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to conclude the Defence Costs Agreement until he is satisfied that restrictions on Hong Kong imports are not going to be imposed by
HMG in the near future or that there will be a substantial interval
between any announcement of such restrictions and any announcement of the new Agreement. By a "substantial interval" members of the Executive Council seem to have had in mind a period of two to three weeks. They expressed no strong views as to which announcement should be made first. What Mr Rodgers has said would seem to meet the
Executive Council's views.
5.
The Governor of Hong Kong left for New York yesterday for an official engagement and will be back in Scotland on Saturday 13 December. Before leaving, he said that he wishes to discuss the Executive Council's views on the timing of an announcement with Mr O'Keeffe when he returns from Seychelles on Monday 15 December. (I have sent a telegram to Mr O'Keeffe in Seychelles forewarning him of this.) Mr Haddon-Cave, the Hong Kong Financial Secretary, will remain in this country for the time being but the other Hong Kong officials are leaving tomorrow.
6.
I do not think any further action is called for at this The point which the PUS raised on Mr O'Keeffe's submission of 9 December is being dealt with separately.
stage.
11 December 1975
сс
Mr Male
Mr Arbuthnott, EID(E)
Mr Cloake, TRED
Mr Cormack, Defence Dept.
D.F. Millen
DF Milton
Hong Kong & Indian Ocean Dept.
Michael
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