THERE will be no trade war between China and the United States over the infringement of intellectual property rights, says Hong Kong's Trade Development Council (TDC). TDC executive director Francis Lo said: 'I am optimistic both sides will be able to resolve their differences during the current talks and I hope sanctions will not be imposed.' Mr Lo said that should a trade war break out, he was confident that Hong Kong entrepreneurs would be able to cope as they had always been flexible in adapting to market changes. The TDC has been advising Hong Kong businesses to diversify their markets. 'Hong Kong exports are less reliant on the US market now than they were 12 years ago. In the early 1980s, about 45 per cent of our exports went to the United States; the US market has now been reduced, to account for about 20 per cent of our exports.' Mr Lo said that Hong Kong was the fifth largest trading partner in the world last year after the European Union, the United States, Japan and Canada.