SATURDAY, AUGUST 4, 1984
HE SAID IT WAS DIFFICULT TO ASSESS THE FULL IMPLICATIONS OF THE NEW MEASURES WITHOUT HAVING HAD THE OPPORTUNITY TO DISCUSS THEM WITH THE UNITED STATES. NEVERTHELESS, THEY WERE OF DEEP CONCERN TO HONG KONG AS PUBLISHED, AND HE HOPED THE BRIEFING WOULD ENABLE THE MEDIA TO UNDERSTAND SOME OF THOSE CONCERNS MORE FULLY.
MR ROBERT FOOTMAN, DEPUTY DIRECTOR OF TRADE, EXPLAINED THAT TWO OF THE PROVISIONS OF THE NEW REGULATIONS WERE OF DEEP CONCERN TO HONG KONG.
HE SAID FIRSTLY, ADDITIONAL DOCUMENTS WERE REQUIRED FOR TEXTILE PRODUCTS SUBJECT TO THE BILATERAL TEXTILES AGREEMENT WITH THE UNITED STATES. THE DOCUMENTATION, IN CERTAIN INSTANCES, WOULD BE DIFFICULT AND SUBSTANTIAL.
MR FOOTMAN SAID THE NEW PROVISIONS AS REGARDS ORIGIN RULES WERE NOT ENTIRELY CLEAR. BUT THE REGULATIONS WERE SPECIFIC IN EXCLUDING CERTAIN PROCESSES WHICH IN THEMSELVES WOULD NOT CONFER ORIGIN STATUS.
SPECIFICALLY NO ARTICLE WOULD BE CONSIDERED TO HAVE BEEN SUBSTANTIALLY TRANSFORMED MERELY BY ANY OF THE FOLLOWING FOUR PROCESSES:
(1) SIMPLE COMBINING OR PACKAGING OPERATIONS;
(11) JOINING TOGETHER BY SEWING, LOOPING, LINKING OR OTHER
MEANS OF ATTACHING OTHERWISE COMPLETED COMPONENT PARTS;
1) CUTTING OR OTHERWISE SEPARATING OF ARTICLES FROM MATERIALS WHICH HAVE PREVIOUSLY BEEN MARKED WITH CUTTING LINES, ETC; AND
(IV) DYEING, PRINTING, SHOWERPROOFING, SUPERWASHING OR OTHER
FINISHING OPERATIONS.
MR FOOTMAN SAID THAT THE REGULATIONS IMPLIED THAT THE CARRYING OUT OF THESE FOUR PROCESSES WOULD NOT IN THEMSELVES BE ORIGIN-CONFERRING.
MR SZE, THE ACTING DIRECTOR OF TRADE, EMPHASISED HONG KONG'S FEAR THAT THERE WOULD BE SEVERE DISRUPTION TO EXISTING LEGITIMATE TRADE AS THE REGULATIONS WOULD COME INTO FORCE ON SEPTEMBER 7,
1984.
IN REPLY TO A QUESTION, MR SZE SAID: THE PROBLEM IS THAT FOR ORIGIN PURPOSES WE CAN ONLY MAKE ASSUMPTIONS AS TO WHAT IS EXCLUDED BUT WE SIMPLY DO NOT KNOW WHAT IS INCLUDED.+
HE SAID THAT THE PROPOSED NEW ORIGIN RULES +SEEM TO POSE A SERIOUS THREAT TO THE KNITWEAR, DYEING AND FINISHING INDUSTRY. IN 1983 TERMS, $2 200 MILLION WORTH OF TRADE COULD BE AFFECTED.+
MR SZE SAID THAT THE PRESENT ORIGIN RULES WERE BASED ON INTERNATIONALLY ACCEPTED PRACTICE AND WERE LONG-STANDING. THE NEW RULES, HE SAID, APPEARED TO CONFLICT WITH THE EXISTING ONES.
/THE TRADE ..........