WEDNESDAY, NOVEMBER 19, 1986
FURTHER SANCTIONS IMPOSED AGAINST SOUTH AFRICA
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ADDITIONAL SANCTIONS TO BE TAKEN AGAINST SOUTH AFRICA WILL PLACE HONG KONG AMONG THOSE GOVERNMENTS WHICH ARE THE TERRITORY'S MAJOR TRADING PARTNERS AND WHICH HAVE STEPPED UP ECONOMIC MEASURES AGAINST SOUTH AFRICA IN PROTEST AGAINST APARTHEID.
THE FINANCIAL SECRETARY, THE HON PIERS JACOBS, SAID THIS IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY) WHEN OUTLINING THE ADDITIONAL SANCTIONS THAT WILL BE IMPOSED.
THE MEASURES WOULD BE BROUGHT INTO EFFECT WHEN THE IMPORT PROHIBITION (SOUTH AFRICA) (NO, 2) REGULATIONS 1986 ARE GAZETTED ON FRIDAY, HE SAID,
MR JACOBS SAID IT HAD BEEN DECIDED THE ADDITIONAL SANCTIONS SHOULD BE IMPOSED FOLLOWING CONSIDERATION BY THE EXECUTIVE COUNCIL.
+THESE INCLUDE A BAN ON THE IMPORT OF IRON AND STEEL FROM SOUTH AFRICA, AND A VOLUNTARY BAN ON NEW INVESTMENT AND BANK LOANS AND PROMOTION OF TOURISM TO SOUTH AFRICA,+ HE SAID.
+ THE IMPORT BAN WILL NOT APPLY TO THOSE GOODS WHICH ARE COVERED BY EXISTING CONTRACTS OR WHICH DO NOT ORIGINATE FROM SOUTH AFRICA.
HE SAID THE GOVERNMENT HAD REACHED THIS DECISION AFTER CAREFUL CONSIDERATION OF ALL RELEVANT FACTORS APPLICABLE TO HONG KONG, INCLUDING HONG KONG'S MORAL POSITION AGAINST APARTHEID, THE GROWING CONSENSUS INTERNATIONALLY ON SANCTIONS AGAINST SOUTH AFRICA AND SIMILAR ACTION RECENTLY TAKEN BY THE TERRITORY'S MAJOR TRADING PARTNERS, INCLUDING THE UNITED STATES, THE EUROPEAN COMMUNITY, CANADA AND JAPAN.
MR JACOBS SAID THAT IN 1985 10.5 PER CENT OF HONG KONG'S IMPORTS OF IRON AND STEEL CAME FROM SOUTH AFRICA. IN THE FIRST EIGHT MONTHS OF THIS YEAR THE PROPORTION WAS 14 PER CENT.
OTHER SOURCES OF SUPPLY WERE READILY AVAILABLE, HE NOTED.
REFERRING TO THE VOLUNTARY BANS ON NEW DIRECT INVESTMENT IN AND BANK LOANS TO SOUTH AFRICA, HE SAID THESE WOULD TAKE THE FORM OF AN ADVISORY LETTER FROM THE GOVERNMENT TO THE MAJOR FINANCIAL, INDUSTRIAL AND COMMERCIAL REPRESENTATIVE ORGANISATIONS.
THE LETTER WOULD INFORM THEM OF THE GOVERNMENT'S DECISION TO IMPOSE ADDITIONAL SANCTIONS AND ADVISE THEM TO REFRAIN FROM EXTENDING NEW LOANS TO ENTITIES OR MAKING NEW DIRECT INVESTMENTS IN SOUTH AFRICA.
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