XN000022-1990-05-09 — Page 38

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WEDNESDAY, MAY 9, 1990

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CONCERN SHARED OVER POSSIBLE TRADE ACTION BY U.S.

SAID TODAY THE FINANCIAL SECRETARY, THE HON SIR PIERS JACOBS,

OVER (WEDNESDAY) HE FULLY SHARED THE CONCERN OF SEVERAL LEGCO MEMBERS THE POSSIBILITY OF THE UNITED STATES WITHDRAWING MOST FAVOURED NATION, OR MFN, TREATMENT FOR ITS IMPORTS FROM CHINA.

"ALTHOUGH THIS IS, STRICTLY SPEAKING, A MATTER BETWEEN THE U.S. AND CHINA, HONG KONG IS VERY MUCH AN INTERESTED PARTY.

"WE STAND TO SUFFER CONSIDERABLY IF THE THREATENED ACTION

THE SECOND TO PASS," HE SAID IN CONCLUDING APPROPRIATION BILL 1990.

CAME

READING

DEBATE

ON

THE

MEAN THAT CHINESE GOODS WOULD SOME (IN

CASES MORE

THE LOSS OF MFN STATUS WOULD FACE VERY MUCH HIGHER TARIFFS HIGHER) UPON ENTRY INTO THE U.S.

THAN 10

TIMES

"HONG KONG'S RE-EXPORTS OF CHINESE GOODS TO THAT MARKET,

BE REDUCED BY AS WERE WORTH HK$66 BILLION IN 1989, COULD 50 PER CENT OVERNIGHT.

WHICH

MUCH

AS

"CHINA'S

DIRECT EXPORTS

TO

THE

U.S

SOME OF WHICH ARE MANUFACTURED IN HONG KONG-OWNED FACTORIES, WOULD ALSO SUFFER GREATLY.

"THERE WOULD ALSO INEVITABLY BE

SERIOUS KNOCK-ON EFFECTS ON OTHER SECTORS OF THE ECONOMY AND, ABOVE ALL, ON THE GENERAL CONFIDENCE IN HONG KONG," HE SAID.

LEVEL OF

WAS SIR PIERS SAID THE FULL IMPACT, HUMAN AS WELL AS ECONOMIC,

THE THREAT VERY DIFFICULT TO QUANTIFY AND THE GOVERNMENT WAS TAKING SERIOUSLY.

OF KEY POLICY

"WE ARE DOING ALL WE CAN TO DRAW THE ATTENTION MAKERS AND LEGISLATORS IN THE U.S. TO HONG KONG'S CONCERNS.

WELL AS THE MAKING

AS COUNCIL, "I UNDERSTAND THAT MEMBERS OF THIS MAIN TRADE AND INDUSTRIAL ORGANISATIONS IN HONG KONG, ARE ALSO REPRESENTATIONS.

THERE ARE MANY OF HARM UNDOUBTEDLY

"I TRUST THAT OUR FRIENDS IN AMERICA, AND

ANYTHING WHICH WOULD THEM, WILL NOT CHOOSE TO DO HONG KONG AND INVESTORS IN OUR ECONOMY, MANY OF WHOM HE SAID.

ARB AMERICANS,

*

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