157
TOP COPY
Calamos dimajati Pati mai statomakkeita's is a 'reva tim
GRS 300.
CONFIDENTIAL
FM BERNE
TU PRIORITY FCO
TELNO 60
UF 1510152 APRIL 86
CONFIDENTIAL
INFO PRIORITY HONG KONG, WASHINGTON, UKMIS GENEVA, PEKING.
133
-YOUR TELNO 169 TO CANBERRA OF 8 APRIL: HONG KONG AND GATT
1.
ACTION TAKEN THIS MORNING WITH SOMMARUGA, STATE SECRETARY
IN THE FEDERAL DEPARTMENT OF THE ECONOMY, WHO IS HIMSELF A
GATT EXPERT, MY CHINESE COLLEAGUE HAS PARALLEL INSTRUCTIONS
AND WILL ALSO NOW ACT ON THEM.
2. I HANDED OVER A PIECE OF PAPER BASED ON PARAS 1-7 OF YOUR TELNO
170 TO CANBERRA, SOMMARUGA IMMEDIATELY COMPREHENDED THE OBJECTIVES
OF ASSURING CONTINUITY AND MAINTAINING CONFIDENCE, AND DESCRIBED
THE EXERCISE AS MAKING DE JURE WHAT IS ALREADY DE FACTO'. BUT
THIS HE SAID WAS A PERSONAL REACTION. OFFICIALLY HE COULD AT THIS
STAGE ONLY **TAKE NOTE",
3. IN RELATED · CONVERSATION SOMMARUGA MENTIONED THE QUESTION OF
PRECEDENT AND THE IMPLICATONS, PARTICULARLY FOR ANY POSSIBLE SPECIAL REGIME FOR CHINA-SAR HONG KONG TRADE AFTER 1997 ( BY
ANALOGY FOR EXAMPLE WITH THE REGIME. FOR INNER-GERMAN'' TRADE
BETWEEN GDR AND FRG). DRAWING ON THE BRIEFING MATERIAL AND
QUUTING THE TEXT OF GATT ARTICLE XXVI (5) (C) I SAID THAT WHAT WAS ENVISAGED WOULD IN FACT BE A NOTIFICATION AND NOT A REQUEST
AND MENTIONED THE MUCH EARLIER SOUTHERN RHODESIA ETC PRECEDENT,
WHICH THE ARTICLE IN QUESTION WAS WRITTEN TO COVER. OUR DEMARCHE
NOW SHOULD BE SEEN AS A COURTESY TOWARDS THE SWISS AND OTHER
IMPURIANT GATT GOVERNMENTS, BECAUSE WE WANTED OUR NOTIFICATION
TO BE UNDERSTOOD AND WELCOMED IN THE GENERAL INTEREST.
SOMMARUGA SAID THAT HIS GOVERNMENT WERE GRATEFUL FOR THIS
CONSIDERATION. HONG KONG WAS A MAJOR TRADING PARTNER FOR
SWITZERLAND AND ALTHOUGH ITS EXPORTS HAD GIVEN RISE TO **SOME
PROBLEMS'' THE SWISS ADMIRED THE CONSISTENT WAY IN WHICH THE
HONG KONG AUTHORITIES HAD STUCK TO LIBERAL IMPORT POLICIES,
WHICH HAD MUCH TO DO WITH THE COLONY'S GREAT ECONOMIC SUCCESS.
RICH
HONG KONG AGREEMENT
LIMITED
HD/HKD
HD/FED
HD/PLANNING STAFF
DEP HD/PUSD
HD/PUSD
RD (MR WALKER)
PS
PS/LADY YOUNG
PS/MR RENTON
PS/PUS
COPIES TO:- MR ROBERTS
MR FIFOOT
MR WOOD
MR PEIRCE
NEWS DEPT
LEGAL ADVISERS
LEGAL ADVISERS
ASSESSMENTS STAFF CABINET OFFIC
CABINET OFFICE
MR MALLABY
MR DRC CHRISTOPHER
CABINET OFFICE
SIR P CRADOCK NO 10 DOWNING STREET
SIR W HARDING
SIR J FREELAND
MR WILSON MR CROWLEY
PUSD
CONFIDENTIAL
HRK 122/1
.i
1 6 APR 1986
Taken
ABB G