherches en communications sur l'Asie
Pacifique (UQAM et Concordia) et le Projet
Canada et Hong Kong (Joint Centre for
Asia Pacific Studies - U of T et York). Les
organisateurs du seminaire etaient le pro-
fesseur Claude-Yves Charron et Jules
Nadeau. On a presente quatre sujets, sur
l'histoire (president, Michel Marcel), la
communaute chinoise (president, Francois
Vanasse), les relations economiques et
commerciales (president. Alain Laroque).
et l'immigration (president. Claude- Yves
Charron). On propose de publier un vol-
ume au cours de l'annee prochaine, base sur
le seminaire. Les suivants ont participes au
colloque:

Phillipe Bertrand. Banque Hongkong,

Montreal
Leo Brown. Banque de Montreal
Lucien Brunet, veteran canadien de la

campagne de Hong Kong, 1941-45
Joseph Bunkoczy, ministere des

Communautes culturelles et de

l'immigration

Claude-Yves Charron, departement de

Communication. UQAM; Centre conjoint

de recherches en communications sur

l'Asie Pacifique
Luc Chartrand, VActualite
Tammy Cheung. Festival international du

cinema chinois
Celia Chua, soeur Immaculee Conception,

Amitie-Chine
Claude Comtois. Centre des Etudes de

l'Asie de l'Est, Universite de Montreal
Pierre Danis. ministere des Communautes

culturelles et de l'immigration
Loy Denis, Association canadienne des

etudes asiatiques
Claude Fournel. ministere de l'Education
Jean Goyer, ministere des Affaires interna-

tionales
Camille Gueymard. Telefilm Canada
Pierre Hebert. ministere des Affaires inter-
national
Henry Ho. Le Permanent
Alain Larocque. Raymond Chabot

International
Diana Lary, directrice du Projet de

recherche Canada et Hong Kong, JCAPS
Lau Tin-Yum, departement d'Arts plas-

tiques, UQAM
Therese LeBlanc. soeur Immaculee

Conception

Louis Leblanc, Levesque, Beaubien.
Geoffrion

Ernest Leong, Association commerciale
Hong Kong-Canada, section Montreal

Brian Lewis, departement de
Communications, Concordia; Centre con-
joint de recherches en communications
sur l'Asie Pacifique

Pascale Luc. Fondation de l'hotel chinois
de Montreal

Michel Marcil, S.J., Amitie-Chine,
Montreal

Paul Mayer, Association commerciale
Hong Kong-Canada, section Montreal

Elizabeth Morey. bureau du recteur,
Concordia; Centre conjoint de recherches
en communications sur l'Asia Pacifique

Annick Nadeau. Communication. College
Jean-de-Brebeuf

Jules Nadeau. Centre conjoint de recherch-
es en communications sur l'Asie
Pacifique

Niu Jingren. Service a la famille chinoise.
Montreal

Janet Rubinoff. coordinatrice, Projet de
recherche Canada et Hong Kong, JCAPS

Robert Thibault, faculte de Droit,
Universite McGill

Patrick Tsui, hotel Furama. Montreal

Francois Vanasse. Sinocan, Montreal

Julia Wang, Banque Nationale du Canada

UPDATE

Hong Kong and Its Hinterland: Workshop

by Janet Rubinoff
Toronto

The fifth workshop of the Canada and
Hong Kong Project was held in Vancouver.
January 17-18, 1992. Entitled "Hong Kong
and Its Hinterland." the two-day seminar
was held at the Asian Centre of the
University of British Columbia. Attended
by over thirty participants, the workshop
focused on the economic and social links
between Hong Kong and Guangdong
Province. PRC. It was convened by B.
Michael Frolic, Dept. of Political Science,
York University, and Graham Johnson of
the Dept. of Anthropology and Sociology,
UBC.

The four papers presented included "The
Economic Integration of Hong Kong with
China in the 1990s: The Impact on Hong
Kong" by Sung Yun-wing (Dept. of
Economics, Chinese University of Hong
Kong); "Hong Kong-Guangdong
Interaction: Joint Enterprise of Market
Capitalism and State Socialism" by R. Yin-
wang Kwok (Center for Chinese Studies.
University of Hawaii at Manoa); "Towards
a Greater Guangdong: Hong Kong's
Sociocultural Impact on the Pearl River
Delta and Beyond" by Gregory Guldin
( Department of Anthropology, Pacific
Lutheran University); and "Changing

Horizons for Regional Development:
Continuity and Transformation in Hong
Kong and Its Hinterland, 1950s to 1990s"
by Graham Johnson (UBC). Presentation of
the papers was followed by a roundtable
discussion which closed the session on
Saturday afternoon. Discussants included
Aprodicio Laquian. Director. Centre for
Human Settlements. UBC; Paul T.K. Lin,
Institute of Asian Research, UBC; Terry
McGee, Director, Institute of Asian
Research; and Woon Yuen-fong, Dept. of
Pacific and Asian Studies, University of
Victoria.

Lotto 6/49 in Hong Kong

It is now possible to play Lotto 6/49
directly from Hong Kong. An enterprising
company has recently set up a subscription
system which allows punters to play Lotto
6/49 for periods of 1 to 52 weeks, using the
same numbers for each draw. Subscriptions
cost HK$400 (Cdn$60) to HK$ 12,000 (about
Cdn$ 1 ,800), depending on the time period
and the number of games played in each
draw. Tickets are purchased on behalf of
punters in Canada. There is no indication as
to how these sums correspond to the actual
cost of lottery tickets in Canada, which is
Cdn$l (HKS6.70) per ticket.

Lotto 6/49 is advertised as the "world's
largest tax-free jackpot," "the most popular
lottery game in the world," "operated and
controlled by the Canadian Government."
Though gambling is very much a part of
Hong Kong life and people are used to big
winners, the largest ever win on Lotto 6/49.
quoted in HK dollars at $201,365,684.76,
certainly makes this appear to be a very
attractive way to make a bet. The company
advertising the service, Wellco Limited,
offers a "complimentary air passage and one
week's vacation in beautiful Vancouver" to
punters winning HK$338,0OO (over
Cdn$50,000) or more.

The brochure for the new service, which
has been widely distributed in Hong Kong,
has a bottle of Canadian champagne on the
cover and is liberally dotted with maple
leafs. There is no indication in the brochure
as to whether the scheme is legal under
Canadian law or not.

The CANADA AND HONG KONG UPDATE is distributed free at your request.

Please let us know if you would like to be on our mailing list by calling (41 6) 736-5784 ext. 2051 .

Or write to us at the address below:

Canada and Hong Kong Project

JOINT CENTRE FOR ASIA PACIFIC STUDIES

Suite 270, York Lanes

York University

4700 Keele Street

North York, Ontario

M3J1P3

2 CANADA AND HONG KONG UPDATE

Number 7

SIMMER 1992

Interview with David Lam, BC Lieutenant-Governor

by Hugh Tan

Vancouver

In late May I held an interview with Lt.
Governor David See-Chai Lam, which
focused on his experience as an immigrant in
Canada, his achievements, and comments on
the recent immigration from Hong Kong.

From Hong Kong to Canada

According to the Lt. Governor, one of the
main reasons his family decided to immigrate
to Canada in 1967 was "a passionate love of
trees, flowers and the natural environment."
The Lam family had lived in the suburban
area of Shatin in the New Territories of Hong
Kong which was later developed into a city
centre, surrounded by concrete buildings.
While travelling in British Columbia, they
enjoyed the clean air. water, beautiful gardens
and grand snowy mountains. With the
encouragement of the then Canadian
Commissioner to Hong Kong. David Lam
and his family moved to Vancouver. They
found the area "paradise on earth" and deter-
mined to stay.

However, as Lt. Governor Lam explained,
finding a job in "this earthly paradise" was

not easy despite his education in the U.S. and
his experience as a bank manager in Hong
Kong. Although he was finally offered a posi-
tion with Scotia Bank, he turned it down
since the job meant returning to work in
Hong Kong! At the suggestion of a friend, he
became a real estate agent, which did not
require much investment at the time. His new
career was rough going at first for he did not
sell a house for several months. As the Lt.
Governor related, even now he still remem-
bers the excitement of earning $400 from his
first sale. The Lams celebrated by taking his
friend's family out for steak at a small restau-
rant. "This was our first steak dinner in
Canada." Prior to this time, "We bought only
ground beef in order to save money." David
Lam recalled this experience as the "happiest
day" in his family's early years in Canada.
Later w ith the help of his friends, David
Lam was able to establish about thirty compa-
nies. "Thanks to Tien Shi, Di Li. and Ren He"
(timeliness, favourable location, and good
personal relations), all companies succeeded
and earned good money. When he retired in

1983. David Lam sold his companies and set
up a charitable foundation in his and his
wife's name.

During their early, struggling years in
Canada, the Lams, like other new immigrants,
often compared their former life in Hong
Kong with that in Vancouver. However, they
soon made friends with people of many back-
grounds and made deliberate attempts to
completely integrate into Canadian society.
David Lam explained that his companies
employed over 100 workers, none of whom
were of Chinese origin. He also did not read
Chinese-language newspapers and wanted to
become a "pure Canadian."

East Plus West

David Lam's desire to become Canadian,
however, did not mean abandoning all
Chinese cultural traditions. Nor did it mean
forgetting his origins in Hong Kong or chang-
ing his appearance in order to seem more
"Canadianized." Instead, he emphasized that
the most important thing was to change one's
way of thinking.

David Lam. cont'd page 2

IN THIS ISSUE:

David Lam 1

Education Programs 4

Hong Kong's Reactions to New Governor 5

Trends in Immigration 6

CAN-IMMIGRATION-NET 6

per

F1029.5

H6 C36

Changes in Family Class Dependency 7

HK Immigrants in Canada 7

Lotto 6/49 in Hong Kong: Stage Two 7

New Canadian International School 8

Other Canadian School Options in HK 9

Concern over Rights to Privacy in HK 10

Beijing Update 10

Foreign Investment Protection 1!

Premier Bob Rae's Visit to Hone Kong 1 2

Mayor Joyce Trimmer 12

New Brunswick Premier Visits Hong Kong.... 13

Bi-cultural Consumers 13

Tiananmen Memorial 14

Project Workshop on China-HK Relations 14

Canada-Hong Kong Database 15

New Project Publications 16

CANADA AND

HONG KONG UPDATE

Editors

Diana Lary

Bernard Luk

Janet A. Rubinoff

Illustration &

IMS Creative

Design

Communications

Contributors

Philip Calvert

Harriet Clompus

Jane Greaves

Bob Perrins

Shum Kwok-cheung

Hugh Xiaobing Tan

David K. Tse

Canada and Hong Kong Update is
published 3-4 times a year by the
Canada and Hong Kong Project
Joint Centre for Asia Pacific Studies,
Suite 270. York Lanes,
York University. 4700 Keele St.,
North York, Ontario,
CANADA M3J 1P3

Telephone: (416) 736-5784
Fax:(416)736-5688

Opinions expressed in this newsjoumal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Co-Directors Diana Lary

Bernard Luk

Coordinator

Janet A. Rubinoff

Advisory Board David Bond
Denise Chong
Maurice Copithorne
B. Michael Frolic
John Higginbotham
Graeme McDonald
T.G. McGee
Jules Nadeau
William Saywell
Wang Gungwu

We want to thank the Donner Canadian
Foundation for its very generous support
which has made this project possible. The
Foundation's long-standing interest in
Canada's international relations with Asia
has enabled us to conduct research which we
consider to be of great significance for the
future of the country.

This publication is free.

Please call or write to us for past

or future issues.

According to the Lt. Governor, the combi-
nation of eastern and western cultures is a
"very powerful tool," which, if mastered, is
always successful. On the one hand, western
culture, including its predominant religion
Christianity, is known for its aggressiveness
and sense of mission. On the other, Chinese
culture emphasizes moderation, and even
"stepping back." These two cultures comple-
ment each other, but people often tend to lean
to one side or the other.

Lam's motto is to live a "giving, caring,
and sharing" life, principles which he
attributes to his family and religious educa-
tion. When he was a child, he mentioned, he
would spend half his pocket money for candy
and donate the other half. This habit of giving
proved to be very important in his business
success and career development. He made
friends with many people, and in business he
eventually had no difficulty borrowing
money from the bank, buying goods on
demand, or establishing jointly owned com-
panies.

He also attributes his appointment as
Lieutenant Governor of British Columbia to
this practice of "giving, caring and sharing."
Although he never intended to receive any
reward for his generous donations to educa-
tional institutes, public parks and charity
organizations, the provincial and federal gov-
ernments recognized his long-time voluntary
work in several big projects and his generosi-
ty. He declined the nomination for Lt.
Governor twice before finally accepting it. It
was not an imitation of the famous Chinese
three Kingdoms story in which Liu Bei, King
of Shu Han, made three calls at the thatched
cottage of Zhuge Liang. Rather it was a
sense of mission and opportunity to utilize
the unique position of Lt. Governor to
accomplish his goals that prompted David
Lam to finally accept the nomination.

He assumed his job whole-heartedly and
enjoys meeting people with the message of
"good will, understanding and harmony."
During the past 3 ] / 2 y ears of his Lieutenant
Governorship, David Lam has travelled to
every small town in British Columbia and to
eastern Canada to deliver speeches, as well as
abroad. In 1991 alone, he was invited to
speak at 390 functions. On his busiest day, he
spoke at 14 meetings, non-stop from early
morning to late evening. The Lt. Governor
writes all his own speeches and often delivers
extemporaneous remarks to which his audi-
ence responds very favourably.

He not only goes out to meet people but
also invites many guests to his residence. An
average month sees some 2,000 people attend-
ing various meetings and receptions at
Government House. In order to deal with this
"full time plus" work, he has increased his sec-
retarial staff from two to eight people. How-
ever, he finds his heavy workload "enjoyable."

An important project now under construc-
tion at Government House is the landscaping
of twelve new flower gardens. One-third of
the funding is from the provincial govern-
ment, one third from David Lam and his
wife, and the remainder from public dona-
tions, which have amounted to several hun-
dred thousand dollars. The Lt. Governor
called for volunteers to work on the gardens
and was surprised to have more than 300 peo-
ple register. This spirit is in line with David
Lam's motto of "giving, caring and sharing."

Recent Hong Kong Immigrants

Having been an immigrant himself, David
Lam understands many of the problems and
difficulties faced by recent migrants from
Hong Kong. He commented that these new
immigrants are not like the older Chinese
generations who came as physical labourers;
neither are they the same as David Lam's
generation who were middle or lower-middle
class. Many of the recent Hong Kong immi-
grants come with an upper or upper-middle
class life style. He contends that this has
made it difficult for them to socialize with
ordinary Canadians with whom they have lit-
tle in common. There are a number of other
cultural differences which have led to misun-
derstandings. The Lt. Governor cited the
example that while many Chinese consider it
polite to talk to others without eye contact,
Canadians find this rude. The tendency for
some Hong Kong people to treat life "as a
continuous gamble" to make money also pre-
vents recent immigrants from integrating into
Canadian society.

The Lt. Governor strongly feels that the
best way for newcomers to integrate is to vol-
unteer to work with people of diverse racial
and social backgrounds. He believes that
transcending these barriers reduces potential
tensions between new immigrants and local
people. At the same time he also sympathizes
with those people who, after trying very hard,
still cannot find a job in Canada and must
return to work in Hong Kong. However, for
those who only treat life as "continuous
gambling to make big money." he suggests
they change their way of life.

2 UPDATE

David Lain points out thai he is not a rep
resentative of Hong Kong immigrants, nor is
he appointed by the Hong Kong government.
He is the Lieutenant Governor of all the peo-
ple o! British Columbia, regardless of their
racial origins. Though he has made consider-
able effort to promote the relationship
between B.C. and Hong Kong, this is for the
good of the province and the whole country.
He is equally glad to promote relationships
with other countries for the benefit of B.C.
and Canada. However, he feels the thought
that "because the B.C. Lt. Governor is a
Chinese-Canadian, the Chinese community

should be treated favourably" is harmful and
dangerous to building a harmonious society.

The Canada and Hong Kong Research
Project

Finally, David Lam stressed that he is in
favour of increasing mutual understanding
between Canadians and Hong Kong people.
He feels the Project is "taking a correct and
worthwhile course." and finds our Updates
"interesting and informative." See his letter
to the Project below.

He also commented that the task of
achieving mutual understanding is "not an

easy one" and may require more than one
generation. The first thing to do is to change
attitudes. He dislikes the word "tolerate" in
dealing with racial relations because he feels
it carries a negative tone: "you have short
comings, but I can still bear with you." The
1 ,t. Governor suggests using a more positive
word like "celebrate" to refer to the accep-
tance of differences between people of
diverse backgrounds. "People can learn from
each other to build a harmonious society."
Therefore, this is the time for changing atti-
tudes - for Hong Kong immigrants as well as
for other Canadians.

David C. Lam (above), Lieutenant-
Governor of British Columbia,

and (right) his letter to the

publishers of the Canada and

Hong Kong Update

GOVERNMENT HOUSE
1401 ROCKLAND AVENUE

VICTORIA, BRITISH COLUMBIA
V8S 1V9

In my capacity as the representative in British Columbia
of Her Majesty The Queen of Canada, I am delighted to have
this opportunity to extend my warmest best wishes to the
publishers of Canada and Hong Kong Update .

I have had a recent opportunity to read the latest edition
of this publication, and I congratulate everyone associated
with this interesting and informative newsjournal.

In addition to its obvious goal to provide information for
readers interested in the relationship between Canada and
Hong Kong, I believe that it serves a most important role
as a cultural bridge - not only between Hong Kong and
Canada, but between people of diverse cultures in Canada.

It is, therefore, a significant vehicle for the promotion
of better understanding, goodwill and harmony.

I wish the Canada and Hong Project well in its continuing
efforts to disseminate information of significance to
Canada's international relations with Asia.

Sincerely,

\j%*4* ^

David C. Lam

Lieutenant-Governor of British Columbia

UPDATE 3

Education Programs for Festival Hong Kong '92

On June 29, Mr. James So, Hong Kong's
Secretary for Recreation and Culture, offi-
cially launched Festival Hong Kong 92 at a
press conference in Toronto. This month-
long extravaganza, largely initiated by the
Hong Kong government, was planned as a
follow-up to the Canadian-sponsored Festival
Canada 91 . held last June in Hong Kong. The
two festivals were developed to "promote
friendship and reinforce the growing partner-
ship between the two regions."

Festival events will be held this fall in
five cities across Canada, opening in Toronto
on September 26 and closing in Vancouver
on October 21 . Other festival cities include
Ottawa, Montreal and Calgary. An assort-
ment of cultural, business, trade, educational,
sporting and social events are scheduled to
promote the rich history and tradition of
Hong Kong culture — from dance perfor-
mances by the Hong Kong Ballet and Chung
Ying Theatre Company to sport demonstra-
tions and a Hong Kong film festival.

The local organizing committee chairmen
are as follows: Maurice Copithorne, former
Commissioner for Canada in Hong Kong and
Professor of Law at ubc, Vancouver: S.
Robert Blair, C.C., Chairman Emeritus and
Honourary Director of the nova Corporation
of Alberta, Calgary: Dr. Robert Bandeen,
Trustee of the Lester B. Pearson College of
the Pacific and Governor of Olympic Trust of
Canada. Toronto; Frank Ling, an architect
and National President of the Hong Kong-
Canada Business Association, Ottawa; and
Bob Issenman, partner of Martineau Walker
and Guest Lecturer on Asian Affairs, McGill
University. Montreal.

Among the many scheduled events are
several programs with a more academic
focus planned for Toronto and Vancouver.
On Sept. 27-Oct. 3, a University Education
Programme will be co-sponsored by the
University of Toronto and York University.
The programme consists of three main parts:
a public conference entitled "Societies in
Transition," a series of public lectures, and
several focused workshops. The primary
themes are education, the impact of technolo-
gy on society, and societal change.

Keynote speakers at these events include
Wang Gungwu, Vice Chancellor of the

by Janet Rubinqff
Toronto

University of Hong Kong; Y.C. Cheng,
Director, City Polytechnic of Hong Kong;
Charles Kao, Vice Chancellor of the
Chinese University of Hong Kong; Rosanna
Tarn, former member of the hk Executive
and Legislative Councils and graduate of
U. of T. Faculty of Social Work; Lap-chee
Tsui, co-discoverer of the cystic fibrosis
gene; and Y.W. Kan, world leader in the
field of molecular biology.

In addition to public lectures, the focused
workshops include Bio-medical Research,
co-chaired by Lap-chee Tsui and C.C. Liew
(U of T); Education Connections, organized
by Bernard Luk (York); Political Transition
in Hong Kong, chaired by Paul Evans
(York); Business Law Issues, chaired by R.
Sharpe (U of T); Constitutional Law Issues,
convened by William Angus (York); Societal
Issues, organized by Bernard Luk (York), and
Visa Students in Metro Toronto, jointly con-
vened by Paul Lee and Kathryn Mickle
(York). For additional information on the
Education Programme, contact Thomas Wu,
Coordinator (978-4649) or Linda Arthur,
Institute for International Programmes
(978-1486; fax 971-1381).

Two of these workshops are sponsored by
the Canada and Hong Kong Project. The
Hong Kong Bill of Rights and Right to
Privacy Workshop, convened by W. Angus,
will be held on October 2 at York University.
Speakers on the Bill of Rights include
Andrew Bymes and Nihal Jayawickrama,
both of the Faculty of Law, University of
Hong Kong. Raymond Wacks, Associate
Dean of the Faculty of Law, hku, and Eva
Lau, Faculty of Law, hku, will address the
issue of privacy and access to information.

Planned for October 3, the Hong Kong
Visa Students Workshop will explore the
problems and perspectives of secondary and
university-level visa students. Convenors
Kathryn Mickle and Paul Lee will present the
findings of their research on hk visa students
in the Metro area. The workshop will also
feature speakers from the Vancouver Board
of Education, Ontario Ministry of Colleges
and Universities, and Ontario Community
Colleges. The all day session will be held at
York. If you would like to attend, please con-
tact Janet Rubinoff, Coordinator of the

Canada and Hong Kong Project (736-5784).

Other events scheduled for Toronto
include a downtown "dragon" parade on
Sept. 26; a Hong Kong Film Festival (Sept.
10-19), featuring the work of Sylvia Chang
(Ai Chia), Asian film star, director and pro-
ducer; the Scarborough Lantern Festival
on Sept. 29; "Come Celebrate Festival
Hong Kong 92 in Chinatown" (Oct. 3);
Hong Kong Carnival at the Metro Toronto
Convention Centre (Oct. 3-4); the Art of
Chinese Theatre - Made in Hong Kong,
featuring Cantonese opera. (Aug. 15-Sept.
27) at the Royal Ontario Museum; and a
Business Seminar on tourism, investment
and development opportunities (Oct. 1 ), fea-
turing keynote speaker the Right Hon.
Baroness Lydia Dunn.

Educational highlights scheduled for
Vancouver include a 2-day Conference on
Hong Kong: Economic Issues, Legal
Issues, Women's Issues, and Human
Settlement. Scheduled for October 16-17,
the meetings will be held at the David Lam
Centre for International Communication,
Simon Fraser University at Harbour Centre.
The Canada and Hong Kong Project will
sponsor the October 1 7 session on Women
of Hong Kong, which will be chaired by our
director. Diana Lary (ubc). Focusing on both
professional and working women in Hong
Kong and on Hong Kong women in Canada,
the workshop will explore the special quali-
ties of Hong Kong women which have led
them to play such an important role in the
territory's development and the way these
qualities have manifested themselves in the
process of settlement in Canada. Featured
speakers include Emily Lau. Legislative
Council, Hong Kong; Janet Salaff, Dept. of
Sociology, Univ. of Toronto; Bernard Luk,
History Dept., York University; Lillian To,
success, Vancouver; Elizabeth Johnson,
Museum of Anthropology, ubc; Lucy
Roschat. Cathay International TV, Vancouver;
and May Partridge, Victoria.

Our Fall Update, scheduled for mid-
September, will include a more detailed
schedule of events for Festival Hong
Kong 92.

4 UPDATE

Hong Kong's Reactions to New Governor

The long-awaited appointment of the
new Hong Kong governor w as announced
on 24 April 1992. Mr. Christopher Patten,
chairman of the British Conservative Party,
will serve as the 28th governor of the terri-
tory and is expected to remain until the
1997 return of Hong Kong to China. The
following report reflects the different reac-
tions of Hong Kong people to the unexpect-
ed appointment.

Although there was speculation prior to
the announcement that a politician, rather
than a civil servant, would be the next gov-
ernor. Mr. Patten was not on the list of pos-
sible candidates until his defeat in the uk
genera] elections in early April. The imme-
diate criticism in Hong Kong w as that
Prime Minister John Major's appointment
of Patten was a hasty, political manoeuvre
to compensate for his election loss.

Reflecting the anxiety that the interests
of the territory w ere not respected by the
British Government, an editorial in Ming
Pao [25 April 1992] stated that for the last
five years of the transitional period. Hong
Kong would be led by someone who was
unfamiliar with Hong Kong and Chinese
affairs. It argued that the selection of a
politician who had just suffered a major
election defeat was a mockery to the people
of Hong Kong.

Other opinions expressed a more
favourable attitude to the new governor.
Some of the media recognized that despite
Patten's inexperience in Hong Kong and
Chinese affairs, his appointment did have
advantages for the territory. He has been
acclaimed a tough, realistic man who will
bring a different tone to the government of
Hong Kong. Not only is Patten a senior
politician in the Conservative Party but,
more importantly, he is a personal friend of
the Prime Minister and the Foreign
Secretary, Douglas Hurd. Thus, his close
contact with the top figures of the uk
Government puts Hong Kong on the British
agenda. John Major has given assurances
that Patten would have direct access to him
and to the Foreign Secretary at all times [see
South China Morning Post (SCMP), 25
April].

by Shum Kwok-cheung

H< 'in; Kong

One article in the Hong Kong Economic
Journal [25 April] stressed that Patten
might signify a new style of administration.
In fact, it was reported by the SCMP [25
April] that when asked whether Downing
Street or Hong Kong would come first in a
conflict of interests. Patten responded that
he would stand up for the interests of the
people of Hong Kong.

China's response was also positive, and
Beijing leaders officially expressed the hope
that Sino-British cooperation would contin-
ue [SCMP, 26 April 1992]. An editorial in
the pro-China newspaper. Wen Wei Po. [25
April] commented that Patten's appointment
was beneficial to Hong Kong's administra-
tive efficiency in the remaining years of
British rule and would establish a smooth
passage for the transitional period.

A telephone survey, conducted in late
April and printed by Sing Tao Daily on May
1-2, reflects the opinions of the general pub-
lic of Hong Kong. When respondents were
asked to compare the incumbent Governor.
Lord Wilson, and the newly appointed
Patten, with regard to their abilities to main-
tain Hong Kong's prosperity and stability,
over 90% gave a score of 50-100 to Wilson.
(The minimum passing score was 50.)
Reflecting some scepticism towards
Patten's appointment, only 75% accorded a
passing score to the latter.

When asked to assess the performance of
Wilson on specific policies, respondents
showed most satisfaction with the former
governor's handling of Hong Kong-Chinese
relations. Ironically, many Hong Kong peo-
ple believe that the change of governorship
is due to dissatisfaction of Downing Street
with Wilson's weak stand in facing China.
Such an attitude demonstrates a discrepancy
between the UK government and Hong Kong
people on how to deal with Beijing.

To the question. "Is it necessary for Mr.
Patten to get approval from China before a
major decision is made." 34.7% of those
interviewed agreed and 46.7% disagreed.
However, when asked whether it is neces-
sary for Mr. Patten to stand up to China to
check its interference in Hong Kong internal
affairs, only 36% agreed, while 48.1% dis-

agreed. These results demonstrate that the
opinions of Hong Kong people on facing up
to China are ambivalent.

Commenting on this uncertainty. Prof.
Lau Siu-kai felt these results reflected the
declining authority of the Hong Kong gov-
ernment and the inevitability of China's
interference. He further stated that a previ-
ous opinion survey had indicated the major-
ity of Hong Kong residents supported the
autonomy of the territory's administration,
but this trend was changing. The results of
the new survey reflect the realization of
Hong Kong people that it will be difficult
for the HK government to make any major
decisions in the next five years without the
approval of Beijing.

While the change of governor may bring
about a new style of administration, the
political development of Hong Kong has
been constrained by the Basic Law. Room
for change seems to be limited unless it is
approved by China. Governor Wilson fully
understood the difficulties he faced in deal-
ing with China. He warned his successor
not to let working relations w ith China dete-
riorate: otherwise it would be difficult for
the government of Hong Kong to run [HK
Standard, 27 April 1992].

The beginning of July marked the end of
Lord Wilson's term as governor and the
start of Chris Patten's appointment. Concern
in Hong Kong that he knows little about the
territory's affairs has recently been replaced
by a feeling that so long as Patten has the
ear of the British government and is w illing
to stand up to Chinese pressure, he may be
more useful for Hong Kong than a gover-
nor, such as Lord Wilson, who has a great
deal of knowledge about China. This pre-
sent enthusiasm for Patten w ill make the
start of his governorship smooth. However,
the enthusiasms cannot disguise the fact that
the road ahead for the last British governor
of Hong Kong is very complicated and that
the expertise in dealing with China that
Lord Wilson displayed may still be very
important.

UPDATE 5

Trends in Immigration from Hong Kong

by Diana Lary
Vancouver

Canada

Communicates in

Hong Kong

Over the past year there has been a sharp
decline in the number of applications for
immigration from Hong Kong. The decline
may be attributed to the booming economy
in Hong Kong and to the recession in
Canada. The emigration fever of the past
few years seems to have abated. Another
explanation might be that the pool of eligi-
ble applicants is drying up and that there are
fewer people in Hong Kong who are eligi-
ble to migrate to Canada. This is unlikely to
be the case with the independent class,
given the number of young people passing
through university or college in Hong Kong
(or abroad) each year and getting to levels
of skill which would qualify them for an
application to migrate to Canada. The fig-
ures below are for principal applicants, not
individuals. Each application accounts, on
average, for just under three people.

Applications from Hong Kong, by class 1 TOTAL

1989

Family 7697

Assisted relatives 3009

Independent 3227

Business 8001

Retirees

TOTAL 21934

1990 1991

3900 4099

3093 1945

3456 1 1 23

4413 1358

3810 903

18672 9428

The percentage of applications from
family members of people already in
Canada is rising rapidly, from 21% in 1990
to 43% in 1 99 1 . This is matched by a con-
siderable drop off in the number of indepen-
dent (skilled workers) applications, from
15% in 1989, to 19% in 1990, and only 12%
in 1991. This drop can be seen as a natural
part of the process of chain migration, in
which the best able to adapt members of the
family settle first, followed by relatives who
need the benefit of family sponsorship to
qualify as immigrants to Canada. There may
also be cases in which a person who might
qualify as an independent (a spouse or
unmarried child) would still prefer to apply
through the family class because of the pro-
cessing priority given to this class.

Processing priorities put family and busi-
ness classes at the top of the list. Given the
variation in processing time, there can be no
correlation between applications and visas
issued. Visas issued may be for applications
which were made several years before. The
number of visas issued is still rising, from
22,566 in 1990 to 26,647 in 1991. The fami-
ly class again shows a major leap, from
22% in 1990 to 43% in 1991. The following
figures are for individuals to whom visas
were issued:

Visas issued to Hong Kong residents

1989 1990 1991

Family 3566 4937 11513

Assisted relatives 1580 2297 2206

Independent 9851 6855 1668

Business 7133 6799 8159

Reti rees 1678 3101

22130 22566 26647

From the time of their medicals, which
are given shortly before visas are issued,
successful applicants have up to one year to
land in Canada. This time lag means that it
is impossible to make an exact correlation
between figures for visas' issued and land-
ings in Canada, which may well occur in the
calendar year after a visa is issued. There is
also the possibility that some people who
are issued visas will not use them.

Landings by class

1989 1990 1991

Family 3252 5606 8188

Assisted relatives 844 2495 2300

Independent 8923 12779 3037

Business 5319 6787 6339

Retirees 1502 1577' 2182

Others 122 22 5?

TOTAL 19962 29266 22105

'Statistics from the Commission for Canada. Hong
Kong.

The volume of enquiries at the
Commission for Canada in Hong Kong is
enormous. To meet the demand, the
Immigration Section of the Commission
introduced a year ago an on-line data sys-
tem, can-immigration-net, which provides
answers to most of the questions which
prospective immigrants and immigration
professionals, such as lawyers and consul-
tants, may ask. The system provides infor-
mation on immigration policy and regula-
tions, and on many aspects of Canadian life
- housing, social benefits, education, medi-
cal care, income tax, etc. It also provides
regularly updated information on occupa-
tional demand in Canada (for independent
immigrants and assisted relatives), on pro-
cessing times for immigrant applications in
various classes, and on investor projects.
Anyone with access to the iNET system can
use can-immigration-net for a monthly fee
of HK$80 (about CDN$12). The only restric-
tion is that since the information provided
is copyrighted to the Commission, it cannot
be sold.

The network helps users to understand
the complex Canadian system of immigra-
tion because it can take them through the
procedures step by step, explaining what is
necessary as a user goes along. It makes it
possible for people to get information
quickly and at any time of the day or night -
information which previously they might
have had to queue up for hours to get.
Information can be down-loaded onto PC's,
so that people can study information care-
fully. The system also takes pressure off the
immigration staff of the Commission, who
previously had to spend a lot of time
answering the same questions over and over
again.

There is no parallel system in operation
in Canada, where enquiries still have to be
made to ceic offices. However, this system
can be accessed from Canada through iNET
2000. Subscriptions cost $3.30 per month,
with a feature charge of between $ 1 2.35 and
$16.50 an hour. Information on subscrip-
tions to CAN-IMMIGRATION-NET Can be

obtained from inet Customer Assistance
Centre, 1-800-267-8480.

6 UPDATE

Changes in Family Class
Dependency

Over the past few years, there has been
a considerable increase in the proportion of
immigrants from Hong Kong who migrate
in the family class. A recent change in the
definition of dependency, which came into
force on March 27, may have some impli-
cations for emigration from Hong Kong.
The former definition saw dependency of
children on their parents in terms of marital
status, something w hich stopped once a
child married. Parents could sponsor an
unmarried child of any age but could not
sponsor a married child. Parents could
sponsor a middle-aged bachelor but not an
eighteen-year-old widowed daughter.

This definition has been replaced by one
which reflects economic dependency on
parents. Children who are in full-time study
and have been continuously supported by
their parents since they were nineteen can
qualify for sponsorship, while children who
are no longer studying become ineligible
for direct sponsorship once they are nine-
teen. Children with a disability, who are
unable to work, can be sponsored at any
age. The new regulations will be a disap-
pointment for unmarried, working children
over nineteen, who become ineligible for
sponsorship as dependents. They can still
get some help from their families in apply-
ing as assisted relatives, but this process
takes much longer than an application as a
dependent in the family class. Assisted rel-
ative applications are processed as a very
low priority, while family class has top pri-
ority. The minimum processing time for a
family class application is now about eigh-
teen months, while an assisted relative
application takes about forty months.

The regulations will encourage young
people over nineteen, who are in full time
study but already married, to come to
Canada, since now they will not have to
make personal applications for admission
but can be sponsored by their parents.

Hong Kong Immigrants in Canada: Highlights

One of the most systematic studies yet
conducted on Hong Kong immigrants has
recently appeared. This study was published
in 1991 on the basis of data drawn from a
twelve page questionnaire, completed by
5 1 2 immigrants from Hong Kong who
entered Canada after 1980. It was conduct-
ed by the Alberta Career Development, the
Hong Kong Institute of Personnel
Management and the Canadian
Employment and Immigration Commission.
The report found that the great majority of
immigrants were pleased with their decision
to move to Canada; 56% felt that it had
been a good decision, 24% an excellent one.
Only 1 % felt that they had made a dreadful
mistake. The respondents were in
Vancouver. Edmonton and Toronto, most of
them between 30 and 39. One third had a
university degree; almost 60% had complet-
ed their education in Hong Kong, and 22%
in Canada. Most could function in English,
very few in French.

Work experience in Canada was mixed.
The majority found their first job within
three months of arriving in Canada but had
to take a drop in income and status. While
23% reported no change in income. 46%
recorded a drop and 3 1 % a rise. A lowering
of occupational status was experienced by
62%. while 25% saw no change, and 13%
felt that their status had risen. The pattern of
change in income was quite marked. At the

bottom and top ends of the income scale
people had earned more in Hong Kong than
they did in Canada, but in the middle
income brackets ($15,200 to $59,999) peo-
ple earned more in Canada than they had in
Hong Kong. Twenty per cent of the respon-
dents were earning $ 1 5,000 to $22,000,
25% $22,000 to $37,000. and 15% $38,000
to $60,000.

Fifty-three per cent of the respondents
were definitely planning to stay in Canada
permanently; 31% were undecided, while
only 16% definitely wanted to go back to
Hong Kong. That 16% was made up largely
of younger people who have experienced
some difficulty in adjusting to Canada.
They were attracted to Hong Kong particu-
larly by the promise of higher salaries. In
terms of attributes, respondents rated
Canada higher for housing, education,
neighbours, and crime control, while Hong
Kong scored highest for shopping and
social life.

For further information contact:

Dr. William Wong

Alberta Career Development and

Employment Policy and Research

Division

8th Floor, City Centre, 10155-102 Street

Edmonton, Alberta T5J 4L5

Tel: 403-427-4746

Fax: 403-422-0897

Lotto 6/49 in Hong Kong: Stage Two

In the last Update it was reported that it
was now possible to play Lotto 6/49 direct-
ly from Hong Kong. It was also mentioned
that it was not clear if the promotion and
marketing of the lottery tickets was legal
under Canadian law.

Subsequently, Wellco, the company
w hich promotes the sale of the lottery tick-
ets in Hong Kong, has come under police
investigation. The company has admitted
that officers of the Commercial Crime
Bureau have collected some of its files for

the purpose of investigation. The Consumer
Council of Hong Kong issued a statement in
early April to the effect that Wellco was nei-
ther authorized nor licensed to sell Lotto
6/49 tickets in Hong Kong. The statement
also inferred that the hk$20 ticket price was
much higher than the price charged for tick-
ets in Canada. Wellco has removed the
phrase 'operated and controlled by the
Canadian Government' from its promotion-
al literature, but continues to sell tickets in
Hong Kong.

UPDATE 7

Success for New Canadian International School

by Harriet Clompus
Hong Kong

The new Canadian International School
(CIS) in Hong Kong opened its doors to over
80 students last fall. It was officially opened
on 15 November 1991 by the Hon. Otto
Jelinek, Canada's Minister of National
Revenue, and Mr. James So, Secretary for
Recreation and Culture in Hong Kong. Also
attending the opening ceremony was the
Commissioner for Canada in Hong Kong,
John Higginbotham. The school has been an
impressive success this year, and over 200
children are expected to enrol next
September. Projected enrolments are for 900
students by 1995 (see South China Morning
Post, 1 July 1992, Canada Supplement, p. 10).

