Article: Hong Kong's position as apparel exporter could be in jeopardy. (July 1, 1997 reversion to Chinese control may undermine business, according to MIT study)

NEW YORK -- Just seven weeks away from its reversion to Chinese control, Hong Kong's manufacturing industry is at a crossroads.

With more than $21 billion in exports, it's currently one of the world's largest exporters of apparel, but several factors threaten that position.

Aside from the unknown consequences of Hong Kong's reversion to Chinese control July 1, competition from emerging markets, the relative high cost of manufacturing there and the difficulty of maintaining skilled labor are eating away at the region's image of high-end, high tech and high-quality production facilities.

As a result, seeking out new markets, products and technologies will ...

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