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MOLIAN 4527
INTERNATIONAL INVESTMENT PROMOTION AGREEMENT WHICH IS OF MORE INTEREST TO CANADA THAN HONG KONG, EXCHANGES OF CIVIL SERVANTS, CO-PRODUCTION OF FILMS (THESE WOULD RANK AS CANADIAN CONTENT UNDER CANADIAN LEGISLATION) AND POSSIBLY AN AIR SERVICES AGREEMENT. MR CROSBIE TOLD THE GOVERNOR THE CANADIANS HOPED TO PASS LEGISLATION ENABLING THE ESTABLISHMENT OF THE HONG KONG TRADE AND ECONOMIC OFFICE IN TORONTO BY JUNE OR JULY. OFFICIALS WE SPOKE TO SEPARATELY SUGGESTED THAT SEPTEMBER MIGHT BE A MORE REALISTIC DATE.
ON IMMIGRATION, DISCUSSION CENTRED ON THE FLEXIBILITY WITHIN EXISTING CANADIAN LEGISLATION. BARBARA MCDOUGALL (MINISTER FOR EMPLOYMENT AND IMMIGRATION) AND OTHERS STRESSED THAT THE CANADIAN GOVERNMENT COULD NOT ALTER THE UNIVERSALITY OF ITS IMMIGRATION POLICY AND THAT CANADA DID NOT SEE ITSELF AS OFFERING AN INSURANCE POLICY TO HONG KONGERS WORRIED ABOUT THEIR FUTURE IN THE TERRITORY. SHE AND OTHERS MADE CLEAR HOWEVER THE CONSIDERABLE DEGREE OF FLEXIBILITY WITHIN THE SYSTEM BOTH AS REGARDS THE TAKE UP OF VISAS TO COME TO CANADA IN THE FIRST PLACE (ONE OFFICIAL DESCRIBED THE CANADIAN SYSTEM AS A QUOTE FORGIVING ONE UNQUOTE) AND TO RETURN TO HONG KONG ONCE ESTABLISHED IN CANADA (THE RETURNING RESIDENTS RULES). THERE WAS EVERY SYMPATHY WITH OUR WISH TO SEE EXECUTIVE AND MIDDLE MANAGEMENT CADRES REMAIN IN HONG KONG. THE MINISTER SAID THAT CANADA WOULD CONTINUE TO INTERPRET THE RULES FLEXIBLY. HIGGINBOTHAM (CANADIAN COMMISSIONER IN HONG KONG) WHO WAS PRESENT AT THE VARIOUS MEETINGS COMMENTED TO THE GOVERNOR THAT FLEXIBILITY HAD RECEIVED MORE FAVOURAL MENTION FROM THE CANADIAN SIDE IN DISCUSSION THAN HE HAD EVER PICKED
UP IN TELEGRAMS OF INSTRUCTIONS FROM OTTAWA.
5. THE PROBLEM OF VIETNAMESE BOAT PEOPLE WAS DISCUSSED ON SEVERAL OCCASIONS AND THE GOVERNOR HAD USEFUL OPPORTUNITIES TO EXPLAIN THE DIFFICULTIES WHICH HONG KONG FACED. IN AN IDEAL WORLD THE CANADIANS WOULD NOT WISH HONG KONG TO MAKE FURTHER USE OF MANDATORY REPATRIATION. IN ANY EVENT THEY WOULD PREFER THAT THERE SHOULD NOT BE FURTHER RECOURSE TO IT BEFORE THE SCOPE FOR VOLUNTARY RETURN OF NON-REFUGEES WAS EXHAUSTED. THEY ACCEPT THE CASE FOR COMPULSORY REPATRIATION HOWEVER AND HAVE ALREADY LOBBIED THE AMERICANS ABOUT IT. THEY REMAIN WILLING TO WORK FOR AN ACCOMMODATION BETWEEN HONG KONG'S
WISH FOR EARLY AGREEMENT TO A RESUMPTION OF REPATRIATION AND THE AMERICAN POSITION. THE CANADIANS ARE IN CLOSE TOUCH WITH THE AMERICANS AND AGREE WITH OUR ASSESSMENT THAT THE MAIN STUMBLING BLOCKS ARE THE VIEWS OF PRESIDENT BUSH HIMSELF AND IN PARTICULAR, HIS WISH NOT TO RISK PUBLIC CRITICISM BY CHANGING TACK BEFORE THE
MID-TERM ELECTIONS.
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