The School was established in response to
the Hong Kong government's predicted short
fall in places for students requiring a North
American-type curriculum and a demand by
Hong Kong-bom Canadians for an education
using Cantonese, as well as French and
English, as the medium of instruction. A
need was recognized for a school that would
allow children to come from Canada with
few adjustment problems and enable students
returning from Hong Kong to integrate
smoothly back into the Canadian education
system.

Canadian International School students in
the playground

In 1990 a recommendation from the
Hong Kong Government's International
Business Committee initiated discussion
between the North American Chambers of
Commerce and the government on how a
projected shortfall of places should be met.
According to Vincent Lee, the 1990
Canadian Chamber President, these discus-
sions indicated "the importance the commer-

cial sector attached to provision of high-qual-
ity Canadian education within the territory as
a means of attracting more Hong Kong emi-
gres back." Meetings between the Education
and Manpower Department and the Canadian
and American Chambers of Commerce
resulted in the decision to set up a new
Canadian International School, initially cater-
ing to primary level students. It was deter-
mined that other schools in Hong Kong with
an accredited Canadian curriculum were
directed primarily at preparation of students
for migration to Canada rather than for
returning emigres. Not only would such a
new school be attractive to returning
Chinese-Canadians but would also be an
important factor in their decision to return to
Hong Kong.

In December 1990, the Canadian
International School Foundation (CISF) was
established as a non-profit organization for
fund raising and planning for the new school.
Represented on the original board were
members of the Canadian Club, the Canadian
Chamber of Commerce, and the Chinese
Canadian Association, while Commissioner
John Higginbotham served as an ex-officio
founding member. Seven of the twelve
founding members were from the Board of
the Chinese Canadian Association (CCA),
whose aim, according to former Chairman
Felix Fong, was "looking after the interests
and welfare of Chinese Canadians in Hong
Kong."

The cca has taken a leading role in fund
raising activities for the new school. The
speed with which the CIS Foundation worked
to set up the new international school within
the territory was impressive, particularly
since it did not receive any financial assis-
tance from the Hong Kong or Canadian gov-
ernments. Fund raising events included a
"Gala Premier" showing of Teenage Mutant
Ninja Turtles: the Ooze in July 1991, which
earned hk $1,000,000.

The as opened last September with
almost 100 students in kindergarten to grade
five. Sixty per cent of these are Hong Kong-
born Canadians, almost twenty per cent com-
ing directly from Canada. Next September, it
is expected that sixty per cent will come
directly from overseas, mostly from Canada.

Although the school gives preference to
Canadian students, it is open to all nationali-
ties. Presently there are pupils from six dif-
ferent countries according to its principal, Ian
Robertson, making it "truly international."

The school has been advertised in both
English and Chinese local newspapers, as
well as in Canadian editions of Hong Kong
Chinese newspapers, like Sing Tao. Starting
in April, it has also been promoted in the new
weekly Canadian edition of the South China
Morning Post. However, Mr. Robertson indi-
cated, "The greatest response has been
through word of mouth recommendation."

Principal Ian Robertson, who was hired
from Canada in April 1991, has taught in
the Canadian public school system, as well
as in an oil company-sponsored school in
Libya and the Kuwait English school. He
explained that the mandate of the cis is "to
educate the whole child - academically,
socially and emotionally - to prepare him
or her to participate fully in a rapidly-
changing global society."

Canadian International School

Principal Ian Robertson & Brenda Heward

with teacher and students

The school is essentially trilingual and
offers a curriculum based on a combination
of courses from Ontario and British
Columbia. It is distinguished from other
Canadian curriculum schools in Hong Kong
by its strict English language entry require-
ments which disqualify many local prospec-
tive applicants. It differs also in its extensive
Cantonese program with instruction starting
in preparatory class. Compulsory French is
introduced in Grade 4.

8 UPDATE

Tuition is relatively affordable at
hk$25,000 (about cdn$3,850), plus an indi-
vidual debenture fee of hk$ 1 5,000 or a
hk$75,O0O transferable corporate debenture.
A scholarship fund for pupils in financial
need has been set up with a donation of
hk$400,000 from the proceeds of Festival
Canada '91, held in Hong Kong last June.

An indication of the as Foundation's con-
fidence in the institution's continued viability
after 1997 is its plans to increase the school
by a grade each year with grade 6 classes
starting this September and K-12 by 1997.
Accreditation, which is not required for the
primary curriculum, will be sought when the
secondary grades start, and Mr. Robertson
indicated that the school will probably align
with the Ontario system.

At present the school is located in the for-
mer premises of the Chinese International
School in So Kon Po. However, the
Foundation has plans in progress to build its
own facility within the next five years, and
negotiations are already under way for a site
within the area. The Hong Kong government
has indicated a land grant will be available,
but much of the cost of the expansion must be
met by the Foundation.

According to Brenda Heward, Director of
Development of the cisf, "two to three major
fund raising events will be organized each
year." The first of these events will be an invi-
tation performance by the National Ballet of
Canada at the Hong Kong Arts and Cultural
Centre. The cost of the evening will be
hk$ 1 ,000 (appoximately cdn$ 1 50) per per-
son, with all proceeds going to the school.

The Board of Governors, which has drawn
new members from the wider Canadian com-
munity in Hong Kong, is now divided into five
working groups, one of which focuses on fund
raising. The school is also supported by a very
active Parents Association, with several parents
helping at the school on a regular basis or for
special events. Such help includes designing
and manufacturing the school uniform.

Mrs. Denise Chu, a Hong Kong-bom
Canadian who lived in Toronto for ten years
before returning to the territory, has two chil-
dren in the school and helps out there once a
week. She is very committed to the as, and
undoubtedly spoke for many other parents
when she explained. "We feel very lucky to
have this school. Now we don't have to rush
back to Canada." Her words indicate that the
Foundation is succeeding in its aim to provide
a quality education with a Canadian curricu-
lum in Hong Kong.

Other Canadian School Options in HK

by Harriet Clompus
Hong Kong,

When the Canadian International School
(CIS) opened last fall, the local media hailed it
as the first Canadian school in the territory.
This report drew a swift rebuttal from the
principals of three existing accredited
Canadian curriculum schools. In a letter to the
South China Morning Post, they pointed out
"that there are many other schools providing
Canadian programs in Hong Kong."

The longest established of these is the
Canadian Overseas Secondary School found-
ed in 1983, which provides Ontario programs
from grade 9 to 12, allowing students to
acquire Ontario Academic Credits (oac).
Principal Alvin Gilles explained that the
school is a profit-making institution managed
by a local company but owned by South East
Asia Preparations Ltd. of Toronto. School
fees of hk$38,0O0 (about cdn$5850) in 1991
make this the most expensive Canadian cur-
riculum school in Hong Kong.

This spring there were 550 pupils of
whom 90% were Hong Kong Chinese and
10% other nationalities, including, Mr. Gilles
said, "a smattering of returned Hong Kong
Chinese." Given the student composition and
the provision of remedial English programs, it
is clear that the school is geared primarily
towards local students who hope to enter ter-
tiary education overseas.

—i J

Canadian Overseas Secondary School

The Delia School of Canada (dsc) was
founded in 1987 and is one of many private
schools of all types managed by the profit-
making Delia Group within Hong Kong. It
also manages a Delia school in Toronto. DSC
follows an Ontario and Maritime accredited
curriculum from grade 1 to 12oac, and at pre-
sent has a total of 700 pupils enroled.

According to its principal, Mr. Alvin
Mistruzzi, there are no statistics available for
nationality of DSC pupils, but he estimated that
approximately one-third of the students are
ethnic Chinese. Of these, he did not know
how many held Canadian citizenship. The
remaining pupils come from several different
countries, including Korea, Japan, and
Australia. English as a Second Language (esl)
is offered, and a "heritage language program"
offering French, Chinese, Korean and
Japanese will be given from this September.
Fees for dsc are hk$2 1 ,400 (cdn$33O0) for
primary and hk$25,000 (cdn$3850) for sec-
ondary school in 1991-92.

When asked whether dsc had been affect-
ed by competition from the Canadian
International School, Mr. Mistruzzi argued
that the two schools had very different mar-
kets. "The as is for returned Hong Kong
Chinese so at least two-thirds of our students
don't even qualify to go there." Although
preference is given to Canadian citizens, the
as has no restrictions on nationality, but its
strict English language requirements disquali-
fy many Delia pupils from entry.

Prior to the opening of as, the Seaker
Chan International School (sas) was the
most recently established Canadian curricu-
lum school. It is managed by the Chan
Education Foundation, a major provider of
private education in the territory. Formerly
known as the Canadian Program Sham Shui
Po, it was founded in 1988 and provided
Ontario programs from grade 9 to 1 2oac. In
1991 it began teaching grades 1-8 and
changed its name to Seaker Chan
International School.

According to principal Larry Richardson,
the primary program from grade 1 -5 was put
on hold. He maintains that this change was in
no way connected with the opening of the as
and added, "Our two schools have different
catchment areas - as is on Hong Kong Island
while we are on the Kowloon side." Instead,
the decision was due to plans to build a new
school on the present site, construction of
which will take place in 1992, with a comple-
tion date within two years. Grades 6- 1 2 will
be temporarily housed in one of the Chan
Foundation's other schools.

Schools, cont'd page 10

UPDATE 9

Schools, cont'd from page 9

Concern Over Rights to Privacy in Hong Kong

This past year, the Seaker Chan
International School had 1 70 pupils of whom
90% were ethnic Chinese. Eighty per cent of
these were local Chinese while 20% were
returned Hong Kong Canadians. Tuition fees
are hk23,000 (cdn$3500) for grades 7 and
below, and hk$29.000 (cdn$4500) for grades
8 and above. There is no English language
entry requirement.

After completion of the new school facili-
ty, which Mr. Richardson judged would be "a
showcase establishment," a vigorous market-
ing plan for SOS will be initiated. There is no
indication that returned and returning Hong
Kong Canadians will be specifically targeted.

John Grace, the Information
Commissioner for Canada, visited Hong
Kong in February. His work involves ensur-
ing the right of individuals to get certain
forms of information, and is closely linked to
the separate function of ensuring the right of
individuals to the protection of their privacy.
Canada has pioneered legislation in both
these fields, in the federal and the provincial
areas of jurisdiction.

Freedom of information legislation allows
people to obtain information from govern-
ment and other public sources which is of
direct significance to them. Hong Kong has
no Freedom of Information Act. and the gov-
ernment has no plans to introduce one. Mr.
Grace's visit came, ironically, just before an
important legal judgment in Hong Kong, in
which the Canadian Freedom of Information
Act was used to provide evidence for the
prosecution. Drs. Linda Koo and John Ho,
cancer researchers at the University of Hong
Kong, won their case against Dr. Lam Tai-
hing, who was found guilty of plagiarising

their research. The judgment was based, in
part, on documents of Dr. Lam's work
obtained from Canada through the Freedom
of Information Act.

Concern over the need for privacy in
Hong Kong is growing. Part of the concern
stems from the great amount of information
about individuals stored in computer data
bases and the misuses to which this informa-
tion can be put by people who have access to
it. Another part of the concern is political. As
1 997 approaches, there is a fear that the prc
practice of keeping dossiers on all individuals
may be extended to Hong Kong. The dossier,
which starts when a child enters junior middle
school, goes with a person for the rest of
his/her life. However, the individual has no
access to his dossier, and there can be no cor-
rection of erroneous or prejudicial informa-
tion, prc authorities have already made it
known that they keep dossiers on Hong Kong
political activists and on anyone who is con-
sidered less than sympathetic to the prc.

Beijing Update

by Jane Greaves
Beijing

Mainland press coverage of events con-
cerning Hong Kong in the first three months
of 1992 was largely issue-oriented, but two
government messages emerged: 1 ) Beijing
is making every effort to maintain produc-
tivity and stability in Hong Kong which is
in the best interests of both the Mainland
and Hong Kong: and 2) individuals and
business should begin now to tailor their
actions to comply with the Basic Law in
preparation for 1997, after which date only
those in compliance will be guaranteed the
Basic Law's rights and privileges for Hong
Kong residents.

In addition to the usual assortment of
encouraging statistics and investment
announcements concerning Hong Kong, the
English language China Daily and the
Chinese language People's Daily published
articles on several important issues affecting
Hong Kong. The announcement in January
that Beijing was planning to appoint a group
of prominent Hong Kong residents to serve
as advisors to Beijing on the territory's

affairs and the ensuing inaugural ceremony
and speeches were thoroughly and enthusi-
astically covered. The People's Daily
reported that the advisors were appointed at
the behest of many Hong Kong residents
who felt that the existing channels of com-
munication were not sufficient. The advi-
sors are "unpaid, without organizational set-
ups or offices" and will "in no way affect
the administrative management powers of
the British or Hong Kong governments dur-
ing the transition, nor will they create a so-
called second power centre." One of the key
contributions of the advisors will be mainte-
nance of a stable and prosperous Hong
Kong.

However, the effect on Hong Kong's sta-
bility of appointing such a group without
consulting the United Kingdom was not dis-
cussed in the Mainland press. In contrast.
Hong Kong's South China Morning Post
published British Foreign Secretary
Douglas Hurd's suggestion that Hong Kong
might "get the jitters" if China did not con-

sult with or inform the UK prior to such uni-
lateral actions.

The decision to "step up the publicity
and promotion of the mini-constitution of
the Hong Kong Special Administrative
Region" was well covered by the Mainland
press. The campaign resulted in many arti-
cles urging people (Mainland and especially
Hong Kong residents) to study the Basic
Law to ensure Hong Kong's prosperity and
stability in the second half of the transition-
al period and beyond. Teaching materials
for "such historical documents concerning
Hong Kong's political future as the Sino-
British joint declaration on the question of
Hong Kong and the Basic Law" have been
prepared for Hong Kong middle school stu-
dents. Much of the coverage of and propa-
ganda for the Basic Law uses a carrot-and-
stick approach: if individuals respect and act
in accordance with the Basic Law, they will
be entitled to its rights and privileges.

10 UPDATE

The 22nd session of the Sino-British
Joint Liaison Group (JLG) in Hong Kong,
from March 24 to 26, received minimal
press. The only article listed the issues cov-
ered and reported a fruitful exchange of
opinions, but did not discuss areas of con-
tention between the two sides. This single,
brief report is in keeping with recent cover-
age of Sino-British negotiations over Hong
Kong. Qian Qichen's March visit to
London, during which he handed over
China's articles of accession of the Nuclear
Non-Proliferation Treaty, was fully cov-
ered, but his talk with John Major over
Hong Kong was dealt with in a few lines.

The American bill setting out us policy
on Hong Kong received a sharp, terse, and
unsurprising response: China firmly
opposed any attempt at "internationalizing"
the Hong Kong issue. A Chinese Foreign
Ministry spokesman's comment that "the
Hong Kong question is a matter between
China and the United Kingdom before July
1 , 1997, and an internal affair of China after
that date." appeared in both Chinese and
English papers.

Reporting on the recent session of the
National People's Congress made only brief
mention of Hong Kong: a six line report on
a small group discussion of Hong Kong and
Macao ("Delegates from Hong Kong and
Macao can be very Useful"); and an article
that the proceedings of the npc were being
reported in a timely fashion in the Hong
Kong press. Evidently, the Hong Kong
issue is resolved in the eyes of the Beijing
leadership and merits no further discussion
by the ncp.

The one important issue that was not
mentioned at all in the Mainland press was
the Hong Kong budget and the negotiations
in the territory's Legislative Council to get
it passed. Lu Ping. Director of the State
Council's Hong Kong and Macao Affairs
Office, criticized the budget as he felt it
deviated from the financial principles of the
Basic Law — keeping government expendi-
tures within the limits of revenue rather
than increasing revenue to meet expendi-
tures, as Financial Secretary Hamish
Macleod's budget proposes. However, Lu
Ping's comments went unreported in China.

Hong Kong, Canada and
Foreign Investment Protection

Foreign investment is becoming an
increasingly important factor in world trade
flows and. thus, in Canada's commercial
and financial relations with other countries.
Because of this fact and because foreign
investment can be seen as an indicator of
confidence in an economy, foreign invest-
ment protection has become a more signifi-
cant issue in Canada's relations with Hong
Kong, to the point that discussions have
taken place on a foreign investment protec-
tion agreement.

There are many advantages to establish-
ing agreements on foreign investment pro-
tection between countries with significant
economic ties. While the details vary with
each accord, foreign investment protection
agreements provide a legal framework for
protection of investment and, in case of
expropriation or other developments, pro-
vide for international arbitration to settle
disputes arising from such actions. Foreign
investment protection agreements can also
establish compensation in the case of losses

This is a view of Hong Kong's infamous
Walled City which is now being torn
down. For a recent report on the demoli-
tion of this historic area (la Cite des
Ombres), see the article, "Requiem pour
une cite maudite," by Luc Chartrand in
Actualites (vol. 17, 15 Juin 1992: 11-12).

arising from changes in policy, natural dis-
asters, or other developments. Such com-
pensation is determined on the basis of
Favoured Nation status with respect to pro-
tection of investment, so that terms are no
less favourable than those provided to each
country's own investors. Of course, the
details vary with each foreign investment
protection agreement.

Given the nature of these agreements,
they represent a mutual vote of confidence
in the economy and stability of the signato-
ries. This is particularly important for Hong
Kong. Foreign investment agreements, par-
ticularly with major investor countries, rep-
resent a vote of confidence in the territory's
future after it becomes a Special
Administrative Region of China in 1997.
Such agreements indicate other countries
have faith that Hong Kong's role as a finan-
cial centre will continue, that it will pre-
serve a capitalist, market-based economic
climate which has been its source of wealth,
and that political changes will not adversely
affect its investment climate. As trade and
investment become increasingly linked,
such agreements also reflect confidence in
Hong Kong as a major Asian trading part-
ner in itself and as a entrepot for trade with
China.

As significant trading partners. Canada
and Hong Kong are both interested in for-
eign investment protection and are now in
the midst of negotiating such an agreement.
Initial consultations have taken place, and
both sides are reviewing draft agreements in
preparation for further discussions. When
an agreement is reached, it will not only
demonstrate Canada's interest in continued
promotion of investment from Hong Kong,
as well as Hong Kong's confidence in the
Canadian economy, but also it will be seen
as an indication that Canada has confidence
in the economic and political stability of
Hong Kong after 1997. Thus, such an
agreement is by extension a vote of confi-
dence that the People's Republic of China
will live up to its commitment to retain
Hong Kong's present economic environ-
ment in order to preserve its role as a major
financial and trading centre in Asia, as well
as a motor for the growth and moderniza-
tion of the prc's own economy.

UPDATE 11

Premier Bob Rae's
Visit to Hong Kong

Premier Rae visited Japan and Hong
Kong in May to strengthen the existing
ties between Ontario and Asia. In Hong
Kong he met the governor. Lord Wilson,
industrialists K.S. Li (Li Ka Shing), ES.
Cheng and James Ting, and members of
the Canadian business community. He
also met James So, Secretary for
Recreation and Culture, who is responsi-
ble for Festival Hong Kong in Canada.
Addressing the Ontario Legislature after
his return he said:

This visit reinforced my belief that
Ontario must strengthen its links to
these important economic partners.
It may sound like a cliche, but the
energy and vibrancy of the people
and the economies hit you as soon
as you step off the plane at Hong
Kong's Kaitak airport, or the
moment you reach Tokyo. We share
a rich history; thanks to decisions
made by hundreds of thousands of
individuals, Asia and the Pacific
have become a pan of Ontario's
heritage. People from all parts of
Asia have chosen to make Ontario
their home; and although they have
become Canadians, they have not
abandoned their languages, cultural
roots or contacts. By phone, fax. jet
and video cassette, Ontario is now
profoundly linked with Asia.

Premier Rae also stressed the impor-
tance for Ontario of thinking internation-
ally, for training young people in Asian
languages and then making good use of
them in business. He concluded:

We must move from simply being
exporters to promoting a truly inter-
national perspective. Our education,
training, our investment and indus-
trial strategies, our communications
systems and language programmes,
our marketing skills, all can foster
this perspective. This is something
well known in Japan and Hong
Kong, and in many other countries.
Our businesses and our young peo-
ple must begin to see themselves and
their future in this light. This is
Ontario's challenge.

Municipality Takes Proactive Approach to
Economic Development

The following is a statement by
Mayor Joyce Trimmer written for the
Canada and Hong Kong Update,
after her return from a month's trip to
Asia this spring. In order to promote
business interests for the City of
Scarborough, the Mayor visited sev-
eral cities in China, Hong Kong,
Taiwan and Japan between March
20 and April 16. Her trip included a
week in Hong Kong from March 29
to April 5.

As Mayor of Scarborough, one of
Canada's largest cities, I believe it is very
important to play a dynamic role in encour-
aging business opportunities from Hong
Kong. The role of municipal government in
many areas, including economic develop-
ment, is a proactive one. With the increas-
ing pressure on municipalities to undertake
greater responsibilities, and with that a
greater financial burden, it is important to
target and effectively attract new business
investment to stimulate economic develop-
ment.

In an effort to pursue economic develop-
ment goals, as well as to better understand
Scarborough's growing Hong Kong popula-
tion (the city has one of the largest Hong
Kong populations in Canada). I undertook a
business trip to the territory last April. This
was my second visit to Hong Kong, and in
many ways was an opportunity to follow up
with the many business contacts made pre-
viously. The rationale for selecting Hong
Kong as a target for business interests rests
on its "fit" with Scarborough. Given the
population ties and other similarities,
Scarborough is well positioned as a destina-
tion for Hong Kong business investment.

My major task was to communicate the
benefits of establishing a business in
Scarborough and to promote our diverse
business community. Since our existing
commercial community is of vital impor-
tance, my trip was also a chance to articu-
late its needs in order to foster possible joint
ventures and export opportunities.

A full week was spent in Hong Kong
meeting with government officials, business
associations and entrepreneurs. In the devel-
opment of my itinerary, I was quite pleased
by the level of interest shown by many busi-

nesses in Scarborough. In the course of this
trip, I also had the opportunity to visit and
meet with government and business offi-
cials in Beijing, Tianjin, Shanghai, Wuxi,
Taipei, and Sagamihara. Japan.

Upon arriving in Hong Kong. I met with
members of the hk government, and during
our discussions I had the opportunity to
expand on Scarborough's participation in
the upcoming Festival Hong Kong 92. Our
city will host a major event Sept. 29, the
Scarborough Lantern Festival, based on tra-
ditional lantern festivals in Hong Kong.

Following the meetings with government
dignitaries, I met many business representa-
tives, all of whom welcomed me warmly
and showed great interest in Scarborough. I
held many fruitful meetings with the
Chinese Manufacturers Association, the
Hong Kong Trade Development Council,
several high profile developers and major
Hong Kong investors in Canada, and mem-
bers of both the Canadian and Ontario
Government trade offices. I also conducted
several well-attended business seminars,
facilitated by the Ministry of Industry,
Trade and Technology and Scarborough's
Economic Development Department and
opened a Hong Kong branch of a
Scarborough real estate company.

Results of Scarborough's business trip to
Hong Kong include numerous commercial
inquiries, visits by two business delegations,
an enhanced relationship with residents
originally from Hong Kong, and the estab-
lishment of Scarborough as a viable loca-
tion for investment from Hong Kong.

In the local business arena, I am working
to further the interests of our business com-
munity by keeping it informed of the oppor-
tunities in Hong Kong, via seminars and
personal meetings. Municipalities must help
their local commercial establishments sur-
vive the current economic situation, by
thinking and acting "globally." Hong Kong
and Scarborough have much to gain from
each other in our increasingly complex
world economy.

12 UPDATE

New Brunswick Premier
Visits Hong Kong

Understanding Consumers Moving
between Cultures

Frank McKenna, the premier of New
Brunswick, visited Hong Kong from March
7 to 11. The purpose of his visil was to pro-
mote the potential for investment and for
business opportunities in New Brunswick.
Travelling with the premier was a group of
New Brunswick business people. The pre-
mier visited the site of the new airport at
Chek Lap Kok on Lantau Island and went
to the Delia School in Takko Shing. a
school which uses the New Brunswick cur-
riculum.

In a speech to the Canadian Chamber of
Commerce in Hong Kong, Premier
McKenna stressed that New Brunswick is
anxious to attract investment from abroad.
The province has the advantage of a loca-
tion close to the usa. for trade opportunities
under the Free Trade Agreement, and an
export-oriented economy. Two-thirds of all
production is exported. New Brunswick has
the fastest growing economy in Atlantic
Canada, based on its abundance of natural
resources. Future development will be
helped by a strong bilingual education sys-
tem and a skilled work force. It has a base
of productive old industries, in natural
resources and foodstuffs, and some success-
ful new industries.

The premier foresaw possible partner-
ships with Hong Kong in forest products.
There has been some Hong Kong invest-
ment in the province already, for example
Atlantic Canada Textiles and whk Woven
Labels. More will be welcomed. There are
200 students from Hong Kong at the
University of New Brunswick, whose
largest alumni association outside New
Brunswick, with one hundred members, is
in Hona Kona.

Correction

In the last Update Issue we erroneously
reported in the article on Pre-migration
Programs in Hong Kong that the Meet
with Success programme had received
financial support from the Canadian gov-
ernment, provincial government offices in
Hong Kong, and other local associations
such as the Canadian Chamber of
Commerce. According to Larry Mills,
President of Meet with Success, the pro-
gramme is funded only through private
sources which include "donations provided
by the participants of these weekly semi-
nars and from other private donations."

We regret the error.

Professors David K. Tse {University of
British Columbia, Faculty of Commerce
and Business Administration) and Wei-Na
Lee (University of Texas. Austin, Dept. of
Advertising) have recently conducted a
study of consumer habits of Hong Kong
immigrants In Canada. Their research
project focused on how Hong Kong immi-
grants have changed the products they
own. whether they have altered their
shopping behaviour, and how they partici-
pate in Chinese and/or Canadian cultural
activities. The following is a summary by
David Tse of the objectives and major find-
ings of their research.

Objectives:

When Hong Kong consumers move to
Canada, will they purchase the same set of
products that they used to own? Will they
retain the same shopping habits and buy from
similar outlets with the same frequency? Will
they practice Chinese and/or Canadian cultur-
al activities? These are some of the questions
examined in the Lee and Tse study on how
Hong Kong immigrants changed their
behaviour when they came to Canada.
Answers to these questions have both man-
agerial and public policy implications. For
example, should companies adopt similar
marketing strategies to these immigrants? If
they change at all. in what areas would Hong
Kong immigrants become like Anglo-
Canadians, or do they always remain as
Chinese from Hong Kong.

Design:

The study surveyed four groups of con-
sumers (total of 938), including Anglo-
Canadians, recent Hong Kong immigrants,
former Hong Kong immigrants (who immi-
grated before 1984), and Hong Kong resi-
dents. They were questioned on their product
ownership, retail shopping behaviour, and a
set of value-related activities.

Major Findings:

It was found that the immigrants reclassi-
fied the products they own. As expected,
recent Hong Kong migrants had lower family
income than their Canadian counterparts. The
former assumed conservative financial plans.
Though they bought a comparable percentage
of private cars, microwave ovens, and single

family houses, they bought fewer air-condi-
tioners and condominiums compared with
Hong Kong residents and Anglo-Canadians.
New immigrants shopped more frequently in
supermarkets, but they complemented their
grocery shopping in Chinatown and Chinese
stores. They did not like to buy pre-owned
products, such as from flea markets and
garage sales. For professional services, they
went to Chinese physicians and Chinese
accountants. They accepted value free activi-
ties readily and tried to maintain Chinese cul-
tural activities. At the same time, they also
celebrated Canada Day and participated in
community centre events. With regard to mar-
riage, the newer immigrants did not readily
accept non-Chinese spouses for their children.

Former Hong Kong immigrants, who had
stayed more than seven years in Canada,
earned a comparable Anglo-Canadian family
income. As a result they classified products
differently and owned more household appli-
ances (private cars, microwaves, single family
homes) and more recreational products
(VCRs, BBQs, and multiple TVs) than
Anglo-Canadians. Their shopping behaviour
was closer to Anglo-Canadians, representing
a 'melting pot' phenomenon, though they
complemented their grocery purchases at
Chinese stores and at Chinatown businesses.
Like recent immigrants, they shopped less
often at flea markets and garage sales. With
better ability in spoken English, they went less
often to Chinese physicians or accountants
compared to recent immigrants. In terms of
culturally relevant activities, they seemed to
be more bi-cultural. maintaining their Chinese
traditions (celebrating Chinese New Year)
along with Canadian traditions (Canada Day).
However, they were more willing to accept
interracial marriage for their children.

In general, it was found that the immi-
grants reconceptualized the products they
own, changed their retail shoppping behavior,
and selectively adapted some value related
activities. The findings suggest that environ-
mental influences and cultural relevancy are
important to the immigrants' adaptation to the
norms of their new home.

For further information about this study,
please write to Prof. David K. Tse, Faculty
of Commerce and Business
Administration, ubc, Vancouver, B.C.,
Canada V6T 1Z2 or phone (604) 822-8364.

UPDATE 13

Tiananmen Memorial

On May 3 1 , a memorial meeting was
held at Toronto City Hall to commemorate
the third anniversary of the Peking
Massacre. The meeting was addressed by
the Nobel Laureate, Professor John Polanyi.
Messages of support were read from Jean
Chretien, leader of the Liberal Party, and
Audrey McLachlan, leader of the New
Democratic Party. After the meeting, about
one thousand people marched to the
University of Toronto for the dedication of a
bronze memorial to the students and citizens
of China who died on 4 June 1989. (The
plaque beneath the bronze was stolen on the
night of June 3.) The memorial was
unveiled by Gordon Cressy, Vice President,
University of Toronto, Dick Chan, Chair of
the Toronto Association for Democracy in
China, and Farrah Jinha, President of the
University of Toronto Students'
Administrative Council. Peter Guo. imme-
diate past president of the Students'
Administrative Council, and Zhang
Xiangmin, Vice-President of the Federation
of Chinese Students and Scholars in
Canada, also spoke.

A statue of the Goddess of Democracy
was also presented at the ceremony at City
Hall. A truck carrying the statue led the
rally to U. of T. for the dedication and then
to the Chinese consulate where the statue
was assembled. The 25 foot replica, made
of wire mesh, wood and canvas, is a collec-

Goddess of Democracy
Student Centre, York University

rive work by the Toronto Design for
Democracy Group, consisting of young
Canadian Chinese artists, students and
designers. The statue has been loaned for
three years to York University where it was
erected on June 4 in the lobby of the new
student centre. There are plans for the fourth
anniversary memorial next year to gold leaf
both the bronze wall sculpture at U. of T.
and the Goddess of Democracy statue at
York.

The Chinese Consulate General in
Toronto protested to the university presi-
dents about both memorials, claiming that
they were being mounted by "a small num-
ber of hostile elements" whose aim was to
"hurt the feelings of the Chinese people"
and undermine Sino-Canadian friendship.

Dick Chan, Farrah Jinha and John Polanyi
at the unveiling of a Bronze Memorial at
the University of Toronto

Project Workshop on China-HK Relations

by Bob Perrins
Toronto

The Canada and Hong Kong Project
recently sponsored a workshop on China in
Transition: Implications for Hong Kong.
Sessions were held at York University and
the University of Toronto on 11-12 June
1992. Convened by Prof. Victor Falkenheim
(U of T), the workshop focused on political
and economic changes in China and their
impact on Hong Kong. It also examined us
and Canadian government policies towards
Hong Kong.

Four papers were presented: 1 ) The New
China News Agency, by John Burns,
Department of Political Science, University
of Hong Kong; 2) Current Political
Developments in China: Implications for

Hong Kong, by Carol Lee Hamrin, East
Asia Division, U.S. Department of State and
Adjunct Prof, of Chinese History, School of
Advanced International Studies. Johns
Hopkins University; 3) Changing Patterns
of Regional Administration in China:
Implication for Hong Kong, by Victor
Falkenheim, Department of Political
Science, University of Toronto; and 4)
Hong Kong and the Rise of 'Greater
China 1 : Policy Issues, by David M.
Lampton, President, National Committee on
US-China Relations. The meetings conclud-
ed with remarks by Donald Waterfall (North
Asia Relations, External Affairs and
International Trade Canada) and a round-

table discussion (chaired by B. Michael
Frolic) on policy implications for both
Canada and the U.S. Among the more than
thirty participants were representatives from
Canadian and American government, busi-
ness and private agencies, members of the
Hong Kong Economic and Trade Office,
reporters from The Financial Post and Sing
Tao Newspapers, and a number of aca-
demics and graduate students.

Diana Lary, director of the Canada and
Hong Kong Project, opened the workshop
with brief remarks on the importance to
Hong Kong of the ongoing changes and
uncertainties within the People's Republic
of China (prc). As 1997 approaches. Prof.

14 UPDATE

Lary believes, it is imperative to monitor
and understand the domestic economic and
political transformations within the prc and
to analyze their impact on the people of
Hong Kong.

The papers focused on the interaction
between the prc and Hong Kong. John
Bums's paper presented a fascinating and
detailed study of the workings of the prc's
operational organ in Hong Kong - the New
China News Agency (ncna). Stating that
the PRC's overall goal is the smooth transfer
of authority in Hong Kong as laid out in the
Basic Law, Bums outlined the ncna's
efforts to promote China's interests in the
territory and strengthen Beijing's hand prior
to 1997. Activities of the ncna include pro-
paganda work, maintenance of close rela-
tions with the leftist press, involvement in
United Front work, the attempt to coordi-
nate and control other leftist organizations
including trade unions, and the effort to fos-
ter the development of a pro-Beijing politi-
cal force within Hong Kong. Bums con-
cluded that the future of the territory will
largely depend on the outcome of a struggle
between the ncna and Hong Kong's articu-
late and rising middle class.

Carol Hamrin discussed the workings of
the various political organs within the PRC
that are involved in drafting and implement-

ing policy related to Hong Kong. The high-
est level of these organs is the Politburo's
Standing Committee, the leadership core,
which is responsible for drafting the general
guidelines regarding China's vision of Hong
Kong's future. The next level, or executive
core, is the Hong Kong and Macao Working
Committee which is responsible for policy
coordination. Below this Committee is the
Hong Kong and Macao Affairs Office of the
State Council, the administrative core which
formulates concrete policies and oversees
general administrative functions. The lowest
level discussed by Prof. Hamrin is the New
China News Agency and its Working
Committee, both of which are involved in
policy implementation and intelligence
research. It is the ncna's Working Commit-
tee which may form the core of the control
system over Hong Kong affairs after 1997.
Victor Falkenheim's paper reviewed the
growth of regional/provincial powers within
China, the decentralization of control in the
1980s, regional experiments like Special
Economic Zones, and their implications for
the Hong Kong Special Administrative
Region (sar). Prof. Falkenheim proposed
that perhaps the best way to view Hong
Kong's future within the prc is to under-
stand it in relation to the diverse and decen-
tralized regional structures that have operat-

ed with increasing flexibility in the reform
period. After 1997 Hong Kong might serve
as an arena within which China could gain
experience in managing a more pluralistic
system - experience potentially transferable
to its 'domestic' centre-region relations.

David Lampton's paper focused on Hong
Kong in relation to the emergence of a
regional, integrated economy linking Hong
Kong, the Mainland and Taiwan, termed by
some observers 'Greater China.' His com-
ments presented a more optimistic view of
Hong Kong's future and the modernizing
influence of both Hong Kong and Taiwan
on China. He also addressed the importance
of the growth of 'Greater China' for the
development of us policy. Finally, he
stressed the importance of the private, rather
than governmental, sector in maintaining
confidence in Hong Kong and making it a
"more important place to China." Lampton
concluded that Hong Kong's economic
strength, coupled with the present world-
wide trend towards regional integration,
means that Beijing is unlikely to strangle
the goose from which it hopes to procure
many golden eggs.

Publication of these papers by the
Project is expected in early 1993.

Canada-Hong Kong Database

by Bob Perrins
Toronto

The Canada and Hong Kong Project has
been involved in compiling a bibliographic
database for the past two years. This
database contains information not only on
recent monographs published about Hong
Kong but. more importantly, on newspaper
clippings and magazine articles which deal
with Hong Kong and the territory's relations
with Canada. Some of the more common
categories of material are immigration, set-
tlement, investment, business, and political
developments within Hong Kong and the
prc - the most prominent being the Port and
Airport Development Strategy (pads).

Several research assistants in Hong
Kong, Beijing, Vancouver, Ottawa and
Toronto monitor the print media in both
Chinese and English and send monthly
reports to the Project. The relevant biblio-
graphic information is input into the
database, and copies of many of the original
sources are maintained on file. Researchers
interested in specific aspects of Hong
Kong's relations with Canada may request
from the Project a bibliographic printout,
including abstracts. Where sources are more
difficult to obtain and copies exist on file,
they are available upon request for a small
xeroxing and mailing fee.

Some of the media regularly monitored
for the database include the Toronto and
Vancouver editions of Sing Tao News-
papers, the Vancouver Sun. Toronto Star.
Globe and Mail. New York Times. Asiaweek.
Far Eastern Economic Review. South China
Morning Post. Hong Kong Standard, the
London Times, and the Beijing editions of
People's Daily and China Daily.

UPDATE 15

New Project Publications

The Project announces the publication of the first monograph in our new Can

Hong Kong Papers: Politics and Society in Hong Kong towards 1997, ejjj

Burton. This book is a collection of the papers from our first Projec^

January 1991. Articles include "Under China's Shadow: Re

Unionism Toward 1997" by Ming K. Chan; "Education i

Beyond" by Bernard Hungkay Luk; "Crises and Jj|

for Christian Organizations in Hong Kong"

Refuge: Freedom of the Press Under

cost of this publication is con$1

publication is the first in

Kong with China in

University of

"Chin

ed by Charles

workshop, held 5

TOblitik of Hong Kong Labour
long Kong Up to 1997 and

nsformation: the Implications of 1997

Thomas In-sing Leung; and "Uncertain

te Hong Kong Bill of Rights" by Perry Keller. The

'(plus additional charge for overseas airmail). Our second

?Ijr Research Papers series, The Economic Integration of Hong

w 1990s: The Impact on Hong Kong by Yun-Wing Sung (Chinese

JTong Kong). This is a paper presented at the Vancouver workshop,

J3nd its Hinterland," on January 17-18, 1992. Cost of the publication is cdn $7. Both
lese publications can be directly ordered from the Canada and Hong Kong Project.

