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14. Mr. Haddon-Cave went on to say that Hong Kong thought
that a market disruption clause might be a condition for
British entry into the Community. Mr. Audland agreed that
this might be so. Sir A. Snelling said that if Britain were
a member of the E.E.C. on the same basis as the other countries
he felt it would be difficult for the Six to make conditions
on market disruption; but if they did, he wondered what
quid pro quo could be sought. Mr. Haddon-Cave suggested that,
in exchange for acceptance of a market disruption clause,
Britain could ask for periodic reviews of Hong Kong's trading
position.
15. Mr. Haddon-Cave asked whether there was any possibility that
the Six would seek immediate application of the c.e.t. to Hong
Kong. Mr. Audland said that there was absolutely no positive
evidence that the Six were thinking of this, but the possibility
could not be ruled out.
G.A.T.T.
16. Mr. Muir said that he had consulted the Foreign Office
Legal Advisers. They had agreed that nothing in the G.A.T.T.
required that an economic union, such as the E.E.C. would
eventually be, should become a single Contracting Party; nor
was there anything in the G.A.T.T. which covered the possibility
of a metropolitan country regarding a Dependency as possessing
G.A.T.T. rights in relation to the former. Sir A. Snelling
said that once Britain was in the Community, she would be able
to speak for Hong Kong but would not necessarily be in a
position to veto any action by the enlarged Community which
was detrimental to Hong Kong. If Hong Kong felt that this
would leave her very exposed she could, of course, take to
herself the right to retaliate against the goods of a
country which was discriminating against the territory;
but
/he
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