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(5) Treaties and other international agreements
Treaties and other international agreements with respect to which the President has made a determination described in the last sentence of section 201 (b), and the reasons for each such determination.
This section does not apply until on or after July 1, 1997.
(6) Significant Problems in Bilateral Cooperation on Export Controls
Significant problems in cooperation between Hong Kong and the United States in the area of export controls.
Hong Kong cooperates closely with the United States to ensure strategic goods are not diverted illegally to proscribed destinations. Hong Kong's Trade Department requires a license for the import or export of weapons or military-related equipment, nuclear, chemical, and dual use items. Trained personnel use computers to review all licenses for relationship of the level of technology to the end use involved.
Hong Kong Customs carries out preventive controls, which include routine checks of cargo at entry/exit points, and searches of vehicles and vessels to ensure that all strategic goods shipments have been approved by the Hong Kong government. Random and targeted searches are conducted; cargo manifests are scrutinized. Hong Kong Customs officers also conduct pre- and post-shipment checks at various premises to verify that strategic goods are actually delivered to the proper destinations and used for the purposes described.
During 1992, the United States determined that Hong Kong's control regime was efficient enough to warrant the benefit of license-free export of most COCOM-controlled high technology dual use goods under section 5(k) of the Export Control Act. Since then, as before, officials from the Hong Kong and United States governments have continued to exchange information, ranging from routine checks on items under munitions controls through more serious cases where diversion has been suspected. Cooperation has been exemplary, and the United States believes that these vigorous enforcement efforts show Hong Kong's strong desire to remain a separate customs jurisdiction dedicated to the proper control of trade in strategic goods.
(7) The Development of Democratic Institutions in Hong Kong
(A) Nature of Democratic Institutions
Hong Kong is a free society with most individual freedoms and rights protected by law and custom. Citizens enjoy freedom of religion, movement, peaceful assembly and association. There is a tradition of free speech and press, although concern
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