Losing The Rumor War

The scenario goes like this: Great Britain refuses to surrender Hong Kong on July 1 and instead of handing over the colony peacefully, it launches a border war against China.

That rumor, wacky as it sounds, is leading thousands of factory workers in southern China to abandon production lines and flee north, manufacturers and factory owners in Hong Kong said Thursday.

As many as 60 percent of the workers at some factories have walked off jobs. Because of the slowdown, orders for goods like garments, shoes and ceramics are not being filled on time, costing manufacturers millions of dollars in lost sales.

The Chinese government inadvertently fueled the story by sending hundreds of soldiers to the south to learn everyday skills such as driving on the left side of the road. But workers assumed soldiers were massing for battle.