.3
GRS 940
CONFIDENTIAL
FM UKMIS GENEVA
CONFIDENTIAL
TO PRIORITY FCO
TELNO 01
OF 06113OZ JANUARY 1986
HIKK Ocote
RECEIVED IN REGISTRY
- 7 JAN 1986
-
FFICER
INFO ROUTINE HONG KONG, PEKING WASHINGTON,
349/040/24 (85)
REGISTRY
3
TOP COPY
Action Taken
BRUSSELS
YOUR TELNO 264 (NOT TO ALL) AND TELECON HILL/MONTGOMERY: HONG KONG AGREEMENT: GATT, CHINA AND HONG KONG.
1. DUE TO VACATIONS, IT HAS BEEN IMPOSSIBLE TO BRIEF DUNKEL (DIRECTOR-GENERAL, GATT) PRIOR TO HIS DEPARTURE FOR PEKING. (HE WILL, OF COURSE, HAVE BEEN BRIEFED ON LINDEN'S VISIT.) MY COUPTESY CALL ON DUNKEL WHICH IS SCHEDULED FOR 16 JANUARY WILL PROVIDE AN OPPORTUNITY TO DEBRIEF HIM AFTER HIS TRIP.
2. AS REGARDS MACAO, PLEASE REFER TO OUR TELNO 424 OF 19 NOVEMBER. THE PORTUGUESE AMBASSADOR CONFIRMS THAT NEGOTIATIONS WITH CHINA ON THE FUTURE OF MACAO ARE LIKELY TO BE INITIATED THIS YEAR, PUT IS UNABLE TO THROW ANY LIGHT ON THE GATT ANGLE AS YET. IN VIEW OF SHI AND QIU'S QUESTIONS TO LINDEN (OUR TELNO 421 (PARA 6) AND HONG KONG TELNO 2881(PÄRA 11)), IT IS FOR CONSIDERATION WHETHER IT WOULD BE FEASIBLE, FOLLOWING PORTUGAL'S ACCESSION TO THE EC AND PRIOR
TO THE OPENING OF NEGOTIATIONS WITH CHINA, FOR PORTUGAL NOW TO MAKE AN ARTICLE XXVI(5) C DECLARATION IN RESPECT OF MACAC.
SUCH ACTION WOULD CREATE THE PRECEDENT THAT IS LACKING AND ADD STRENGTH TO OUR ARGUMENT THAT THE SAME PROCEDURE WOULD BE APPROPRIATE IN THE CASE OF HONG KONG.
3. COUNSELLOR (GATT) SPOKE TO TRAN (COMMISSION) THIS AFTERNOON ON A PERSONAL BASIS AND HAD A FRANK EXCHANGE OF VIEWS WHICH WILL NOT REPEAT NOT BE REPORTED TO BRUSSELS. TRAN WAS MOST ANXIOUS THAT HIS NAME SHOULD BE LEFT OUT OF DISCUSSIONS: AS USUAL, HE IS PLAYING A VERY PERSONAL GAME. HE HAS CLOSE AND LONG STANDING RELATIONSHIPS WITH MANY CHINESE INTERLOCUTORS WITH WHOM HE HAS DISCUSSED HONG KONG
ON BOTH A FORMAL AND INFORMAL LEVEL.
4. ON THE FORMAL LEVEL, TRAN HAD TOLD THE CHINESE THAT THEY MUST CLARIFY THE POSITION OF HONG KONG BEFORE NEGOTIATIONS ON CHINESE ADHERENCE TO GATT COULD BEGIN IN EARNEST. HE HAD SUGGESTED THAT THE EC WAS CONCERNED ABOUT THE POSSIBILITY OF CHINA'S EXPLOITING HONG KONG WITHIN GATT AFTER 1997 AND HAD POINTED OUT THAT UNDER CURRENT ARRANGEMENTS HONG KONG WAS FREE TO EXPRESS A DISTINCT VIEWPOINT EG ON QUARTZ WATCHES AND TEXTILES. HE HAD ASKED THE CHINESE HOW THEY INTENDED TO SECURE HONG KONG'S AUTONOMY PUT HAD RECEIVED NO CLEAR AMSWER. THEY HAD MERELY EMPHASISED THE IMPORTANCE THEY ATTACHED TO THE ISSUE, WHICH MUST BE SEEN IN THE LONG TERM PEPSPEECTIVE OF SEVERAL DECADES AND HAD SAID THAT IT WAS NOT IN CHINA'S INTERESTS TO CHEAT. IT WAS TRAM'S FIRM IMPRESSION THAT THE CHINESE MANTED TO
IMPLEMENT THE JOINT DECLARATION.
CONTIDENTIAL
18.