Reference....
40
Mr. Spendlove (Hong Kong Dept.)
Hong Kong: DEC
We spoke about UKDEL to EEC Brussels telegram No. 5 to Hong Kong of 24 March.
2.
3.
Sir C. O'Neill has raised the following queries:
(a)
(b)
If Hong Kong succeeds in getting a satisfactory agreement along the lines laid down in the telegram, and if it proves to be renewable and improvable on exniry in 1973 how far, if at all, will this go to meet the problems Hong Kong may be expecting us to solve for ner as part of the negotiations for entry?
Is it fair to say that cotton textiles is the major Hong Kong concern?
My own impression after talking to the Board of Trade is that agreement under the LTA cotton textiles, which are treated separately from other Hong Kong products, will not go far towards solving the general problem for Hong Kong of our EEC entry. But I should be grateful for your views
My. Kinnear
Michael Pakenham
(M. A. Pakenham)
European Integration Department
31 March, 1970
Mr. Packpaham.
I regret delay in replying caused by our having to obtain percentage figures of Hong Kong's exports
(a)
Reference the two queries above.
g
Kutily,
inté
The problem posed for Hong Kong by Britain's entry EEC would mainly be that Britain would have to imposes an increased Fariff on Hong Kong's importé into UK since Hong Kong would lose her advantage from Commonwealth Preference. The extension of the LTA for a further three years but possibility of further extension thereafter, while being beneficial to the export of cotton textiles from Hong Kong, would not solve problems arising for Hong Kong as the result of britain's entry with EEC.
with
total
(b) Cotton textiles export's represented 15-7% of
exports of all goods from Hong Kong in 1968 while,
១. for 1969, this figure decreased to 21.9%.
As a percentage of all textile exports, Cotton textile accounted for 53.6% in 1968 and 46.8% in 1969.
Exports to the