XN000022-1993-05-28 — Page 2

FRIDAY, MAY 28, 1993

ATTENTION NEWS EDITORS:

TRANSCRIPT OF GOVERNOR'S MEDIA SESSION AFTER THE ROYAL HONG KONG REGIMENT (VOLUNTEERS) FOUNDATION DAY DINNER

GOVERNOR:

GOOD EVENING, I'M EXTREMELY PLEASED THAT THE ANNOUNCEMENT HAS BEEN MADE OF MFN RENEWAL. OBVIOUSLY. WE HAVE A BREATHING SPACE FOR A YEAR. I VERY MUCH HOPE THAT DURING THE COURSE OF THE NEXT TWELVE MONTHS, THERE IS AN IMPROVEMENT IN THE RELATIONSHIP BETWEEN CHINA AND THE UNITED STATES. I THINK THE ANNOUNCEMENT TODAY IS GOOD NEWS FOR HONG KONG. I VERY MUCH HOPE THAT WE'LL SEE

IN THE FUTURE AN IMPROVED POLITICAL RELATIONSHIP BETWEEN CHINA AND THE UNITED STATES. I HOPE THAT WE'LL SEE STRONGER ECONOMIC AND TRADING RELATIONSHIPS BETWEEN CHINA AND THE UNITED STATES AND SINCE THEY ARE THE TWO BIGGEST TRADING PARTNERS AS THAT HAPPENS, WHEN THAT HAPPENS, IT WILL BE EVEN BETTER NEWS FOR HONG KONG. So, WHILE TODAY'S ANNOUNCEMENT ISN'T EVERYTHING I WAS ASKING FOR WHEN I WAS IN WASHINGTON A FEW WEEKS AGO, NEVERTHELESS I THINK IT'S A GOOD DEAL BETTER THAN MANY PEOPLE FEAR AND DOES GIVE US TWELVE MONTHS IN WHICH I HOPE WE CAN SEE A FURTHER STRENGTHENING OF THE RELATIONS BETWEEN THE TWO MOST IMPORTANT TRADING PARTNERS, COMMERCIAL PARTNERS IN OUR LIVES.

QUESTION:

GOVERNOR, MR CLINTON'S STATEMENT WAS TAPID IF NOT TIMID ON HUMAN RIGHTS, DO YOU AGREE YOU TAKE CREDIT FOR THIS?

GOVERNOR:

KEEP

THE

I THINK AS I SAID WHEN I WAS IN WASHINGTON THAT IT WAS NOT SENSIBLE TO MIX POLITICS AND ECONOMICS. I THINK ONE SHOULD POLITICAL ISSUES AND TRADE ISSUES SEPARATE. I KNOW HOW CONCERNED UNITED STATES AND MANY POLITICAL LEADERS IN THE UNITED STATES ARE ABOUT HUMAN RIGHTS AND AS I EXPLAINED WHEN I WAS IN WASHINGTON, NOBODY CARES MORE ABOUT HUMAN RIGHTS ISSUES THAN PEOPLE IN HONG KONG. BUT WE DON'T THINK THAT THE BEST WAY OF PURSUING THOSE MATTERS IS THROUGH RESTRICTIONS ON TRADE. WE ACTUALLY THINK THAT IMPROVEMENTS IN TRADE, THAT IMPROVEMENTS IN ECONOMIC RELATIONS ARE MORE LIKELY TO RAISE PEOPLE'S QUALITY OF LIVING AND IMPROVE PEOPLE'S HUMAN RIGHTS STAND THE OPPOSITE. SO I THINK THAT IF WE CAN SEE BOTH ON THE PART OF THE UNITED STATES AND ON CHINA'S BEHALF AS WELL. A SEPARATION BETWEEN POLITICAL AND ECONOMIC ISSUES, THAT'S A GOOD THING NOT ONLY FOR HONG KONG BUT FOR THE REGION AND THE WORLD.

QUESTION: ANSWER TO IT.

GOVERNOR:

SO THE SECOND PART OF THE QUESTION, YOU HAVEN'T ANY DO YOU THINK YOUR TRIP CONTRIBUTED TO THIS DECISION?

I VERY MUCH HOPE THAT THE ARGUMENTS THAT WE PUT FORWARD WERE LISTENED TO CLOSELY. I THINK THAT THOSE OF YOU WHO CAME TO WASHINGTON WITH ME WILL KNOW THAT WE WERE NOT ONLY GIVEN VERY GOOD ACCESS BUT WE WERE ALSO TAKEN ACCOUNT OF. I THINK, THE ARGUMENTS THAT WE PUT FORWARD DID RECEIVE A VERY GOOD HEARING, I DON'T JUST MEAN IN THE ADMINISTRATION BUT ALSO AMONG CONGRESSIONAL LEADERS AS WELL. I THINK THERE HAVE BEEN A NUMBER IN RECENT DAYS WHO'VE SAID THAT THEY'VE ADJUSTED THEIR POSITION AND ONE OF THE REASONS THAT THEY GAVE WAS THAT THEY LISTENED VERY CLOSELY TO THE ARGUMENTS THAT WE PUT FORWARD. THE ADMINISTRATION IN WASHINGTON HAS A LOT OF BIG PROBLEMS ON ITS PLATE. IT IS IN EVERYBODY'S INTEREST THAT IT COPES WITH THEM SATISFACTORILY BECAUSE THE UNITED STATES IS THE ECONOMIC WORLD LEADER AND I HOPE THAT THE DECISION IT'S TAKEN ON TRADE WITH CHINA WILL HELP THE U.S. TO COPE WITH ITS OWN PROBLEMS AND THE REST OF US TO COPE WITH OURS AS WELL.

JESTICK