63
5A
The possible desirability of a Customs Union or other
special arrangement on matters of trade between Hong Kong
and China.
bra
Guit
12 11
inpix 12
ド
12
f his/he
Den wille Awe
to
Copy
the
The very close trade relations between Hong Kong
and China have led several times in the past to considera-
tion being given to the making of a special agreement
regulating trade between them.
[A his
A historical note dealing
in detail with the most recent of such attempts is
attached. It has now been suggested by Sir Frederick
Leith-Ross that affull Custome union might be economically
Customs-union
valuable to the Colony Clearly its value, apart from
any general requirements of British policy towards China,
depends on its anticipated effect on Hong Kong trade.
General Nature of Hong Kong Trade.
2.
Four broad categories may be distinguished:-
(a) imports for consumption in Hong Kong (including
raw materials for certain industries) and exports of
Hong Kong origin;
(b) Chinese external trade passing through Hong Kong,
i.e. Chinese goods re-exported to non-Chinese countries
and non-Chinese goods re-exported to China;
(c) Chinese coastal trade, i.e. goods imported from
one part of China and re-exported to another;
(a) Non-Chinese entrepôt trade, i.e. goods imported
from a non-Chinese country and re-exported to another non-
Chinese country.
3. The Hong Kong trade returns do not distinguish
between imports for consumption and imports for re-export
or between exports of Hong Kong, Chinese and non-Chinese
origin,