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light of our new relationship with the countries of the European Community following the signing of the Treaty of Accession.

Mr Royle handed his visitors a letter to that effect.

6.

If therefore the matter is raised by the unofficial members of the Executive and Legislative Councils, it is recommended that

the Secretary of State reiterates the promise that a fresh approach will be made at the appropriate time on behalf of Hong

Kong to the German authorities. It will not be possible to be

optimistic about the outcome.

7.

In response to any similar inquiries from the Press it is

recommended that the Secretary of State should say that the matter has been brought to his notice and that he is looking into

it.

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CONFIDENTIAL

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