The CANADA AND HONG KONG UPDATE is distributed free
Please call or write to us if you are not on our mailing list.
Past issues are available 'on request.
Telephone: (416) 736-5784 Fax: (416) 736-5688

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CANADA AND HONG KONG UPDATE

Number 8

LSpadi Rm. Ill •'

Governor Patten's Policy Speech to Legco

On7 October 1992, the

Rl. Hon. Christopher Patten
gave his maiden policy

address at the opening of the
legislative session outlining
his agenda for the next five
years before Hong Kong's
return to Chinese sovereign-
ty in 1997. In this key speech
he emphasized that his first
duty as Governor "must be
to secure stability and pn >s -
perity in a way that sustains
Hong Kong's freedoms and
way oj life."

He was confident that Hong Kong "can
achieve an annual rate of 5' i economic
growth in real terms between now and 1997"
because of the territoiy's "four unique ad-
vantages:" rapid economic expansion which
is transforming the whole of the region; the
astonishing performance of southern China.
to which Hong Kong makes a major contri-
bution and which has created valuable trade
and investment opportunities: traditional
commitment to minimal government interfer-
ence and maximum support for business
expansion; and the exceptional qualties and
enterprise of Hong Kong people.

He unveiled the following

pat kage of proposals to
develop Hong Kong's repre-
sentative institutions to the
maximum extent within the
terms of the Joint Declaration
and the Basic Law.

Political Development:

"...the pace of democratization
in Hong Kong is - we all
know - necessarily con-
strained. But it is constrained,
not stopped dead in its tracks. . . standing still
is not an available option. The Governments
of the United Kingdom and China have
agreed in the Joint Declaration that democra-
cy should be carried forward with a
Legislature constituted entirely by elections.
The Basic Law provides for a steady increase
in the number of those directly elected to the
Legislature. It does not visualise stagnation.
What is more, and this was doubtless recog-
nised by those who drafted the Basic law. the
community wants a greater measure of
democracy. Whenever the community is
asked, that is the answer it gives.

Policy Speech, cont'd page 2

'

FALL 1992

Reaction to Patten's
Constitutional Proposals

by Bernard Luk
York University

The Sino-British Joint Declaration on the
Future of Hong Kong ( 1 984) provided for a
Special Administrative Region (SAR) gov-
ernment after 1997 which would be "firmly
rooted" in Hong Kong, with an executive that
would be "accountable"' to an elected legisla-
ture. The government would enjoy a "high
degree of autonomy" from Beijing in areas
other than foreign affairs and defense.

Since the ratification of the agreement,
however, the Chinese government acted con-
sistently to limit the growth of representative
institutions in Hong Kong, and the British
authorities acquiesced by accepting the idea
that developments before 1997 had to "con-
verge" with provisions of the Basic Law of
the SAR. drafted by a Beijing-appointed
committee.

The Basic Law, promulgated in 1990 in
the aftermath of the Tiananmen massacre,
strongly reflects the concerns for political
control of the Communist leadership in
China, and the socio-economic conservatism
Reaction, cont'd page 2

IN THIS ISSUE:

Governor Patten's Policy Speech to Legco 1

Reaction to Patten's Constitutional Proposals 1

Governor Patten Visits Canada 5

Canada Celebrates Festival Hong Kong 92 5

Universities Sian Joint Agreement 7

Change in Canada and Hong Kong 7

Legco Delegation Visits Canada 8

Changing Patterns of Immigration H

Life Style Changes of Immigrant Women 9

Visa Students' Experiences in Canada 10

Canadian Stories 1 1

Dia^nii*, of Crime Asian Gangs in Canada 1 1

Crime Wa\e m Hong Kong 1 1

Hong Kong in the Mainland Press 12

China-Hong Kong Legal Relations 13

New Asia Pacific Centre

Inaugurated in Montreal 15

Montreal Documentary on Hong Kong 15

New Project Publications 16

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CANADA AND

HONG KONG UPDATE

Editors

Diana Lary

Bernard Luk

Janet A. Rubinoff

Illustration &

IMS Creative

Design

Communications

Contributors

Jane Greaves

Frederick Lee

Perry Keller

Shuki Mo

Shum Kwok-cheung

Wendy Tang

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Opinions expressed in this newsjournal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Co-Directors Diana Lary
Bernard Luk

Coordinator

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idvisi " v Board David Bond

Mary Catherine Boyd
Denise Chong
Maurice Copithome
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William Saywell
Wang Gungwu

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Policy Speech, cont'd from page 1

"Democracy is more than just a philosoph-
ical ideal. It is, for instance, an essential ele-
ment in the pursuit of economic progress....
Without the rule of law buttressed by demo-
cratic institutions, investors are left unprotect-
ed. Without an independent judiciary enforc-
ing laws democratically enacted, businesses
will be vulnerable to arbitrary political deci-
sions taken on a whim - a sure recipe for a
collapse in confidence and a powerful deter-
rent to investors from overseas."

ExCo-LegCo Relationship: "In tackling
constitutional development, there are some
things we can change immediately in order to
strengthen our representative institutions.
Other improvements are longer term and
relate principally to the 1995 elections

"My intention is to insure that we have vig-
orous and effective executive-led Government
that is properly accountable to this Legislative
Council. I believe that at the present stage of
our political development, there is a danger of
confusion and muddle in their roles which will
both undermine the competence of the
Executive and inhibit the effective develop-
ment of the Legislature as an independent
check on Government.. ..As the Joint
Declaration and the Basic Law both make
plain, it is the Legislature which is the main
constitutional element that must be developed.
That is, therefore, my major concern."

ExCo: "I have concluded that. ..there
should not be any overlapping membership
between the Executive and Legislative
Councils. I intend. ...to separate the non-offi-
cial membership of the two bodies. This
should allow both Councils to play their
proper roles. In future within this Council,
political parties and groups will be free to
develop their programmes and platforms,
without the constraints that membership of
the Executive Council must impose....

"I intend the new Executive Council to be
a non-party political body to which I can look
for sound, impartial advice on the wide range
of issues that come before the Adminis-
tration. I am, therefore, appointing to ExCo
independent members of the community, dis-
tinguished in their own walks of life, who
can give me advice without the conflicting
loyalties of active day-to-day political
involvement. There will also be a number of
senior government officials on the Council."

LegCo: "Separating the non-government
membership of the two Councils implies that
LegCo must be left free to run its own affairs
and, in the process, to develop further its rela-
tionship with the Government.... I wish to
hand over as soon as possible the responsibil-
ities of presiding over this Council to a
President elected by you from among your
own members....

Reaction, cont'd from page 1

of their allies in Hong Kong, the capitalist
elite. It adheres to the wording of the Joint
Declaration but interpreted away much of its
spirit. Il prescribes an executive-dominated
government with a chief executive appointed
by Beijing. The post- 1997 chief executive
will have to render an annual "account" to a
legislature which will have only one-third of
its members returned by popular elections
and two-thirds elected by small elite con-
stituencies or committees of Beijing-
appointees. These provisions were imposed
by Beijing despite clear indications that a
majority of people in Hong Kong favoured a
higher degree of democracy in their political
system.

Governor Christopher Patten's constitu-
tional proposals [see Policy Speech, p. 1 -4]
have turned the table on Beijing. They adhere
to the wording of the Basic Law, but fill in

the many grey areas in that document (pre-
sumably left by Beijing for interpretation by
itself towards or after 1 997). by introducing
mechanisms and provisions intended to bring
the make-up of the Legislative Council some-
what closer to the spirit of the Joint
Declaration. These proposals were warmly
welcomed by people in Hong Kong, as indi-
cated in a number of opinion polls, as well as
in town-meeting style gatherings and radio
phone-in programmes in which Patten
explained his proposals to the public.

Beijing's reaction has been predictably
negative and vehement. Patten was given a
cold, and at times vituperative, reception
when he visited Beijing from 20-22 October,
after his policy address on 7 October. Lu
Ping, director of the Hong Kong and Macau
Office of the State Council, publicly demand-
ed that the proposals be withdrawn, or else

2 UPDATE

"We are read) to work actively with
Members in developing financial and man-
agerial autonomy in organising \our own
administration and support facilities.

"We need to develop the relationship
between this Council and the Gov eminent so
as to ensure that public business. ..is conduct-
ed efficiently. I propose that a Govemment-
LegCo Committee should be established
where the Administration can discuss with
members of this Council the handling of the
Administration's legislative and financial pro-
grammes... ."

1995 Elections: "The reforms I have out-
lined will set the stage for the changes which
are needed for the 1995 elections. I know that
many people regard the key issue as being the
number of directly -elected seats. On present
plans, this will rise from 18 to 20 in 1995,
and will increase at subsequent elections with
the ultimate aim of achieving a Council com-
posed entirely of directly-elected Members.
For some time, it has been argued that we
should seek to quicken the pace of this devel-
opment, and the British Government has
pledged to pursue this w ith the Chinese
Government.... The Chinese position is that
such a move would be incompatible w ith the
Basic Law and they have said that the Basic
Law cannot be changed before 1997....

"But this is not the only way of building
up democracy in Hong Kong. 1 am keen that

we should explore in parallel how to develop
our representative institutions to the maxi-
mum extent within the terms of the Joint
Declaration and the Basic Law....

"i want to emphasise that we have
embarked upon these discussions, begun by
the Foreign Secretary, in good faith and with
a v iew to demonstrating to our Chinese col-
leagues the benefits which a more representa-
tive system will bring to Hong Kong....[T]he
proposals I am putting forward.. .will require
serious discussion with Peking.... What I will
therefore set out. ..is the broad shape of the
understanding which I hope we can achieve
both within the community and w ith the
Chinese Government."

Lower Voting Age: "First, as the Council
has itself recommended. I wish to see the vot-
ing age reduced from 21 to 18. Eighteen is
regarded in China and in Britain, and in coun-
tries right across the world, as a sensible vot-
ing age...."

Single Vote, Single Seat: "Turning next
to the voting system for geographical con-
stituencies. I believe this should aim to be
clear and equitable and to command the con-
fidence of voters. The 1991 system of double
member constituencies has been criticised....
[T]he best option in my view is to give each
elector a single vote for a single directly
elected representative in a single seat con-
stituency."

Functional Constituency Revisions:

"Third, we need to.. ..deal with some of the
criticisms that have been levelled at the exist-
ing functional constituencies by giving them
a broader electorate and. therefore, a broader
base nt support. ...|T|he whole system. ..will
gain inestimably in credibility of we can
show that every working member of the com-
munity has a second vote to represent his or
her interests at the place of work.

"So tar as the present functional con-
stituencies are concerned. I propose that all
forms of corporate voting should be replaced
by individual voters

"[T]hese measures would expand the fran-
chise in the functional constituencies con-
cerned by more than five times.... The sim-
plest and fairest approach for the nine new
constituencies would be to define them so
that they include the entire working popula-
tion.. ..[These new constituencies would
include primary production, pow er and con-
struction: textiles and garments: manufactur-
ing: import and export; wholesale and retail;
hotels and catering; transport and communi-
cation; financing, insurance, real estate and
business services; and community, social and
personal services.]

"Such a step would have two main effects.
First, it would give every single worker in
Hong Kong the opportunity to elect to the
Legislative Council a Member to represent

Policy Speech, cont'd page 4

Beijing would take unilateral drastic actions
with regard to both the political system and
the proposed airport before and after 1997.
Lu also alleged that the Chinese and British
governments had agreed in writing in 1990 to
preclude the kind of development now pro-
posed by Patten. Diplomatic correspondence
dating from 1990. published by the Hong
Kong government in response to Lu's allega-
tions, however, does not substantiate Lu's
point although it does suggest a consensus to
restrict democracy.

In spite of the continued outpouring of
attacks against Patten's proposals and against
his person by Beijing officials and pro-
Beijing politicians and newspapers in Hong
Kong, support for the governor remains high
among Hong Kong people. Opinion polls
conducted in Hong Kong after his visit to
Beijing continue to show that a clear majority

approve of his proposals and his perfor-
mance, and insist that he carry on with them
even at the risk of offending the Chinese gov-
ernment. A telephone survey of inhabitants
across the border even found that Patten
enjoyed higher ratings there than their own
provincial and municipal government leaders.

Prior to delivering his policy address.
Patten had flown to London to secure the
blessing of Prime Minister John Major. The
opposition parties in Britain have also given
him their backing. By mid-November, the
Canadian, Australian, and U.S. governments
had publicly stated their support for greater
democracy in Hong Kong.

Canadian support was reiterated by Prime
Minister Mulroney and External Affairs
Minister Barbara McDougall when they met
with Patten during his visit to Canada 11-14
November [see Governor Patten Visits

Canada, p. 5). At a news conference follow-
ing an official luncheon in Toronto hosted by
Mrs. McDougall. she affirmed. "We back the
proposals Governor Patten has outlined in his
policy speech of Oct. 7 and wish him every
success in his negotiation with China." On 16
November. U.S. State Department spokesman
Mr. Boucher issued an official policy state-
ment expressing support of Patten's proposals
which "represent a constructive approach to
the goal of the democratization in Hong
Kong, a goal which the U.S. strongly sup-
ports." This objective is "not inconsistent
with the 1984 Sino-British Joint Declaration."
The New York Times also editorialized
[October 10 & 3 1 ] in favour of the general
direction of the proposals.

Meanwhile, Lu Ping on his part travelled
to the U.S. from 5-11 November, at the invi-
tation of the National Committee on U.S.-

Reaction. cont'd page 4

UPDATE 3

Policy Speech, cont'd from page 3

him or her at the workplace. Secondly, by
encompassing all occupations, we will ensure
broad representation in the Legislative
Council.

"These arrangements would result in the
franchise of the 30 functional constituencies
being extended to all eligible voters in our
working population of 2.7 million.

Stronger Local Administration: "I
come, fourthly, to the extremely important
role of District Boards and Municipal
Councils.... I intend. ..that the [District Board]
responsibilities, functions and budgets should
be expanded in 1993 so as to give them
greater responsibility for the issues which
affect the residents of their particular dis-
tricts.... We will. ..give District Boards full
authority in managing funds for minor envi-
ronmental improvement projects, local public
works projects and community building
activities....

"As from 1994, 1 propose that all [DB]
members should be directly elected, with the
exception of ex-officio members in the New
Territories. We should similarly increase the
number of directly elected seats on the two
Municipal Councils... .we should abolish the
appointed seats....

Overall Objectives: "In shaping this
package, I have tried to build on existing
institutions and to give them a broader base

of support.... What I have tried to do with
these proposals is to meet two objectives
which I understand represent the views of the
community - to extend democracy while
working within the Basic Law. All the pro-
posals I have outlined would, I believe, be
compatible with the provisions of the Basic
Law. What these arrangements should give
us, therefore, is a 'through train' of democra-
cy running on the tracks laid down by the
Basic Law....

"I repeat once again our goal - 'one coun-
try, two systems.' What does that mean in
practice? It means a prosperous China, made
more prosperous still by the contribution of a
vigorous, tolerant and open Hong Kong. We
should look towards the fifty years beyond
1997. They will be even more successful than
the fifty that went before. They will see our
own system and our own way of life - which
you made and of which all of us are part - sur-
viving and flourishing because it works so well,
because it embodies values we all hold dear.
and because of the example of decency and
success that it offers to the rest of humanity."

In addition to these significant proposals
mi constitutional development, the Governor

also announced ambitious programs for
improving services in social welfare, social
security, education, health , public housing,
environmental protection, and law and

order. His specific plans included retraining
programs for displaced workers in older
industries; the improvement of school stan-
dards with better trained teachers, smaller
class sizes and whole-day schooling in new
primary schools; improving welfare services
such as an overhaul of the Social Security
system and improvement of benefits, residen-
tial care for the disabled, and special atten-
tion to needs of the elderly.

He announced increased spending plans
for health and hospital services with the pri-
ority on better patient care and shorter wait-
ing periods for treatment, specialized health
centres for the elderly, "well-woman" clinics
for females over 45. and better hospital and
out-patient care for the mentally ill. He
promised a substantial increase in public
housing and the rehousing of urban squat-
ters on government land. His proposals for a
cleaner environment included the closing of
older urban landfills, better disposal of solid
waste and toxic industrial waste, and a
major program of capital works (HK$3 bil-
lion) for the building of a new sewage treat-
ment system. The Government also promised
an increase of 800 police officers and the
strengthening of cooperation with Chinese
authorities to suppress cross-border crime.
Finally, Governor Patten called for not only
an increase in but a greater accountability of
government in the provision of its services.

Reaction, cont'd from page 3

China Relations, and made use of the oppor-
tunity to argue against the introduction of
democracy in Hong Kong after one and a half
centuries of colonial rule without democracy.

Back in Hong Kong, the Business and
Professional Federation, a lobby made up of
certain members of the business elite, issued
a statement in favour of "convergence" with
the Basic Law and against the new constitu-
tional proposals. Many of the most important
segments of the business community, howev-
er, refused to take part in this action, and the
statement was quickly denounced by other
business leaders as representative of only cer-
tain interests. At the same time, a semi-offi-
cial representative of the Taiwan government
in Hong Kong remarked that if Beijing could
not tolerate the Patten proposals, it certainly
would find it even harder to accept, under
Beijing's formula of "one country, two sys-
tems" for national unification, the more
democratic system existing in Taiwan.

Within the Hong Kong community, some
forty social, occupational, religious, human
rights, and service groups began to organize
public support for the proposals, through
political advertisements, press conferences,
public meetings, and demonstrations outside
the New China News Agency. Their oppo-
nents labelled the proposals as a colonialist
plot which would ruin the stability and pros-
perity of Hong Kong.

In the midst of the political cacophony, the
Hang Seng Index of the Hong Kong Stock
Market continued to rise after Patten's policy
address in early October. By mid-November,
it had gained nearly 1000 points to reach his-
toric heights at 6447. It dropped more than
450 points in two days after Chinese Deputy
Prime Minister Zhu Rongji made a statement
in London ( 16 November) which the interna-
tional press interpreted as a threat to abrogate
the Joint Declaration. However, the Index sta-
bilized in the 5800s when the Chinese

Embassy in London issued clarifications that
such a threat was never made.

On 1 1 November, the Legislative Council
voted 32 to 21 in favour of a motion to sup-
port Patten's proposals in general principle.
The vote took place after a heated marathon
debate between most of the elected members
on one side, and pro-Beijing and conservative
business interests (appointees of previous
governors) on the other side. So Patten enjoys
both popular and representative backing in
Hong Kong, as well as international moral
support. He has appealed to Beijing and to the
conservative Hong Kong business groups to
make concrete counter-proposals, so that the
Hong Kong public could decide in an open
and rational process what kind of future gov-
ernment it wants.

No other proposals have yet appeared.
However, there is no doubt that the drama
will continue to unfold in the months to
come.

4 UPDATE

Governor Patten Visits Canada

The Governor of Hong Kong, the Rt. Hon.
Christopher Patten. \ isited Canada from 11-
14 November to mark the official closing ol
Festival Hong Kong '92. His itinerary includ-
ed a two-day visit to Vancouver and one daj
each in Ottawa and Toronto. During his stay
in Vancouver. 11-12 November. Mr. Patten
met with the Lieutenant Governor of British
Columbia, the Hon. David Lam. and Premier
Michael Harcourt. On Remembrance Day
(Nov. 1 1 ). Governor Patten laid a wreath at
the cenotaph in Victory Square to pay tribute
to Canadian soldiers who helped defend
Hong Kong during World War II. Other
Vancouver events included a gala dinner, tour
of Chinatown, and a visit to the Dr. Sun Yat-
sen Garden and the Chinese Cultural Centre.
On the evening of 1 1 November at the Gala
Benefit Dinner which closed the festival.
Governor Patten spoke of the similarities and
growing ties between Hong Kong and
Canada. He concluded by referring to this
special relationship of Hong Kong people to
Canada and to the rest of the world:

"Through the Festival, you have been able
to experience the best that Hong Kong has to
offer - the cream of Hong Kong*s talent in
music, in the theatre, in film, in fashion, in
food and in sport. In all these areas. Hong
Kong today is notching up astonishing
achievement - and exporting them to the
world.

"It is all these things - as much the
attributes, like a free press, like freedom of
speech, like freedom of worship, of a free
society - that together add up to Hong
Kong's 'way of life." A way of life spelt out
in paragraph after paragraph of the Sino-
British Joint Declaration....

"Implementing the Joint Declaration is. of
course, a task for Britain and China. But it is

good to know thai we do so with the goodv. ill

of our friends in Canada. And that we do so
with the friendship between our people in
finer fettle today than it has ever been - a
friendship made more intimate and less dis-
tant by the advent of modern communica-
tions.

"... as I close this Festival it is not fanciful
to speak of our having constructed something
of a "Bridge across the Pacific" - a bridge
between this great land and a rock in the
South China Sea. a bridge of which our fore-
bears who crossed the Pacific in their sailing
ships would surely and rightly be proud."

Mr. Patten met with Prime Minister Brian
Mulroney in Ottawa on 13 November, after
w hich the Governor presented the official gift
from Hong Kong to the people of Canada: a
traditional 1 2-metre dragon boat, specially
made for this occasion. It has been donated to
the National Museum of Civilization in Hull.
The Hong Kong-Canada Business
Association and Ottawa-Carleton Board of
Trade hosted a luncheon, and Mr. Mulroney
held a dinner for Mr. Patten the evening of
the 13th.

Governor Patten arrived in Toronto on 14
November and met with the Secretary of
State for External Affairs. Mrs. Barbara
McDougall. She stressed Canada's support in
principle of Patten's proposals for more
democratic reforms in Hong Kong [see,
excerpts from his Policy Speech, p. 1-4]. At a
luncheon hosted by Mrs. McDougall and later
press conference. Governor Patten reiterated
his call for a "period of quiet and calm reflec-
tion" on the proposals. "I very much hope we
can move beyond the recent rhetorical phase
of the debate and have a rather calm discus-
sion about the political options for Hong
Kone's future."

He also stressed thai il was important tor
Hong Kong people to stand up for then own
system and values: "It's that way of life
which is described in the Joint Declaration,
the values ol an open and tolerant society
whose values helped to make it more prosper-
ous ami more stable. The way of hie which is
described in such detail in the Joint
Declaration comprises our system - one of
the two systems in that historic concept, 'one
country, two systems." We have by definition
to stand up for our system. We have to stand
up for it after 1997 and. of course. ...before
1997 as well. ..if we won't stand up tor it
now. what chance that people will stand up
for it in the years ahead?"

His visit concluded with an afternoon
reception at the University of Toronto, hosted
by President J. Robert Prichard and attended
by academics, community leaders and Hong
Kong students. Stressing the educational ties
between Canadian and Hong Kong universi-
ties. President Prichard was impressed b\
Patten's recent recommendation to increase
research funding to tertiary institutions in
Hong Kong by over 209c a year. Governor
Patten concluded his remarks on the impor-
tance of these educational connections with
the statement that the test for the success or
failure of his proposals for democratic
reforms would be whether the life style and
freedoms now existing in Hong Kong could
be sufficiently guaranteed for the future. In
particular, this success would be revealed by
the choice of a large number of students
presently studying in Canada to permanently
return to Hone Kona.

Canada Celebrates Festival Hong Kong 92

The month-long Festival Hong Kong 92

was celebrated with numerous events in five
cities across Canada during September-
October. Opening ceremonies took place on
25 Sept. in Montreal. 26 Sept. in Toronto. 1
Oct. in Calgary, 6 Oct. in Ottawa, and 10 Oct.
in Vancouver. A colourful 500-foot dragon
parade launched the festival in downtown

by Janet Rubinoff

Toronto

Toronto, and the celebration concluded in
Vancouver on 11-12 November with the visit
of Hong Kong Governor Christopher Patten
[see above].

Each of the five participating cities -
Toronto, Ottawa/Hull, Montreal, Calgary and
Vancouver - sponsored numerous exhibits,
special performances, local cultural and

social events, sports and food demonstrations,
as well as business and educational seminars,
to emphasize the close relationship betw een
Hong Kong and Canada. More than 50 events
were planned across Canada and over 400
performers took part. Initiated by the
Government of Hong Kong, it was their

Festival, cont'd page 6

UPDATE 5

Festival, cont'd from page 5

largest overseas promotion. It was held in
reciprocation of Festival Canada in Hong
Kong, which was sponsored by the Canadian
Government in June 1991.

As part of the promotion several groups
were brought from Hong Kong to perform in
different cities across Canada. These included
the Hong Kong Ballet which performed in
Calgary (Oct. 10-11) and Vancouver (Oct. 14-
15); the Hong Kong Dance Company,
which appeared in Toronto (Oct. 1-2); the
Chung Ying Theatre Company which
toured Toronto (Oct. 9-10), Montreal (Oct.
13-14), and Vancouver (Oct. 17-18); the City
Contemporary Dance Company coming to
Ottawa (Oct. 14) and Montreal (Oct. 17-18);
the Hong Kong Academy for the
Performing Arts performing in Calgary
(Oct. 13-14) and Ottawa (Oct. 19); the Hong
Kong Chinese Orchestra playing in Toronto
(Oct. 7-8) and Vancouver (Oct. 1 1 - 1 2); the
Hong Kong Youth Chinese Music
Instrumental Ensemble (Sept. 28-29) and
the Hong Kong Festival Children's Chorus
(numerous occasions, Sept. 26-Oct.2), which
both performed in Toronto. Hong Kong Film
Festivals, featuring a number of Cantonese
films and a special tribute to director Sylvia
Chang, were held in four places - Vancouver,
Toronto, Montreal and Ottawa.

A variety of special exhibits, demonstra-
tions and store promotions were also held
in each city. Food and cooking demonstra-
tions were presented in four centres -
Vancouver (Oct. 3-4 & 17-18), Toronto (Sept.
25-Oct 5 & Oct. 3-4), Ottawa (Oct. 8-19),
and Montreal (Oct. 7-11). A number of local
restaurants in each of these cities also partici-
pated in a "dine around festival of flavours."
Art exhibitions featuring Chinese theatre as
well as crafts and contemporary works were
held in Vancouver (Canadian Craft Museum.
Vancouver Museum, the UBC Museum of
Anthropology, and the Chinese Cultural
Centre) and Toronto (ROM). The Chinese
coins & currencies exhibit of Hang Seng

Bank toured Toronto, Ottawa and Vancouver.
Sports demonstrations, such as table tennis,
badminton, and martial arts, were featured in
all five locations. Photography exhibits
focused on scenes from local Chinatowns and
Chinese communities in Canada as well as
Hong Kong.

Business seminars and trade shows
were a key component of festival events in
each city. Several of these meetings, held on
Oct. 2 in Calgary and Oct. 19 in Ottawa, were
organized by local chapters of the Hong
Kong-Canada Business Association and
Canadian Chamber of Commerce. The Sept.
30 seminar in Montreal was also co-spon-
sored by the Asia Pacific Foundation of
Canada (APF).

In Toronto (Oct. 1 ) and Vancouver (Oct. 9
& 21) business conferences were organized
by the Hong Kong Trade Development
Council in conjunction with other local orga-
nizations, such as the APF. The international
business conference in Toronto featured six
distinguished government and business
speakers from Hong Kong, including the Rt.
Hon. Baroness Lydia Dunn, senior member
of Exco. A Cantonese Business Seminar was
also held on Oct. 2 in Toronto. Barrie
Wiggham, the HK Government "s Acting
Chief Secretary, was the keynote speaker at
the trade seminar in Vancouver. Hong Kong
business seminars were also held in Victoria
(Oct. 22) and Kelowna, B.C. (Oct. 23). A
workshop on the "Hong Kong Airport Core
Programme" was held in Vancouver Oct. 2 1 .

Special education programmes or con-
ferences on Hong Kong, sponsored by sev-
eral local universities, were held in four
cities. The University of Toronto and York
University co-sponsored a week long
"Societies in Transition Conference," Sept.
26-Oct.3. It included public lectures, several
keynote addresses, and seven workshops
(Biomedical Research, Medicine and Hong
Kong on Sept. 26, Education Connections.
Sept. 28-29. Societal Issues (Sept. 30-Oct. 1 ).

Political Transitions (Oct. 1 ), Business Law
(Oct. 1 ), Legal Issues (Oct. 2), and Hong
Kong Visa Students in Canada (Oct. 3).
Highlights of the conference also included an
Exhibition on Developments in Higher
Education in Hong Kong (Sept. 29-30); the
signing ceremony of an exchange agreement
between the University of Toronto, Chinese
University of Hong Kong, and University of
Hong Kong (Sept. 28) [see "Heads of Three
Universities Sign Joint Agreement," p. 7];
and a wrap up panel discussion on Oct. 2 at
which the Commissioner for Canada in Hong
Kong, John Higginbotham. was a keynote
speaker [see "Change in Canada and Hong
Kong," p. 7|.

There were also a number of events
planned by the school boards in Toronto,
North York and East York. A curriculum
package and teaching kit on Hong Kong were
prepared by the Toronto Board of Education
for distribution to schools. Various work-
shops were also held for teachers, counsel-
lors, and all students.

A two-day Hong Kong Conference on
Social and Cultural Dynamics was held in
Vancouver (Oct. 16-17), sponsored by the
David Lam Centre for International
Communication at Simon Fraser University,
the Chinese Law Program of the Centre for
Asian Legal Studies, UBC, and several
Chinese community groups. The conference
included sessions on economic, legal and set-
tlement issues as well as on Women of Hong
Kong. The last was organized by the Canada
and Hong Kong Project. Speakers included
several leading public figures from Hong
Kong - the Hon. Edward K.Y Chen, Hon.
Moses Cheng, Mrs. Rita Fan. and Hon. Emily
Lau. | For further information on the Toronto
and Vancouver conferences, see Update, no.
7. "Education Programs," p. 4.]

Other education programs in Vancouver
included an exhibition and seminar on Hong
Kong Higher Education, held at UBC (Oct.
14-15) and a seminar, "Forging Long-Term

FESTIVAL HONG KONG

Bridge Across the Pacific M && i¥ ^tt 9£ ,& t)D IH ■ Pont Sur Le Pacifique

6 UPDATE

Til's.'' .11 Simon Fraser(Oct. 14). A teachers'
workshop on "Teaching about Hong Kong''
and a "H.K. Teaching Module for BC
Teachers" were held on Oct. 17-18 at SFU
Harbour Centre downtown.

The University of Calgary held a two-day
mini-festival entitled "Opportunities." on 13-
14 October. In addition to arts, sports and cul-
tural displays, there were several seminars,
such as on tourism and Hong Kong airport
developments. An Education Programme and
luncheon was presented on Sept. 26 in
Montreal at the Ministry of Education- Over
30 professors and teachers participated in ses-
sions u hich focused on the unique character
of the history, geography, and the social and
business culture of Hong Kong, as well as on
the immigration of Hong Kong people to
Quebec.

In addition to the above, each festival city

offered a variety of special local events for
the entire community. Gala benefit dinners
were held in all five locations. Calgary 's fes-
tival program included dragon boat races (Oct.
3), a Chinatown Carnival (Oct. 10-12). and a
production of Af. Butterfly (Sept. 13-Oct. 11).
with a guest actor from Hong Kong. In a spe-
cial ceremony Nov. 1 3 at the Museum of
Civilization in Ottawa/Hull, Governor Patten
presented the official gift to Canada of a drag-
on boat from Hong Kong, which will be on
exhibit at the Museum. Montreal featured a
painting exhibit (Sept. 10-Oct. 25) of the
works of Ming Ma. a Monkey King Mascot
promotion during the month of October, a
seminar on film and TV. co-production (Oct.
5: also presented in Toronto and Vancouver),
fashion show (Oct. 5), and a conference on
Hong Kong Architecture (Oct. 15).

Special community events in Toronto and

Heads of Three Universities Sign Joint Agreement

On September 28. Wang Gungwu, Vice-
Chancellor of the University of Hong Kong. J.
Robert Prichard. President of the University
of Toronto, and Charles K. Kao. Vice-
Chancellor of The Chinese University of
Hong Kong, signed a partnership agreement
between the three universities. The result of
prior years of cooperative exchanges, this for-
mal agreement includes collaboration in
research, faculty exchanges, and graduate
studies.

The signing ceremony and reception took
place at Massey College. U. of T.. in conjunc-
tion with the University Education
Programme of the recent Festival Hong Kong
92. The university heads felt that Festival
Hong Kong was an opportune event to for-
malize and strengthen the existing academic

I ice-Chancellor Wang Gungwu (HKU),
President J. Robert Prichard (U ofT), and
Vice-Chancellor Charles Kao (CU) sign joint
agreement; photo by Linda Hutjens.

relationships between their institutions. This
agreement will serve as the basis of a commit-
ment to foster fruitful and lasting bonds
between scholars, students, and the wider
communities in both Hong Kong and Toronto.

Both the president and vice-president,
research and international relations, of the
University of Toronto will be travelling to
Hong Kong in early December. The main pur-
pose of their visit is to further academic rela-
tionships with the University of Hong Kong
and Chinese University as outlined in the joint
agreement, to meet with U. of T. alumni, and
to promote development activities. Scheduled
to visit Hong Kong from 1-5 December.
President Rob Prichard plans to speak at the
Faculty of Law (HKU), the Canadian
Chamber of Commerce, and a recruitment
function for high school principals. Vice-
Chancellor Wang Gungwu. President
Prichard. and Vice-Chancellor Charles Kao
will be featured speakers at a reception of the
University of Toronto Alumni Association.

Vice-President James Keffer will be in
Hong Kong from December 5-10 to continue
talks with the two Hong Kong universities on
the implementation of the joint agreement. He
will also present a paper on Technology
Development and the Role of Higher
Educational Institutions at a conference on the
Integration of Knowledge and Technology
Transfer, sponsored by the Hsu Chung Ching
Education Foundation of Hong Kong.

nearby suburbs included the Chinese
Celebration Day at Harbourfront (Sept. 27). a
Hong Kong Carnival at Metro Convention
Centre (Oct. 3-4). downtown Chinatown
Celebration (Oct. 3). Scarborough Lantern
Festival (Sept. 29), Fun Day Festival in North
York i Sept. 27). the Markham Hong Kong
Festival Fireworks Celebration (Oct. 4), exhi-
bitions in Brampton and Mississauga (Sept.
26). Harvest Festival at the Mississauga
Chinese Centre (Sept. 27). and Festival Hong
Kong in Etobicoke (Oct. 4).

Vancouver celebrated "Hong Kong
Weekend" at Granville Island i Oct. 3-4 1, a
series of "Friendship Dinners'' at various
schools. "Pan Pacificus: a Celebration" of the
Vancouver Sinfionetta. and on Nov. 1 1 the
concluding Gala Benefit Dinner with
Governor Christopher Patten as special guest
and speaker.

Change in Canada and
Hong Kong

fry John Higginbotham

Commissioner for Canada in Hong Kong

In his keynote speech October 2 at the
conclusion of the Societies in Transition
Conference. Commissioner John
Higginbotham provided a personal view of
the historical causes, startling differences,
and surprising parallels that have led to the
special closeness that is growing between
Canada and Hong Kong.

In particular, he drew strong parallels
between Canada and Hong Kong. He spoke
about the similarities between the two soci-
eties in historical evolution and in aspirations
for the future. Canada and Hong Kong share
a British tradition, and they also have similar
traditions of bilingualism. multi-culturalism.
and cosmopolitanism. They both value an
open press, the common law. an efficient
public service, and a balance between public
and private sectors. Both societies were
shaped by migrants fleeing from revolution;
their preferred solution to problems is prag-
matic compromise. Neither is given to strong
ideological positions. Both live next to pow-
erful neighbours whose twitches and grunts
can be disturbing. Both are conservative,
cooperative, moderate, and tolerant. Hong
Kong is a comfortable place for Canadians
as Canada is for people from Hong Kong.

Higginbotham. cont'd paae 8

UPDATE 7

Higginbotham. cont'd from page 7

The two societies are now confronting
common global, economic and social chal-
lenges and distinctive political tests, e.g.,
1997 and Canadian constitutional evolution.
Both rely heavily on international trade and
have to make their way in a competitive
world. They must do this while maintaining
the aims they share: a free society, a good
place to raise children, a decent and honest
society, with a responsible government.

Both communities have great strengths in
terms of values and institutions in handling
change. Canada and Hong Kong are twenty-
first century laboratories for the world in
terms of balancing and reconciling rights and
identities in a pragmatic way. The human
links being forged between the two places are
robust, complex, mutually reinforcing and
will transcend short-term political change.

^g£e3L Jw '

Members of the panel which closed the
Societies in Transition Conference: from left
to right Dora Choi (Chinese Univ.), Ming K.
Chan (Hong Kong Univ.), Byron Weng
(Chinese Univ.), Commissioner John
Higginbotham, Janet Salaff(U. of'T.). Cheuk-
van Lee (HK Confed. of Trade Unions), and
Sidney S. Poon (Q.C., Toronto). Photo by Iris
Chung, Sing Tao.

Legco Delegation Visits Canada
During Festival Hong Kong

From 25 September to 3 October, six
members of Hong Kong's Legislative Council
(Legco) visited Canada at the invitation of the
Canadian Branch of the Commonwealth
Parliamentary Association, chaired by Senator
William Doody. The purpose of the visit was
to introduce Legco members to Canadian par-
liamentary procedures. The invitation was
also a response to the visit of Canadian parlia-
mentarians for Festival Canada in Hong Kong
in June 1991.

Members of the Legco delegation included
Fred Li Wah Ming, Hui Yin-fat, Lau Chin-
shek, Allen Lee Peng-fei, Albert Chan Wai-
yip, and Vincent Cheng Hoi-chuen. Mrs.
Shelley Lau, JP, Secretary General of Omelco,
also accompanied the Legco members. The
group spent two days in Ottawa (Sept. 28-29).
meeting with a number of parliamentarians as
well as government representatives.

Their agenda included talks with the Hon.
John Fraser. Speaker of the House; the Hon.
John Bosley, Chair of the Commons Standing
Committee on External Affairs and Inter-
national Trade; the Hon. Guy Charbonneau,
Speaker of the Senate; and John Tennant.
Director, North Asia Relations. External
Affairs and International Trade Canada. The
schedule also included a meeting with the
Canada-Hong Kong Parliamentary
Friendship Group, a roundtable discussion on
Canada-Hong Kong relations with members
of External Affairs, a briefing with Elections
Canada, and dinner with Canadian parlia-

mentarians. The Canada-Hong Kong
Business Association hosted a luncheon for
the delegation, at which Allen Lee delivered
an address on political and economic devel-
opment in Hong Kong.

In Toronto the Legco delegation toured
Queen's Park and met with several members
of the Ontario Legislature, including the
speaker, Hon. David Warner. In addition, the
six Legco members participated in a number
of events for Festival Hong Kong both in
Ottawa and Toronto, including attendance at
the opening ceremony in Toronto on 26 Sept..
the gala dinner, business seminars, meetings
with students at U. of T, the Hong Kong
Carnival, and a reception with Premier Bob
Rae at the Royal Ontario Museum.

