G.F. 326
CONFIDENTIAL # 3
11
24.
25.
PAS(S)OR suggested that the reasons for the request were economic: either because of economic pressures
from within Shenzhen to obtain a share of the
cross-border haulage trade; or from Hong Kong because
it was expected to be cheaper to operate from
Shenzhen. S for T pointed out that, with the limited
exception of certain official vehicles, at present all
vehicles were Hong Kong ones operating into Shenzhen.
If the proposal were accepted, it would not only
involve Shenzhen vehicles but those from all over
China, with serious implication for Hong Kong's road and transport system. PAS(S)OR accepted that over time restrictions would inevitably be lifted, but felt that all implications needed to be carefully
considered. SES said that it would not be reasonable
to expect Hong Kong to maintain its monopolistic
position for too long a period.
CS noted that the Shenzhen authorities appeared to be
willing to meet most of Hong Kong's requirements, but
had made no mention of dual registration. The meeting
agreed that all of Hong Kong's provisions, including taxes and fees, should apply to the Chinese vehicles.
The meeting noted potential difficulties if the
Chinese authorities relaxed all controls on vehicle
entry to Guangdong once the superhighway was
complete. PAFS(1) noted that it might be difficult to
reciprocate: Hong Kong used high vehicle taxes as a
means of restraint on vehicle ownership and only
secondarily for revenue purposes. Developments would
need to be carefully monitored.
A.O.B.
26.
S for T noted that a delegation from Transport Branch
and Transport Department would be visiting Shenzhen
and Canton in the week beginning 4 May for discussions
on transport links and planning.
CONFIDENTIAL #3