ง
18
e
Х
boots, inspected at the Hong Kong office, was obviously superior, both in finish and design, to a similar article which had been produced in the United Kingdom and exported to Hong Konɛ.
(d)
We know of no justification for the suggestion that H. M. Customs are favouring imports from Hong Kong in any way. On the contrary, the import of Hong Kong shirts has been held up very badly owing to the rigid checking of the Empire content for Customs purposes. Rather than waive their rules in this respect, we understand that the Customs have engaged extra staff to enable them to speed up the costings of these Hong Kong imports.
(e) There is, of course, a trading season for rubber footwear, so far as the retail trade is concerned. The extent to which this affects the rate of manufacture and export from Hong Kong is doubtful, but it is likely that wholesale orders fall off in the summer months as the importers become stocked up.
Generally speaking, we deprecate very strongly these attempts on the part of United Kingdom interests to hamper Hong Kong's trade. In this particular case those efforts are short-sighted because Hong Kong's trade in rubber footwear is by no means one-way; there is a good deal of canvas used in this industry for linings and uppers, all of which is believed to be imported into Hong Kong from this country. I need not also point out that Hong Kong is a large importer of goods from the U.K. which has a favourable balance of trade with the Colony. Apart from this, la present political
conditions, the consequences of taking any steps likely to cause unemployment and distress in Hong Kong, would be very grave, especially having regard to the serious effects on Hong Kong's economy which the U. S. embargo on trade with China and Chinese retaliation are bound to have.
+
In these circumstances I should be obliged if we
/could