The Legco delegation was part of the new
Canada-Hong Kong Parliamentary
Friendship Group, formed last July to pro-
mote linkages between Canadian and Hong
Kong legislators. The Parliamentary
Friendship Group is chaired in Canada by the
Hon. William Blaikie, MP; its vice-chair is
the Hon. Girve Fretz, MP. Allen Lee serves
as convenor of the Group in Hong Kong.
Membership in the CHKPFG includes 39
Legco members as well as a number of
Canadian MP's. This is the second "interna-
tional" parliamentary group formed by Hong
Kong's Legislative Council. The first group
was established with members of the
Japanese Parliament, and a third group is
planned with Australian parliamentarians.

Changing Patterns

of Immigration

from Hong Kong

by Diana Lary
UBC, Vancouver

Some major shifts which will influence
future patterns of immigration from Hong
Kong are emerging. There seems to have
been a considerable fall in the number of
applications being made by Hong Kong peo-
ple to move to Canada. In 1991 14,500 appli-
cations were made world wide by people
whose last permanent residence was Hong
Kong; the number of people covered by the
applications was 46,214. In the first half of
1992, only 3,567 applications were made, for
9,794 people.

Immigrant Applications, CLPR Hong Kong,
by place made

Year Hong Kong Elsewhere Total

1989 15930 91% 1570 9% 17500

1990 12912 867, 2156 14% 15068
1991* 12251 84'/, 2249 16% 14500
1992 2449 69% 1118 $19i 3567
*These figures are higher than those cited in our
last Update since the earlier figures were incom-
plete at that time.

The major decline in applications seems
to have been in Hong Kong itself. Of the
3.567 applications made in the first half of
1992, 1,118 were made in places other than
Hong Kong, or 31% of all applications, as
opposed to 2,249 of 14,500, or 16% in 1991.
Of the 1992 applications, 1,704 were made in
the USA, 63% of those not made in Hong
Kong. In 1991 the figures for applications
made in the USA were 1 .549 of 2,2249, or
69%.

Though the number of applications has
declined dramatically, this decline will affect
future immigration. It has not yet had any
influence on current immigration. In fact, the
number of visas being issued has not
declined nor has the number of landings in
Canada. In 1991 and the first half of 1992,
the numbers of visas issued continued at very
high levels. The first half figures for 1992
seem to show that the trend over 1991 is
upward.

8 UPDATE

Visas Issued to Hung Kong Residents
(CLPRHK)

1989

1990

1991

*1992

22130
22566
29620

1X502

Life Style Changes of Immigrant Women
from Hong Kong

The final figures tor [991 arc higher than the fig-
ure (26.647) published in the last Update. The
l l >"2 figures are for the first half of the year only

A large number of visas are being issued
to Hong Kong residents at posts other than
Hong Kong. In fact. 12.3% of 1991 visas and
13.8% of 1992 visas were issued in places
other than Hong Kong. Most of these were
issued in the USA. In 1991. 2.971 of the
3,643 visas not issued in Hong Kong were
dispensed in the USA (82% >. In the first half
of 1 992. the comparable figures were 1 .877
of 3.107 (60', ). Many of these visas were
probably sought by people already in Canada
as visitors, who went south of the border for
convenience, but others may have been made
by people who wanted to avoid the lengthy
processing time in Hong Kong. Some statis-
tics, for places other than the USA. are hard-
er to understand. For example, who were the
two families from Hong Kong whose immi-
grant visas for Canada were issued in Bogota
in 1992°

Landings in Canada in 1991 and 1992
continue to be high. The 1992 figure is for
the first six months of the year only. If land-
ings continue at the same level for the rest of
the year, then the rate of landings is increas-
ing rather than declining. These figures rep-
resent people who applied for immigrant
visas in 1989 or 1990 and received their visas
in 1990 or 1991. Successful applicants have
up to one year after their application is
approved to land in Canada.

Landings in Canada (CLPR HKl

1989
1990
1991
"1992

19962
29266

22339
19411

*This figure is for the first six months of 1992.

All statistics are from the Immigration
Statistics Division. Employment and
Immigration Canada.

d) Tang
Hong Kong

In March 1991. as part of my sociological
studies at the University of Toronto. I con-
ducted research on immigrant women from
Hong Kong. My study involved extensive
interviews with ten immigrant women about
changes in their life styles after migrating to
Canada. In general, the data confirmed that
these women from Hong Kong experienced
life style changes which involved increased
work (either at home or outside), less leisure
time for entertainment, and fewer luxuries.
Reasons given for these changes were the
burden of additional housework due to the
expense of domestic help in Toronto or lack
of support from an extended family, fewer
relatives and friends in Canada with whom to
socialize, and little extra money for entertain-
ment.

Five respondents felt they spent far
greater time than in Hong Kong at domestic
chores, which included tending their family
and housework. Four of these women had
hired migrant domestic helpers from the
Philippines when they lived and worked in
Hong Kong. As one complained, "I am now
mother, working woman, and domestic
helper, all rolled into one." One interviewee
had experienced little change in the amount
of domestic labour because her mother, who
had cared for her child in Hong Kong, had
also migrated to Canada.

However, four other women confirmed
that they spent more time in their outside
occupations, either because of increased
financial needs or as a result of a change in
the nature of their jobs. Two of these women
were working long hours in restaurants,
another laboured as a housemaid in order to
supplement family income, and a fourth had a
better and more lucrative job than the one she
had in Hong Kong but it necessitated work-
ing overtime.

Loss of domestic support seemed to be a
particularly crucial variable affecting life
style changes of the respondents. Lack of
adequate or affordable domestic help was
cited as a reason why many of these women
had lowered their career expectations or re-
focused their priorities in life. The most obvi-
ous case was that of a woman with a master's
degree. Although she had a position "compa-

rable" to the one she held in Hong Kong, she
felt "semi-retired" and had decided that she
could not be "as ambitious in her work" as
she was in Hong Kong, Ever) morning on
her way to work, she had to drive her daugh-
ter to daycare and pick her up again after
work. Unlike her situation in Hong Kong
where her Filipina domestic helper fetched
the children from school, she now felt "leav-
ing the office on time" had become her major
concern.

Another interviewee, who was more afflu-
ent, had decided to become a full-time home-
maker and not "relegate" her children to day -
care. She reasoned that since the famil) 's
immigration was for the future of the chil-
dren, she should do her utmost to enhance her
children's chances for success in Canada. She
believed that the academic achievement of
her children would "more than compensate"
her personal "loss." Thus, she kept herself
busy tending the house and doing volunteer
work in her children's school - what she con-
ceived as the lifestyle of a "typical North
American, suburban housewife."

Of the ten interviewees, there was only
one whose job status had risen in Canada,
and she had no children. Though she does not
have a university education, she is verj self-
confident, and as she expressed it. "A good
driver is a good driver no matter where she
drives, right?" However, she readily admitted
that her opportunity for a career would be
diminished if she decided to have a child.

Many of these women preferred to live in
Chinese communities like parts of
Scarborough, not because they wanted to cre-
ate "a little Hong Kong." but in order to com-
pensate for the support network they have
lost - their extended family, friends, and a
familiar and unintimidating cultural habitat.
As one woman lamented, in her first year
here she had to "releam everything." and she
was grateful there is a Chinatown and for the
many Chinese friends she came to know in
her neighbourhood.

Some of the subjects chose to live in out-
lying communities of Toronto simply because
they have family there. Especially for immi-
grant women who do not speak English, as

Women, cont'd page 10

UPDATE 9

Visa Students' Experiences in Canada

The following excerpts are from two stu-
dent essays written for the curriculum pack-
age on Hong Kong and compiled for the
Toronto Board of Education this September
1992. Both essays are from visa students
attending public secondary schools in
Toronto. We are grateful to Arlene Tan:.
Coordinator of the Social Studies
Department. Curriculum and Program
Division, for allowing us to reprint these
essays.

"A Visa Student's Life in Toronto"

by Shnki Mo

I have lived in Canada without my family
for half of a year, and I have begun a new life
because I am here alone.... I am 18 years old.
I am the youngest child in my family. Since I
have already graduated from secondary
school in Hong Kong. 26 equivalent Ontario
Secondary credits have been given to me.
Therefore. I only need to complete 6 more
OACs [Ontario Academic Credits] including
English to be admitted to university.

In order to go to University, I came to
Canada to be a visa student but why would

Women, cont'd from page 9

was the case with two interviewees, the pres-
ence of the surrounding Chinese community
"makes life bearable." Of vital concern to
these women is the quickness or extent to
which their ESL English classes will assist
them in getting out of "demeaning jobs" or
their present "immobility."

For those in this sample who are young
and well-educated, moving to Canada still
meant revising their expectations and re-
focusing their priorities. Inevitable changes
in lifestyles have occurred. Many now spend
more time on housework and childcare at the
expense of compromising their career goals.
At the same time, because of their own expe-
rience of dislocation and insecurity, these
women tend to make extra efforts to ensure
the future success of their children. Thus,
they take them to a number of Saturday
enrichment classes, including Chinese lan-
guage, computers, and "Kumon." or
Japanese style drilling in mathematics.

I choose to study in another country? I can
learn English better and I can become inde-
pendent

During my first class, I found that I need-
ed to face a great problem - language.
Although I have been learning English since
kindergarten in my country. I was not able to
talk to people. I could not really understand
what people said or express what I wanted to
say. This was especially difficult in my
English class; my limited knowledge about
Canadian society almost excluded me from
the discussions. Eventually I lost interest
studying in the class. Finally. I ended up fail-
ing the course!

This is the first time I have to leave my
family and live in another country alone. I am
learning how to take care of myself. I have to
plan my daily life because 1 must do both
homework and housework after school.
Nobody would help me! Sometimes, I would
forget to have dinner because of studying.
Anyway. I feel I have done quite well in
learning to live an independent life.

In the last year, I have improved my
English. I can communicate to people much
better now. I am trying to speak English
more. So I have less difficulties in the lan-
guage. I passed the upgrading course
ESL4A7 at summer school. It really gave me
confidence for learning English.

I will study at high school for one more
year even though I got six OAC credits
already. I cannot go to university yet. It is
because my poor English would be the
biggest handicap in my higher education....

After I finish university. I will go back to
Hong Kong because it is quite difficult to find
a job in Canada.

"One Year in Canada as a Visa
Student"

by Frederick Lee

I am 19 years old. I come from Hong
Kong. So far I have lived in Canada for about
one year. I have learned and grown a lot over
the last year.

When I was 1 8, my parents asked me if I
wanted to go to Canada to study. I felt very
happy. On the other hand. I was worried
because the Canadian school fees are very
high for one year. I know it is not easy for my

parents to earn the money. They have decided
for me to acquire a good education and to
have a good career in the future.... When I
finish my education I will go back to Hong
Kong. I don't want to stay in Canada. I love
Hong Kong more than Canada. I don't mind
about China taking over Hong Kong on 30
June 1997. 1 think that the British is only
interested in material gains.

On 4 June 1989, nobody believed that the
Chinese Government would shoot the univer-
sity students. I know that the Chinese
Government was wrong, but we could not
stop it. I think that after 1997 Hong Kong's
economy would be the same. At that time I
will go back to find a job and stay there.

Hong Kong is a good place. People there
work so hard and they never seem to stop! I
believe that China's governing of Hong Kong
will be similar to Britain's for a long time to
come. It may be better than before. Hong
Kong citizens are afraid that China will make
them conform to the way that China has been
ruled, and the economy would decline.
However, I would like to protect our country
by participating in the work force.

Many differences exist between Canada
and Hong Kong. There are four distinct sea-
sons in Canada. In Hong Kong, we do not
have such sharp seasonal changes - the
colourful fall and the white snow.... Toronto
is a city full of immigrants, and they speak
their own languages and live their own cul-
tures.

Last week I joined the Toronto Board of
Education Orientation Program for
International Students, even though I have
been going to school here for a year. It was
wonderful. I had the opportunity to meet and
make friends with other foreign students like
myself.

I am renting a room in a rooming house
near Christie subway station. I have to man-
age my own budget, cook, clean, study, and
decide on everything that affects my develop-
ment and progress in life. My parents cannot
help me or look after me because they are too
far away. I miss my family terribly. It's a
lonely life for me. but I'm also learning inde-
pendent living skills.

10 UPDATE

Canadian Stories

Crime Wave in Hong Kong

The Asia Pacific Foundation of Canada
sponsored a 9-da> Ontario lour in November
of the musical play, Canadian Stories, the
first national tour of the Vancouver Youth
Theatre. The play explores the thoughts, feel-
ings and impressions of young immigrants to
Canada. What makes this original work so
compelling is that the tales it dramatizes are
all true, coming from the stories of young,
English-as-a-Second-Language students who
have recently moved to Canada. The per-
formers in the play range in age from 13-20.
several of whom are recent immigrants them-
selves. As well as their production at the
Harbourfront Centre Premiere Dance Theatre
in Toronto, the group also performed at a
number of elementary and high schools in
the Metro area.

As Graeme McDonald. President of the
APR writes. "Canadian Stories allows us to
hear and see the anguish, the humour and
frustrations of newcomers trying to make
Canada their home. It puts a human face on
the issues of confronting racism and culture
and racial diversity w ithin Canada - issues
vital to the social and economic fabric of
Canada.

"We believe that the message and spirit
behind each of these stories represent the
tremendous human resource that Canada
gains when people from the Asia Pacific
region and other parts of the world decide to
make Canada their new home."

Specializing in creative "playbuilding,"
the Vancouver Youth Theatre has been invit-
ed to Japan. Australia and Europe. This trip
marks the first time the VYT has performed
in other parts of Canada outside British
Columbia. During the summer of 1991. the
group also toured Canadian Stories through
the United Kingdom. Having won awards in
Japan and most recently the Canadian
Secretary of State Award for Excellence in
the Field of Race Relations, the VYT present
a memorable work in Canadian Stories,
which portrays the resilience, endurance and
hope of young people. Carole Tarlington is
the Artistic Director of the play, and John
Sereda is its Musical Director. For more
information, please contact:
Vancouver Youth Theatre
Suite 200 - 275 E. 8th Ave.
Vancouver, BC VST 1R9
tel: (604) 877-0678

In Kwok-cheung Slutm
Hong Kong

Many Hong Kong people are worried by
the deteriorating law and order situation since
violent crime, armed robberies, and smug-
gling are still widespread. According to offi-
cial figures in April of this year, the violent
crime rate remained high at 4.4 1 8, an
increase of 4.2% over the same period last
year. Although the total crime rate has
dropped slightly from that reported in 1991.
this year witnessed a spate of violent armed
robberies - 18 in the first quarter of 1992 and
double that for the same period last year. (See
figure 1.)

Figure 1: Quarterly Crime Statistics (Selective)

1 st Quarter 4th Quarter 1 st Quarter
1992 1991 1991

Total crime 20.049 22.348 20,340

Total violent

crime 4.418 4.S42 4.240

Robbery with

firearms 18 17 9

Robbery w ah

pistol-like object 144 133 129

Source: South China Morning Pest. 25 April 1992.

The new crime wave began in March
1991 when police faced increased smuggling
between Hong Kong and China. Smugglers,
who possessed powerful speed boat engines
(called tai-fei). illegally shipped luxury cars
and other high-priced consumer goods to
Mainland China. Last year the number of

smugglers' boats in Hong Kong waters
peaked at 1 .447 in one month [SCMP, 2 1
March 1992). Most serious is the illegal
importation of Chinese lethal weapons into
Hong Kong. In June 1991, robbers armed
with Chinese-made AK-47 automatic rifles
fired about forty shots at police. Hours later
masked gunmen simultaneously raided five
jewelery stores, exchanging more than thirty
shots with police. Five people were injured.
In April 1992, robbers used AK-47 rifles and
grenades to fight back police in Tai Kok Tsui.
Seventeen people were injured, including
four police officers [Ming Pao. 25 April
1992].

A number of surveys reflect the concern
of Hong Kong people w ith this wave of vio-
lence. One study conducted by the Social
Sciences Research Centre of the University
of Hong Kong last April found that over half
the respondents considered that the law and
order situation in Hong Kong had deteriorat-
ed [SCMP, 8 May 1992]. Government opin-
ion polls also confirmed this result. Since
1983 the City and New Territories
Administration (CNTA) has held a series of
telephone surveys to monitor public opinion
on perceived problems and the Government's
overall performance. Its recent reports show-
that concern with "crime-related problems"
has risen from fifth (6% ) to top place (429i I,
between November 1991 and May 1992.
(See figure 2.)

Crime Wave, cont'd page 12

Dragons of Crime
Asian Gangs in Canada

An October 3 reception in Toronto
marked the launching of a new book on
Asian crime gangs in Canada. Dragons of
Crime: Inside the Asian Underworld, by
James Dubro, published by Octopus
Publishing Group of Markham, Ontario.
Researched over ten years by the author,
the book explores the historical develop-
ment of Chinese gangs in Canada as well
as the recent rise in criminal activity of
Asian tongs, triads and gangs in Canadian
cities. It traces the activities and interna-
tional connections of these gangs and con-
siders the impact of Hong Kong's return to

China in 1997 on criminal activity in
North America. The book is available in
hardback (CDNS28.95) from the Sleuth of
Baker Street book store (1595 Bay-view
Ave.. Toronto).

James Dubro is a researcher on orga-
nized crime in Canada and has written
several books and articles on the Canadian
Mafia. His investigation of criminal gangs
began in the 1970s when he helped pro-
duce and research the CBC"s
"Connections" television series on orga-
nized crime.

UPDATE 11

Crime Wave, cont'd from page i

Figure 2: Problems Perceived of Most Concern
to Hong Kong People

Nov. Jan. March May
1991 1992 1992 1992

Crime-related

problems 6% 8% 16% 42%

Hong Kong future 18% 23% 15% 13%

Economv-related

problems 23% 28% 15% 13%

Housing-related

problems 24% 13% 16% 11%

Labour-related

problems 6% 10% 9% 4%

(No. of

respondents) (935) (1064) (1048) (1079)

Source: Report of an Opinion Poll, from Nov.
1991 to May 1992, CNTA

When asked whether Hong Kong was
becoming more dangerous than other big
cities, the Deputy Commissioner of Police,
John Sheppard, insisted that Hong Kong was
still a very safe place to live, but he also rec-
ognized that some "vicious thugs" have been
imported from China to Hong Kong [SCMP,
10 May 1992]. The China factor makes it
more difficult for Hong Kong police to cope
with the crime wave. Firstly, many criminals
associated with local gangs are illegal immi-
grants from China. Secondly, firearms used
by robbers on the streets of Hong Kong are
being smuggled from the Mainland since
weapons are now easily available in China or
via China from Vietnam. Thirdly, after hav-
ing committed crimes in Hong Kong.
Chinese criminals can flee back across the
border.

Recently. Sino-Hongkong cooperation has
been initiated to curb cross-border crime. In
March Hong Kong police set up a direct 24-
hour, anti-smuggling hotline with their
Chinese counterparts. After his visit to
Beijing in May, the Policy Commissioner. Li
Kwan-ha, announced China would establish
a "liaison office" in Hong Kong to aid local
police to combat crime [SCMP, 10 May
1992]. However, the reaction of Hong Kong
people to a Chinese "liaison office" is
ambivalent. A survey sponsored by Ming
Pan \ 18 May 1992] showed that half the
respondents were in favour of the establish-
ment of such an office, while the other half
were opposed. On the one hand. Hong Kong
people understand that without Chinese
cooperation it would be difficult for the local
police force alone to check the crime wave.
On the other hand, they fear PRC involve-
ment in Hong Kong's law and order system
as it may lead to China's intervention in local
administration.

12 UPDATE

Hong Kong in the Mainland Press

by Jane Greaves
Shenzhen

The newspaper pickings in Beijing were
slim this past summer; however, that this
might be the result of lack of newsworthy
events is not the case. Filling the Hong Kong
papers are articles on recalculations of the
airport budget, bilateral negotiations on air-
port financing, a change in the airport design,
a new governor, and debates over appoint-
ments to the Legislative Council (Legco), the
1995 elections, and land used by defense
forces. Why there was so little coverage of
these Hong Kong events in People's Da<Iy
and China Daily is a difficult question. More
feasible is a look at how these issues were
presented in the few articles that appeared.

Every few weeks, an article appeared,
either in English or Chinese, reiterating
China's confidence that the transfer of power
will be effected smoothly, provided both
sides strictly abide by the Sino-British Joint
Declaration and the Basic Law. In one such
article, a sentence was added to the last para-
graph that mentioned the June meeting of the
Sino-British Joint Liaison Group. The main
topic of the meeting, the article reported, was
the future of lands now used for defense pur-
poses in Hong Kong. Unfortunately, it did not
elaborate on what had actually been dis-
cussed, whether any decisions had been
reached, or whether the issue would be taken
up again. This article resembled many others.
To the reader, it served as a vehicle for
Beijing to reiterate China's commitment to
the Joint Declaration and the Basic Law and.
by implication, to question Britain's.

The changing of the Governor of Hong
Kong in early July merited only three articles.
Lord Wilson's departure was covered in a
three paragraph review. A second article, on
the day of the arrival of the new Governor,
published Chris Patten's goals to continue the
British government's policy on Hong Kong
and to build a constructive relationship with
China. Governor Patten's swearing in was
covered two days after the event in a third
article. In August. China Daily reported that
Patten will visit Beijing for two days on the
12-14 of October. [This was later changed to
20-22 Oct.]

For an issue so central to the determina-
tion of Hong Kong's future political structure.
Legco received surprisingly little press.
Appointments to Legco and the 1995 elec-

tions were mentioned in only one article in
mid-June. Governor Patten's comments and
China's rebuttals (or China's comments and
Patten's rebuttals), which made daily front
page news in Hong Kong, were not even
acknowledged by the Mainland press.

The bulk of articles discussed the Port and
Airport Development Strategy (PADS). In
June the upward revision of the estimated
cost of the Chep Lap Kok airport project - an
increase of 13.8% in the previous ten months
- was a great source of concern in the
Mainland press. Reports on the high-level
talks between the Chinese and British gov-
ernment. 3-7 July, and the Sino-British
Airport Committee meeting, 16 July, main-
tained China's great concern but also
expressed its "positive and supportive attitude
toward the construction of the new airport."
However, an article on 23 July in China
Daily did not hesitate to suggest where the
responsibility lies on any future delay in
PADS:

If the Hong Kong government had under-
taken construction of the new airport
within the stipulated scope of the memo-
randum after it was signed, all the con-
cerned projects would have progressed
smoothly.... the problem now is that new
issues have been raised, as the financial
arrangements proposed by the British side
exceed the stipulations of the memoran-
dum by a large margin.
On 1 7 August, the Provisional Airport
Authority announced an improvement of the
layout of the new airport which would trim
HK$150 million off the budget of HKS175.3
billion. In two of the articles, one in Chinese
and one in English, there was a visible "I-
told-you-so" attitude: the new layout shows
"that the former design is not the 'best
design' as some officials had claimed.... this
showed the criticism against the former
design had good grounds, and it is absolutely
necessary to listen to opinions from various
circles in the construction of the new airport."
In sum. the few articles that appeared dur-
ing the summer managed to avoid any in-
depth discussion of the issues (except where
it was in China's favour). At the same time,
the reader of the Mainland press is left with
the impression that Beijing does not have
complete confidence in the UK's intentions.

Discussion of legal relations between
Hong Kong and China has centred on the
Hong Kong Basic Law since its enactment in
1990. Concern has been expressed that after
1997 Beijing will use the interpretation of
both the Basic Law and the Sino-British Joint
Declaration to enlarge its role in the day to
da\ running of Hong Kong. However, less
considered is the fact that the future of Hong
Kong-China legal relations is already taking
shape. There are an increasing number of
activities occurring on both sides, within and
outside the government, that are setting
ground rules for the future. This article
explores the growing network of legal activi-
ties that is developing in anticipation of 1997.

Legal cooperation between Hong Kong
and the Mainland has been a slow and hesi-
tant affair. Mutual distrust has often brought
limited progress to a standstill - for example,
the lengthy confrontation between the Hong
Kong and British governments and Beijing
over the Port and Airport Development
Strategy (PADS).

China is concerned that Hong Kong's
unfamiliar legal system will be used to thwart
the exercise of Chinese sovereignty over the
Hong Kong Special Administrative Region.
Certainly, these fundamentally different legal
systems can be an obstacle to cooperation.
Little more than an offshoot of English law.
Hong Kong's common law system has begun
to develop its own character only in the past
decade. By contrast China's legal system,
only recently rescued from the oblivion of the
Cultural Revolution, is a rapidly changing
mixture of indigenous. Soviet, civil and com-
mon law concepts.

However, Chinese apprehensions in no
way compare to the deeper fears of Hong
Kong residents tow ards the state of law in the
Mainland. In spite of China's impressive
annual output of new laws and regulations,
many Hong Kong Chinese remain to be con-
vinced that anything remotely approaching
the rule of law exists across the border. Too
often it seems that it is the word of a Party
leader that is the law. Yet. in the face of this
hostility, necessity is forcing a change of atti-
tude regarding the role of law in Hong Kong-
China relations. Recent developments show a
growing acceptance that, however difficult
cooperation may be. a working legal relation-

China-Hong Kong Legal Relations

by Pern Keller
Faculty oj Law

Manchester I ntver.sily

ship is an inevitable part of the transition to
Chinese rule.

Hong Kong's changing legal relationship
with China can be detected in four areas: the
transfer of sovereignty, preparation of the
Hong Kong legal system for 1997, the impact
of Hong Kong laws and regulations on the
PRC legal system (especially southern
China), and the role of private individuals in
the development of cross-border legal rela-
tions. First, at the level of grand politics is
the transformation of a British crown colony
into a Chinese Special Administrative Region
(SAR). This involves the gradual demarca-
tion of the limits of Hong Kong's autonomy
within the PRC and in its relations with the
rest of the world.

In this area the spotlight has been on the
negotiations between Britain and China con-
ducted through the Joint Liaison Group, a
body established under the Joint Declaration.
Progress on many issues has been slow.
Interrupted after the Tiananmen massacre in
1989, these negotiations have frequently been
bogged down by disagreements. For exam-
ple, in the area of civil air services agree-
ments between Hong Kong and foreign
states, it has yet to be resolved whether the
civil air link with Taiwan is a domestic issue
falling under Beijing's authority or an inter-
national issue falling under Hong Kong's lim-
ited authority in international matters. Other
outstanding issues have not reached the point
of substantive negotiation between Britain
and China. As time runs out, it is clear that
some will remain partially or even entirely
unresolved.

Among the latter are the sensitive ques-
tions of recognition and enforcement of
Chinese civil judgments in Hong Kong as
well as rendition (domestic extradition) of
criminal suspects to the Mainland.
Recognizing and enforcing foreign judicial
decisions necessarily involves a degree of
trust regarding the reliability of those judg-
ments. Consequently, nations have historical-
ly been restrictive in the terms and conditions
they set for the acceptance of foreign judg-
ments. Hong Kong, as a British colony, has
largely limited its acceptance of judgments to
those of other common law jurisdictions.

However, as a future part of China, the
territory can no longer be so choosey. Beijing

has indicated that a judicial decision made
anywhere within China against a Hong Kong
party should be enforceable within Hong
Kong and vice versa. In the Chinese \ iew,
this is an inevitable consequence of unifica-
tion. The difficulty for Hong Kong lies in the
manifest weaknesses of the Chinese civil
court system in which judges, often inade-
quately trained in the law. lack independence
from both government and the Communist
Party. The Hong Kong government has estab-
lished an advisory committee to examine pos-
sible ways of resolving this issue. No doubt
the avoidance of miscarriages of justice will
be a high priority.

Of even greater concern is the question of
rendition of criminal suspects. Although
Mainland Chinese sought by the Public-
Security Ministry have been returned to
China as illegal aliens, the sensitive issue of
turning over Hong Kong residents sought for
alleged crimes committed in China has not
been settled. In view of China's use of capital
punishment for many criminal offenses, a
rendition agreement is likely to be repugnant
to many Hong Kong people.

The recent rise of violent organized crime
that is closely linked to southern China has
forced the issue of effective cooperation w ith
Chinese public security forces. Therefore, it
seems unlikely that Hong Kong can continue
indefinitely in the position of needing
Chinese cooperation but avoiding rendition.
As much as the issue of recognition and
enforcement of Chinese judgments and the
rendition of criminal suspects is in many
respects unpalatable, it also appears
inevitable. Refusal to negotiate is to risk the
imposition by Beijing of a unilateral solution.
Hence, the search for a modus vivendi with
Beijing on these matters is yet another item
on a long list of unresolved problems.

The second area of developing Hong
Kong-China legal relations is in the work of
the Hong Kong government to prepare the
legal system for 1997. In accordance with the
Joint Declaration and the Basic Law, Hong
Kong is gradually severing its remaining
statutory ties with Britain's legal system. UK
statutes that have applied directly to the
colony, such as the Merchant Shipping Act
1894 and the Copyright Act 1956, are being
Legal Relations, cont'd page u

UPDATE 13

Legal Relations, cont'd from page 13

replaced with local versions. However, this
work, which requires considerable expertise,
has strained the resources of the govern-
ment's Legal Department. Consequently,
other legal links to Britain that appear not to
offend against the Basic Law. including ordi-
nances that make direct reference to British
statutes, are to be left unchanged.

The much publicized project to translate
all of Hong Kong's ordinances and regula-
tions into Chinese has. in fact, no direct role
in the transition to PRC rule. It is more close-
ly connected to the territory's restricted
progress towards democracy and political
maturity. This translation project is intended
to reinforce the legitimacy of the common
law in a Chinese community. However,
because of the vast body of case law
involved, complete translation of the com-
mon law is plainly impossible. The project
has therefore been limited to the translation
of the large, but manageable, body of Hong
Kong ordinances and regulations. Even this
task is unlikely to be completed by the Legal
Department's Law Drafting Division before
1997.

The significance of this exercise is diffi-
cult to gauge. Perhaps essential from a politi-
cal perspective, translation is a questionable
exercise from a legal point of view. The
Chinese language, which lacks direct equiva-
lents for many common law terms, must be
stretched to capture the meaning of the
English original. Lawyers in Hong Kong will
understandably continue to rely on the
English version as the authentic form of the
law. While to some extent translation will
make Hong Kong law more accessible to
Chinese speakers, commentators suggest that
this strained translation of statute law is
unlikely to bridge the gulf of language and
culture.

Hong Kong, therefore, faces a post-colo-
nial future in which English will remain the
principal language of the law. despite the fact
that is is not the language of daily life for the
vast majority of Hong Kong people.
However, once British sovereignty ends, it is
inevitable that many residents of the territory
will come to question the acceptability of a
foreign language legal system.

In 1989. in anticipation of closer legal ties
with China, the Legal Department established
the China Law Unit within its Legal Policy
Division. The task of this small unit is to
advise on relevant developments in Chinese
law and to raise awareness of PRC law within

the government. Although a step towards
legal cooperation with the Mainland, such a
service, significantly, was not perceived to be
necessary until five years after the signing of
the Joint Declaration. The experience of the
China Law Unit has shown that many gov-
ernment departments remain skeptical of the
benefits of advice on Chinese law. Yet, this
may in part be caused by a general uncertain-
ty within the government as to how to inter-
act with the Chinese administrative system.

The third area which should be examined
is the response within China to the resump-
tion of sovereignty over Hong Kong. The
Basic Law is the centre piece of the Chinese
plan for the Hong Kong SAR. Decisions
regarding the transition are dealt with by the
Hong Kong and Macao Affairs Office within
the State Council, in conjunction with a spe-
cial department of the Ministry of Foreign
Affairs (Hong Kong. Macao, and Taiwan
Division).

The Chinese government, like Hong
Kong, is short of the legal expertise needed to
deal with the many complications of 1997. In
response to this deficiency, some PRC gov-
ernment bodies have instituted programs to
expose their officials to the common law.
This includes the Supreme People's Court
which is sending selected judges to Britain on
six-month study visits in order to develop
proficiency in the common law. Other
Chinese officials have been sent to Hong
Kong or British solicitors' firms for short
term placements.

The impending return of Hong Kong has
had the greatest impact in southern China. In
Guangdong province, particularly in the
Shenzhen area, there is distinct awareness of
the importance of understanding Hong Kong
law. In the last few years, motivation has
gone beyond a simple desire to know of
developments in the territory and now con-
cerns the import of Hong Kong law into
China. The stunning example of this aware-
ness is the new Shenzhen Provisional
Regulations for Limited Joint Stock
Companies, China's first comprehensive
company law. These regulations are taken
almost entirely from Hong Kong company
law statutes and regulations. If this experi-
ment is deemed successful, the Shenzhen reg-
ulations will have a large impact on the
national company law which is now being
drafted in Beijing.

The eventual significance of these bor-
rowings is far from clear. Chinese translations

of statutes stripped of associated case law are
a far cry from any genuine version of Hong
Kong law. The insertion of these translations
by the Shenzhen authorities into a legal sys-
tem based on fundamentally different princi-
ples and procedures is likely to take Chinese
law in a direction unexpected on either side
of the border.

Fourthly, consideration should also be
given to the role of private individuals in the
development of Hong Kong-China legal rela-
tions. The integration of the economies of
Hong Kong and southern China has created a
commercial environment in which business
enterprises and their legal advisors are in con-
stant interaction with parties across the bor-
der. This has not only meant the transfer of
Hong Kong's more sophisticated techniques
of drafting legal documents, such as commer-
cial contracts and intellectual property licens-
es, but has also involved an education in their
underlying legal concepts. Without in depth
research, it is impossible to estimate the sig-
nificance of these exchanges. In many
instances, the ineffectiveness of law in China,
rather than China's progress in legal develop-
ment, may have more strongly impressed
Hong Kong parties. The result would be more
a lesson on the importance of power and
influence than a lesson in law for the Chinese
party.

It is evident that the momentum in both
public and private legal relations between
Hong Kong and China is increasing. In the
1980s, development was slow and hesitant, as
much a result of inexperience on both sides
as a consequence of Hong Kong's deep
ambivalence towards the Mainland. Now the
sheer necessity of cooperation in the final
years before 1997 is exerting pressure on
both sides to find ways to bridge the gap
between the two legal systems.

South China Morning Post

A weekly edition of the South China
Morning Post has been available in Canada
for the past six months and is selling very
well. The edition is published on Thursday
morning in Hong Kong and then air freighted
to Canada. It has two sections. News and
Business, and is available from newsstands
or by subscription. The annual rate is
$ 1 24.95, and an introductory subscription is
$34.95. Orders can be placed through the
Post at P.O. Box 47, Hong Kong, or Fax:
852-565-9833.

14 UPDATE

New Asia Pacific Centre Inaugurated in Montreal

Over 300 people attended the official
inauguration of the Joint Centre for Asia
Pacific Communication Research (Centre
conjoint de recherches en communication sur
l'Asie Pacifique), held on 16 June 1992 at the
Montreal Botanical Gardens. Funded by the
Max Bell Foundation, the Centre conjoint is a
cooperative venture between Concordia
University and the Universite du Quebec a
Montreal (UQAM). Four areas will be
emphasized in the centre's research program:

1 ) communication technologies and policies;

2) public development assistance and human
resource development: 3) intercultural com-
munication and immigration: and 4) interna-
tional communication and organizational
development.

Prior to the inauguration ceremony, the
Advisory Board held its first meeting in order
to discuss the Centre's accomplishments to
date, its mandate, and the general direction of
future research. Professor Kong Fah Lee and
Dr. Minoru Tsunoda co-chaired the meeting.
The 29 Board members are from diverse
backgrounds, including representatives from
the Chinese. Korean, and Japanese communi-
ties, as well as individuals from the diplomat-
ic, government, academic, social and eco-
nomic fields.

The director of the Botanical Gardens. M.
Pierre Bourque, welcomed the invited guests

at the inauguration. Speakers included Claude
Corbo and Patrick Kenniff. rectors of UQAM
and Concordia, who stressed the importance
of this inter-university collaboration and the
major role of international cooperation in the
agendas of their two universities. Repre-
senting the president of the Max Bell
Foundation. Gail Sinclair emphasized the
Foundation's commitment to support the
Centre and promised to follow its develop-
ment closely.

Co-directors of the Centre conjoint are
Elizabeth Morey (Director. Special Projects.
Concordia). Dr. Claude-Yves Charron
(Director. Dept. of Communications.
UQAM). and Dr. Brian Lewis (Chair, Dept.
of Communication Studies. Concordia). Jules
Nadeau. who is also on the Advisory Board
of the Canada and Hong Kong Project, is the
administrative coordinator of the new Centre.

Four team research projects are alread}
under way. including ones funded by the
Canada-ASEAN (Association of Southeast
Asian Nations) in Toronto, the Japan
Foundation, and the Korea Foundation. They
focus primarily on communication technolo-
gies and policies in these countries. Ten doc-
toral students are also associated with the
Centre. The Centre publishes a newsletter
both in French and English. For more infor-
mation, contact:

Jules Nadeau, coordinator
Centre conjoint de recherches en
communication sur l'Asie Pacifique
Joint Centre for Asia Pacific
Communication Research
Universite Concordia
7141 ouest. rue Sherbrooke
Pavilion Bryan, BR-418
Montreal, Quebec
CANADA H4B 1R6
Tel: (514) 848-2561
Fax: (514) 848-2860

Principal dignitaries at the inauguration
ceremony: standing, Patrick Kenniff', Gail
Sinclair. Claude Corbo, Pierre Bourque:
sitting, the advisory hoard co-directors,
Minoru Tsunoda and Kong Fall Lee. Photo
byJ.-A. Martin. Montreal.

Montreal Documentary on Hong Kong

Hong Kong '97, an important film pro-
duced by Via Orient (Quai 32) of Montreal,
has recently been released on the internation-
al market. This three-part documentary (2 V2
hours in total) discusses problems arising
from the transfer of Hong Kong to Chinese
sovereignty and examines the condition of
Chinese immigrants, especially those from
Hong Kong, in a number of urban centres,
including Vancouver. Toronto. .Amsterdam.
Paris, New York. San Francisco, and London.

As well as cultural events, the film fea-
tures interviews by well known figures and
specialists in political, academic, cultural,
and business fields. These include Prof.
Graham Johnson (UBC). Louis Leblanc
(Montreal). Andrea Eng (Vancouver). Danny
Gaw. James Cleave, and Alan Wong. Several

members of the Chinese community are also
interviewed by Jules Nadeau. author of Hong
Kong 1997: dans la gueule du Dragon rouge,
recently published in Montreal.

A Bernard Morin film, this Quebec pro-
duction cost $1 .5 million and took two years
to complete, including three months of film-
ing in fifteen Asian. European and North
American cities. It was produced by Nicolas
Valcour and Diane Lambin. Available in both
French and English, the film is also being
translated into Cantonese and Mandarin for
showing in 1993 on Channel 47 in Toronto.
For more information, please contact the dis-
tributors: Dominique Valcour, Voie Numero
Un, Montreal (514-521-1984, ext. 331) or
Bruce Raymond, Raymond International,
Toronto (416-340-0130).

