This research paper traces and analyzes the development of the textile industry of Hong Kong and its current and probable future role in the economy of the crown colony and in world export markets. Hong Kong has a thriving textile industry which
has two primary components: (1) garment manufacturing on the island and in mainland China; and (2) the provision of central services in connection with the China trade in textiles. The
textile industry of Hong Kong is already undergoing and will continue during the coming decade to experience a difficult
period of adjustment to changing international political and economic developments which may limit the attractiveness of the
industry to private investors from outside mainland China.
Cline (1990) defines the textile industry as one which
"encompasses the production of yarns, fabric (primarily for use
in apparel), and finished goods such as bedding and carpets as well as industrial materials such as fabric for tires" (p. 26).
The textile industry of Hong Kong is almost exclusively involved
in the clothing and apparel business and the fibers, natural and
Hong Kong is a leading exporter of domestically manufactured yarn and fabrics and finished clothing and apparel. It is also a re exporter of textiles, primarily those sourced in and/or
assembled in the People's Republic of China. Unlike its principal Asian competitors, Hong Kong imports all of the raw materials, equipment and chemicals which it uses in manufacturing textiles.
It exports nearly all of its domestic production. Textile yarns and fabrics were Hong Kong's third largest import in 1994. In 1993, textiles accounted for 200,000 manufacturing jobs in Hong
Kong, forty percent of its manufacturing labor force. Exports of
textiles and apparel were the colony's largest export and
produced 30 per cent of its domestic export earnings in 1993. (Economist Intelligence Unit, 1995 Cou...