MANHATTAN China Investment, a private firm controlled by former legislator James Tien Pei-chun, has concluded two industrial projects worth a total of 220 million yuan (about HK$299 million at official rates) in Foshan, near Guangzhou. The investment represents a further diversification of Mr Tien's businesses in clothing and property. Manhattan China yesterday signed contracts for the two projects with the Foshan authorities. The company is engaged in an equal joint venture with Foshan Low-Voltage Electric Works for the production of power transmission switch gear, involving a total investment of 150 million yuan. The other project, 50 per cent owned by Manhattan China, is worth 72 million yuan for the manufacture of motorcycle shock absorbers. Foshan Tongli Electric Factory has a 35 per cent interest and Hongkong-based Sanguine International owns 15 per cent in the project. Mr Tien, chairman and managing director of Manhattan China, said Foshan was strategically located in the heart of the Pearl River delta, and provided favourable industrial infrastructure support to investors. ''The investment in these two projects illustrates the enhanced industrial opportunities arising from the economic integration of south China and Hongkong,'' he said. ''The combined resources of these two territories will enable Hongkong industry to move into high value-added business.'' The Hongkong Productivity Council, chaired by Mr Tien, will act as consultant in the two projects, providing technical and management support. Foshan's industrial output now exceeds 10 billion yuan. Last year, the city's gross value of industrial and agricultural output reached 569.51 billion yuan, a 40.4 per cent rise over 1991.