CONFIDENTIAL

BRIEF NO

SECRETARY OF STATE'S VISIT TO HONG KONG

2-3 NOVEMBER 1972

GENERAL DEFENSIVE BRIEF

Original

The Copy for:

Wkr 30 BV 5

HKK

The 6/8

Misa............ba caly/metien ca

Para(s)

HONG KONG'S RELATIONSHIP WITH THE EEC AND THE GATT

10. The inclusion of Hong Kong in the EEC Generalised Preference Scheme is an important concession to Hong Kong.

Detailed discussions

are yet to take place on the alignment of the UK's scheme with that

of the EEC. In recent discussion in Hong Kong Mr Rippon told

the Governor that he thought Hong Kong's representation in Brussels

should continue, attached to HM Embassy. It would not be to

the Colony's advantage for it to form part of the British

representation to the Community. Britain's membership of the

Community should strengthen her hand in opposing restrictive practices,

for example by the French, and preventing other members of the

Community from adopting them.

11. Hong Kong's future position in the GATT after we join the EEC

ehall

was fully discussed by Whitehall officials with the Hong Kong

Financial Secretary and others on 3 October. There was complete

agreement that the best practical solution whereby Hong Kong's

special problems could still be aired in the GATT following our

accession would be for the Hong Kong representative to sit as a

member of the UK delegation (as at present) but with a separate

"UK(Hong Kong)" flag. Hong Kong matters would thus in effect be

excluded from the purview of the Nine. We are now approaching the GATT

on this matter through our Mission in Geneva.

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A

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