Talking Foints

CONFIDENTIAL UK EYES ONLY

Hong Kong and the EC

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2.

Delighted to be here.

Our ties are exceptionally close. The purpose of my

visit is to assure myself that I fully understand your problems

and your aspirations in the context of our application for

membership of the DC. I have not come to negotiate, nor to

make promises. I know that you have always had a clear

understanding of the difficulties that our membership of the

EEC might bring and, I trust, the very great opportunities

also.

3.

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What I want is to hear from you your views on what would

be the likely difficulties facing your phenomenal economy, and

how you think those difficulties might be met or mitigated.

Association

.4. There seems to be very little likelihood of the Six

agreeing to associated status for Hong Kong. In the 1961-3

negotiations, as you know, they considered association to be

inappropriate for you; and we have no evidence that they have

changed or are likely to change their minds on this.

C.E.T.

5. This means that, unless specific provisions can be made,

Britain would have to apply the CPT in full to your exports at

the end of whatever transitional period we can ourselves secure.

/of course,

CONFIDENTIAL UK EYES ONLY

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