Eligible Bachelors

Canadian citizenship seems to be the one
of choice for Hong Kong's youthful elite.
According to a list compiled by the Hong
Kong magazine. Mode, five of Hong Kong's
ten most eligible bachelors hold Canadian
passports. The top two are the sons of Li Ka-
shing. Victor and Richard, both Canadian cit-
izens. Number four on the list is Roger Tse,
number six is Preston Chan, and number
seven is Michael Lok. All hold Canadian
passports. Of the other five on the list, two
have applied for permanent residence in
Britain: one has an American passport, one
an Australian, and one a Singaporean pass-
port. The list is soon to be shortened: Victor
Li will many a University of British
Columbia graduate.

UPDATE 15

MEW PROJECT PUBLICATIONS

Canada and Hong Kong Papers:

No. 1 : Politics and Society in Hong Kong towards 1997, Charles Burton, ed, 1992. $12
No. 2: Canada-Hong Kong: Some Legal Considerations, William Angus, ed., 1992. $12

Research Papers:

No. 1: Economic Integration of Hong Kong with China in the 1990s, Yun-Wing Sung, 1992. $7

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5

CANADA AND HONG KONG UPDATE

Number 9

SPRING 1993

Update on Governor
Patten's Policy Address

by Bernard Luk
York University, Toronto

When Governor Christopher Patten deliv-
ered his policy address. "Our Next Five
Years: The Agenda for Hong Kong." at the
opening of the 1 992-93 session of the
Legislative Council last October 7. he made
two major promises. One was to increase
government spending to provide better edu-
cation, health, and welfare services, public
housing, and environmental protection and to
maintain law and order. The other was to
improve political representation of the people
of Hong Kong with a package of limited con-
;titutional changes. On both counts, he has
been severely criticized by the authorities of
:he People's Republic of China (PRC).

Financial Reserves

Hong Kong has a large financial reserve.
;stimated at some HKS120 billion (nearly
CDNS20 billion). In spite of low tax rates
md rather comprehensive social pro-
grammes, the government habitually reports a
budgetary surplus. To its embarrassment, in
nany a year the actual surplus at year-end is
ligher than that forecast in the budget.

Update, cont'd page 2

IN THIS ISSUE:

Update on Governor Patten's Policy Address 1

Hong Kong Immigration to Canada 1

Political Row Over Patten's Reforms 4

loe Clark Visits Hong Kong 6

Beijing Update 7

Regional Variations in Hong Kong

Immigration 8

Moratorium on Immigrant Investor

Program in Manitoba 9

Political Participation of Chinese-Canadians

in Toronto 10

ier

'1029.5
16 C36

Hong Kong Immigration to Canada

by Diana Lary • UBC, Vancouver

The number of immigrants from Hong
Kong who landed in Canada in 1992 was
significantly higher than the numbers for
1991; 13.440 more people, whose country
of last permanent residence was Hong
Kong, landed in 1992 than in 1991. This
represents an increase of 37.5%.

1988 23,293

1989 19,934

1990 29.029

1991 22.357

1992 35,797

Many of these people can be assumed to
have put in their applications to come to
Canada a year or two before they arrived
here, thus getting back to the period of high
anxiety in Hong Kong after Tiananmen.
However, the high numbers still suggest a
continuing enthusiasm for emigrating to
Canada. This becomes clearer if we look at
the breakdown by class of immigrant.
Substantial numbers of new immigrants
appear in the classes with the highest pro-
cessing priorities - the family class and the
three business classes (entrepreneur, self-
employed, and investor):

Landings in Canada by class,
CLPR Hong Kong, 1992

Family class

13,097

Convention refugee

17

Designated

13

Assisted relative

3,646

Entrepreneur

7,604

Self-employed

623

Investor

4,110

Retired

3.468

Independent

3.219

TOTAL 35.797

[Statistics from Employment and Immigration Canada]

These classes are all rising in terms of
new migration, while the independent class
continues to decline as a proportion of all
immigration. In 1992 it accounted for only
9% of all immigration from Hong Kong,
down from almost 14% in 1991. The
decline in independents is explained, in
part, by slow processing time and. in part
perhaps, by the fact that well qualified
immigrants can apply in other classes just
as easily as in the independent class. [See
p. 8 for statistics on Regional Variations
in Hong Kong Immigration.]

Ben Eng: PC Nominee 11

Winnie Ng: NDP Candidate 12

Raymond Chan: Liberal Candidate 13

Hong Kong and the US-China Most

Favoured Nation Issue 13

Canada and Hong Kong Sign

Environment Agreement 14

The Fallot Hong Kong 14

CCCHK Selects New Executive Director 14

The Right Connection: Government of

Ontario Office in Hong Kong 15

Canadian Business Award 15

Publishing in Cantonese 15

Comparisons Between Hong Kong and

Canadian University Women 16

Vancouver Hong Kong Forum Society 18

Seminar on Political Reform in Hong Kong 18

"Passages to Canada" 19

Briefing on Hong Kong Budget 1993 19

Cantonese Telephone Info Service in Toronto 20

HK Christian Leader Visits Toronto 20

Death of Silvia Leung 20

CANADA AND

HONG KONG UPDATE

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Janet A. Rubinoff

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Shum Kwok-cheung

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Hugh X. Tan

Ahn Truong

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Update, cont'd from page 1

Since the late 1970s, the government has
been under pressure from the public to upgrade
its social investment and provide better quality
service in areas related to people's livelihood.
In the days before there were any elections to
the legislature, such pressures could be dealt
with by means of minor concessions. Since
indirect elections to some of the seats in the
Legislative Council (Legco) were introduced in
1985 and direct elections in 1991, popular
demands could not be put off quite so easily.

While the elected legislators do not differ
significantly with the conservative fiscal princi-
ples of the government and do not advocate any
policy of deficit financing, they criticize the
government for taking excessive surpluses,
holding too large a reserve, and not spending
more public revenue on the welfare of the peo-
ple. This has been a recurrent and consensual
theme in each budget debate during the past
few years.

The PRC authorities, on the other hand,
have been labouring under different assump-
tions. Since at least 1983-84, during the Sino-
British negotiations in Beijing on the future of
Hong Kong, they seem to have assumed that
the British government would make off with
the till when they departed Hong Kong in 1997.
Hence, the Joint Declaration imposes restric-
tions on the sale of crown land, an important
source of Hong Kong government revenue, and
stipulates that the proceeds from such sales be
shared between the pre- and post- 1997 Hong
Kong governments. They appear to favour as
large a reserve as possible to give the post- 1997
rulers of Hong Kong a comfortable financial
cushion.

In the early 1990s, when the new airport
project became entangled in Sino-British dis-
agreements, Beijing's suspicions about British
intentions with Hong Kong's money again
came to the surface. It was hoped that the
Memorandum of Understanding (1991)
between the prime ministers of the two
sovereign powers would resolve the disagree-
ments and allow the project to proceed. The
MOU fixed the minimum amount of financial
reserves (HK$25 billion or CDN$6 billion) that
the pre- 1 997 Hong Kong government had to
hand over to its post- 1997 successor.

Social Programmes

The Communist leaders of the PRC were
not alone in showing concern about how Hong
Kong taxpayers' money should be spent. When
the Basic Law was being drafted ( 1986-90).
many of Beijing's allies among ultra-conserva-
tive business leaders in Hong Kong vehemently

attacked many social programmes put in place
by British colonial administrators since the
1970s and demanded clauses against a "free
lunch" in the Basic Law. Such sentiments did
not represent the consensus in Hong Kong, not
even within business circles. Nevertheless, many
of these provisions were adopted by the Beijing
drafters and written into the mini-constitution.

Given such a backdrop, it should not be sur-
prising that Governor Chris Patten's proposals
to improve social programmes, which were put
into operational terms in the latest government
budget, should come under attack from the
North.

1993 Hong Kong Budget

Financial Secretary Hamish Macleod, in his
Hong Kong Budget 1993-94 tabled in the
Legislative Council on March 3, reported a 5%
real growth of the GDP in 1992, with unem-
ployment at around 2% and inflation at 9.4%.
The government surplus was estimated to be
around HKS20 billion (CDNS3.2 billion). He
forecast comparable rates of GDP growth and
inflation in 1993, and expected the GDP per
capita to reach HK$146,700 (US$18,800 or
CDN$23,660) by the end of the year, surpass-
ing that of Britain.

On the basis of this forecast, the govern-
ment proposed to cut taxes and increase social
spending. The maximum rate of salary tax
would remain at 15%, but there would be
increases in the personal allowances, dependent
child and dependent aged parent allowances,
and widening of tax bands. Billions of dollars
would be spent on new programmes, or specific
improvements of existing programmes, in edu-
cation, housing, environmental protection,
health and welfare, sports and performing arts,
trade and industry, tourism, and highways.
Total government expenditure would amount to
HK$ 132.5 billion (CDNS21 billion), an
increase of HKS17.4 billion over that of 1992-
93. Many of the new programmes, it should be
noted, do not commit the government to long-
term recurrent expenditures.

Even with the increased spending, which is
expected to leave a budget deficit of HKS3.4
billion for 1993-94 (to be taken from the
reserves), total public expenditure would repre-
sent only 18.5% of GDP. The government
remains a small spender by international stan-
dards, and it is committed to maintaining
reserves well above the minimum level
required in the Memorandum of Understanding.

The tax cuts and improvements in social
programmes were generally well received in
the community, although there has been con-

2 UPDATE

rem in some quarters aboul the unaccustomed
practice of dipping into the sa\ ings account.
Specific provisions in the budget, however,
attracted considerable criticism from various
quarters, particularly with regard to the mecha-
nisms, if not the amounts, of expenditure on
housing, job training, welfare allotments, and
soon.

Nevertheless, legislators agreed that this was
a much better budget than in previous years,
even though many of them remained dissatis
fied. On March 3 1 . the last day before the new
financial year, the budget was passed, without
significant change, by the Legislative Council.
It was supported by the more moderate conser-
vative members (mostly appointed) arid
opposed by one elected member, while the
largest bloc of elected members, the pro-
democracy United Democrats of Hong Kong,
abstained. Ironically, this is diametrically oppo-
site to the positions of the various blocs on
Patten*s other proposal, the one on constitution-
al reforms.

The harshest and most categorical attack on
the budget came from the North. Intermittently
since October, the New China News Agency
and the Hong Kong and Macau Office of the
State Council have been accusing Patten of cur-
rying favour with the people of Hong Kong by-
mortgaging the future of the post- 1997 govern-
ment, of Western-style pork barrel politics, and
of spending Hong Kong money to benefit
Britain. The latest attack came in the form of a
seminar paper by two senior policy analysts in
the State Council in Beijing. Delivered at a con-
ference on the Hong Kong-Macau economy
held in early April, the paper accuses Patten and
Macleod of fiscal irresponsibility and inducing
inflation.

The budget is a strictly domestic matter and
does not straddle 1997. However much Chinese
leaders in Beijing may dislike it, they could not
stop the popular measures from being adopted in
Hong Kong. Thus, Patten has been able to live
up to this promise without too much difficulty,
but not so with the constitutional proposals.

Political Reforms

Beijing's heavy handed and vociferous
opposition to Patten's proposals for limited
increases to popular representation in the Hong
Kong legislature has made headlines around the
world several times during the past five months.
It is well covered elsewhere in this issue of the
Update (see pp. 4-7) and need not be detailed
here. However, it may be useful to explain some
of the jargon, mostly coined in the PRC. which
has been used quite extensively in the debate.

Since the earliest stages of the Sino-British
negotiations in 1982, Beijing has consistently
rejected the "three-legged stool" i.e.. talks
between three parties: China. Britain, and
Hong Kong. They have insisted that any nego-
tiations must be between the two sovereign
powers onlj and that Hong Kong people must
not be allowed a voice at the table or a say
after the deal is struck. That position has been
maintained even after legislative polls have
produced popularly elected representatives of
the people of Hong Kong. Indeed, it has been
reinforced, not least because most of the elect-
ed legislators have condemned the Tiananmen
massacre. Hence. Beijing's refusal to recog-
nize the Legislative Council (Legco), to allow
ethnic Chinese officials of the Hong Kong
government to participate in formal negotia-
tions, or permit Legco to have a real vote after
any Sino-British negotiation on Patten's pro-
posals. Such refusals have stalled the suggest-
ed talks.

After the Sino-British Joint Declaration on
the future of Hong Kong was concluded in
1985 and when the transition period for the
handing over of sovereign authority from
Britain to China began, it became apparent to
all concerned parties that in the interest of con-
tinuity and stability, it w ould be beneficial for
the legislature, if not the executive, of Hong
Kong to straddle 1997. This is the idea of the
"through train." which would allow legislators
elected in 1995 to continue to serve until 1999.
albeit in an assembly under a different consti-
tution (i.e.. the Basic Law). The "through
train" w ould be acceptable to PRC authorities,
so long as elected legislators that they disliked
could not remain aboard. Indeed, if the British
authorities would only cooperate in the name
of continuity to disqualify certain types of per-
sons from running for the Legislative Council
in 1995, the issue could be used to install a
legislature entirely to Beijing's liking, two
years before the transfer of sovereignty.

Continuity and stability are favoured by
community consensus, across political lines,
but not at any cost. Where the British were
concerned, many senior officials had been pre-
pared to comply with Beijing's wishes to the
extent of restricting democratic development
in Hong Kong. However, they were not ready-
to go further and dismantle the rule of law by,
say, disbanding legally incorporated pro-
democracy groups. They were also wary of the
political risk of disenfranchising popular
groups and leaders that enjoyed broad, if
loosely organized, support in the community.

So the issue oi the "ihrough train" remained
fuzzy, Beijing was hopeful, before Patten
appeared on the scene, that certain British offi-
cials would work to gerrymander the 1995 elec-
tions to gel rid of pro-democracy groups like
the 1 nited Democrats of Hong Kong. 'ITiat was
part of the reason why electoral provisions for
1995-97 were left vague in the Basic law and
subsequent Sino-British discussions on the
"through train."

What Chris Patten has done is to propose to
till in that grey area in a way that is contrary to
Beijing's expectation of complete control.
Under the Basic Law, the post- 1997 chief exec-
utive, as well as substantial portions of the leg-
islature, would be appointed, directly or indi-
rectly, by Beijing. Even if all of Patten's propos-
als were realized, there would only be a viable
opposition in the legislature, never a popularly
elected government.

However, experience since the first legisla-
tive elections has shown, as in the case of the
government budget, that even a democratic
minority bloc in the legislature, with no
prospect of gaining pow er. could open up the
political process very considerably to public
scrutiny and influences of the popular will.
This. Beijing and its ultra-conservative allies in
Hong Kong clearly do not want.

If there is to be no "through train." Beijing
w ould set up a "second stove" (distinct from the
"British stove") to cook the feast of the transfer
of sovereignty. This again is an idea that has
been discussed for years. It means for a
preparatory committee to be set up one or tw o
years before 1997, to hold consultations and
elections that would produce the office holders
of the post- 1997 government. The committee
would likely consist of a few hundred members
appointed by Beijing, some from Hong Kong
and some from the PRC. and would meet and
operate in China.

During the current squabble, the "second
stove" was first brought up as a possible last
resort by Beijing officials in October. However,
they have remained non-committal, at least in
public. In recent months, the most vocal propo-
nents for an immediate set up of a "second
stove" have been pro-Beijing elements in Hong
Kong who. in spite of high personal profiles,
would enjoy little access to power in a
"through train" arrangement. Most other politi-
cally active persons in Hong Kong or in the
PRC, of whatever political stnpe. remain cau-
tious about the idea.

During the last week of March, the National
People's Congress, then in session in Beijing,
adopted a resolution to set up the mechanism to
Update, cont'd page 4

UPDATE 3

Update, cont'd from page 3

appoint a committee to prepare for the transfer
of sovereignty over Hong Kong. However, the
resolution was couched in very vague and gen-
eral terms, and the details were left to be decided
bj the Standing Committee of the Congress (i.e.,
the parliament of the PRC). While this might
mean that the first step has been taken towards a
"second stove," it could also be no more than a
gesture to keep alive the threat of such a move.
It is a far cry from any "shadow government."

Meanwhile, the New China News Agency
and the Hong Kong and Macau Office, two
PRC authorities that do not always see eye to
eye, jointly appointed a second group of Hong
Kong Affairs Advisers, and promised that there
would be more appointments to come. (The first
group were appointed last year.) The two groups
total nearly a hundred prominent individuals
from different walks of life in Hong Kong.
Some one-third of them are big business, and
none has spoken out in support of greater
democracy in Hong Kong. The appointments
are part of the united front strategy of the
Chinese Communist Party and have been criti-
cized in the community as grossly unrepresenta-
tive. It is unclear on what the Advisers are sup-
posed to advise, or how their opinions would be
channelled or received. However, if there is to
be a "second stove," the Advisers could well
form the more open and public part of it.

In spite of the political fireworks, life goes
on. The stock market continues to trade in

healthy volumes day after day, and the Hang
Seng Index has regained all the lost ground
since its precipitous fall in the early winter. The
quality of life for many people would improve
somewhat under the new budget. For all the flak
from the North. Patten's constitutional proposals
still have more supporters than opponents in the
community, including business people. For
instance, one of the most respected figures in the
business community, Mr. Lam Hang-chi, editor
of the Chinese-language daily newspaper. The
Hong Kong Economic Journal (the Shun Po
Daily News), in an intermittent series of leading
articles since October, has been very consistent
in expressing his support for the proposals. He
sees these changes as the last chance to maintain
Hong Kong's institutional viability and to realize
the "one country, two systems" formula.

While some pro-Beijing elements have been
advocating radical moves like mass demonstra-
tions in Hong Kong against Patten, such sugges-
tions have not been endorsed by the PRC
authorities or by the most prominent pro-Beijing
Hong Kong politicians. The latter do not want to
take any de-stabilizing actions and also might
not be very sure of their own mass support. On
the other side of the spectrum, pro-democracy
groups also refrain from demonstrations for fear
of provoking Beijing or of being disrupted by
agents provocateurs. So the dispute remains a
verbal one.

By early April, the UK, US. and Canadian
governments had all reiterated their support for
Patten's constitutional proposals. Patten himself,
was in Europe and Britain for discussions and
spelled out three conditions for talks with the
PRC: 1 ) that Beijing must not just attack his
proposals but must make counter-proposals;
2 ) that the arrangements for the 1 995 elections
must be fain and 3 ) that any "through train" ar-
rangement must not eject any of its passengers.

The consensus of the community is clearly in
favour of renewed negotiations between China
and Britain to resolve the differences, although
most Hong Kong people would find it difficult
to stomach another secret deal about their future
in which they would have no say. It remains to
be seen whether the constitutional proposals,
gazetted in March despite PRC objections, will
be tabled in the Legislative Council in late April
or early May.

At press time, the UK
and PRC governments
announced they will begin
negotiations, starting
April 22, on arrangements
for Hong Kong's 1994 and
1995 elections.

Political Row Over Patten's Reforms

Since Governor Chris Patten advanced his
political reforms package in his policy speech
7 October 1992, China launched a series of
attacks that recently have become even more
vituperative. By threatening to refuse to hon-
our contracts after 1997 that were not made
with PRC approval, China has also carried its
political dispute with Britain into the eco-
nomic arena. Beijing's strategy towards these
constitutional reforms appears to place politi-
cal concerns at the top of its agenda, even
though these threats may harm the confidence
and economic development of Hong Kong.

On 27 November 1992, the Chinese senior
representative on the Joint Liaison Group
(JLG). Gou Fengmin. delivered a stern warn-
ing that China might not honour the contract
for developing Container Terminal Nine
(CT9) after 1997 because it had not been put

fry Shum Kwok-cheung

Hong Kong

to the JLG for discussion. Three days later
the Chinese State Council's Hong Kong and
Macau Affairs Office raised the Sino-British
dispute to a new intensity by issuing a hard-
line statement that the validity of all con-
tracts, leases, and agreements signed or rati-
fied by the British Hong Kong administration
without China's approval would not be hon-
oured after 30 June 1997. This stern warning
was China's attempt to transform the continu-
ing war of words into action.

On December 1 8 the New China News
Agency in Beijing publicly accused the
Jardine Group of unscrupulously making
money in Hong Kong and China and using
methods to pursue secret political ends by
disturbing prosperity and stability in Hong
Kong during the transitional period. This
move was seen by the Hong Kong press as

China's warning to those British firms which
supported Patten's political reform package.
During an interview with a Hong Kong tele-
vision station on 3 January 1993, Lu Ping,
director of the Hong Kong and Macau Affairs
Office, threatened to set up a consultative
committee to advise Beijing on transitional
matters. Such a body was regarded as a
"shadow government," and it would hamper
the authority of the Hong Kong government.
However, there has been considerable crit-
icism of China's hardline position by Hong
Kong's legal professionals. Prof. Raymond
Wacks. head of Hong Kong University's
Faculty of Law, pointed out that China's
threat to invalidate contracts and agreements
after 1997 would probably violate Article 160
of the Basic Law. It stipulates that, "Docu-
ments, certificates, contracts, and rights and

4 UPDATE

obligations valid under the laws previously in
force in Hong Kong shall continue to be valid
and recognized and protected by the Hong
Kong Special Administrative Region, provid-
ed the> do not contravene this Law" [South
( luihi Morning Post (SCMP). 1 December
1992). Moreover, the influential Hong Kong
Bar Association issued a comment refuting
the PRC statement on the validity of contracts
and agreements spanning 1997. including
CT9 (Container Terminal). The Association
argued that since the land required for CT9
construction was already approved and grant-
ed by the Sino-British Land Commission,
China's threats amounted to an abuse of the
concept of sovereignty and a contradiction of
the letter and spirit of the Joint Declaration
[SCMP. 23 December 1992].

Nevertheless, Beijing's continued attacks
against Patten's proposals have sapped Hong
Kong's economy and confidence. For exam-
ple, on 4 December, in response to the con-
fused political situation, the Hang Seng index
dropped to 4.978, down 433 points. This was
the most serious fall in its three-week collapse
from 12 November 1992 when the index
reached a high of 6.447. During that period,
the panic "crash" of the stock market wiped
more than HKS300 billion off share prices.

Opinion surveys in late December also
showed that the confidence of Hong Kong
people had deteriorated largely because of
Sino-British political tensions. An annual
outlook survey for Hong Kong Standard indi-
cated that confidence in the future of Hong
Kong reached its lowest since 1989. Only
15% of 545 respondents expected to be better
off in 1993, significantly lower than the 20%
at the end of 1989, six months after the June
4 Tiananmen crackdown. These results com-
pared with 28% in 1991, 22% in 1990, and
31% in 1988.

Another poll was conducted by Survey
Research Hong Kong for the South China
Morning Post and Ming Pao. This tri-month-
ly survey, conducted since 1984, indicated
the economic and political confidence index
had plummeted to its lowest point in a year.
The number of people expressing confidence
in the territory's future declined to 67% from
76% in the previous survey, three months
earlier. There was a split of opinion over
people's preferences for more democracy at
the expense of the territory's stability and
prosperity.

As public opinion on Patten's constitu-
tional proposals fluctuated, there was also
some controversy about the results of various
polls. In general, due to Beijing's vociferous
opposition, public support of Patten declined
during November and December, from a high
point after his policy speech on October 7.
From January to February, the decline stabi-
lized and public support for Patten's propos-
als began to increase. [See Table 1 and 3.]

Table 1: Should political reforms go ahead even
if there is no through train?

Date

Oct. 8 Nov.2 Dec.23

Yes
No

Unsure

56% 34% 34%
19% 48% 49%
25% 18% 17%

Source: HK Polling and Business Research for SCMP

Table 2: Satisfaction with Governor's Policy
Speech

Date

7-8 10-11 15-16 19-20 1-2
Oct. Nov. Dec. Jan. Feb.

Satisfied 33.5% 39.8% 30.5% 29.9% 31.1%

Neutral 6.2% 6.0% 9.6% 9.6% 10.0%

Dissatisfied 3.9% 8.8% 20.8% 15.1% 13.1%

Don't Know 56.4% 45.5% 39.1% 45.5% 45.9%

Source: Social Research Centre. Univ. of Hong Kong
Table 3. Popularity of Patten Rating

Date

7-8
Oct.

10-11
Nov.

15-16
Dec.

19-20
Jan.

1-2
Feb.

Rating

65.5%

64.1%

53.3%

56.9%

58.4%

Source: Social Research Centre. Univ. of Hong Kong

However, despite pressure from China
and fluctuating public opinion. Patten
retained the support of the Legislative
Council (Legco). On November 1 1 Legco
voted 32 to 21 in favour of a motion to sup-
port Patten's political package. The Finance
Committee of Legco voted 27-25 on
November 27 to permit the Government's $9
billion airport site preparation contract to go
forward, despite China's threat not to honour
the contract before an agreement on the over-
all financing of the airport plan was secured.
On 13 January 1993, Legco voted 35 to 2,
with 1 5 abstentions, against the motion by
pro-China legislator. Philip Wong Yu-hong.
urging the Government not to introduce
Patten's constitutional package.

Some political observers in Hong Kong
attribute China's obstinate attitude towards
Patten's relatively mild reforms to Beijing's
"conspiracy theory." PRC leaders regard
Patten's democratization proposals as a care-
fully planned strategy devised by Western

capitalist societies - the so-called "anti-China
chorus" - to exert pressure on China, using
Hong Kong as a potential bridgehead.

In this vein. Lu Ping argued that there had
been length) consultations with Britain
before an agreement was reached and the
Basic Law approved by China's National
People's Congress. The sudden change in
British policy was nothing more than "setting
a trap" for China. Thus. Mr. Lu stressed,
"The crux of the matter was not whether one
wanted democracy or not but whether one
needed to keep one's word" [SCMP. 23
December 1992, p. 1]. Chinese leaders reiter-
ated that the only solution to this dispute is
for Hong Kong and British authorities to
return to the track of agreements already
reached by China and the U.K.

Although China's position is understand-
able, Beijing has neglected the fact that Hong
Kong people are eager to gain more democra-
cy and feel that the Basic law is too conserva-
tive. There is the possibility that China's hard
stance may defeat Patten's proposals. Even
though Hong Kong people may eventually
accept this reality, in the long run the rela-
tionship between China and Hong Kong will
deteriorate. In fact, allowing some democrat-
ic reforms in the territory would enhance the
confidence of Hong Kong's residents and
improve the relationship between China and
the territory.

The political tension surrounding Patten's
political reform package became even more
complicated and sensitive in February and
March. February, in particular, was a critical
period for the Sino-British dispute since
Governor Patten had made a pledge to draft
legislation and publish his proposals for pub-
lic consideration by the end of the month.
However, while the Executive Council
(Exco) had approved Patten's reform propos-
als on February 9, there was grow ing specu-
lation that talks would resume between China
and Britain.

Amid grow ing calls to delay the legisla-
ture's debate over the political reform bill,
Exco decided to postpone its publication.
This move was seen as a concession to China
in hopes that Sino-British talks might soon
resume and help break the impasse. On
March 1 1 . Britain and China came to a final
showdown since Patten indicated it was
impossible to delay further the gazetting of
the bill for his political package. It had
already been deferred four times from his

Political Row. cont'd page 6

UPDATE 5

Political Row, cont'd from page 5

pledged date of publication in order to facili-
tate the resumption of discussions. However,
since neither side could reach a compromise,
hopes of immediate talks were shattered. On
the following day, March 12, Patten decided
to gazette his constitutional reform bill with-
out China's blessing.

Beijing's response was immediate and
furious. At the opening of the National
People's Congress, Chinese Premier Li Peng
severely attacked Patten's decision to publish
the bill. This was the first time a Chinese pre-
mier had publicly criticized the British
Government in his work report. At a press
conference, Lu Ping declared that Patten
would be condemned in Hong Kong's history
as "a man of guilt," and he announced
Beijing would have to make its own arrange-
ment for the post- 1997 government and legis-
lature, the so-called "second stove." The
British Government reiterated its support of
Governor Patten and complained that China's
stance was "too tough."

Public opinion in Hong Kong was further
divided in March over the failure of the
resumplion of Sino-British talks. Recent sur-
veys demonstrate the increasing prevalence
of mixed feelings and even cynicism among
Hong Kong people. According to a poll com-
missioned by the South China Morning Post,
35.3% of respondents supported Patten's

decision to publish his electoral reform bill,
while 32.8% opposed and 3 1 .8% were unde-
cided [SCMP, 20 March 1993]. When asked
which side should make the first concession.
27.4% opted for Governor Patten. 2 1 .9% for
China, and 29.9% for both sides. However, it
was clear that Hong Kong people did not
want secret talks - with 68.15% against and
only 1 5.7% in favour.

By the end of March the gap between
opinions pro and con Patten's reforms was
significantly closer. A survey, conducted by
the Social Sciences Research Centre of Hong
Kong University, indicated that only 26.8%
of respondents supported Patten's proposals
while 18.6% were opposed. His margin of
support had been reduced to 8.2%, the nar-
rowest ever reported since December of last
year (see Table 4).

Both China and Britain accused each
other of insincerity. Neither side appeared
able to offer concessions that would allow
talks to proceed. This situation reflected fun-
damental cleavages between China and
Britain which made any concessions difficult.
For Beijing, a prerequisite for resuming talks
was Patten's suspension of publication of the
bill and the withdrawal of his political
reforms.

Table 4:

Support for Reform Package (%)

Date

8-10 Dec.

28-30 Dec.

11-12 Jan.

27-28 Jan.

8-10 Feb.

8 Mar.

24-25 Mar.

Support

35.9

36.0

29.4

38.5

33.2

37.8

26.8

Oppose

2d')

20.0

17.9

14.4

15.6

14.9

18.6

Margin*

15

16

11.5

24 1

17.6

22.9

8.2

*Bet. Support-Oppose

Source: Compiled from information supplied by Public Opinion Programme (POP).

Social Sciences Research Centre, University of Hong Kong

On his part. Governor Patten appeared to
have no choice because to have delayed the
bill further without any clear commitment
from China on resuming negotiations would
have undermined his credibility and authority
to govern Hong Kong for the rest of his
tenure. Therefore, the British Government
insisted that there should be no prerequisite
for the resumption of talks.

The role of Legco in preparing the 1994-
95 electoral plans also emerged as a stum-
bling block to Sino-British negotiations.
China outright rejected the "three-legged
stool" arrangement - that the Hong Kong leg-
islature be allowed a say on matters in con-
junction with the two sovereign powers.
Beijing maintained that only China and
Britain and no other third party should decide
on the political reforms. Britain insisted that
to prohibit Legco participation was unpalat-
able as any matters involving the legislative
process would require the approval of the
Hong Kong Legislative Council.

China also strongly opposed any Hong
Kong officials, especially Patten, as formal
team members. However, for the British, by-
passing the Hong Kong government would
violate conventional arrangements since the
Joint Declaration - that any talks involving
the territory's affairs would include Hong
Kong officials. China's reluctance to allow
Hong Kong representation on the British
negotiating team was the immediate reason
for the failure to resume discussions.

Although Britain maintains that the "door
is still open." the government is not opti-
mistic that talks will soon resume because of
these fundamental differences. Nevertheless,
the post-transition period will be very diffi-
cult for Hong Kong without Sino-British
cooperation.

Joe Clark Addresses Canadian Chamber of Commerce in Hong Kong

On March 30. Constitutional Affairs
Minister and former Prime Minister, the Rt.
Hon. Joe Clark addressed the Canadian
Chamber of Commerce in Hong Kong on the
topic, "Canada, China, and Hong Kong." In
his luncheon address, Clark stressed that sup-
port for Governor Chris Patten's constitutional
reform proposals "is the key to prosperity" in
Hong Kong. He maintained that Canada wants
the territory to remain an "open society after
its return to Chinese sovereignty in 1997"
[Toronto Star, 31 March 1993, p. 16].

His speech outlined Canada's political and
economic interests in China and Hong Kong.
With regard to the Sino-British dispute over
democratic reforms, he stressed, "We
are. ..interested in Hong Kong, China and
Britain working out among themselves an
agreed arrangement for a smooth transition in
1997, one that keeps Hong Kong's prosperity
and identity and stability."

Clark visited Hong Kong after a week's
stay in China where he met with leaders in
Beijing, including Prime Minister Li Peng.
Clark is the most senior Canadian government

official to visit China since the June 4th
Tianamen massacre. He also attended the
Williamsburg Conference, sponsored by the
Asia Society, in the southern Chinese city of
Zhongshan. Mr. Clark met with Governor
Patten in Hong Kong and discussed Canada's
views on the future of the territory and his
recent talks with PRC leaders.

Apart from Mr. Clark, Minister of External
Affairs Barbara McDougal also had planned a
visit to Hong Kong in early March. However,
the trip was cancelled after Prime Minister
Brian Mulronery announced his resignation.

6 UPDATE

Beijing Update

by Christina Mungan
Beijing

As evinced in the official Chinese press
(the China Daily and People's Daily), rela-
tions between the Chinese and Hong Kong
governments remained frosty this winter,
with few signs of a "thaw" this spring. From
November through March, press coverage of
the constitutional proposals of Governor
Chris Patten was very hostile. The proposals
to develop Hong Kong's representative insti-
tutions were portrayed in the Chinese media
as a wanton rejection of the Basic Law and a
scheme to build up Patten's personal reputa-
tion at the expense of the economic stability.
unity, and lasting happiness of Hong Kong.

However, the seeming intransigence with
which officials at every level of the Chinese
government announced that they would not
discuss the matter until Patten renounced his
"antagonistic attitude" [China Daily. Dec.
12] covered real shifts in approach. A low
was reached in early December when
Beijing threatened to repudiate after 1 997
not only any changes to the Basic Law but
also any debts or business contracts under-
taken by the Hong Kong Government, with-
out China's approval. The latter was in
response to the "unilateral" award in
November of contracts related to Hong
Kong's new airport construction.

The day after condemning the awards,
both the People's Daily and China Daily
warned on December 1 that "Britain's
administrative power over Hong Kong will
terminate on June 30, 1997." Lest readers
miss the point, the articles continued: "con-
tracts, leases and agreements signed and rat-
ified by the Hong Kong British Government
that are not approved by the Chinese side
will be invalid after June 30, 1997."

While the press invective over airport
contracts subsided, less than two weeks later
China Daily - though not the People's Daily
- suggested that the Basic Law, like the air-
port and container port-related contracts,
might simply be repudiated after 1997. On
its front page, 1 1 December 1992, China

Daily warned, "If the British Government is
bent on its own way by refusing to return to
consultation and co-operation as stipulated
in the Joint Declaration, then China will
have no alternative but start (sic) all over
again after 1997." In an otherwise identical
article, this line did not appear in the
People's Daily

At the same time, what the Chinese
media did not report revealed almost as
much about the government's attitude. The
press failed to mention that Beijing was
stonewalling Patten's requests to return to
negotiations or offer alternative proposals.
In fact. Chinese readers, relying solely on
the official press, would have had no idea
what points of the Basic Law Patten pro-
posed to clarify by his democratic reforms.

After early December however, the
Chinese Government adopted a different
tactic, and the carrot replaced the stick in
Beijing's press campaign against the propos-
als. A succession of articles emphasized
Hong Kong's narrow escape from a world-
wide recession thanks to its "gradual eco-
nomic integration with the Chinese main-
land [China Daily. Jan. 6 & Feb. 12]. The
head of the New China News Agency in
Hong Kong and Singapore leader Lee Kuan
Yew were quoted as saying that a stable
business climate would benefit Hong
Kongers more that the illusory promises
held out by Patten with his "ulterior
motives."

By the end of February, China had also
adopted a more conciliatory approach on
other matters. The Government compro-
mised on a sore point with Hong Kong trav-
ellers and eliminated its new random AIDS
testing at the border. On March 5. Beijing
even seemed to back down from the earlier
demand that Patten drop his political pro-
posals before talks could resume.

In a front page story in the People's
Daily. Li Peng told representatives of Hong
Kong's General Chamber of Commerce.

"Even though the Hong Kong governor's
political reform plan brought about difficul-
ties for Sino-British co-operation ... the
Chinese side holds that the two sides should
'sit down and talk.'" In another article the
same day in China Daily, a Foreign Ministry
spokesman "declined to comment on specu-
lations that China is negotiating with
Britain" over Patten's package but added
that "China always calls for consultation and
co-operation between the two sides."

The next day. along with other cheery
news for the Olympic Inquiry Committee
due to arrive in Beijing, a small article on
the front page of China Daily quoted Patten
informing Legco that "exchanges" in
Beijing had already resolved most points of
dispute in preparation for formal Sino-
British talks. The People's Daily never con-
firmed that any exchanges had occurred,
which might have been enough in itself to
warn of a chill blast to come.

Two days later China's major newspapers
renewed attack on Hong Kong's airport pro-
ject. On March 14 and 15, the People's
Daily and China Daily, respectively, devoted
nearly a full page - out of only eight pages
available - to lambasting Patten for demand-
ing the inclusion of Hong Kong officials in
any Sino-British talks.

In one memorable phrasing, when Patten
decided to publish his reform package over
Chinese protest, the China Daily [March 16]
denounced the move as indicating "that the
British side is without sincerity in approach-
ing the talks on the issue, prompting people
to question its creditability [sic] in its hon-
ouring of international commitments."
Ironically, three days later it was the Chinese
who warned that Sino-British trade links
might be imperiled by the dispute. As March
drew to a close, the National People's
Congress made a point of reiterating opposi-
tion to Patten's proposals on a daily basis,
and improved relations with Britain seemed
a more distant prospect than ever.

UPDATE 7

Regional Variations in Hong Kong Immigration

When potential immigrants apply to come to Canada, they state
their intended destination in Canada. Immigrants who are accepted are
not required to stay in the stated destination after they arrive, unless
their application is conditional on doing so, as with certain categories
of employment. This lack of a firm requirement means that the state-
ment of intended destination is not an absolutely accurate indication of
actual settlement. However, as the only indication immigrants give of
where they may settle, it is the best available figure for the distribution
of immigrants within Canada.

Over the past four years, the largest proportion of immigrants from
Hong Kong has been destined for Ontario, with the second place con-
sistently held by British Columbia:

by Diana Lary
UBC, Vancouver

immigration to Ontario. The slight decline in the proportion going to
Toronto is probably explained by a trend towards settlement in places
immediately adjacent to Metro Toronto.

There is an even more pronounced pattern of urban concentration
in British Columbia. In 1988,4,965 of 5,188 landings in British
Columbia were in Vancouver (95%); in 1989, 4,661 of 4,849 (96%);
and in 1990. 7,471 of 7,660 (97.5%). In 1991 the figures for
Vancouver were 6,054 (96%), and in 1992, 8,664, or 95%.

