[This Document is the Property of His Britannic Majesty's Government.]
CHINA TRADE.
CONFIDENTIAL.
No. 1.
169
[May 8.]
SECTION 1.
Sir,
Board of Trade to Foreign Office.-(Received May 8.)
Board of Trade, May 7, 1903.
I AM directed by the Board of Trade to acknowledge the receipt of your letter of the 25th ultimo, forwarding print of despatch to His Majesty's Chargé d'Affaires at Peking relative to certain points raised by the Acting British Consul at Yunnan-fu respecting the interpretation that should be placed on some of the provisions of Article VIII of the new Anglo-Chinese Treaty.
With regard to the fourth point referred to in the despatch, the Board note that the opinion is expressed that foreign yarn would not lose its character as a foreign import by undergoing in China the process of manufacture into cloth. In this connection I am to point out that the view here expressed is not, so far as the Board are aware, in accordance with that generally held by civilized countries as to the nationality of manufactured goods made from imported materials.
As bearing upon this point, I am to direct attention to observation No. 389 printed at pp. 344-5 of the "Preliminary Observations" to the French Tariff of 1897, a copy of which is doubtless in the possession of the Foreign Office.
It will be seen from this that in cases where raw material produced in a country not enjoying the advantage of the French Minimum Tariff is manufactured in another country enjoying that advantage, in such a way as to change its condition, it is to be considered as the product of the latter, and as such entitled to enter France at the lower rate of duty.
Moreover, it appears to the Board that in the case of the preferential rates of duty accorded by the Canadian Government to British goods imported from the United Kingdom, His Majesty's Government would wish to maintain the view, that such articles as artificial flowers made of imported materials, sugar refined from foreign raw sugar, confectionery and jam made from ingredients of foreign origin, silk goods manufactured from imported raw silk, or silk yarn, are all to be considered as British goods for the purposes of this preferential treatment, and they think that an inconvenient precedent would be established if His Majesty's Government were to press upon the Chinese Government a view which would conflict with this contention.
The Board, therefore, desire me to suggest, for Lord Lansdowne's consideration, that it would be inadvisable by pressing the matter in this instance to weaken in any way the view held on the subject by His Majesty's Government in common, they believe, with civilized countries generally.
I am, &c.
(Signed) FRANCIS J. S. HOPWOOD.
[2004 h-1]
TO SEPARA.
[This Document is the Property of His Britannic Majesty's Government.)
CHINA TRADE.
CONFIDENTIAL.
No. 1.
169
[May 8.]
SECTION 1.
Sir,
Board of Trade to Foreign Office.-(Received May 8.)
Board of Trade, May 7, 1903.
your letter I AM directed by the Board of Trade to acknowledge the receipt of of the 25th ultimo, forwarding print of despatch to His Majesty's Chargé d'Affaires at Peking relative to certain points raised by the Acting British Consul at Yunnan-fu respecting the interpretation that should be placed on some of the provisions of Article VIII of the new Anglo-Chinese Treaty.
With regard to the fourth point referred to in the despatch, the Board note that the opinion is expressed that foreign yarn would not lose its character as a foreign In this import by undergoing in China the process of manufacture into cloth. connection I am to point out that the view here expressed is not, so far as the Board are aware, in accordance with that generally held by civilized countries as to the As bearing upon nationality of manufactured goods made from imported materials. this point, I am to direct attention to observation No. 389 printed at pp. 344-5 of of the "Prelimininary Observations" to the French Tariff of 1897, a copy of which is doubtless in the possession of the Foreign Office.
It will be seen from this that in cases where raw material produced in a country not enjoying the advantage of the French Minimum Tariff is manufactured in another country enjoying that advantage, in such a way as to change its condition, it is to be considered as the product of the latter, and as such entitled to enter France at the lower rate of duty.
Moreover, it appears to the Board that in the case of the preferential rates of duty accorded by the Canadian Government to British goods imported from the United Kingdom, His Majesty's Government would wish to maintain the view, that such articles as artificial flowers made of imported materials, sugar refined from foreign raw sugar, confectionery and jam made from ingredients of foreign origin, silk goods manufactured from imported raw silk, or silk yarn, are all to be considered as British goods for the purposes of this preferential treatment, and they think that an inconvenient precedent would be established if His Majesty's Government were to press upon the Chinese Government a view which would conflict with this contention.
The Board, therefore, desire me to suggest, for Lord Lansdowne's consideration, that it would be inadvisable by pressing the matter in this iustance to weaken in any way the view held on the subject by His Majesty's Government in common, they believe, with civilized countries generally.
I ain, &c. (Signed) FRANCIS J. S. HOPWOOD.
[2004 h-1]
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