CONFIDENTIAL
(e) Nor does it
Mr.
Leee
no likelihood
of this bay agreed
MJ.
Hong Kong's constitutional position as a British dependency should not deprive it of the right to be informed and consulted about HMG's conduct of the negotiations with the Community so far as Hong Kong was concerned.
(f) HMG should not impose the 15 per cent
duty on Hong Kong textiles due in January 1972 so long as the prospects for the Colony's economy were in doubt on account of the British EEC candidature. (Textiles Advisory Board and Trade & Industrial Advisory Board)
(g)
This is HMG's
Statin
and this
M.
5.
(h)
In no circumstances should Hong Kong be treated worse than its trading competitors, Taiwan, South Korea, Pakistan etc., in respect of generalised preferences. act otherwise would precipitate a major economic crisis in the Colony. (All officials and businessmen)
То
HMG must do all possible to combat increasing protectionism in the United States.
(All officials and businessmen)
The essence of Mr. Rippon's reply to these points was that Hong Kong's problems should be seen more in the context of the development of world trade as a whole than in that of the British candidature for membership of the Communities. Britain had to be strong and solvent. She could influence the Community and beyond that the world more effectively and in a liberal direction from inside rather than outside the Community. HMG recognised that a major problem was resurgent protectionism in the United States as in Europe. HMG would protect Hong Kong's interests to the best of their ability and maintain pressure for Hong Kong's inclusion in the UNCTAD scheme for generalised preferences. But Hong Kong had profited greatly from the trading patterns of the last 20 years, and would have to adapt itself to profit equally from the opportunities of the next. He appreciated that Hong Kong above all wanted freedom to trade on level terms in world markets.
Hong Kong Airport and Landing Rights
6. Ofificals had a strong sense of grievance about HMG's refusal to contribute to the prolongation of the runway at Kai Tak Airport, and restrictive control of traffic rights there. They maintained that HMG were aying their power for the sake of British rather than
/Hong Kong
CONFIDENTIAL