Permanent residents admitted from Hong Kong, by urban area

Major provincial destinations, immigrants CLPR Hong Kong

Ontario

B.C.

Quebec

1988

58%

22%

10%

1989

54%

24%

m

1990

55%

26%

9%

1991

51' ,

28%

8%

1992

47',

2591

8%

There has been a relative decline in the proportion of people intend-
ing to go to Ontario and a rise in the proportion going to Quebec, while
the proportions going to British Columbia and Alberta have been quite
stable.

Immigrants admitted from Hong Kong, by province'

1988

1989

1990

1991

1992

Alberta

2257

1623

2535

1830

2960

B.C.

5188

4849

7660

6309

9162

Manitoba

409

267

340

314

405

New Brunswick

33

41

39

52

70

Newfoundland

30

28

17

14

43

NWT

7

9

17

18

4

Nova Scotia

63

71

95

77

142

Ontario

13527

10812

16032

11222

16967

PEI

5

3

12

4

13

Quebec

1380

1912

1939

2310

5532

Saskatchewan

390

319

342

207

492

Yukon

4

1

7

Total

23293

19934

29029

22357

35797

The actual numbers involved tell a slightly different story. While the
numbers for Alberta. Manitoba, and Saskatchewan have stayed in rough-
ly the same range over the past five years, those for Ontario and British
Columbia have swung quite dramatically. The latter have been influ-
enced by the overall size of the migration in any particular year. The only
province with consistent growth in the numbers involved is Quebec.

Within each province, movement of immigrants is overwhelmingly
to the major cities. In 1 988, Toronto accounted for 87% of Hong Kong
immigrants to Ontario, in 1 989 and 1 990 for 86%. In 1 99 1 , 8, 1 97 of the
immigrants who landed in Ontario settled in Toronto, or 73%. In 1992
the parallel figures were: Toronto, 1 1 ,442, or 68% of all Hong Kong

' These statistics are supplied by the Immigration Statistics Division,
Employment and Immigration Canada. Slight variations in some of the
statistics published in earlier Updates reflect minor corrections.

1988

1989

1990

1991

1992

Calgary

1078

7411

302

780

1424

Edmonton

1055

791

2960

904

1274

Halifax

52

63

77

62

123

Montreal

1347

1837

1881

2224

5416

Ottawa

339

228

325

310

453

Quebec

2

15

18

15

14

Regina

188

140

161

89

263

Saskatoon

91

54

115

80

98

Toronto

11780

9329

13806

8197

11442

Vancouver

4965

4661

7471

6054

8664

Winnipeg

386

225

311

302

3X3

Other

2010

1850

2448

6224

11752

Patterns of immigration across the country vary quite strongly by
class of immigration. There are marked concentrations of certain class-
es of immigrants in different parts of the country. In 1 99 1 , Ontario was
the destination of 50% of all immigrants, but of 6 1 % of independent
immigrants, 63%- of family class immigrants, and 63% of assisted rela-
tives. In 1992 the province received 47% of all immigrants, but 53% of
independents, 64% of all family class, and 63% of assisted relatives. In
1991 Quebec attracted 10% of all immigrants and 25% of all business
class immigrants (entrepreneur, self-employed, and investor classes).
In 1992 the figures were 15% of all immigration and 30% of the busi-
ness class. British Columbia attracted a disproportionately large num-
ber of retirees: in 199 1 , 48% (as opposed to 28% of all immigration)
and in 1992, 45% (as opposed to 25% of total immigration.-'

In terms of the composition of the immigrant body within a single
province, there are also major variations between provinces. In 1991,
47% of Ontario's Hong Kong immigrants were in the family class, and
another 13% were assisted relatives, while only 16% were in the busi-
ness and 17% independents. In 1992 the parallel figures were 49% and
14%. with 17% in the business classes and 10% independents. In 1991.
69% of all Hong Kong immigrants to Quebec were in the business
classes and in 1992, 78%. British Columbia has a more even distribu-
tion. For 1991 the proportions were family class 29%. assisted relatives
8%, business classes 39%, and independent 7%. For 1992 the figures
were 31%- family class, 8% assisted relatives, 39% business classes,
and 5% independent.

The continuing decline of the independent class is a cause for con-
cern, since it is in this class above all that Canada hopes to find the tal-
ent for the future.

- The retiree class has already been eliminated. People arriving in Canada in
this class made their applications some time ago.

8 UPDATE

Immigration class by

province.

1991

FamiK C

Hiven

tesign

Assist

Entre-

Self-

Invest

Retired

Other

TOTAL

Class

Ref.

i lass

Rel

preneur

Empkn

Indep.

New lnuiuiland

2

4

3

5

14

PEI

1

1

2

4

Nova Scotia

21

9

37

5

(I

5

77

New Brunswick

13

1

3

12

t)

16

7

52

Quebec

243

5

4

61

1049

5(1

502

82

314

2310

Ontario

5246

7

21

1471

900

174

686

846

1871

11222

Manitoba

109

1

2

29

46

43

23

61

314

Saskatchewan

65

18

48

4

25

16

31

207

Alberta

805

1

10

247

223

8

103

150

283

1830

Northwest Terr.

7

1

5

5

18

B.C.

1828

3

5

477

1288

68

1105

1064

471

6309

Yukon

Prov. Not Statec

TOTAL

8340

17

43

2321

3608

304

2474

2197

3053

22357

Immigration class by

pro\

ince,

1992

Famil) Convert

design

Assist

Entre-

Self-

Invest.

Retired

Other

TOTAL

Class

Ref.

Class

Rel.

preneur

Employ.

Indep.

Newfoundland 24

9

10

43

PEI 5

4

1

3

13

Nova Scotia 37

10

40

9

35

3

8

142

New Brunswick 21

14

22

4

9

70

Quebec 302

1

79

2990

223

1119

174

643

5532

Ontario 8351

11

9

2311

1713

264

1208

1381

1719

16967

Manitoba 158

36

93

1

30

43

43

405

Saskatchewan 1 09

45

211

2

52

27

45

492

Alberta 1278

3

415

546

16

169

279

253

2960

Northwest Terr. 1

2

1

4

B.C 2808

2

734

1981

108

1487

1557

485

9162

Yukon 3

4

7

Prov. Not Stated

TOTAL 13097

17

13

3646

7604

623

4110

3468

3219

35797

Moratorium on Immigrant Investor Program in Manitoba

On 4 January the Manitoba government
placed a moratorium on provincial accep-
tance or processing of any offerings under the
federal Immigrant Investor Program (IIP).
Manitoba Industry, Trade and Tourism
Minister Eric Stefanson announced that this
action was taken following receipt of an inde-
pendent auditor's report calling for a clearer
definition of the roles and responsibilities of
the federal and provincial governments with
respect to the review, compliance, and moni-
toring of the program. The overall objective
of the provincial government's position is to
conduct a comprehensive review of the
investment offerings developed under the
program to ensure compliance and to deter-
mine the economic benefits accruing to the
Province.

Investment proposed by previously
approved syndicated funds which have met
their minimum capital requirements will still
be allowed. However, prior to an investment
being made, those proposals will be subject to
an independent evaluation retained by the
province at the expense of the proponent.
Upon resolution of the issues raised in the
auditor's report, the province will require a
similar independent evaluation from project
specific business venture proposals.

The province, in conducting its review of
economic merit, will also increase the empha-
sis on the financial analysis as well as assess-
ing the impact of the specific project proposal
on the respective industry sector. The firm of
Deloitte and Touche was hired to undertake
the program audit. Stefanson also stated that
Manitoba will begin discussions with the fed-
eral government aimed at resolving the fol-
lowing issues, raised by the auditor's report:

1 ) requiring offerings of immigrant investor
funds to come under the control of a fed-
eral regulatory authority;

2) placing responsibility for monitoring and
reviewing the promoters' reporting obliga-
tions with a federal regulatory authority;

3) expanding the program regulations and
guidelines to include the ability to apply
penalties directly against the promoters
for failure to comply with the guidelines;

4) extending the investor holding period for
syndicated funds from 5 years to 7-10
years or terminate the acceptance of syn-
dicated funds;

5) establishing program guidelines which
will require immigrant investor funds to
be maintained as trust funds throughout
the development of the project and the
investment period for a syndicated fund;

6) requiring full disclosure and capping
of financial benefits accruing to pro-
moters and developers in the offering
memorandum;

7) requiring promoters to provide an inde-
pendent verification by an auditor certify-
ing that the actual cost, promoters' and
developers' fees and any other related
costs incurred are in accordance with the
offering memorandum; and

8) requiring a minimum of 50% of individual
subscriptions to be sold before an offering
can proceed, with at least a 10% cash
deposit with the escrow agent and the
remainder supported by an irrevocable
bank letter of credit issued by an interna-
tionally recognized financial institution.

The IIP was introduced by Employment
and Immigration Canada (EIC) in January
1986 to attract successful and skilled business
persons who wish to immigrate to Canada
and invest their capital in Canadian business
ventures. The program was specifically
designed to be a new source of capital for
Canadian business ventures to benefit eco-
nomic development in Canada. Under the
program, immigrants are provided an oppor-
tunity to either invest in a specific business
venture or in a syndicate which, in turn,
invests in eligible businesses.

UPDATE 9

Political Participation of Chinese-Canadians in Toronto

Toronto's Chinese-Canadians have par-
ticipated in politics by organizing pressure
groups, contacting government officials,
and voting or running in local elections.
One such active pressure group in Toronto
is the Chinese Canadian National Council
for Equality [see Update, Spring 1991,
4:13J, which articulates the interests of seg-
ments of the Chinese community.

For example, the CCNC often demands
that the federal government redress the
issue of the head tax, which was imposed
on every Chinese immigrant from the 19th
to mid-20th century [Sing Tao, 19 January
1993, p. 7]. Recently, the Council lobbied
Employment and Immigration Canada and
urged the federal government to consult the
opinions of ethnic groups before the imple-
mentation of changes in policy proposals.
One such change generating Council con-
cern was the proposal that immigrant spous-
es who marry Canadian citizens or landed
immigrants return to their country of origin
in order to apply for landed status.

Contacting government officials at the
municipal level is another important form of
Chinese political participation. A good
example of this municipal involvement was
the recent February meeting between city
officials and shopkeepers from the Spadina/
Dundas Chinatown area. To alleviate refuse
problems, Chinese store owners urged gov-
ernment officials to consider collecting
garbage from Chinatown three days rather
than only two days per week.

Many Chinese-Canadians have also
actively participated in Toronto's elections
at the federal, provincial, municipal, and
school board levels. As the Chinese popula-
tion in Metro has grown considerably since
the late 1980s, these new eligible voters
have become the lobbying target of
Chinese-Canadian candidates in the forth-
coming federal elections.

To date, three candidates of Chinese
background have been nominated to run in
the next federal elections. With the retire-
ment of MP Dan Heap from political life,
his assistant Winnie Ng was nominated as
the New Democratic Party (NDP) candidate
in the Trinity-Spadina constituency, a
stronghold of the NDP in past federal elec-
tions. Since the party nomination, Winnie

by Sonny Lo
Toronto

Ng has been very active in campaigning for
support in the Chinese community.

Another Chinese-Canadian, Ben Eng,
recently received (March 23) the nomina-
tion of the Progressive Conservative Party
(PC) in Scarborough-Agincourt riding. He
is a 42-year old former sergeant in the
metropolitan police force for eleven years.
Since his decision to participate in the forth-
coming elections, many leaders in the
Chinese community have expressed their
support. However, Eng's affiliation with the
PC may be a liability as the Tory party is
unpopular among many electorates. It also
remains to be seen if Eng will be able to
mobilize the ethnic support of
Scarborough's Chinese community, whose
political awareness and orientations have
not been hitherto studied by researchers.

The third ethnic Chinese candidate is
David Lu, who was nominated February 1 1
by the NDP in the Don Valley North riding.
Lu immigrated to Canada as a refugee from
Vietnam in 1979 and is presently an advisor
in the municipal government's Labour
Consultation and Action Centre [Sing Tao,
12 February 1993, p. 2].

According to Lu. in September 1992
NDP headquarters encouraged members of
ethnic minorities to participate in future
federal elections. As a result, he wrote an
open letter to 200 NDP members in Don
Valley North, expressing his intention to
seek the party's nomination. In subsequent
letters to these party members, he outlined
his political platform, which includes oppo-
sition to the Free Trade Agreement between
Canada, the U.S., and Mexico; a demand
for the federal government to provide more
jobs for Canadians; and an increase in taxes
on large business enterprises.

Like the other two candidates, Lu has
appealed for support from the Chinese com-
munity. As an executive member of the
Vietnamese-Cambodia-Laos-Chinese
Services Organization of Ontario since
1983. Lu will secure the support of the
association's members in Toronto. The main
question is whether he can defeat his oppo-
nents by securing enough votes across eth-
nic lines in Don Valley North.

It is a significant phenomenon that more
Canadian Chinese in Toronto are actively

participating in the forthcoming federal
elections and that three candidates have
received their party nominations.
Regardless of their success in election to the
House of Commons, their participation has
already not only symbolized the integration
of Chinese-Canadians into mainstream
political life, but also marked an important
chapter in the political history of the
Chinese community in Toronto.

Several of the newly nominated Chinese-
Canadian candidates for federal elections
have connections with Hong Kong, so we
have featured interviews with some of
them: Ben Eng and Winnie Ng of the Metro
Toronto area and Raymond Chan of
Vancouver. Tommy Tao, who also came
from Hong Kong, is the NDP nominee from
Vancouver Quadra and will he interviewed
for the next issue.

Ben Eng

10 UPDATE

Ben Eng: PC Nominee for Scarborough-Agincourt

Ben Eng. a 42-year old former police
sergeant, was nominated March 23 as the
Tory candidate for the Scarborough-
Agincourt riding. Composed of diverse ethnic
groups, this suburban riding includes approxi-
mately 100,000 residents, about 20% of
whom are ethnic Chinese. 25% Anglo-
Canadian, and 55% other groups including
Greek. Afro-Canadian, and South Asian.
Many of the Chinese residents are recent
immigrants from Hong Kong.

Ben Eng is a well-known figure in
Toronto. As a member of the Metro Toronto
Police Force and Officer of the Year in 1 989.
he served with the Asian Crime Squad and in
the Public Affairs Department. Two years
ago, he made headlines over differences w ith
Susan Eng. Chair of the Police Services
Board, about the release of crime statistics by
ethnic background. He now heads a consult-
ing business, Falcon Filmworks and Multi
Eyes Student Sendees, which provides a cri-
sis intervention service for visa and immi-
grant students and their parents, many of
whom are from Hong Kong or Taiwan.

On March 26. Bernard Luk and I inter-
view ed Mr. Eng to discuss his background,
his position on various issues, and plans for
his upcoming election campaign and for his
riding. Asked about his platform. Ben
stressed his main concerns are the economy
and, what he terms, "social law and order."
By the latter, he means not only safety of the
community but concern with abuse of social
assistance programs, strengthening of the
refugee process, tightening criminal proce-
dures, and a focus on the responsibilities and
contributions of Canadian citizens to their
country. His perspective and experience as a
police officer has obviously influenced his
political positions.

In his nomination acceptance speech, Ben
emphasized that it is time for a "new style of
politics" and a new attitude by ordinary
Canadians. "We Canadians have to stop this
attitude of take, take take, and not putting
anything back in. This 'new attitude' must
not only reflect appreciating what we have
but also how we as individuals can contribute
to ensure that Canada remains ranked by the
United Nations as the best place in the
world."

In his campaign, he hopes to transfer his
integrity as a police officer to the political

by Janet A. Rubinqff

Toronto

arena and win back the trust of ordinary citi-
zens for their elected representatives.

Asked about his campaign strategies, Mr.
Eng stressed the importance of mobilization
of support and voter outreach. While there are
many recent immigrants in his riding, most of
these are already citizens but many are not
registered to vote. He sees a major challenge
in reaching these new citizens and encourag-
ing their involvement in the local political
process. Asked about plans for his constituen-
cy. Ben indicated that he favoured more par-
ticipatory democracy at the local level and
greater involvement of citizens. He plans to
set up a "constituency parliament." to provide
a forum for the discussion of local and
national issues.

In response to our question about his nom-
ination by the Progressive Conservatives, he
mentioned that he had been approached by
several parties, including the Liberals and the
Reform Party. His father. Hughes Eng, is an
active member of the provincial Liberal
Party. As Ben admits, it would have been an
easy route for him to run as a Liberal since
there was already an established Chinese
group, headed by former Ontario Minister of
Energy Bob Wong, within the party.
However, he felt his philosophical leanings
and political thinking were closer to the con-
servatives. He thus accepted the offer to run
as a PC candidate in Scarborough-Agincourt.

Asked about the issue of "tokenism" as an
ethnic Chinese candidate, he indicated that he
felt this was not a problem, though he had
been approached to oppose Winnie Ng in the
Trinity-Spadina riding. He prefers not to be
labelled an "ethnic candidate" and identifies
himself first and foremost as a Canadian.
However, he is aware of his Chinese roots
and feels that over the years he has forged an
identity based on "bi-culturalism," like many
other immigrants. He speaks Cantonese and
Toishanese (Pearl River Delta dialect) and
has also made the effort to learn Mandarin.

In response to a question on the possibility
of his "entrapment" by special political inter-
est groups within the Chinese community,
such as Taiwan or PRC proponents, he also
did not feel that would be a problem for his
candidacy. Regarding specific questions
about his position on issues related to the
Chinese community like the head tax, he
stressed that he did not support redress of the

head tax on an individual basis but did advo-
cate negotiations with the federal government
and the establishment of an endowment fund.
Concerning the issue of human rights in
China, he looks forward to hearing the posi-
tion of his Chinese constituency. In general.
he said that "we can't forget the lives at
Tiananmen." but at some point. "Canada also
had to increase its interaction with China."

Ben Eng feels that the number of Chinese-
Canadian candidates now running is an indi-
cation of the "political maturing of the
Chinese community," which has taken its
place in mainstream political life. It has been
twenty years since anyone of Chinese descent
served at the federal level. The newer wave
of Chinese and Hong Kong immigrants have
established themselves in Canada, and the
older Chinese community now has many con-
nections and is more centralized in its identi-
ty. Ben feels that people like himself. Bob
Wong, and Citizenship Judge. Gordon Chong
- who are of Chinese descent but grew up in
Canada, articulate a "westernized way," and
are integrated in mainstream Canadian life -
have a unique role to play as a bridge
between the older and newer Chinese-
Canadian communities.

Ben sees himself more in this role as a
bridge between cultures rather than an ethnic
Chinese candidate. As a Canadian-raised and
trained police officer for many years, he is
well known by the immigrant Chinese com-
munity.

In answer to a question about the possibil-
ity of an Anglo "backlash" against ethnic
candidates, Ben replied that it was more like-
ly to be a political, rather than ethnic, reaction
by voters against unpopular incumbents and
their policies. He felt the fact that both he as a
Tory and Winnie Ng (NDP) were running on
opposite sides would defuse the "Chinese-
ness" of any issue. Most Canadians are very
familiar w ith the Chinese community, and
people are basically comfortable with the suc-
cess of the Chinese. He concluded that how
much each candidate used or flaunted his
"Chineseness" or focused on singularly
Chinese concerns, like redress of the head
tax, was up to him/her. For his part. Ben
intends to keep his campaign centred on
Canadian issues, such as the economy and
law and order.

UPDATE 11

Winnie Ng: NDP Candidate for Trinity-Spadina

Ms. Ng, well-known in the community
for her work in the labour and anti-racism
movements, has been nominated to run as
the federal NDP candidate in the Trinity-
Spadina riding of Toronto. She replaces Dan
Heap, M.P. (NDP) who retires this year.
Encompassing the University of Toronto to
working class neighbourhoods, this down-
town riding is one of the most
linguistically and culturally diverse in the
city, including Chinese, Italian, Vietnamese
and Portuguese groups. Bernard Luk and I
interviewed Winnie Ng for this article on
March 30.

Though she was born and grew up in
Hong Kong, Ms. Ng is of Hokkien back-
ground. Her parents were originally from
Fujian province in China. She is fluent in
Cantonese, Mandarin and Hokkien, as well as
English and some French.

She first came to Canada in 1968 as a high
school visa student and spent two years in
Victoria, B.C. Graduating with a B.A. in
Sociology from McGill. she married and
came to Toronto in 1975. She landed her first
job in 1975 at University Settlement House
where she worked for two years and helped
establish the first English classes for immi-
grant workers. She later became the first
Chinese-Canadian union organizer with the
International Ladies Garment Workers Union.

As early as 1976, she and her husband
helped in the election campaigns of Dan
Heap, and she has been involved in local
NDP politics ever since.

In response to our question, "Do people
try to identify you as 'the Chinese candi-
date'," Winnie conceded that some do.
However, she emphasized that her support
also included the women's and labour move-
ments, in addition to her support from the
Chinese community. She mentioned the need
to make a broader appeal than Chinese votes
since her riding is so diverse.

Even the local Chinese community in her
riding is not homogeneous and includes both
old established residents and new immi-
grants. Many of the latter are not yet citizens;

Winnie Ng

the majority are from the PRC. rather than
Hong Kong, or ethnic Chinese from Vietnam.
Of the approximately 97,000 residents in the
riding, only about 20% of them are of
Chinese background.

As a member of the New Democratic
Party, Ng's political stance as a workers'
advocate is well known. She is also familiar
to the residents of the riding, from all ethnic
groups, since she has lived and worked in the
community for over 18 years.

We talked about the prospect of the
provincial NDP government being a liability
to her federal election campaign. Her
response was that her campaign emphasized
federal rather than provincial issues - particu-
larly, economic issues like opposition to the
North American Free Trade Agreement
(NAFTA) and its effect on Canadian jobs.
Her campaign motto is "jobs and justice."

She admitted the election could be very
close and would basically be a two-way race
between Liberal and NDP candidates.
Trinity-Spadina was traditionally a Liberal
riding until Dan Heap won by a narrow mar-
gin in 1981. Since then the elections for MP
have always been close.

Questioned about how conservative-liber-
al splits within the Chinese community might

affect her campaign, Ms. Ng hopes to recon-
cile some of these differences by staying
above local disputes within the community.
Regarding the head tax issue, she supports
government redress to the individual victims
of this tax, in addition to the establishment of
an endowment fund for the community as a
whole. She feels it is important for the gov-
ernment to negotiate with the victims as a
gesture of good will.

As a Canadian candidate. Ms. Ng does not
see herself becoming embroiled in Taiwan-
PRC political issues. She strongly supports a
development model which respects human
rights and democracy - not just for Taiwan or
China but for all areas of the world. An
admirable part of Canadian identity is the
country's current position on human rights.
She feels Canada's emphasis on basic human
rights should be extended not only externally
to include its relations with the Third World
but also internally to improve conditions for
Native Canadians.

From the issue of human rights, we asked
about how she would chart the course of
racism in Canada, its rise and decline. Winnie
answered that there had been some definite
progress against more blatant forms of dis-
crimination, especially since the 1940s when
Chinese-Canadians could not vote. However,
today there are more subtle forms of racism
which must be challenged; "we can never be
complaisant about this progress." She sup-
ports more anti-racism programs that empha-
size equality, respect and understanding
between different peoples. She also favours
legislation to break down systemic barriers to
equality in Canadian society.

She envisions "prospects for more funda-
mental change" in the future and a broader
national commitment to multiculturalism,
what she terms "the celebration of Canada's
multi-heritage." In particular, "the House of
Commons should reflect the gender balance
and the cultural diversity of Canada." This is
the vision she feels Canadians must work
towards.

12 UPDATE

Raymond Chan:

Liberal Party Candidate

in B.C.

In Hugh X. Tan
Vancouver

On 29 November 1992. Raymond Chan
won the federal Liberal Party nomination for
Richmond, B.C. In a close vote. Chan defeat-
ed ibv onlj 250 votes) the second-ranked
candidate. Herb Dhaliwal. an Indo-Canadian
businessman and vice-chair of B.C. Hydro.
At the time there was considerable controver-
sy over the issue of allow ing non-residents of
Richmond riding to vote - a practice permit-
ted under Liberal Party rules, although an
attempt was made to change it in mid-stream.

Mr. Chan, who emigrated from Hong
Kong in 1969 and became a Canadian citizen
in 1974. is an engineer at the TRIUMF
Centre and former chairman of the
Vancouver Society in Support of Democratic
Movement (VSSDM) [see Update. 5: 15].
Having completed grade 1 2 at Vancouver
Technical Secondary School, he received a
Bachelor of Applied Science in Engineering
Physics from the University of British
Columbia and has worked at TRIUMF for
the past 14 years.

Raymond Chan first entered local politics
in 1989 when he organized and was founding
chairman of the VSSDM. During his three
year term, he made many contacts with offi-
cials at three levels of government, and he
became aware of the lack of representation
by Asian Canadians. For example in the par-
liament, there were no M.P.s from the over
800.000 Chinese-Canadian population. He
felt that as a result, mainstream Canadian
society had little knowledge of Asian coun-
tries or of the Asian communities in Canada.

In order to change this situation. Mr. Chan
decided to run for the federal Liberal Party
nomination in Richmond, where Asian-
Canadian communities have expanded rapid-
ly in the past few years. He has been a long-
time supporter of the Liberal Party and partic-
ularly values its policies on free enterprise
and multiculturalism.

At present. Raymond Chan is actively
preparing for the federal election by holding
fund raising events and advertising his
political platform to the 120.000 Richmond
residents.

Hong Kong and the
US-China Most Favoured Nation Issue

With the approach of June and the begin-
ning of summer, we can expect to see repre-
sentatives and senators in the US Congress
raising the issue of China's Most Favoured
Nation (MFN) status with the United States.
Hong Kong has been caught in a recurring
debate between the US and China on this
issue since 1989. The territory's vulnerability
in this perennial dispute reflects the impor-
tance to Hong Kong not only of its interna-
tional trade position, but also of its trade and
investment relationship with China and the
growing fusion of the South China and Hong
Kong economies. To a certain extent.
Canadian exports to China could also be
caught in the crossfire between the US and
Beijing.

MFN status is a fundamental element of
the trading relationship between the two
countries. Since it was granted to China in
1980, it has given the PRC the lowest avail-
able tariffs on its exports to the United States.
China's MFN status must be renewed by
Presidential waiver annually, and this must be
approved by Congress.

Until 1989 and the killings and repression
of Tiananmen, this was a formality. Since
then, however, this issue has been linked to
human rights issues in China, and representa-
tives in the United States Congress pressured
former President George Bush to abrogate
this arrangement. Presidential veto of
Congressional legislation has been used to
continue China's MFN status.

For the United States Congress, the issue
is more than a political statement about
human rights issues in China. China's bur-
geoning trade surplus with the United States,
estimated to be at least SI 2 billion this year.
has also created resentment within the US.
Lobbyists from various American industrial
and labour groups have applied considerable
pressure on Congressional and executive
branches. On their side. Chinese leaders hav e
also been sending a steady stream of high-
level delegations to the United States to pro-
mote China's case for continued MFN status.

The issue has important implications for
Hong Kong. First of all. China's exports to
the United States through Hong Kong are
more than double direct exports to the United

States. Two 1990 US government studies
estimated that loss of MFN status would
result in significant tariff increases on 90' i of
Chinese exports to the LIS and a loss of about
$3 billion in Chinese exports.

This would have a profound impact on the
Hong Kong shipping and handling industries,
as well as other services and commercial
infrastructure. More significant would be the
impact on Hong Kong companies which have
moved to or established manufacturing facili-
ties in South China. These manufacturers
would suddenly lose their competitive posi-
tion in the United States market.

MFN status is reciprocal, which means
that non-renewal of this status would also
have an impact on US exports, as they would
be subject to a 209c tariff. While the US is an
important source of technology for China, the
bulk of China's imports from the United
States still consists of grain, semi-manufac-
tured goods, and some equipment which
could be imported from other sources, includ-
ing Canada.

The importance of this issue to Hong
Kong is something which unites the leading
elements in Hong Kong politics. When the
issue first arose in 1990. the governor of
Hong Kong at the time. Sir David Wilson,
wrote to the United States Congress urging
them to approve renewal of China's MFN
status. Leading Hong Kong politicians,
industrialists, and economists warned of the
impact of loss of MFN status on the territo-
ry's economy. They predicted a massive flow
of investment out of Hong Kong to Southeast
Asia, especially Singapore. Even former US
Ambassador Winston Lord added his voice to
this chorus.

A new President and a new Congress will
be addressing this issue in June. It may be
that, despite the rhetoric and hyperbole. MFN
status will be renewed for another year. In the
meantime. China will attempt to reduce the
irritant of its large trade surplus by giving
more favourable consideration to United
States exports to China for products and com-
modities which Canada is also attempting to
export. So while the implications for Hong
Kong are important. Canada may also be
affected by this ongoing trade dispute.

UPDATE

Canada and Hong Kong Sign Environment Agreement

On 8 September 1992, Canada and Hong
Kong signed a four year environmental coop-
eration agreement to increase the exchange of
information and technology. The accord was
signed in Hong Kong by Canada's Minister of
State for the Environment, Pauline Browes,
and Hong Kong's Secretary for Planning,
Environment and Lands Branch, Tony Eason.

The agreement calls for the two countries
to develop a program in the areas of environ-
mental impact assessment, public awareness
and education, waste management, applica-
tion of clean technology, and atmospheric pol-
lution, including acid rain and climate change.

At the signing ceremony, Minister Browes
stated, "Canada is committed to maintaining
the momentum of the recent U.N. Conference
on Environment and Development. One of the
requirements for success on a global scale is
partnerships. The agreement signed today
exemplifies the teamwork that we must con-

tinue to build between nations and within
nations." Secretary Eason declared, "The
Hong Kong Government welcomes the
opportunity to participate with the
Government of Canada in the bilateral
Memorandum of Understanding on environ-
mental cooperation. We also look forward to
sharing information with Canada on its very
comprehensive Green Plan and our own
White Paper on the Environment."

Canada's Green Plan, a six-year, CDN
$3 billion strategy for introducing sustainable
development in Canada, commits the federal
government to strengthen bilateral environ-
mental cooperation. Through the exchange of
knowledge and creation of commercial oppor-
tunities, this environmental agreement signed
between Canada and Hong Kong is a step
towards global environmental protection. In
addition, such partnerships stimulate trade in
environmental products and services.

During her visit to Hong Kong to sign the
Environmental Agreement, the Hon. Pauline
Browes, Minister of State for Environment,
visited the Canadian International School,
September 1992.

Memories of the fall of Hong Kong and the
capture of Canadian troops there have been
revived over the past while. Claims in the
recently released report of Major-General
Maltby, the British commander in Hong Kong
at the time of the Japanese invasion in
December 1941, that Canadian soldiers were
drunk and cowardly and that they failed to put
up a strong resistance to the Japanese, have
been soundly rejected in Canada. The allega-
tions have been seen as the attempt of a defeat-
ed commander, who suffered the humiliation of
surrendering to the Japanese on Christmas Day,
to shift blame for the defeat onto other shoul-
ders - in this case onto the shoulders of non-
British troops. The report, which has just
become available in London under the fifty
year rule, followed the same lines as a recently
released report on the fall of Singapore, in
which the British commander blamed the col-

The Fall of Hong Kong

lapse in Singapore on the cowardice of
Australian troops. There were loud protests
and counter-claims in Australia. In Canada,
Defense Minister Kim Campbell came strongly
to the support of the Canadian troops and stated
that there was no historical basis for the report.

The existing accounts of the fall of Hong
Kong and the subsequent imprisonment of
eight hundred Canadian troops have never
made any mention of cowardice. Instead, they
describe the impossible task the soldiers were
given. The troops, from the Winnipeg
Grenadiers and the Royal Rifles, arrived in
Hong Kong only a few weeks before it came
under Japanese attack. Hong Kong was almost
impossible to defend because of a land border
with occupied China and a long and exposed
sea coast. It was also extremely isolated, far
away from the nearest Allied forces. Previous
accounts of the fall of Hong Kong castigated

the British authorities for sending the Canadian
battalions to Hong Kong when they already
knew that this "outpost of Empire" (in the
words of Winston Churchill) could not be
defended. The Canadian troops were, in effect,
condemned to death or imprisonment.

The repetition of criticisms of Canadian
troops touched a raw nerve, coming as it did so
shortly after other perceived attacks on the
Canadian forces during World War II, in the
CBC television series the Valour and the
Horror. The Hong Kong story found surviving
Canadian veterans in fighting spirit to defend
their honour and that of their dead comrades.
Sources on the Canadian troops during World
War II include:

Philip Bruce, Second to None, Oxford, 1991 .
Kenneth Cambon, Guest ofHirohito,

Vancouver, 1990.
Carl Vincent, No Reason Why. Sl\tts\i\k, 1991.

CCCHK Selects New Executive Director

Ms Leslie Henderson has been appointed
the new executive director of the Canadian
Chamber of Commerce in Hong Kong. On
March 1 she replaced Heather Allan, who
worked for the Chamber for 3 years.

Ms Henderson is a long-term resident of
Hong Kong although she spent the last two
years in Vancouver as conference coordina-
tor with the UBC Conference Centre. She is

14 UPDATE

also a qualified secondary school teacher and
taught English at the British Council in Hong
Kong. She explained that she looks forward
to the "challenge of making events flow
smoothly and helping people make connec-
tions through the Chamber."

The Canadian Chamber of Commerce in
Hong Kong is a non-profit organization with
approximately 900 members and five full-

time staff. There are fifteen committees
which range from China Trade to Human
Resources to the Entrepreneurs Committee.
The Chamber holds approximately 80 events
each year, making it one of the most active
Chambers in Hong Kong. It is the largest
Canadian Chamber outside of Canada.

The Right Connection: Government of Ontario Office in Hong Kong

In Anh Truong

International Trade Coordinator
Ontario Office, Hong Kong

For many Canadian businesses. Hong
Kong is considered to be the gateway to both
China and Asia. There are more Canadians liv-
ing in Hong Kong and more Canadian busi-
nesses located in the territory than in any other
Asian country. With increasing business
opportunities in China and Southeast Asia, the
Government of Ontario Trade Office is contin-
ually assisting Ontario companies in taking
advantage of trade and investment in some of
the world's fastest growing economies.

In Hong Kong, doing business not only
means being familiar with the environment,
but it is also vital to develop proper contacts.
This is where the Ontario Government office
can make a difference to individuals who ven-
ture to do business in this region. According to
Andrew Szende. Senior Agent for Asia.
"Hong Kong practices business with an old-
fashioned sentiment; one has to build a trust-
ing friendship before engaging in any busi-
ness. This is why contacts are so important."

Most of the business contacts made in
Hong Kong occur outside of the office, at
business and social functions, either formal or
informal. Government representatives offer a
high degree of credibility which enables them
to interact with high-profile government offi-
cials and senior business executives in both
countries. The Government of Ontario can
capitalize on these contacts by linking up
companies or business people.

With a mandate to promote and strengthen
trade, investment, and cultural ties between
Ontario and Asia, the Government of Ontario
first opened an office in Hong Kong in 1 980.
Initially, the office began w ith one trade rep-
resentative and two locally-engaged staff.
Today there is a team of nine Canadian and
locally-hired staff, all working to serve the
needs of businesses and interested parties.

For Ontario firms, the staff can help iden-
tify trade and investment opportunities; pro-
vide advice about local business practices;

source equity partners, agents, and distribu-
tors; and assist in arranging appointments and
itineraries. Hong Kong companies interested
in investing in Ontario can equally look for
the same services provided by the
Government of Ontario.

While the Ontario office mainly focuses
its efforts on trade and related business, the
staff often handles educational and cultural
enquiries from the Hong Kong public.
Representatives can also counsel local stu-
dents and parents about education in Ontario.
Thus, all individuals who are planning to
study or immigrate to Ontario are encouraged
to contact this office. For further information,
please contact:

The Government of Ontario, Canada

908 Hutchison House

10 Harcourt Road

Central, Hong Kong

Tel: (852) 845-3388

Fax:(852)845-5166

Canadian Business Award Launched bv CCCHK

The Canadian Chamber of Commerce in
Hong Kong (CCCHK) recently announced
the launch of the Voyageur Award, which is
designed to acknowledge the achievements
and contributions of successful Canadian
businesses in Hong Kong. Over 35,000
Canadians reside in the territory, trading in
over CDNSl .7 billion, and this award was
created to recognize the increasing impor-
tance of these ties between Canada and Hong
Kong. In addition to the CCCHK. the award

is also sponsored by the Hongkong Standard,
Hongkong Telecom, the Chinese-Canadian
Association, the Canadian Universities
Association, and the Canadian Club.

The objective of this new annual award is
to honour successful Canadian business in
Hong Kong. It is hoped that by offering such
recognition to effective business people, the
Voyageur award will serve to encourage and
cultivate the entrepreneurial spirit for which
Hong Kong is famous. A total of 22 nomina-

tions were received by the closing date March
5. The winner will be announced at the
CCCHK annual Ball on May 29.

The significance of the name "voyageur"
is derived from Canadian history.
"Voyageurs" were people who explored the
vast territory of Canada, setting up trading
posts in remote areas. Since then, the term
has become a metaphor for the exploration of
new grounds - a very appropriate name for
Canadians forging ahead in Hong Kong.

Publishing in Cantonese: A Clue to Hong Kong Identity?

Since 1949 the cultures of Hong Kong and
China have taken very different paths. Some
differences, such as those in lifestyle and
standard of living, are obvious even to the
casual observer. However, some subtle differ-
ences exist as well. One of the most impor-
tant of these is a growing sense among people
in Hong Kong that they are first and foremost
just that - Hong Kong people - and only sec-

fry Don Snow
Hong Kong

ondarily Chinese. As a number of Hong
Kong researchers have discovered, many in
the territory, particularly younger and better
educated people, have an increasingly strong
tendency to identify primarily with Hong
Kong and its culture rather than with the cul-
ture of China.

One interesting aspect of this increasing
cultural gap between China and Hong Kong

lies in the written Chinese language. In gener-
al, people in China and Hong Kong read and
write the same form of Chinese, but over the
past few decades more and more articles and
books in Hong Kong have been written in
Cantonese rather than in Mandarin
(Putonghua).

Cantonese and Mandarin are both dialects
of Chinese, so their grammar is very similar

Publishing, cont'd page 16

UPDATE 15

Publishing, conl'd from page 16

and there is also much shared vocabulary.
However, the vocabulary differences between
the two are quite significant, particularly in
the colloquial registers. It is primarily this
lexical difference which distinguishes written
Cantonese from written Mandarin.

Virtually all Hong Kong newspapers have
at least one or two articles daily in Cantonese,
and Hong Kong's best-selling newspapers -
the Oriental Daily, Sing Pao and Tin Tin
Daily News - have considerably more.
Cantonese articles are also found in many
Hong Kong magazines, and Cantonese is
often used in popular paperbacks, such as the
Siu Nam Yan Chou Gei (Diary of a Little
Man) series of the late 1980s.

