As Cemarked by

TPD

Предни

MAQNTR

stays.

E same

be given equal treatment under the scheme compared

with South Korea and Taiwan.

по

Тартий

This is become under the Intraners scheme The Japanese apparently fiventory is peranton & corne fear that these two countries might react oritiedll

wow than 50%

50% / cack Tariff gurta & the Saponine apporestán fear that South Kong + Taman Wand tasto mast concritically If Hong Kenginelusion resulted in taking the

Chaulk Hte do do for a sagnificant number

number I gust as after his in chiama kimum 50% limit i a signif

mmber

in the sum

riff

that

quotes. The Hong Kong Government's contention is to be treated differenti

South Korea and Taiwan are more than

would be unfair discrimination since the bitter

from

& Rau

able to

expella f

hold their own, having become increasingly more competitive with Hong Kong over recent years.

5.

A decision on the conditions of Hong Kong's inclusion is expected to be made by the Japanese by a bout mid-February. The Secretary of State may

wish to express our gratification at the decision to extend the Scheme and to express the hope that

Hong Kong's inclusion in the Japanese GPS will be on equitable terms.

NOTHING TO BE WRITTEN IN THIS MARGIN

4

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