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TERRITORY TO CONTINUE TO PARTICIPATE FULLY IN THE COMMERCE OF THE
FREE WORLD. GATT WAS A VITAL PART OF THIS.
3. WE AND THE GATT LEGAL EXPERTS WERE CONFIDENT THAT THERE WOULD
BE NO QUESTION OF HONG KONG'S CP STATUS CEASING SOLELY BY VIRTUE
OF THE CHANGE OF SOVEREIGNTY IN 1997. THE JAPANESE KESERVATION,
IF IT BECAME PUBLIC KNOWLEDGE, COULD HAVE THE MOST UNFORTUNATE
CONSEQUENCES BOTH FOR HONG KONG'S CURRENT STABILITY AND FUTURE
PROSPERITY. WE THEREFORE HOPED THE JAPANESE GOVERNMENT WOULD
NOT TAKE ANY ACTION WHICH MIGHT UNDERMINE HONG KONG'S GATT STATUS
AFTER 1997.
4.
WATANABE, WHO WAS PRESSED FOR TIME, PROFESSED IGNORANCE OF THE
DEMARCHE. HE PROMISED TO LOOK INTO IT AND SAID THAT JAPAN STRONGLY
SUPPORTED HONG KONG'S POSITION IN THE GATT.
5. ERIC HO MADE THE SAME POINTS TO HAYASHI OF THE MINISTRY OF
FOREIGN AFFAIRS AT THE DINNER THEY GAVE US ON 26 MAY. ONCE AGAIN,
THE INITIAL REACTION WAS ONE OF TOTAL IGNORANCE, BUT IT LATER
BECAME CLEAR THAT THEY HAD EXCHANGED NOTES WITH THE US AND THAT
THEY KNEW THE INITIAL USTR LINE. HO STRESSED THAT WITH STATE
DEPARTMENT SUPPORT FOR US THE US POSITION HAD CHANGED.
6. HO HANDED A COPY OF OUR SPEAKING NOTE TO THE JAPANESE CONSUL
GENERAL WHO HAD ACCOMPANIED US TO TOKYO. THE C.G. SAID HE WOULD
PURSUE IT THERE. TEXT IN MIFT.
HOWEE
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