The significance of this development lies
in the importance of the written Chinese lan-
guage as a symbol of a unified Chinese cul-
ture. While China has always had a variety of
mutually unintelligible regional dialects, the
use of a unified standard written language -
in the past, classical Chinese and now written

Mandarin - has facilitated communication
and provided a common cultural core.

People in different parts of China may
speak differently, but they have traditionally
learned to read and write the same language
in school and have read the same books,
newspapers, and magazines. Of course,
dialects have historically made an impact on
literature in many parts of China, particularly
in the Wu dialect region around Suzhou and
Shanghai. However, such "dialect literature"
has been written primarily in standard written
Chinese, with only a small admixture of
dialect vocabulary.

In contrast, since 1949 much Cantonese
literature in Hong Kong has come to use so
much uniquely Cantonese vocabulary that it
is not intelligible to someone who does not
speak Cantonese. Like Hong Kong television
programs and films, Cantonese literature has
also come to draw heavily on modem Hong
Kong life for its subject matter. Writers often
assume that readers will have intimate knowl-
edge of the territory's current events, places.

media stars, and even popular brand names.
In short, Cantonese dialect literature in Hong
Kong is unique in the extent to which it has
become an in-group conversation, markedly
local in both its language and content.

The significance of Cantonese literature in
Hong Kong should not be over-estimated.
Schools in the territory only teach standard
written Chinese, and Hong Kong publications
are still dominated by the standard written
language. Many people in Hong Kong also
look down on written Cantonese as an inferi-
or language, arguing, at least publicly, that its
use should be discouraged. There is, there-
fore, little likelihood that written Cantonese
will soon - or ever - replace standard
Chinese as Hong Kong's written language.
However, given the importance of written
Chinese as a symbol of China's culture, the
growth of an exclusive regional Chinese writ-
ten language and literature is an interesting
indicator of the degree to which the culture of
Hong Kong has developed an identity and life
of its own.

Comparisons Between Hong Kong and Canadian University Women

My recent research on university-educated
women in Hong Kong and Canada compares
their educational, family, and work strategies.
The study of such strategies has revealed differ-
ences in the two societies which affect women's
decisions concerning their education, choice of
occupation, and career patterns. As part of my
Ph.D. research, I have examined case studies of
women educated at the University of Hong
Kong and Simon Fraser University in British
Columbia. An understanding of the differences
in these employment strategies, particularly
among Hong Kong women, may indicate some
of the reasons why this group experiences par-
ticular kinds of frustration when emigrating to
Canada.

In general, the strategies of work and family
I found among Canadian students and graduates
may be described as "exploratory." By contrast,
the strategies shown by Hong Kong female stu-
dents and graduates may be called "commit-
ted."

I have used the term "exploratory" to char-
acterize the strategies of Canadian women
because their career decisions appear more ten-
tative and there is a tendency to keep their
options open. They indicate more anticipation
of and action in the following:

by May Partridge
Victoria, BC

1 ) investigation in more than one field of occu-
pation;

2) more frequent change of jobs; and

3) more "stop-outs" from employment for chil-
dren, travel, further education, relocation of
self or of spouse, and from swings in the
economy. Perhaps most critically, they view
the purpose of work in their lives as a way
to find themselves, to realize their talents.

I have designated Hong Kong university-
educated women's strategies as "committed"
because they appear to take career decisions
with a definite "game plan" in mind. This game
plan has three steps: first, getting the good job,
with good pay and good prospects; second, in
two to three years, making the good marriage;
and then, finally, having children - but only one
or two, or perhaps none. Children are optional,
while marriage generally is not. The obverse
appears to be true for Canadian women. A
number have doubts about marriage but do
retain the option that if they are growing older
and still wish to have a child, they may become
single parents, even if by adoption.

Hong Kong women do anticipate changing
jobs, but they see such changes as necessary for
better opportunities and in order to progress in
their field. They generally do not anticipate

changing fields once an occupational niche is
established. They foresee only short interrup-
tions in full-time employment. Overall, their
orientation is to career development rather than
to career change. For them, the purpose of work
is to make a contribution to one's family and to
society.

There appear to be four factors which con-
tribute to these more "committed" strategies.
The first is the domestic socialization of many
Hong Kong women where the chief task of
growing up is seen as becoming able to make a
financial contribution to the family. This atti-
tude is rooted in immigrant family experiences
of the struggle to establish a secure footing in a
rapidly industrializing society. This struggle led
to what Janet Salaff [Working Daughters of
Hong Kong, Cambridge University Press, 1981]
and other scholars have called the household
economy - an arrangement where everyone in
the household who could work, did so, parents
as well as older children. All contributions were
necessary and, therefore, in some sense
acknowledged as valuable. Many of my study's
Hong Kong participants grew up in such house-
holds.

Moreover, many of the young women I
interviewed experienced a gain in personal sta-
tus as it became clear that they would attend

16 UPDATE

university. They received more attention from
their fathers; the> were discussed in glow ing
terms in family gatherings, as those who would
have the kinds of jobs that would provide for
their families well.

For these young women, obligations to their
natal family do not end w ith their marriage.
Hong Kong does not have the kind of social
security network taken for granted by
Canadians, and pensions are few and far
between. Therefore, most of the university
graduates, especially from working class back-
grounds, expect to support or help support their
aging parents.

Hong Kong women also seek to maintain
their status within their marriage through their
continued economic contribution to the house-
hold. Their incomes can make a certain kind of
lifestyle possible, and they want to be part of
the decision-making about large purchases and
major investments. In particular, middle-class
housing is expensive, and their incomes are cru-
cial to acquiring and keeping such accommoda-
tion.

In addition to learning the rewards of mak-
ing a contribution to the family. Hong Kong
university graduates also understand the
rewards which come to a winner in the system
and how to capitalize on them - that if one tops
the group in a particular skill or body of knowl-
edge, one is entitled to expect other rewards,
such as promotion and a raise in pay. This atti-
tude is developed in response to a single-sex,
highly competitive educational system.

This system was nurtured in the network of
convent and mission schools initially provided
for girls in Hong Kong, and it still owes much
to these institutions. Although it has its negative
attributes, it encourages young women to com-
pete strongly for what places are available at
university. It also stresses early concentration
on those academic subjects likely to provide
entrance to good occupational prospects.
Streaming grows tighter and tighter as one pro-
ceeds through the system, each set of examina-
tions narrowing the field of choice. Exams
determine access to good English language
schools in preparation for university, and they
determine acceptance to the arts or science
streams, each branch of which opens only to
certain degree programs and, hence, occupa-
tions. Therefore, those who succeed in this sys-
tem become very focused on particular goals.

Always the competition in English remains
paramount. It is the language of instruction at
the University of Hong Kong, and, thus, the
need for its mastery determines the outcome of
many young women's lives. It is little wonder

thai Hong Kong University graduates coming
to Canada find it frustrating to encounter certain
attitudes about their English when thej ha\ e
been clear winners in the language throughout a
schooling system whose rewards are still heavi-
ly dependent on its mastery.

The third factor contributing to Hong Kong
women's committed employment strategies is
the continued experience of expanding opportu-
nities. The roots of this tremendous growth lie
in the shift of Hong Kong's economy from
rapid industrialization to a mature service
phase. In particular, the expansion of govern-
ment during the 1970s meant a vast wealth of
new jobs in education, health care, social work,
and public administration. These fields continue
to grow. In addition, the financial growth of
Hong Kong during the 1980s (the capitalization
of Southeast Asia and Guangdong province)
has meant an increase of positions in banking
and business administration. Women are find-
ing good jobs in all levels of the new and
expanding financial institutions, ranging from
accountancy to senior management.

The fourth factor, and an especially impor-
tant one, is the ability to arrange childcare and
household help and to feel comfortable with the
arrangements. In the first place, there is the
accessibility of one's extended family. The tight
geography of Hong Kong means that one may
have parents or in-laws living close at hand to
give childcare and to provide the evening meal.

If this is not an option, then there is the geo-
graphic accessibility of the Philippines, with its
surplus of relatively well-educated female
labour. Migrant domestic labour is politically
acceptable in Hong Kong, and a household with
two professional incomes can hire a domestic
helper relatively inexpensively.

Both options are acceptable to the Hong
Kong social construction of mothering.
Childcare in the early years is seen as the main-
tenance of physical security and warmth and as
the promotion of acceptable behaviour in social
situations. These concerns are thought to
require the mother's close monitoring and atten-
tion to children still at home, but not her contin-
ual physical attendance.

Because of these four factors - the valuing
of all economic contribution to the family, the
educational pressure to succeed in a particular
discipline, the knowledge that a good job is
there to develop into a career, and the availabili-
ty of and comfort with household help - Hong
Kong women university graduates are commit-
ted to career development. However, if they
immigrate to Canada, they may find themselves
caught up in one of two possible outcomes.

These outcomes also prcxeed from their initial

strategies.

First of all, changes in Hong Kong female
graduates' strategies are occurring. I did inter-
view some women who were considering
stopouts from employment, either because of
changes in the social construction of mother-
hood due to Western influences or because of
reappraisal of earlier commitments to a line of
work. Hong Kong women meet the glass ceil-
ing too, and at that point they must decide
whether to go to a firm which appreciates their
talents or start their own business. Or they come
to know themselves better after they have
accomplished the "good job, good marriage,
nice kids" goal and look back to the other ambi-
tions they laid aside to succeed in an ever-nar-
rowing channel of educational and occupational
opportunity. Some return to school. Thus. Hong
Kong women who are at this stage in their lives
may be prepared to shift gears when they come
to Canada. They may launch their own explo-
rations and eventually find a second career.

However, the chances appear greater that the
female Hong Kong university graduate who
comes to Canada will experience frustration in
continuing her career development. She will
find the job market much slower as Canada is
experiencing a severe recession in business and
government cutbacks in spending have meant
fewer and fewer jobs in education, health care,
and social services. Competition for publicly-
advertised jobs is very intense. The frustration
of a tight job market is compounded by the
apparent discrimination on the basis of English
usage that a number of Hong Kong immigrant
women have experienced. These are often
women who have completed university degrees
on the strength of their use of English in highly
abstract subjects, and to find themselves being
eliminated from consideration for a position on
the basis of an accent or a particular style of
usage seems very unfair.

Moreover, married women with young chil-
dren find themselves facing the exact same bind
as do their Canadian sisters - an inadequate
range of childcare services and live-in house-
hold help very difficult to find or afford. These
women face, as do Canadian-educated ones,
either the loss of key productive years and the
chance to better their family's economic stand-
ing or massive anxiety about their children.
These are frustrating circumstances, indeed.

Perhaps one way Hong Kong w omen may
gain a sense of place in Canada is to recognize
the difficulties they have now come to share
with their new sisters and to work with them for
the kinds of family support systems we all need.

UPDATE 17

Vancouver Hong Kong Forum Society

The Hong Kong Forum Society, based in
Vancouver, is an organization which is just
entering its third year of activities. Most of its
members are people who have immigrated to
Vancouver from Hong Kong and want to
retain a serious interest in the territory. The
stated purposes of the Society are to enhance
economic, social, and cultural exchanges
between Canada and Hong Kong, to promote
international concern over the territory, and to
sponsor open discussion on Hong Kong and
its relationship with Canada.

In its first year of operation the Society
organized a campaign, called "Remember our
Hong Kong Roots," in conjunction with the
1991 Legco elections in Hong Kong. Last year
the Forum held a seminar on the potential of
British Columbia for business immigrants, a
public session on Bill C-86, the new immigra-
tion legislation, and in July hosted students
and teachers from Hong Kong Baptist
College, who visited Vancouver as part of their
Character Development Program.

In October 1992, it also co-sponsored the
Vancouver Conference on Hong Kong, one of
the major events of Festival Hong Kong 92. At
the Society's annual dinner, held during the

Festival, the featured speakers were Hon.
Emily Lau, Legco member, and Dr. Wai Ting,
from Hong Kong Baptist College. Dept. of
Communication. In December a seminar was
held on the dispute over political reforms in
Hong Kong [see below]. Among its current
activities is the organization of a City Circle
for City Plan, a program launched by the
Vancouver Municipal Government. A new
chapter of the Society is now being set up in
Hong Kong by one of the former Vancouver
directors. Alex Chan.

The Society has recently set up an electron-
ic bulletin board to discuss Hong Kong issues,
the On-Line Hong Kong Forum.
Contributing members of the system include
the United Chinese Community Enrichment
Services Society (SUCCESS), Adia Education
Centre, Hong Kong Link (UK), Alliance of
Hong Kong Chinese in the U.S., Hong Kong
Economic and Trade Office in Toronto, and
Jack Yan, an individual in Los Angeles who
wants to set up a similar bulletin board there.
Members responsible for management of this
project are Eleanor Ng, President, Peter
Wilkins, Director, Patrick Tsang of SUC-
CESS, and Joanne Poon of UBC.

For further information on this on-line sys-
tem and the Society's activities, contact the
President, Eleanor Ng, c/o Alpha Computer,
Lower Mall, Harbour Centre, 555 W.
Hastings, Vancouver, BC, Canada V6B 4N4
(Tel: 604-684-8146; Fax: 604-684-8128)

Hong Kong
Employment News

A new employment and business news ser-
vice for HongKong was recently started in the
U.S. by Business Research Institute (BRI). The
first issue of Hong Kong Employment Newswas
issued in February. This bi-weekly publication
contains placement news, job openings, and
advertisements for Hong Kong and the sur-
rounding regions.

BRI also has a daily fax newsletter service,
the Hong Kong Business Letter, which provides
a concise, up-to-the-minute report on commer-
cial and financial news from the Far East For
further information on subscribing to these ser-
vices, contact: Charles Mok, Business
Research International, P.O. Box 3721,
Santa Clara, CA, USA 95055; fax: (510) 792-2579;
Internet e-mail at bri@netcom.com

Seminar on Political Reform in Hong Kong

Governor Patten's constitutional reforms
have attracted much attention from Hong
Kong immigrants in Vancouver. On
December 1 2 the Vancouver Hong Kong
Forum [see above] held a seminar to discuss
recent economic and political developments
in Hong Kong. Invited speakers, representing
different points of view, included Selina
Chow Liang Shuk-yee, Hong Kong Legco
parlimentarian and member of the Hong
Kong Cooperative Resources Centre (CRC),
and Thomas In-sing Leung, Director of
Chinese Studies at Regent College (UBC) in
Vancouver. The meeting, attended by over
1 00 people, was chaired by Eleanor Ng, pres-
ident of the Hong Kong Forum.

In her more conservative speech, Mrs.
Chow indicated that the CRC hoped that both
China and Britain would return to the negoti-
ations. She emphasized the need for a "con-
vergence," or smooth transition for Hong
Kong from British rule to Special

byHughX.Tan

Vancouver

Administrative Region under China's Central
Government, and declared the CRC would not
support any reform proposal which is not in
favour of convergence. She further reiterated
that people should not lose confidence in Hong
Kong because of the recent political disputes
and that patience was needed to monitor the
developments. Finally, she emphasized that
support from overseas Chinese communities
was very important for Hong Kong.

In contrast. Professor Leung, who origi-
nally came from Hong Kong, stressed that
overseas Chinese should support the demo-
cratic movement in Hong Kong since they, in
particular, were free from political pressure.
He also commented that the CRC, while
emphasizing a smooth transition towards
1997. seemed to overlook the opinions of
grassroots communities in the territory.
Representing the Forum's position, Eleanor
Ng, strongly supported the proposals for
political reform in Hong Kong. Arguing that

support of the proposals did not necessarily
mean support of Governor Patten, she indicat-
ed that if Deng Xiaoping raised similar pro-
posals, the Hong Kong Forum would also
welcome that.

Speakers from the audience predominant-
ly supported the prososed reforms for Hong
Kong; however, one person took the opposite
position that as China is the "landlord" of
Hong Kong and Britain, the tenant, "a tenant
should follow the rules set up by a landlord."

In January and February of this year, the
Hong Kong Forum recently conducted a tele-
phone opinion survey in Vancouver's Chinese
community, focusing on the debate over con-
stitutional reforms in Hong Kong. The results
revealed that the majority of those who knew
about the reforms supported them. However,
surprisingly, over 36% of those Chinese-
Canadians surveyed, even those who recently
immigrated from Hong Kong, were unin-
formed about the dispute and had no opinion.

18 UPDATE

On March 4. the Hong Fook Mental Health
Association of Toronto presented a pro-
gramme. "Passage to Canada." which featured
the stories of Chinese Canadians, representing
three different waves of migration - in the
1920s. 1970s and 1980s. The program con-
cluded w ith a panel discussion on the implica-
tions for emigration of the return of Hong
Kong to Chinese sovereignty and the future of
the territory towards 1997.

Three speakers related their personal expe-
riences of immigrating to Canada - Cecil Ing.
Eric Yu, and Peter Bok. One arrived 70 years
ago as a poor, uneducated labourer, one came
as a student almost 20 years ago and slowly
established his career here: and the last speaker
only immigrated four years ago and has just
recently found a job in his field. Two of the
speakers were from Hong Kong while Mr. Ing
came originally from southern China. Each
related a "story" of different challenges, includ-
ing racial discrimination, status dislocation and
language difficulties, as well as new experi-
ences and opportunities.

Representing the earlier wave of Chinese
immigration at the beginning of the century,
85-year old Cecil Ing explained that he came to
Canada in 1923 and had to pay a $500 head
tax. He arrived among the last two shipments
before passage of the Chinese Immigration Act
of 1923, which essentially excluded further
Chinese immigration for over two decades,
even for family reunification.

Asked why he had left China. Mr Ing
replied, "to make a better living" and that
North America and Canada represented a
"golden mountain." During his years in
Toronto, he worked as a dishwasher in the
1920s for $ 1 2 per week, 15 hours per day and
seven days per week. During the height of the
Depression, he worked as a waiter for only $6
per week. It was not until 1938 that he found a
better job as a waiter though "things did not get
much better until after the war." When the

"Passages to Canada"

by Janet A. Rubinqff

exclusion act was repealed in 1947. he worked
hard to bring over his family from China, but it
was not until 1968 that his wife and three
daughters finally joined him. He now lives with
his wife in an apartment for senior citizens.

While Mr. Ing spoke in English, it was clear
that he lacked fluency in the language even
though he had lived in Canada for nearly sev-
enty years. Some of the questions he was later
asked by the audience also had to be translated
for him into Chinese. His lack of facility with
English reflects a time earlier in the century
when there were few opportunities for Asian
immigrants to improve their education and lan-
guage skills or to integrate within the main-
stream of Canadian life. As he himself
explained there were no ESL classes or social
service organizations in the Chinese communi-
ty to help him adjust to life in Canada.

As a young officer with the Royal Hong
Kong Police Force. Eric Yu explained that he
came to Toronto in the mid-1970s to study civil
engineering. Though he felt that he had made
considerable sacrifices and has had to work
extremely hard to get ahead, he stressed that he
is "still falling in love with this country." and
that Canada has much to offer.

On arriving in Toronto, he explained that
his biggest problem was communication in
English. To overcome his language difficulties,
he watched "a lot of TV. and read local English
newspapers." He also met many Canadian
friends in high school and later in university
who helped him integrate more successfully
into Canadian society. His message to the new
immigrants from Hong Kong and China is "to
learn English and to communicate with the
mainstream."

Peter Bok. who is a social worker and a
graduate of the University of Hong Kong, was
the most recent immigrant of the three speak-
ers. He came to Toronto in 1988 and spoke of
his difficulties in finding a job and re-establish-
ing his career in Canada.

Experiencing the problem of status disloca-
tion for main recent immigrants, he had left a
good job in his field in Hong Kong to find him-
self first working for $6 per hour in the ware-
house of a tuxedo rental company, in order to
feed his family. He lacked "Canadian experi-
ence," and after much frustration finally landed
a job as a data entry clerk on the night shift in a
warehouse on Airport Road. He worked with
several other "ladies whose typing skills were
far better than my own." At the time, he men-
tioned that his moral esteem had "reached a
low point." To make ends meet, he also took a
second job on the weekends, first as a bus boy
and then as a waiter at the Prince Hotel. For
three years, he worked seven days per week.

Ironically, in Hong Kong part of his social
work job was counselling prospective emi-
grants who were leaving the territory. Asked
why he had decided to immigrate himself
along with his wife and two children, he
declared that he was an "opportunist." With no
friends or relatives in Toronto, he arrived with
few contacts and not a great deal of money.
Finally, a good opportunity arose and he was
hired as an employment counsellor at
Settlement House. Thus, it was not until recent-
ly that he "could resume his career."

The dinner meeting at a downtown vegetar-
ian Chinese restaurant was concluded with a
talk by Peter Chen on the future trends of
immigration from Hong Kong and a discussion
w ith all the speakers. Mr. Chen predicted that
first of all many of the present astronauts in
Hong Kong will return to Canada after 1997.
Then immigration patterns f o Canada may
change somewhat as Mainland Chinese, per-
haps with less professional skills and different
social backgrounds from present immigrants,
come to Canada via Hong Kong. Mr. Chen felt
that Canada and Hong Kong would continue to
be major trading partners after 1997 and that
immigration levels would remain high.

Briefing on Hong Kong Budget 1993

On March 3. Hong Kong's Financial
Secretary, Hamish Macleod, tabled the gov-
ernment budget for 1993-94 in the Legislative
Council. On the same day, the Hong Kong
Economic and Trade Office in Toronto held a
luncheon briefing on the budget at the Royal
York Hotel.

Stephen Lam. director of the Office, and
his colleagues Susan Luke and George Yuen
presented an overview of the Hong Kong

economy, business prospects, and programme
of infrastructural developments.

The briefing was attended by some one
hundred prominent guests from government,
business, professional, media, and academic
circles of eastern Canada, as well as members
of the Hong Kong-Canadian community. A
lively period of questions and answers fol-
lowed the presentation, and the discussions
continued over lunch.

The guests were impressed w ith the eco-
nomic progress that Hong Kong has been
achieving and with the scale of infrastructural
and social spending. They also felt encour-
aged about the prospects for Canadian partici-
pation in Hong Kong's development projects.
Many useful contacts were made at the meet-
ing, and the Hong Kong budget was very well
received in the Toronto press.

UPDATE 19

Cantonese Telephone Info
Service in Toronto

A Cantonese-speaking telephone
information service went into operation
recently in Toronto. By dialing a given
number on a touch-tone phone, one gains
access to a wide range of taped information.

One can choose to listen to local Toronto
news, world news, or Hong Kong news;
Canadian financial bulletins or the latest
about the Hong Kong stock market; local
weather forecasts; Canadian government
information; advice about nutrition, health,
or recreation; short stories for adults or
children; or a diverse selection of consumer
information.

The service was probably inspired by a
similar service in English offered by the
Toronto Star newspaper, and appears to be
unique among ethnic communities in the
city. It is free to the consumer and is
financed by advertising. It is supported by
a monthly magazine which is distributed
free in the many Hong Kong-style shopping
malls of Metro Toronto. Some 2,000
advertisers were listed in the latest issue
of the magazine.

HK Christian Leader
Visits Toronto

Kwok Nai-wang, director of the Hong
Kong Christian Institute, visited Toronto in
mid-March as part of a North American tour.
He was invited by the Canada China
Programme of the Canadian Council of
Churches to speak on "Hong Kong 1997: a
Christian Perspective."

Rev. Kwok is an ordained minister of the
Church of Christ in China and has been
active for many years in ecumenical and
social justice work in Hong Kong. He is one
of the best respected community leaders in
the territory.

In 1988 he resigned from his position as
general secretary of the Hong Kong Christian
Council, after the executive committee of the
Council had consistently tried to acquiesce to
the restrictive demands from the PRC on rep-
resentative government, labour rights, and
nuclear power in Hong Kong. Subsequently,
he established the Hong Kong Christian
Institute to promote education for justice,
peace, and human rights.

Last autumn, an ecumenical theological
fellowship was formed in Hong Kong, in
association with the Institute, to encourage
theological, religious, and philosophical
reflections and discussions on questions relat-
ed to cultural heritage, faith, and democracy.
The fellowship includes many members of
Hong Kong's intellectual elite who happen to
be Christians.

DEATH DF 5ILVIH LEUNG

Silvia Leung, a 22 year old student
at the British Columbia Institute of
Technology, was murdered on
January 24 at the Burnaby campus
of the college. She was struck in the
shoulder by a projectile and died of
blood loss. Silvia was the daughter
of Lawrence Leung, director of the
Hong Kong Immigration
Department.

The family moved to Vancouver in
1989. Since August last year the
family has been plagued by acts of
vandalism, which included the set-
ting of two fires at their home and
the burning of a family car.
Vancouver police have stated that
there is no connection between Mr.
Leung's position in Hong Kong and
the murder.

The police also denied reports in
Hong Kong that police had not
taken action over the earlier attacks
on the Leungs because they were
Chinese immigrants. This denial
was supported by spokesmen for
both the Chinese Benevolent
Association and the Vancouver
Association of Chinese Canadians.

No one has yet been arrested in the
case. Silvia Leung had been about
to embark on a singing career in
Hong Kong when she was killed.

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SUMMER 1993

Hong Kong Capital Flows Into Canada

by Susan Headers and Don Piltis • Oxford, U.K.

According to the most cynical analysis,
political uncertainly in Hong Kong is only
good for the Canadian economy. The more
troubled the investment climate in southern
China, the more likely it is that money, some-
times attached to its owner, will migrate to the
safety of Canada, stimulating this country's
economic growth.

Without doubt the numbers, in absolute
terms, are substantial. By one official estimate
from the Canadian Commission in Hong Kong,
as much as CDNS5 billion in Hong Kong capi-
tal from all sources flowed into Canada in 1991
alone. What is harder to calculate is how much
benefit Canada actually sees from that consid-
erable amount of Hong Kong money. By 1992.
69 f r of the money invested in Canada under
the controversial federal Immigrant Investor
Program was real estate-based, capital that
some critics argue creates few permanent jobs.

Moreover, calculating how much Hong
Kong money actually arrives and stays in
Canada is not easy. The uncertainties stem in
part from the way in which the government
gathers statistics and. in part, from the com-
plexity of the investment pattern - something
Henry Yau of Investment Canada readily

admitted. As he stated. 'There is really no way
to estimate it because Canada does not require
people to report what they are doing with their
money."

Government statistic-gathering methods
may disguise the origin of an investment.
Money brought by immigrants is one of the
most important sources of Hong Kong capital
entering Canada. However, because this money
is brought in by someone now 'resident' in
Canada, the government considers it domestic
rather than foreign capital. If the capital comes
from a company or person resident in Hong
Kong - from the Cheong Kong empire of Li
Ka-shing. for example - it shows up as 'for-
eign' investment on the government's records.

Even so, portions of both 'foreign' and
'domestic' Hong Kong investment can be esti-
mated with some certainty, revealing that Hong
Kong capital has become an important contrib-
utor in the Canadian real estate, energy, ser-
vices, and manufacturing sectors. Although the
economic development impact of this invest-
ment remains controversial, the federal govern-
ment has estimated that immigrant investors -
the largest number of whom came from Hong
Kong - contributed about half of the CDNS3.3

Capital, cont'd page 2

Patten's Constitutional

Proposals and Sino-

Hong Kong Relations

by Bernard Luk
York University, Toronto

Just as the Update was going to press
last April, it was announced that the PRC
and UK governments would hold talks on
the electoral arrangements for Hong Kong
towards 1997. Beijing's willingness to
engage in diplomacy, rather than strident
attacks on the British side, broke the
impasse which had developed over
Governor Chris Patten's proposal last
October to give Hong Kong increased, but
still very limited, democracy before the
transfer of sovereignty.

The PRC authorities insisted that any
constitutional development in Hong Kong
must be congruent with three previous sets
of documents produced by the two
sovereign powers: the Sino-British Joint
Declaration on the Future of Hong Kong
ratified in 1985; the Basic Law of the
Special Administrative Region of Hong
Kong, promulgated by the Chinese govern-
ment in 1990; and exchange of secret

Proposals, cont'd page 2

IN THIS ISSUE:

Hong Kong Capital I

Patten's Constitutional Proposals and

Sino-Hong Kong Relations 1

A Matter of Passports 7

1992 Immigration Demographics 8

Anglo-Chinese Confusion 10

Hong Kong in the Chinese Press 10

Triads: Notes from Hong Kong Press 11

per

F1029.5
H6 C36

Hong Kong Pop Singers 12

Is Canada Losing Hong Kong Investment? 13

Closure of Provincial Offices Abroad 14

The Multinational Entrepreneur

in Shenzen SEZ 15

Seminar on Canadian Trade in Southern China

and Hong Kong 16

Metro-Toronto Week in Hong Kong 17

Maintain or Reform: Dispute within CCC 17

Tommy Tao: NDP Candidate

for Vancouver Quadra 19

News in Brief 20

UBC Seminar on Hong Kong 21

"City" by L. Ho 23

Basic Reference Works on Hong Kong 24

CANADA AND
HONG KONG UPDATE

Editors

Diana Lary

Bernard Luk

Janet A. Rubinoff

Illustration &

IMSCreali\e

Design

Communications

Contributors

Susan Henders

Paul Levine

Sonny Lo

Christina Mungan

Don Pittis

Hugh X. Tan

Ciimula and Hong Kong Update is
published 3-4 times a year by the
Canada and Hong Kong Project
Joint Centre for Asia Pacific Studies,
Suite 270. York Lanes,
York I niversity, 4700 Keele St.,
North York, Ontario,
CANADA M3J 1P3

Telephone: (416)736-5784
Fax:(416)736-5688

Opinions expressed in this newsjournal
are those of the author alone.

CANADA AND HONG KONG PROJECT

Co-Directors Diana Lary
Bernard Luk

Coordinator Janet A. Rubinoff

Advisory Board David Bond

Mary Catherine Boyd
Denise Chong
Maurice Copithome
B. Michael Frolic
John Higginbotham
Jules Nadeau
William Saywell
Wang Gungwu

Articles may he reprinted in whole or
in part with appropriate credit to the
Canada and Hong Kong Update.

We want to thank the Donner Canadian
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Please call or write to us for past

or future issues.

Capital, cont'd from page 1

billion in new venture capital available to
Canada in 1989.

Hong Kong investment has received more
than its share of publicity because of its links
with the hand-over of Hong Kong to China in
1997 and with the migration of many of the
territory's skilled and wealthy citizens to
Canada. However, its overall contribution is
overshadowed by the largest players. The
United States, Europe, and Japan are Canada's
major sources of foreign capital. Still, Hong
Kong capital is second only to that of Japan as
a proportion of growing Asian investment in
Canada. According to one estimate. East Asia
has accounted for about one-fifth of Canada's
capital requirements since the mid-1980s.

Although the exact overall size of Hong
Kong capital flows into Canada remains elu-
sive, various federal government sources reveal
the outline of its components.

Hong Kong Foreign Investment

This category includes both direct and indi-
rect investment made in Canada by Hong Kong
residents. Direct investments (see Table 1 ) are
those which give Hong Kong residents influ-
ence in the management of an enterprise, usu-
ally based on ownership of at least 10% of the
company's equity. At CDNS137 billion from
all world sources in 1991, direct investment is

second only to bonds as the largest form of for-
eign investment in Canada. [All subsequent
figures are in Canadian dollars.]

Hong Kong's direct investment in Canada
grew from $8 million in 1961 to $19 million in
1971, $87 million in 1981, and $2,306 billion
in 1991 . As these figures exclude capital from
other foreign or domestic sources used to lever-
age the investment, they do not reflect the total
book value of Hong Kong-controlled assets in
Canada, which would likely be several times
greater. For example, in 1987. the last year
Statistics Canada kept track of such figures.
Hong Kong direct investment in Canada was
recorded as $619 million. [This figure has
since been revised. Thus, the total is different
from the total for 1987 which appears in Table
1.] The total assets of Hong Kong-controlled
direct investments in Canada was much higher,
estimated at S2.3 14 billion.

At the end of 1991. the Pacific Rim
accounted for $9,217 billion in direct invest-
ment in Canada, nearly 79r of the total from all
countries and more than double its share of the
total in the mid-1980s. Japan and Hong Kong
were Canada's largest direct investors from the
region, investing $5,345 billion and $2,306 bil-
lion, respectively, at 1991 year end. Hong
Kong's total accounted for nearly 2% of all for-
eign direct investment in Canada, up form a

Proposals, cont'd from page 1

diplomatic notes during 1988-90 between the
two governments. Beijing was insistent that
Patten's proposals infringed on these docu-
ments but refused to be specific about where
the infringements were.

The UK government was equally insistent
that the proposals did not infringe on any pre-
vious agreement or promulgation, but only
filled in the gaps in accordance with the spirit
of the Joint Declaration. Governor Patten
indicated from the beginning that he was pre-
pared to negotiate on specific provisions, but
that the outcome of any negotiation must pro-
vide for fair elections and be acceptable to the
people of Hong Kong.

Sino-British Talks

The talks have been held in Beijing
between the Chinese vice-foreign minister,
Mr Jiang Enzhu. and the British ambassador,
Sir Robin MacLaren. Beijing would not rec-
ognize ethnic Chinese officials of the Hong
Kong government as members of the British
delegation, so formally each side is represent-
ed only by its leading member, while other

officials on either side are technically special-
ists/advisers.

Beijing did not want the press to cover the
negotiations but relented after protests from
the Hong Kong media. Nevertheless, there
was confusion at the opening of the first
round in April, when reporters were denied
the customary photo opportunity in the meet-
ing room and were not permitted to observe
the seating arrangements on the two sides of
the table. Afterwards, the restrictions were
relaxed a little, and reporters have been
allowed a few minutes in the meeting room at
the beginning of each session. (Team leaders
and their specialists/advisers sit together at
the table.)

It was agreed by the two sides before the
talks that there would not be any press com-
muniques after each round. Indeed, neither
side would divulge what had been discussed,
except for platitudes like "some progress has
been made." The Hong Kong community
(including its Legislative Council), not for the
first time, has been kept in the dark by its
sovereign masters about what is being

2 UPDATE

mere 0.2' < in the mid-1980s. Its share was still
only a drop compared to the SN3.S billion
(61* i ) held b) US investors and $36.5 billion
( nearly 27' < I held hv European investors in
1991. Hong Kong direct investment is especial-
ly strong in real estate, particularly the hotel
industry', oil and gas. and manufacturing, where
important investments have been made in tex-
tiles and electronics, according to government
sources.

Direct investment includes contributions
by Hong kong residents to incorporated real
estate, such as hotels or larger commercial
property. It does not include foreign invest-
ments in unincorporated or privately held
real estate, where Hong Kong-resident
investors also played a significant role. At
the end of 1 99 1 . foreign investors had con-
tributed S4.3 billion to privately held real
estate in Canada. Approximately S2.6 bil-
lion, or nearly 61% of the total, came from
Hong Kong-resident investors, according to
Frank Chow of Statistics Canada. Bank
financing and other leveraging would reveal
the total book value of Hong Kong contribu-
tions in unincorporated real estate as several
times higher. Real estate investments by
Hong Kong immigrants would push the total
hieher still.

Table 1: Hong Kong Direct Investment In
Canada (in millions of dollars)

Year

Total

Year

Total

1960

-

1976

41

1961

8

1977

54

1962

8

1978

64

196?

8

1979

49

1964

9

1980

51

1965

10

1981

87

1966

9

1982

117

1967

10

1983

137

1968

15

1984

168

1969

18

1985

170

1970

20

1986

426

1971

19

1987

631

1972

26

1988

1(X)7

1973

25

1989

1100

1974

18

1990

1309

1975

34

1991

2306

Sow i

Statistics Canada

Portfolio investments - those which do not
give the buyer a management role in the com-
pany - make up a second major category of
foreign Hong Kong capital in Canada. Known
as indirect investments, the category includes
purchases of equities below the 10% threshold
and investments, such as public and private sec-
tor bonds, debentures, long-term notes, and

such money market instruments as Govern-
ment of Canada treasury bills and Canada bills.

Exact figures for Hong Kong indirect
investments arc unavailable because of
Statistics Canada reporting methods and
because Canadian issuers are sometimes unable
to identify the ultimate foreign owners. As
Frank Chow indicated. Hong Kong resident
investors are relatively small players in a field
overwhelmingly dominated by investors who
reside in the L'S. Japan, the L'nited Kingdom,
and other European Community countries.
Only about $15.2 billion (6«H I of all foreign
non-direct purchases of stocks and bonds are
held by investors outside these regions. Hong
Kong holdings are a part of this total, but no
one knows how much.

Excluding these indirect investments, the
government estimates that Hong Kong-resident
investors accounted for S4.9 billion in direct
investment and unincorporated real estate hold-
ings in Canada at the end of 1 99 1 .

Hong Kong Immigrant-Source Capital

'Domestic' Hong Kong investment is made
up of the capital Hong Kong immigrants -
whom Statistics Canada categorizes as
Canadian residents - bring with them when
they come to Canada and invest in that country

Capital conl'd page 4

planned for it. Nevertheless, the community
as a whole is relieved at the suspension of the
fireworks from PRC officials which predomi-
nated during the winter and early spring.

Effects on Hang Seng Index

Meanw hile. the stock market took heart
from the fact that the two sovereign powers
are at least talking to each other, and the
Hang Seng Index resumed its interrupted
climb. It had stood at about 4800 at the begin-
ning of 1992. It rose steadily through the year
and continued to climb last October after
Patten first made his constitutional proposals,
reaching a peak of nearly 6500. When
Beijing began its diatribes and indicated it
might not honour contracts awarded by the
Hong Kong government, the index dropped
below 5000 in December. The rise resumed
after the new : year and was at about 6800
when the talks began in April, reaching a new
peak of above 7500 towards the end of May.

By any standards the rise of the Hang
Seng Index during the past one and half
years, despite the temporary setbacks, has

been spectacular. It was helped, inter alia, by
US President Clinton's decision in late May to
renew 5 the Most Favoured Nation treatment for
the PRC, unconditionally for another year.
(Governor Patten, on his visit to the White
House and Congress in May. pleaded w ith
American politicians not to impose trade
restrictions on China.) The exuberant business
atmosphere contrasts sharply w ith the social
and political sense of helplessness and gloom.

Other Sino-British Contacts

The constitutional negotiators met in
Beijing for seven rounds between April and
June, and could not come to any conclusions.
However, those meetings made it possible for
other Sino-British talks to take place.

