RESTRICTED

2.

WE SAID WE THOUGHT THE HONG KONG ACTION WAS SENSIBLE AND PEALISTIC. WE URGED THE NEED FOR A SELECTIVE APPROACH AND FOR CAREFUL PREPARATION OF THE COMMUNITY'S LONG-TERM POLICY WHICH WAS A MATTER FOR FUNDAMENTAL IMPORTANCE. WE DREW ATTENTION TO HONG KONG'S WILLINGNESS TO DISCUSS PARTICULAR PROBLEMS AT

AUY TIME.

THE BELGIAN AND DUTCH VELEGATIONS BOTH FOINTED CUT THAT BENELUX ALSO HAD PROBLEMS WITH HONG KONG AND THAT THESE SHOULD ALSO BE DEALT WITH IN ANY EVENTUAL COMMUNITY ACTION. THE FRENCH, ITALIANS AND TRISH ARGUED FOR AN OVERALL SOLUTION WHICH MUST TAKE ACCOUNT OF THE POSITION WHICH THE COMMUNITY WOULD TAKE IN CATT DISCUSSIONS ON THE ARRANGERENTS TO SUCCEED THE ITA, ALL DELEGATIONS WISHED TO STUDY THE DETAILS OF THE HONG KONG MEASURES (THE TEXT OF THE NOTE-VERBALE WAS NOT CIRCULATED) BEFORE FURTHER COMMENT, AND IT WAS AGREED THAT THERE SHOULD PE A MEETING OF THE ROUT ON 98 FEBRUARY TO DISCUSS THE SOLUTION TO THE PROPLEMS POSES BY HONG KONG ON THE BASIS OF A DETAILED EXAMINATION BY TLE COMISSION OF THE HONG KONG COMMUNICATION TO THE GERMANS OF WHICH THE COMMISSION HAD BEEN INFORMED. IT WAS AGRIED THAT THIS MEETING SHOULD ALSO DISCUSS FRENCH PROPLEMS WITH MACA0 MPICH SHE PEGARDED AS QUITE AS SERIOUS AS THOSE OF GERMANY WITH HONG KONG.

A. IN THE AFTERNCON THE MEETING DISCUSSED THE COMMISSION'S DOCUMENT ON STANDARDISATION OF THE IMPORT SYSTEM FOR NON-COTTON TEXTILES DATED 11 SEPTEMBER 1972. AFTER LENGTHY DISCUSSION THE CONCLUSION WAS REACHED THAT THE TIME WAS NOT OPPORTUNE TO PURUSE THIS SUBJECT FURTHER IN VIEW OF THE DISCUSSIONS WHICH WERE PROCEEDING IN GATT. THERE WAS SOME FURTHER DISCUSSION OF HOW CASES OF URGENCY SHOULD BE DEALT WITH, BUT THIS WAS LEFT TO BE DISCUSSED FURTHER IN THE LIGHT OF THE HONG KONG AND MACAC

SITUATION ON 22 FEBRUARY.

2

RESTRICTED

/5. THIS MEANS THAT:

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