WEDNESDAY, DECEMBER 3, 1986
21
HK SEEKING RESULTS FROM GATT TALKS
*****
THE FORTHCOMING NEW ROUND OF GATT DISCUSSIONS HAS A NUMBER OF IMPORTANT TASKS TO ACCOMPLISH IN IMPROVING THE DISCIPLINES OF INTERNATIONAL TRADE AND IN REDUCING BARRIERS.
HONG KONG WILL BE PARTICIPATING FULLY IN THE DISCUSSIONS IN
AN ATTEMPT TO MAKE THEM PRODUCE RESULTS.
THIS WAS SAID TODAY (WEDNESDAY) BY THE DIRECTOR OF TRADE, MR HAMISH MACLEOD, AT THE INTERNATIONAL MANAGEMENT SEMINAR OF THE PACIFIC BASIC ECONOMIC COUNCIL 1986.
MR MACLEOD NOTED THAT PROTECTIONIST PRESSURES CONTINUED TO EXIST IN SOME COUNTRIES, AND IN THE UNITED STATES THOSE PRESSURES WERE AT A HISTORIC HIGH AND SHOWED NO SIGN OF ABATING,
+ALTHOUGH THE DECLINING VALUE OF THE U.S. DOLLAR WILL SOON BEGIN TO REDUCE THE U.S. TRADE DEFICIT, THE PRESSURES ARE THERE, AND ADDED UNCERTAINTY IS INTRODUCED BY THE FACT THAT IN 1988. THERE WILL BE NOT ONLY CONGRESSIONAL ELECTIONS BUT THE ELECTION OF A NEW PRESIDENT, + HE SAID.
+ IF TRADE IS STILL A MAJOR ISSUE THEN, AS IT IS LIKELY TO BE THEN WE CANNOT BE TOO OPTIMISTIC ABOUT AVOIDING FURTHER PROTECTIONIST PRESSURES.
+NEVERTHELESS, THE FACT THAT SUCH A LARGE NUMBER OF GOVERNMENTS HAVE DECIDED TO MAKE AN EFFORT TO IMPROVE MATTERS IS ENCOURAGING. AND THE FACT THAT A NEW ROUND IS BEING HELD IS IN ITSELF AN ADDED WEAPON WHICH CAN BE USED BY THOSE GOVERNMENTS TO RESIST PROTECTIONIST PRESSURES.+
MR MACLEOD SAID THAT NO DOUBT MODEST PROGRESS COULD BE MADE ON SOME OF THE ISSUES TO BE DISCUSSED IN DEPTH --AND HONG KONG WOULD BE SEEKING TO ACHIEVE THIS.
+WHAT THE GATT TRIES TO DO IS TO ESTABLISH RULES WHEREBY IT CAN BE ASSESSED WHETHER A PARTICULAR BARRIER -- WHICH TRADITIONALLY REFERS TO TARIFFS, QUANTITATIVE RESTRICTIONS OR OTHER REQUIREMENTS WHICH HAVE THE EFFECT OF UNREASONABLY HINDERING COMPETITION BY GOODS FROM OUTSIDE IS REASONABLE OR NOT, AND A MACHINERY FOR DEALING WITH CASES WHERE ONE AFFECTED PARTY
CONSIDERS THAT THE RULES HAVE NOT BEEN FOLLOWED.
+WHILE IT IS INEVITABLY FAR FROM A PERFECT SYSTEM, THE
SYSTEM IS NOT WITHOUT TEETH, IN THAT IN THE LAST RESORT RETALIATION IS ALLOWED, HE SAID.
THE GATT ALREADY PLAYED A VITAL ROLE IN KEEPING DOWN THE NUMBER OF UNREASONABLE BARRIERS.
MR MACLEOD ADDED THAT AS HONG KONG'S STATUS IN THE GATT HAD BEEN UNAMBIGUOUSLY RESOLVED THIS YEAR, IT WAS ENTIRELY APPROPRIATE THAT A TRADING ENTITY WHICHIVED AROUND 13TH IN THE WORLD TRADE TABLE SHOULD BE SEEN TO PLAY A FULL PART IN THE GATT IN ITS OWN RIGHT.
/22