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is in practice permitted a great deal of latitude over
external trade relations and largely conducts its own.
In particular it has negotiated restraint agreements
covering the export of certain products with its main
trading partners, the US and the EC.
5. Outside the trade field, the bulk of Hong Kong's
'external affairs' are concerned with its relations with
China. While these are the responsibility of HMG and all-
important matters are dealt with in London, or in Peking
through H M Ambassador, the Hong Kong Government conduct
much purely local business through contacts, direct or
indirect, with the neighbouring Chinese authorities.
6. Primarily in order to further its commercial interests,
the Hong Kong Government maintains offices in London,
Geneva, Brussels and Washington (soon in New York as well).
But apart from its London office, which is sui generis, these
are technically part of UK Missions. In a few international
fora, eg the Asian Development Bank and the Economic and
Social Committee for Asia and the Pacific (ESCAP), there is
direct participation by the Hong Kong Government, as a
Dependent Territory.
Possible Changes
UK Requirement
7. It is important that the UK should retain authority to
conduct external relations if sovereignty were relinquished.
Otherwise confidence in the reality of British administration
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/would be