CONFIDENTIAL
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CONFIDENTIAL
FM HONG KONG
TO PRIORITY F C O
TELNO 1381
OF 21100OZ MAY 92
INFO PRIORITY PEKING, WASHINGTON
091
(24)
031342
MDLIAN 7552
22/5
CORRECTED VERSION: PARA 1 LINE 4
U.S./CHINA: MFN
SUMMARY
PARA 4 LINE 8 AND 9. PARA 5 LINE 10.
1. HONG KONG'S ARGUMENTS RECEIVED A SYMPATHETIC HEARING DURING MEETINGS WITH U.S. ADMINISTRATION OFFICIALS AND CONGRESSIONAL LEADERS. ENCOURAGING REMARKS ON THE PRESIDENT'S POSITION MADE BY CARLA HILLS (USTR) AND ROGER PORTER (ASSISTANT TO THE PRESIDENT FOR ECONOMIC AND DOMESTIC POLICY). ROOM FOR CAUTIOUS OPTIMISM BUT ANOTHER TOUGH BATTLE IN CONGRESS LIES AHEAD.
DETAILS
2 =
SECRETARY FOR TRADE AND INDUSTRY (CHAU) WAS IN WASHINGTON, D.C. LAST WEEK. HIS VISIT FOLLOWED THAT OF A HONG KONG DELEGATION OF LEADING BUSINESS REPRESENTATIVES IN THE PRECEDING WEEK, WHOSE APPOINTMENTS FOCUSED ON SOME 19 SENATORS IDENTIFIED AS POTENTIAL
''SWING VOTES'' ON THE MFN. ISSUE. AN AMERICAN CHAMBER OF COMMERCE OF HONG KONG MISSION IS IN WASHINGTON THIS WEEK.
3. CHAU CALLED ON HILLS (USTR), PORTER (WHITE HOUSE), FRANKLIN (COMMERCE) AND YOUNG (STATE). ON CAPITOL HILL, HE HAD MEETINGS WITH SENATORS DOLE, SIMPSON AND PACKWOOD AND CONGRESSMEN ROSTENKOWSKI AND GINGRICH. HIS MAIN MESSAGE AT THESE MEETINGS WAS TO REITERATE OUR CONCERNS AND TO HIGHLIGHT THE DAMAGING IMPACT ON HONG KONG'S ECONOMY AND THE SERIOUS KNOCK-ON EFFECT ON CONFIDENCE IN HONG KONG, IF CHINA'S MFN STATUS WERE DENIED OR MADE SUBJECT TO CONDITIONS.
4.
BOTH HILLS AND PORTER INDICATED PRESIDENT BUSH'S INTENTION TO RENEW CHINA'S MFN STATUS FOR ANOTHER WITHOUT CONDITIONS. WHILE FRANKLIN AND YOUNG WERE LESS SPECIFIC, THEIR AFFIRMATION THAT
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