CONFIDENTI AL
2 May, 1969.
4941
velii
Common Commercial Policy: Hong Kong
I reported in my letter 6/31 of 27 March that the Commission were going to table with the Council a series of proposals designed to complete the Community's liberalisation list and to establish Community quotas and surveillance procedures for all those tariff positions where there were currently differing degrees of liberalisation and quantitative restriction between the member states. The first
I hope to have a copy proposal, dealing with ceramics, has now gone forward.
The
within a few days; but meanwhile I enclose a copy of a very full report in "Agence Europe". Other proposals, dealing with optical goods, umbrellas and rubber footwear are, I am told, at an advanced stage in the Commission pipeline. Commission have apparently sent the Council a programme listing their future proposals; onez again, I hope to have a copy shortly.
2.
As you will see the ceramics proposal is of immediate consequence to Hong Kong in that it seeks to establish surveillance procedures for certain Hong Kong products
And subsequent proposals are likely to affect Hong Kong in the ceramic sector. interests to an even greater extent, very possibly involving proposed extension of quantitative restriction on particular Hong Kong exports to member states which are not currently so restricting them; but perhaps also, in the contrary sense, proposing liberalisation or surveillance only on particular Hong Kong exports to member states which are currently imposing quantitative restrictions on them.
3. I enclose copies of two memoranda sent from the Hong Kong Office here reporting a conversation with Ernst, the Commission Director responsible for the
As you will see, Ernst is proposing that there common commercial policy proposals. should be informal contacts between him and the Hong Kong Office with a view to aiming at "an agreed position that would not prove unfavourable to Hong Kong". It is this proposal which I think we, as well as the Hong Kong Government, should now consider rather carefully.
4. I am myself a little doubtful whether Ernst's proposal represents the best way My first difficulty is that Ernst does not of looking after Hong Kong's interests.
of course speak on behalf of the Community but only, as the Director concerned, to
J. B. Ingram, Esq.,
Board of Trade.
Copy to:
H. Stewart, Esq.,
Hong Kong Department,
Foreign and Commonwealth office.
R. Giddens, Esq.,
Trade Policy Department,
Foreign and Commonwealth Office.
M. R. Morland, Esq.,
European Integration Department,
Foreign and Commonwealth Office.
CONFIDENTIAL