Protectionism

CONFIDEN TIAL

Points to make with State Dept officials

1.

We

appreciate

US

Administration's

protectionism. But we and Hong

threat posed to Hong Kong trade

this has now passed both Houses.

stand against

Kong remain

very concerned at

by Jenkins Bill.

Understand

I f enacted would do much harm

to Hong

Hong Kong's textile industry. Hong Kong itself of course

maintains a completely free market for the imports of others.

2.

maintain economic

and

in order to en sure a

This would be a severe blow to Hong Kong's prosperity,

at a time when we are working to

political confidence in the territory

smooth

transfer in 1997.

3.

Hope that Administration will

bear these concerns in

mind in advising President on whether to veto Bill.

CONFIDEN TIAL

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