XN000022-1994-04-25 — Page 2

MONDAY, APRIL 25,

1994

1

CS CALLS FOR UNCONDITIONAL MEN RENEWAL

CAN HELP SECURE HONG KONG'S RENEWING UNCONDITIONALLY

IMMEDIATELY STATUS

FOR

FUTURE BY THE U.S.

THE MOST FAVOURED NATION (MFN) CHINA, THE CHIEF SECRETARY, MRS ANSON CHAN, SAID TODAY (MONDAY).

ON HER FIRST OFFICIAL VISIT TO THE U.S. AS CHIEF SECRETARY, MRS WOULD CHAN TOLD THE NATIONAL PRESS CLUB IN WASHINGTON THAT HONG KONG RECEIVE AN ECONOMIC BODY BLOW IF MFN WAS NOT RENEWED.

SHE REFUTED THE SUGGESTION TARGETED NON-RENEWAL AS A DELUSION.

"QUITE

OF SOME

FORM OF SELECTIVE OR

TO

APART FROM THE PRACTICAL DIFFICULTIES IN ATTEMPTING DISTINGUISH BETWEEN GOODS PRODUCED BY STATE AND NON-STATE ENTERPRISES, THERE ARE CONSIDERABLE RISKS," SHE SAID.

ECONOMY

MRS CHAN SAID CHINA WAS MOVING FROM A CENTRAL COMMAND TO A MARKET ORIENTED ONE AND REFORM OF STATE ENTERPRISES WAS A KEY AND DIFFICULT PART OF THIS.

"SANCTIONS SELECTIVE OR OTHERWISE WILL NOT HELP TO ENSURR THE PROCESS OF REFORM IS AN ORDERLY ONE.

THAT

"WHILE THE U.S BUYS MAINLY FROM NON-STATE ENTERPRISES,

SHE SAID. THE STATE ENTERPRISES WHICH BUY MOST FROM THE U.S.,

IT TS

||

SHE POINTED OUT THAT THE INTRODUCTION OF ANY TRADE HOWEVER SELECTIVE, CREATES UNCERTAINTY.

SANCTIONS,

"IN PARTICULAR, IT WOULD CREATE UNCERTAINTY BECAUSE IT SIMPLY IS NOT POSSIBLE TO INSULATE HONG EFFECTS OF SANCTIONS AGAINST CHINA.

FOR HONG KONG KONG FROM THE

"THIS

NEED IT MOST SAID.

-

UNCERTAINTY WOULD DAMAGE CONFIDENCE AT THE VERY TIME JUST THREE YEARS BEFORE THE CHANGE OF SOVEREIGNTY,

WR SHE

RECOGNISING

THAT A

PROSPEROUS

WOULD

BR

SHE

AND STABLE CHINA CRITICAL TO LONG-TERM STABILITY IN THE ENTIRE EAST ASIAN REGION,

WITH TWO- SAID HONG KONG MADE A HUGE CONTRIBUTION TO THAT OBJECTIVE, THIRDS OF ALL FOREIGN INVESTMENT IN CHINA.

AND HONG KONG INVESTMENT ELSEWHERE IS PLAYING ITS PART TO BUILD A PROSPEROUS AND STABLE REGION, SHE SAID.

HELP

ΤΟ HONG KONG'S MAINTAIN THE

TURNING TO THE VALUES THAT HAVE CONTRIBUTED SUCCESS, MRS CHAN SAID HER HIGHEST PRIORITIES WERE TO RULE OF LAW, THE SAFEGUARDS AGAINST CORRUPTION, INDIVIDUAL RIGHTS FREEDOMS, AND A CLEAN, OPEN AND EFFICIENT GOVERNMENT.

AND

"THE JOINT DECLARATION AND THE BASIC LAW GUARANTEES OUR WAY LIFE IN HONG KONG FOR 50 YEARS AFTER 1997.

OF

/"THAT'S THE