The joint committee on the new airport
scheme resumed its work after a break of half
a year and reached agreement in late June on
one of the major projects of the scheme, the
Western Harbour Crossing. The rail and
road tunnel is estimated to cost HKS7.6 bil-
lion (CDNS1.3 billion). The committee
awarded the buildins contract, with a thirtv-

year monopoly, to a consortium made up of
PRC state-owned enterprises (about 60Ti )
and Hong Kong capitalists. The proposed
contract contains some unusual features. For
instance, the permitted rate of return (18.5%)
of the Western Crossing will be much higher
than with the existing tunnels and other utili-
ties. It will also have the unprecedented right
to raise its tolls automatically once its profits
fall below a certain percentage.

The Joint Liaison Group, which is the
ambassadorial committee stipulated in the
Joint Declaration to work on the diplomatic
details necessitated by the 1997 transfer, also
met again in June after a hiatus of several
months. However, the atmosphere w as
strained throughout its three-day meeting, and
the two sides could not agree on any major
issue, such as the conversion to civilian use of
certain lands in Hong Kong now occupied by
the British military and the award of the con-
tract for Container Terminal No. 9 (the dis-
pute over which brought a sharp fail of the
Hang Seng Index last winter).

Proposals, cont'd page 4
UPDATE 3

Capital, cont'd from page 3

as part of immigration requirements.

The bulk of the money comes from business
immigrants, who include: 1 ) entrepreneurs, or
people with business expertise and capital who
buy or establish a business which they must
manage and which must create at least one job
for Canadians; 2) investors, who are admitted
under the Immigrant Investor Program, must
have a personal net worth of $500,000-700,000
and, invest for five years $250,000-350,000 in
an approved business syndicate or a private or
provincial government-administered venture
capital fund; 3) and self-employed individuals,
who must establish or buy a business in Canada
which creates employment for themselves and
contributes to Canada's economic, cultural, or
artistic life.

Money invested to fulfil the immigration visa
requirements under the Immigrant Investor
Program (HP) is the only portion of this immi-
grant capital which can be quantified with any
certainty. Unlike other investments, those made
under the IIP are locked in for five years.

Since the program's inception in 1986,
Hong Kong immigrants have contributed
approximately 40% of the nearly $2 billion

subscribed under the IIP by the end of last year,
according to Guy Pilote of the Business
Immigration Branch, now part of the new
Ministry of Public Security. Southeast Asia is
Canada's major source of immigrant investors,
with Hong Kong accounting for 45.2% and
Taiwan for 42.3% of all IIP participants in
1992. The government estimates that the pro-
gram had created direct employment in excess
of 10,000 jobs by mid-1991.
Despite the accomplishments of this 'cash-for-
visa' program, the IIP has recently come under
attack from Canadian critics and some immi-
grant investors, who accuse the government of
lax management and some private fund pro-
moters of misrepresentation and even fraud.
The Manitoba government has withdrawn from
the program and turned the allegations over to
its Crown prosecutors. Other provincial gov-
ernments have said they are reviewing their
role. Critics note that jobs created under the UP
have largely been in construction and the low-
wage service sector, raising questions about the
long-term benefits for the Canadian economy.

The federal government, which recently ini-
tiated regulatory reforms to tighten up the pro-
gram, has also admitted the IIP is in trouble. In

1992, a report from the federal Ministerial Task
Force on the Immigrant Investor Program was
leaked to the media and stated that Canada
would lose billions of dollars and its reputation
as a good place to invest if the program were
not significantly reformed. The report conclud-
ed that "[A] good number of [IIP] investments
are of questionable value." and far too many
were in real estate. "[R]eal estate investments
do not normally create a substantial number of
permanent jobs," and "most real estate projects
can be financed through conventional sources."
Therefore, more effort should be made "to
ensure that funds are better targeted to job cre-
ating sectors of our economy."

The Task Force report also accused the pro-
gram of neglecting the human capital side of
economic development, paying too much atten-
tion to applicants' money and not enough to
their business acumen, skills, and experience. It
warned. "Although important, financial consid-
erations alone should not form the basis for
selection of an investor applicant. Without the
business expertise factor, it is quite probable
that one would see the advent of revolving
funds aimed solely at equipping unqualified

Capital, cont'd on page 6

Proposals, cont'd from page 3

It could only concur on relatively minor
issues, such as bilateral investment protec-
tion agreements between Hong Kong and
Australia and Sweden. Many urgent prob-
lems remain outstanding. These include
some one hundred multilateral agreements
to which Hong Kong has adhered as a
British Dependent Territory and which
would require Si no-British concurrence for
Hong Kong to participate beyond 1997 on
its own. There are also many bilateral agree-
ments between Hong Kong and other coun-
tries which require the blessing of the two
sovereign powers. The Joint Liaison Group
adjourned without fixing a date for its next
round, and the two sides accused each other
of insincerity and delaying tactics.

HK-PRC Economic Links

In the mean time, the economic connec-
tions between Hong Kong and the PRC con-
tinued to multiply, and the erratic behaviour
of the Mainland economy has become the
focus of concern. For the past few years.
Communist Party cadre-capitalists have been
investing heavily in the Hong Kong stock and
housing markets and have been encouraging
Hong Kong capital to invest on the Mainland.

Some observers have expressed the concern
about these two-way investments involving
PRC officials or their family members.

Last winter, there were allegations that the
Hong Kong and Macau Office of the State
Council (the PRC cabinet-level agency in
charge of Hong Kong affairs) was engaged in
joint ventures with capitalists who were privi-
leged with insider information about the tim-
ing of Beijing's diatribes against Patten, and
were enabled to play the stock market with
advantage. Such allegations were promptly
denied by Lu Ping, director of the Office.

More to the point is the monetary crisis
in China. The rapid economic expansion
there during the past few years has generated
intense inflationary pressures. The lack of
healthy financial structures and the ability of
cadre-capitalists to use political/administra-
tive maneuvers to bypass many government
regulations, resulted in loss of control over
the currency, the renminbi. The renminbi
depreciated against the US dollar by some
20% within ten days. Part and parcel of the
problem was that the renminbi, not a hard
currency, has several different exchange rates:
an official rate, different rates at each of sev-
eral official currency clearinghouses (swap

markets) in various parts of the country, and
black market rates as well.

The sharp downturn of the renminbi has
been watched with grave concern in Hong
Kong. In addition to trade between the two
territories in goods and services, some of
which is denominated in renminbi, there are
other financial dealings which could be
affected. In the Hong Kong stock market,
the share prices of many of the so-called
China-concept companies and of empty-
shell Hong Kong registered companies
bought by Mainland firms for trading in
Hong Kong, fell sharply. PRC state-owned
enterprises, such as Tsingtao Beer and
Shanghai Petrochemicals, which became
listed in the Hong Kong Stock Exchange
after many months of preparation, did not do
as well there as expected, even though their
shares were still oversubscribed. Visits by
Mainland tourists to Hong Kong, which
numbered over a million in 1992, are pro-
jected not to increase quite as rapidly as
before the depreciation.

By early July, the PRC authorities were
taking steps to halt the depreciation. The gov-
ernor of the People's Bank was dismissed,
replaced by Deputy Premier Zhu Rongji (who

4 UPDATE

just returned from a tour of Canada, where he
was \er\ well received bj the Toronto and
Vancouver business community).
Government intervention, with a combination
of monetary and administrative measures.
brought up the exchange rale sharply, hi
Hong Kong, the sense of uncertainty has not
been dispelled. While there is a consensus
that a proper re-structuring of the financial
system in the PRC would be good in the long
term for both China and Hong Kong, there
are no clear signals that this is taking place,
or how far the retrenchment would go. In the
short run. the fairly violent downs and ups of
the renminbi have the immediate effect of
withdrawing, for political/administrative rea-
sons, a good deal of cadre-capitalist money
from the Hong Kong market.

In addition to the economic uncertainty,
there have been reports of a number of small
scale protests or rampages by hard pressed
peasants in different parts of China. These
were forcefully suppressed by the authorities.
The peasants had been paid promissory notes
rather than cash by government purchasing
agents and could not make ends meet. By
early July, peasant rioting had been reported
in eleven provinces in China. The widening
gap between the haves and the have-nots in
China is common knowledge in Hong Kong
and could not but give rise to a sense of fore-
boding. The euphoria about the China market
has been dampened, and the Index has been
fluctuating between 6700 and 7000 in recent
weeks. It also remains very sensitive to news
about the various Sino-British negotiations
over Hong Kong's economic, political, and
legal development.

Sino-British Trade Expansion

In spite of all the diplomatic difficulties
between Beijing and London, trade between
the two sovereign powers continued to grow,
expanding by some 70% during the year
since Patten became governor. In June, top
officials of the Jardine Group visited China
and returned with optimistic news. The
largest British commercial firm based in
Hong Kong (now with its legal headquarters
in Bermuda), Jardines had came under vehe-
ment attack from the PRC last winter for sup-
porting Patten's constitutional proposals.

Lack of Progress in Talks

Meanwhile, the government and public in
Hong Kong have become increasing impa-
tient with the lack of progress in the Beijing
constitutional talks. As the legislative year
draws to a close and time is running short to

prepare for the Legislative Council and local
elections in 1444 and 1995, decisions will
have to be made very soon about Patten's pro-
posals on expanding the franchise and con-
stituencies of those elections. In the latter part
of June, it was learned that one of the main
impediments in the talks has been the idea of
the "through train" — the desire in Hong Kong
that legislators elected in 1995 would be
allowed to straddle the transfer of sovereignty
and serve till 1999 — and the wish in Beijing
not to have certain pro-democracy leaders sil
in the Hong Kong legislature after 1997. It
seemed that the two sides had spent se\ en
rounds debating generalities, and the PRC
team would not make counter-proposals to
Patten's plan.

At the end of June. Governor Patten flew
to London with Hong Kong officials who
have attended the Beijing talks, for consulta-
tions with the British cabinet. After the meet-
ings, the British government re-affirmed its
support for Patten's proposals and for the
strategy of the British side in the Beijing
negotiations. However, it was later
announced, on very short notice, that Foreign
Secretary Douglas Hurd would go to Beijing
after the G7 summit in Tokyo, to meet with
his Chinese counterpart. Qian Qichen. in the
hope of facilitating the talks. Opinion was
divided in Hong Kong on whether Hurd was
going to make major concessions. So far. this
has not turned out to be the case. The two for-
eign ministers apparently have agreed to
focus future constitutional talks on the issues
of the "through train." the functional con-
stituencies, and the electoral committee. This,
together with the reported willingness of the
PRC delegation finally to make concrete
counter-proposals, gave rise to some opti-
mism about the talks.

However, the eighth round, held in July,
still produced no concrete results, and hopes
are now pinned on the ninth round. Patten had
more consultations with Hurd and indicated
that, even if the negotiators in Beijing should
still fail to come to any conclusions, he would
have to make decisions about the 1994 and
1995 elections when he delivers his second
annual policy address in the autumn.

Role of HK Pro-Democracy Groups

Throughout the past three months since
publication of the last Update, pro-democracy
groups in Hong Kong, especially the United
Democrats of Hong Kong (UDHK), have
generally kept a low- profile in facing attacks
from the PRC. A few junior members of the
UDHK have defected to other pro-democracy

groups which have been less ostracized by
Beijing Some leaders of these othet

are wooed by PRC officials as possible coun-
terweights to the UDHK. The UDHK as a

whole has held linn and has retained its posi-
tion as the most popular Hong Kong political
party in a number of opinion polls conducted
by the mass media. Interestingly, in another
poll of secondary school pupils in a working
class district. Patten was rated the most popu-
lar political figure, followed by pro-democra-
cy legislators. Emily Lau and Martin Lee.
The teenagers rated PRC official Lu Ping the
most unpopular, followed by Maria Tarn (a
former member of the Executive and
Legislative Councils under Governor Wilson.
who left the Councils after a conflict of inter-
ests scandal). Patten was also given third
place!

The Legislative Council is now debating
the terms of the Western Harbour Crossing
contract. Councillors across the political
spectrum are unhappy about what they con-
sider to be too favourable terms for the
investors at the expense of the public. On its
part, the consortium awarded the proposed
contract would not accept any change in the
terms already agreed to by the two sovereign
powers. In Beijing, the Committee estab-
lished by the PRC government to prepare for
the Organizing Committee [see B. Luk.
"'Update on Governor Patten's Policy
Address." Canada and Hong Kong Update,
no. 9. Spring 1993. p.3.] met for the first time
under the chairmanship of Foreign Minister
Qian Qichen. Mainland and Hong Kong
members were all appointed by the PRC gov-
ernment. A member of the committee
promptly began to attack Martin Lee and
other pro-democracy legislators as unpatriotic
and unfit for the "through train."

At the same time. Hong Kong's Financial
Secretary announced in Legco that the
Exchange Fund of Hong Kong now stood at
HKS287 billion (CDNS48 billion), taking the
territory from twelfth to tenth place in the
world. Simultaneously, the Independent
Commission Against Corruption reported on
widespread anxiety in the community about
an increase of corruption in public and private
concerns towards 1997 and beyond.

As the Update goes to press, a new round
of talks on electoral arrangements is being
held in mid-August, amidst threats from cer-
tain PRC officials to take over Hong Kong
before 1 997. The stock market apparently
disregarded the threats.

UPDATE 5

Capital, cont'd from page 4
applicants with the capital necessary to pass
themselves off as qualified business persons."
Despite these problems, investment capital
entering Canada through the program has been
especially important in poorer provinces, where
it is the largest pool of venture capital available.
The overwhelming majority of immigrant
investors - 92% - still choose to live in British
Columbia, Ontario, and Quebec when they land
in Canada. However, the Atlantic provinces,
Saskatchewan, and Alberta were able to attract
just less than half of the nearly $2 billion in sub-
scriptions made under the program between
1986 and March 1993 (see Table 2).

Table 2: Distribution of Funds Subscribed
Under the Immigrant Investor Program,
Jan. 1, 1986 to March 31, 1993

Province

Total (%)

Quebec

28.0 .

Saskatchewan

19.6

British Columbia

13.1

Manitoba

9/>

Nova Scotia

7.9

Prince Edward Island

6.0

Ontario

5.5

New Brunswick

3.9

Alberta

3.6

Newfoundland

2.4

Northwest Territories

0.2

Yukon

0.0

Sonne: Employment <uul fmmigrarioi

Canada

The Task Force report noted that the IIP had
been less successful in getting investor funds
into the more remote and poorest regions of
both poor and rich provinces. Instead, most of
the funds went to provincial capitals and urban
centres. Nevertheless, without the IIP, very little
of the money Hong Kong immigrants bring
with them would be invested outside Quebec.

British Columbia, Ontario, or Alberta. For
example, among other non-investor business
immigrants, approximately 95% of entre-
preneurs and 93% of self-employed immigrants
settle in these four provinces, indicating the
majority of their business investments were
likely made in these same provinces.

The benefits Canada is gaining from other
types of capital brought in by Hong Kong
immigrants is much more difficult to quantify
than the IIP funds. Hong Kong immigrants
undoubtedly bring other money with them,
some of which they invest in such things as
homes, cars, stocks, and businesses. For
instance, some of the biggest money comes
from business immigrants in the investor and
entrepreneur categories. They bring an average
of $ 1 million each, according to John Martin of
the Business Immigration Program.

The government keeps two kinds of statis-
tics on these immigrant transfers of money to
Canada, neither of which gives a reliable indi-
cation of how much immigration-related cap-
ital ends up invested in Canada. Before
departing for Canada, immigrants issued
visas or permits must make a declaration of
their "total money" i.e., how much money
they have already transferred, will transfer, or
will have in their possession upon their
arrival. The government estimates that all
Hong Kong immigrants granted visas or per-
mits between January 1988 and December
1992 declared $18.1 billion in total money, an
average of nearly $500,000 each (see Table 3
below). Although the figure theoretically rep-
resents the immigrants' total net worth. Guy
Pilote of the Business Immigration Branch
said it probably underestimates their assets
and does not necessarily indicate how much
money they eventually transfer to Canada.

"We don't ask them to empty their pockets
and show us what they have," he said. "No one
walks on the street with a tag saying they are
worth so many dollars."

The federal government also keeps records
of the funds immigrants declare they are bring-
ing with them when they arrive at a Canadian
port of entry. For example, the government esti-
mates that the 3,157 Hong Kong business
immigrants who landed at Canadian ports of
entry in 1992 declared about $120,000 each, or
a total of $379,368 (see Table 4). Details of
funds declared by Hong Kong business immi-
grants over the last several years were not avail-
able at press time, but figures for business
immigrants from all countries hint at the sums
involved. The government estimates that the
27,220 business immigrants who entered
Canada between 1987 and 1992 from all coun-
tries - roughly half of whom came from Hong
Kong - declared a total of $2.8 billion at ports
of entry, an average of $102,216 each.

These figures do not indicate the individu-
al's net worth, as few immigrants bring all of
their assets to Canada. However as Pilote con-
cluded, the figures understate the money immi-
grants transfer as they exclude immigrant
investor capital in IIP funds and syndicates and
probably underestimate the total pool of capital
entrepreneur immigrants eventually invest in
Canada.

Table 4: Hong Kong Business
Immigrants, Total Funds in Possession
at Ports of Entry, Jan.-Dec. 1992*
(Principal Applicants Only)

Aver./ Total #
Total $ person of Immi-
($*000's) ($'000's) ofgrants

Entrepreneurs

237,598

121

1,962

Self-Employed

22.637

112

202

Investors

119,133

120

993

Total Business

379368

120

3,157

Immigrants

* Preliminary figures only.

Source I mploymeni and Immigration Canada

Table 3: Total Money* for Immigrants Granted Visas or Permits, CLPR Hong Kong

Year

Total Visas,
All Classes

Sum of Total Money,

All Immigrants

($ '000's)

Average Total Money

by Selected Classes

($ '000's)

Aver. Total Money
All Classes

( '000's)

Retired Independ.

Assist.
Rel.

Family

Investors Entrepren. Self-
Employ.

1992

11.731

5.323,090

1102.99

173.08

255.29

9.05

1991

9,900

4.192,662

976.02

161.94

221.01

28.68

1990

8.742

3,690,536

1358.67

179.22

172.03

64.54

1989

9.494

2,563.509

854.49

163.19

136.64

52.31

1988

9.391

2,329.062

830.38

95.95

66.37

60.87

1580.04 824.04 526.44 453.76

1521.29 1038.70 550.28 423.50

1655.99 983.55 550.39 422.16

1543.00 831.05 387.83 270.01

1579.28 840.64 359.49 248.01

*Total money means money already transferred, to be transferred, and in possession on arrival.
Source: Employment and Immigration Canada

6 UPDATE

A Matter of Passports

by Bernard Luk
York University, Toronto

In the run-up to 1997. millions of Hong
Kong people will be entitled to hold two
■"British" passports issued by the Hong Kong
government at the same time. Both are dis-
tinct from the British passports of United
Kingdom citizens, which indicate full British
citizenship and right of abode in the United
Kingdom. At British border control points.
holders of UK and European Community
(EC) passports wait in one line, while holders
of Hong Kong "British" and other passports
wait in another line.

Under the British Nationality Act adopted
by the Westminster Parliament in 198 1 . citi-
zens of Hong Kong are entitled to "British"
passports, which describe them as British
Dependent Territories Citizens (BDTC).
They enjoy the right of abode in Hong Kong
but may be required to apply for an entry per-
mit before travelling to the United Kingdom.
The Hong Kong BDTC passport is a widely
recognized travel document, and its holder
could travel to many countries, including
Canada and most of the European
Community, as a tourist without a visa.

When Hong Kong ceases to be a "British
Dependent Territory" on 1 July 1997. the
Hong Kong BDTC passport will automatical-
ly lose its validity. An exchange of memoran-
da, appended to the Sino-British Joint
Declaration on the Future of Hong Kong,
made special provisions for passports. It stip-
ulated that the UK government would issue
British passports which would remain valid
after the transfer of sovereignty, to persons
born before that date, on account of their con-
nection with Hong Kong. The PRC govern-
ment would permit Hong Kong people to
hold that travel document but would not rec-
ognize it as a passport implying British
nationality. Subsequently, the British govern-
ment adopted measures for a new class of
passports, known as the British National
Overseas (BNO) passport, for this purpose.

The Hong Kong government has been
issuing BNO passports since the late 1980s.
Passport applicants could choose freely
between the BDTC and the BNO. The over-
whelming majority have chosen the BDTC
because it is believed, with some justification,
that a number of third countries do not recog-

nize the BNO on par with the BDTC, making
it necessary for BNO-holders to apply for
visas. The case is often cited of a Hong Kong
family, travelling from Germany to Canada a
few months ago. that was refused boarding by
the airline because members of the family
held different versions of British passports.

As 1997 approaches, the Hong Kong go\ -
emment is faced with the administrative
nightmare of having to issue more than two
million BNO passports during the last few
months before the transfer, to people who
wanted to hold on to their BDTC passports
until the last minute. Earlier this year, the
Executive Council decided to require BDTC
passport holders to trade in their passports for
the BNO between 1993 and 1997. according
to a schedule based on one's year of birth.
This decision met with a storm of protests
from the community and the Legislative
Council. The government's logistical difficul-
ties were appreciated, but the enforced
change was also seen as depriving Hong
Kong people of their citizenship rights ahead
of time.

After meeting with a Legco delegation
representing different ends of the political
spectrum, and probably with intervention
from Governor Chris Patten, the British
Home Secretary decided in June that the
BNO passports would still be issued only
according to the year-of-birth schedule.
However, applicants for the new passport
would also be allowed to retain their BDTC
passports until 1997. In other words, one
could hold both "British" passports at the
same time. It was anticipated that some con-
fusion may result where border control offi-
cers in different parts of the world may not be
aware of the unusual circumstances, and the
Hong Kong government has advised its peo-
ple not to use both passports for the same
country.

Where Hong Kong's own border control is
concerned, there should not be any problem
because Hong Kong people leave and re-enter
the territory with the computerized Hong
Kong Permanent Resident Identity Card.
which will remain valid beyond 1997. rather
than w ith any passport.

In addition to the "British" passports, the
Hong Kong government also issues the

Certificate of Identity (CI) to permanent
residents (formerly known as "Hong Kong
Belongers") who were not born in Hong
Kong, were not BDTC b> anj other means.
but have resided legally in the territory for
more than se\en years and do not hold any
national passport. Permanent residents enjoy
right of abode and other civil and political
rights of citizenship within the territory of
Hong Kong. There are more than a million
CI holders, mostly ethnic Chinese residents
of Hong Kong who prefer not to travel with
passports issued by the Mainland or Taiwan
authorities. In international law. the CI is
considered a "statelessness" document;
but in fact it is widely recognized around
the world as something like the American
"green card" from Hong Kong, although
visas are required for travel to most
countries.

Again, there is a Document of Identity
(DI), issued by the Hong Kong government,
usually to immigrants from the PRC who
needed to travel overseas before they had
attained the status of permanent residents of
the territory. Holders of the CI and DI are not
affected by the policy on BNO passports.

According to the Joint Declaration, after
1997 Hong Kong people could travel with
passports issued by the PRC authorities or by
the Hong Kong Special Administrative Region
authorities. However, no details of proposed
arrangements have been published so far.

Meanwhile, ethnic Chinese from Hong
Kong can apply for passports for international
travel from either the Mainland or Taiwan
authorities (or both), and some people have
done so. Taiwan recognizes dual nationality,
while the PRC does not. The legal issues
could be tricky, and most people prefer not to
involve themselves. In any case, the PRC
considers all Hong Kong people always to
have been its citizens and does not recognize
the BDTC. On both sides of the Taiwan
Straits, the authorities issue passport- 1 ike
identity documents for multiple entry, that
permit Hong Kong people to "return to the
Fatherland" under their respective control.

All this multiplicity of passports and cer-
tificates underline the complexity and pathos
of the political situation in which Hong Kong
people find themselves.

UPDATE 7

1992 Hong Kong Immigrants Landed in Canada: Demographics

by Diana Lury
UBC, Vancouver

The 1992 numbers for immigrants from Hong Kong landed in
Canada showed a major jump from the figures the year before. The
1992 figure of 38.841 represented an increase of 74% over the 1991
figure of 22.329. and a 34% increase over the 28.949 figure for 1990.
[The present figures date from June 1993. Figures published in the
last Update were run in February 1993. The increase between
February and June comes about because figures are still being col-
lected at the beginning of the year.]

The changes in demographic characteristics are less dramatic than
the change in overall numbers. The male:female ratio has hardly
changed over the past five years, nor has the marital status of immi-
grants. The gradual rise in age of the immigrant group has continued.
The downward trend in knowledge of official languages has continued,
as has the decline in levels of educational achievement. Levels of lan-
guage and educational attainment vary considerably by class of immi-
grant, with the highest levels associated with the independent class. Low
levels are associated with the business classes (investor, entrepreneur
and self-employed). These are also the classes in which the ratio of
workers to non-workers is highest, i.e. the principal immigrants are
accompanied by the largest number of non-working dependents.

Male/Female ratio

The male/female ratio in 1992 continued to favour women. It
declined slightly from the 1991 ratio of 53:47 (womemmen). to 52:48,
still higher than the 1 990 ratio of 5 1 :49.

Total

Male

Female

8

11.142

9

9.396

14.154

1

10.505

2

18,785

12.139
10.465
14,790
11,824

20.056

23.281
19,861
28.949
22,329
38,841

Marital status

The proportion of married people in the Hong Kong immigrant
group landed in 1992 declined very slightly to 47% of the group, from
49% the year before.

1988

1989

1990

1991

1992

Single

Married

Widowed

Divorced

Separated

10914

11645

503

168

51

9603
9656

437
118
47

14269

13837

613

177
53

10227

10745

1154

140
63

18511

18387

1629

231

83

Total

23281

19861

28949

22329

38841

Ages

The trend towards older immigrants from Hong Kong has contin-
ued. In 1988, only 15% of new immigrants were over 45: by 1992 this
proportion had more than doubled, to 32% . The age range of immi-
grants landed in 1992 showed a continued decline in the proportion of
people in the optimum ages for entering the labour market, that is from
25 to 44. The proportion fell again to 41% from 44% in 1991 : in 1988
the proportion was 50%. in 1989 48%, and in 1990 49%. The propor-

tion of children (0-14) showed a small decline in 1992. at 13.8% as
opposed to 14.4% in 1991. These are sharp declines from the 22' - in
1988. 20% in 1989, and 22% in 1990.

The proportion of young people (15-24) has remained stable: in
1992 it grew slightly, at 14%. as against 13% in 1991, 12% in 1990.
14% in 1989 and 12% in 1988. The number of middle-aged people
( 45-64 ) continued to rise: at 2 1 % the figure was an increase over the
19% figure for 1991, which in turn was well above those of 13% for
the 1988 intake, 14% for 1989, and 12% for 1990. The increase in the
proportion of people over 65 continued: 10% of those landed in 1992
were in this category, as opposed to 3% in 1988 and 1989. to 4% in
1990, and to 10% in 1991. The retired category no longer exists, so that
the only people now coming in under this category are those who
applied before it was abolished.

Year

0-14

15-24

25-44

45-64

65+

Total

1988

5126

2825

11686

2911

733

23281

1989

4132

2769

9532

2723

705

19861

1990

6478

3432

14303

3565

1171

28949

1991

3225

2891

9789

4242

2182

22329

1992

5378

5525

15880

8171

3842

38841

Language abilities

Over half of Hong Kong immigrants who landed in 1988 and 1989
spoke English; in 1990 the figure dipped slightly, to 49%. and in 1991
continued to drop, to 48%. It declined again in 1992 to 45%. The decline
in French speakers (unilingual or bilingual) has been checked. The 1992
figure, at 0.38%, is an improvement on the 0.27% figure for 1991.
though it is still below earlier figures: 0.63% in 1988 and 0.51% in 1989.

Lang.

English

French

Bilingual

Mother
tongue

1988 13076 56%

1989 10233 52%

1990 14297 49%

1991 10675 48%

1992

17561 45%

56 0.24%
26 0.13%
8 0.03%
16 0.07%
35 0.09%

410.39% 10058 43%

75 0.38% 9527 48%

98 0.34% 14543 50%

46 0.20% 1159152%

115 0.29%

21115 54'/,

Levels of official language knowledge vary considerably from
class to class, with the lowest level associated with two of the three
business classes.

Official
language

Mother
tongue only

Independent
Assisted relatives
Retired

Self-employed
Family
Investors
Entrepreneurs
Refugees

2411 66%

2413 60%

2188 59%

371 53%

6331 45%

1524 34%

2461 30%

12 29%

1268 34%

1603 40%

1499 41%

322 47%

7891 55%

2899 66%

5604 70%

29 71%

8 UPDATE

Educational levels

The educational qualifications of immigrants from Hong Kong have
been declining steadily over the past five years. In 1988 59% of immi-
grants had secondary school graduation or less, in 1989 64%. in 1990
66%, and in 1991 69%. In 1992 the comparable figure was 73% . Since
this decline has occurred in parallel with a decline in the number of
children (see above), these figures cannot be explained by pointing to
children who are not old enough to have received much in the way of
education, but must indicate declines in the educational level of adults.
At the highest levels of education, a steady decline in proportion
(though not in absolute numbers) is also apparent. The number of uni-
versal graduates was 3597 (15%) in 1988, 2340 (12%) in 1989, 3358
(12%'ifn 1990, 2492 (11%) in 1991. and 3697 (10%) in 1992.

1988

1989

1990

1991

1992

None

2660

2031

3423

2430

3778

(11%)

(10%)

(12%)

(11%)

(10%)

Secondary or less

11063

10672

15723

12902

24355

(48%)

(54%)

(54%)

(58%)

(63%)

Trade certificate

3282

2527

3311

1809

2612

(14%)

(13%)

(11%)

(8%)

(7%)

Non-universitv

1974

1458

1897

1351

2162

(9%)

(7%)

(6%)

(6%)

(6%)

Univ. non-degree

703

822

986

1049

1792

(4%)

(4%)

(3%)

(5%)

(5%)

B.A.

2665

1740

2540

1943

2901

(12%)

(9%)

(9%)

(9%)

(8%)

Some post-graduate 192

123

168

75

154

(0.8%)

(0.6%)

(0.6%)

(0.3%)

(0.4%)

M.A.

702

445

610

431

567

(3%)

(2%)

(2%)

(2%)

(1.5%)

Ph.D.

38

32

40

43

75

(0.16%)

(0.16%)

(0.14%)

(0.19%)

(0.19%)

Not stated

2

1

224

296

445

Total

23281

19861

28922

22392

38841

When the figures are broken down by immigration class, it becomes
apparent that there is a considerable range in educational levels. While
16% of retired people are university graduates, only 3% of
entrepreneurs are.

Education bv

Secondary

University

Total

Immigration Class

or less

graduates

Retired

2094 (57%)

601 (16%)

3687

Independent

2202 (60%)

636 (T\ 1

3683

Assisted rel.

2748 (68%)

476 (12%)

4018

Family

10233 (72%)

1372 (10%)

14223

Self-employed

520 (75%)

46 (7%)

695

Investors

3482 (79%)

321 (7%)

4425

Refugees

33 (80%)

2 (5%)

41

Entrepreneurs

6841 (85%)

248 (3%)

8069

Occupation

In 1990, about half of all immigrants from Hong Kong were des-
tined for the work force. In 1991 that figure went down to 46% and in
1992 to 45%. Of those entering Canada in 1992. 55% were classified
as non-workers, that is they were not expecting to look for work in

Canada. Of those who were going into the workforce. 59% were not
classified tin a specific job. as opposed to 55'i in 1991 and 39' i in
1990.

Occupatioon

1988

1989

1990

1991

1992

Entrepreneur

1087

1276

1030

907

2033

Investors

533

582

1030

Managerial

2876

1696

2189

705

1014

Sci., engineering

1170

493

613

358

479

Soc. Science

283

131

213

65

87

Religion

19

22

19

24

35

Teaching

148

95

95

52

43

Medicine & health 335

215

294

178

247

Arts

275

242

269

132

130

Sports & recreation 4

-)

4

2

3

Clerical

2604

1872

1280

520

667

Sales

912

632

895

352

361

Service

325

344

379

329

409

Farming

8

4

7

4

4

Fishing, hunting

7

Forestry

1

Minin°

1

1

Processing

20

21

29

5

41

Machining

27

23

55

25

58

Fabricating

361

250

493

190

213

Construction

49

58

166

63

48

Transport

31

18

19

13

15

Material

handline

23

11

3

4

3

Other crafts

53

55

170

69

56

New workers

1013

1994

Not classified

5742

5636

10309

Not stated

32

1

24

Total workers

14540

10230

17331

Non-workers

14409

12099

21510

Other

11650

10407

Total

23281

19861

28949

22329

38841

The rate of anticipated work force participation varied considerably
according to immigrant class. With the exception of the retired and
investor classes, non-workers are likely to be the direct dependents of
the principal immigrant:

Workers and non-workers

Worker

Non-worker

Total

Independent

2142 58',

1541 42%

3683

Assisted rel.

2135 5391

1883 47'i

4018

Family

6907 49%

7316 51%

14223

Refugees

20 49%

21 51%

41

Self-employed

308 44%

387 56%

695

Entrepreneur

3163 39%

4906 61%

8069

Investor

1621

2804 63%

4425

Retired

1035 28%

2652 72%

3687

Total

17331

21510

38841

We should like to thank Employment and Immigration Canada, for
making these statistics available to us.

UPDATE 9

A spring flood of articles about "the Hong
Kong question" in China's newspapers dried
to a trickle by early June for a number of rea-
sons. Once talks between the British and
Chinese governments resumed in Beijing on
April 22, generally the People 's Daily and the
China Daily toned down their scathing attacks
on Hong Kong Governor. Chris Patten, and
instead simply reported the date each round of
talks began. In early June, the China Daily
approvingly quoted Elsie Tu. deputy president
of Hong Kong's Legislative Council (Legco),
as calling for "a time of silence" and "an end
to megaphone diplomacy" during the Sino-
British talks.

Hong Kong in the Chinese Press

by Christina Mungan
Beijing

As if following Tu's advice, the Chinese
papers gave no information at all about any
progress made during the talks, probably partly
because little progress seemed to be made. A
prominent front-page article, noting the start of
round six [China Daily, 17June 1993. p. 1].
quoted major Hong Kong newspapers as
expecting "an early agreement" but noticeably
failed to quote any Chinese source in support of
that hope. The silence extended to Sino-Briush
talks on the Hong Kong airport financing plan.
Talks were scheduled to resume June 4. but by
the middle of the month no further information
had been published.

Even actions that could have been expected
to raise tensions failed to dominate the news in
China. Patten's publication of draft plans for
the 1 994-95 legislative election drew a pro-
forma blast from Chinese officials, but gar-
nered nothing like the flurry of attacks the mere
suggestion that he might publish had brought
down two months earlier. When Legco later
endorsed the boundary and election commis-
sion bill in late May. a Chinese Foreign
Ministry spokesman professed himself "sur-
prised" but otherwise made little comment pub-
licly. When the National People's Congress
closed in March, it set up a committee "to start
preparations for 1997." its vague mandate lead-
Press, cont'd page 1 1

An Anglo-Chinese Confusion

The present dispute between China and
Britain is not the first occasion that Britain and
China have had deep and bitter divisions over
policy towards Hong Kong. In the late 1850s.
after a fairly calm period of adjustment follow-
ing the end of the Opium War in 1 842. a seri-
ous conflict erupted, which eventually escalat-
ed into war. The war came to be know n as the
Arrow War because it started with a dispute
over a lorca (a small boat) named the Arrow, a
Chinese owned and operated vessel trading
between Hong Kong and Canton, with a cer-
tificate of registration in Hong Kong. When
the boat was boarded by Chinese maritime
authorities, the British leapt to its defense, even
though its certificate of registration had
expired, because there was a feeling that the
local authorities needed to be 'taught a lesson.'

The protagonists were the British consul in
Canton. Harry Parkes. then twenty-nine years
old but with fourteen years experience in
China; the radical governor of Hong Kong, Sir
John Bow ring 1 ; and the viceroy of Guangdong
and Guangxi, Ye Mingzhen (Yeh Ming-chen).
The British demands for 'satisfaction' from the
Chinese authorities precipitated a crisis. As the
affair escalated, the tiny British community in
Hong Kong was spooked by the poisoned
bread affair of January 1857. in which much of
the community suffered ill effects from bread
laced (not accidentally) with arsenic.

When the news of the crisis reached
London, there was a furious debate in
Parliament, which ended w ith the fall of

Palmerston's government, defeated by a coali-
tion which claimed that Bowling had caused
great and deliberate offense to the Chinese. In
the election of 1 857 Palmerston's government
was re-elected but took its initial defeat seri-
ously enough to send out to China a special
envoy. Lord Elgin, to supersede Bowring.
Elgin was the son of Elgin of the Elgin
Marbles, the man who acquired for the British
Museum one of its most spectacular foreign
"acquisitions." Elgin was only in his mid-lOs.
but had already served as governor-general of
Canada. His time in Canada is remembered
less for any particular achievements than for
the street, county, and hotel named after him.

Lord Elgin's mandate was to settle out-
standing issues w ith the Chinese, which he did
w ith apparent success in 1 858 with the agree-
ment for a new treaty, the Treaty of Tientsin.
Two years later, however. Elgin was back in
China, with a large joint British/French expe-
ditionary force. The attempt in 1 859 by the
first British ambassador. Elgin's brother.
Frederick Bruce, to bludgeon Peking into
allowing him to take up residence in Peking,
had ended with the armed repulsion of Bruce
and his party. The 1860 expeditionary force
was mounted to impress the Chinese authori-
ties with the seriousness the two countries
attached to having representation in Peking.
The British and French troops were staged
near Hong Kong, on the peninsula of
Kowloon. rented from the local Chinese
authorities for the sum of £ 1 60 per annum. -

In the summer of 1 860. the expeditionary force
reached the outskirts of Peking, forcing the
emperor to flee into the interior. The glittering
summer palace, the Yuan Ming Yuan, was
looted and then, on Elgin's specific instruc-
tions, bumed as a punishment to the emperor.
A great area of palaces and temples was
reduced to complete ruins, an act of vandalism
which put Elgin in the same class as his father.

The Treaty of Tientsin was ratified soon
afterwards, w ith an additional clause which
ceded the Kowloon Peninsula to Britain. Elgin
returned to England in 1860 still carrying a per-
sonal letter from Queen Victoria to the emperor;
he had had no chance to deliver it. This letter
joined a letter written by the Queen in 1 857.
also undelivered, in Elgin's personal papers.

The best account of the war is by Douglas
Hurd. The Arrow War, subtitled with some
understatement, "an Anglo-Chinese Confusion
1856-60." was published shortly after Mr. Hurd
left the Foreign Office in 1965 to work in the
Conservative Central Office, a move which led
eventually to his becoming a member of parlia-
ment. As Foreign Secretary in the present round
of discussions with China, Mr. Hurd may have
pause to remember his earlier writings.

1 BowTing was a close follower of Jeremy Bentham and a great
believer in reform. "He firmly shared (he Benthamite belief that
the problems of any society could be solved if th