Firms phone the mainland less but boycott push is unrealistic

Small and medium-sized firms are making fewer IDD calls to China as a result of higher tariffs, but have stopped short of a boycott.

David Chiu Che-hon, owner of Chi Hung Toys and Stationery Factory, said his firm usually spent $5,000 to $6,000 a month on IDD calls to the mainland, most of them to its factory at Dongguan, in Guangdong province.

Mr Chiu said staff at his Hong Kong office had made fewer calls to the mainland yesterday. But he said talk of a boycott was unrealistic because telephone remained the most convenient means of communication and could not be easily replaced by e-mails and fax.

'My business is not making a profit right now. Further moves to increase the burden would push me to the point that I have to close down,' he said.

Chung Siu-wing, of Toy Limited, agreed that a boycott of IDD calls to the mainland was meaningless. He said his firm's factory on the mainland now pays about $8,000 a month for telephone calls.

Mr Chung said companies such as his were there for the telecommunication operators to exploit.