FHKI 60th Anniversary Commemorative Album

The arrival of industrialists from Shanghai and nearby cities like Wuxi and Ningbo had quickened the industrialisation process as they brought in capital, new machinery and knowhow that local Hong Kong businessmen did not have. When larger industrial plants anchored in the territory, rapid industrialisation was witnessed. The high competitiveness of Hong Kong industries at that time rested primarily on “the survival of the fittest” – industrial entrepreneurs were agile and persistent while workers were diligent and cooperative, both worked to secure a stable income and aimed to enhance their standard of living. During this period, local industries were dominated by textiles and clothing, plastics, houseware, utensils and toy industries. They were mostly labour-intensive and export-oriented. The vibrant and highly competitive industrial sector in turn stimulated the rapid development of tertiary service economy in Hong Kong, creating massive amount of jobs in the trading, banking and finance, shipping and professional services, and fueled the growth momentum of Hong Kong economy. In 1951, the Korean War prompted the United Nations to impose an embargo on trade with China which triggered the early industrialisation of Hong Kong as the embargo was a severe blow to Hong Kong’s thriving entrepot trade. As Hong Kong economy continued to prosper, society became more affluent. The younger generation gained better education and preferred white-collar positions to industrial jobs. The further development of the industrial sector was limited by severe labour shortages and soaring wages. High land costs also hindered the expansion of the sector. Industrial development in Hong Kong came to a bottleneck. 1970 s Federation of Hong Kong Industries 60 th Anniversary Commemorative Album 17