XN000022-1994-06-07 — Page 7

TUESDAY, JUNE 7, 1994

"AND THEY WILL EXACERBATE THE DANGER THAT

TAKE NEW FORMS."

PROTECTIONISM

WILL

MR JACKSON SAID ANTI-DUMPING WAS NOT SUPPOSED TO BE A FORM OF PROTECTIONISM AND THE GENERAL AGREEMENT ON TARIFFS AND TRADE (GATT) RECOGNISED IT AS A LEGITIMATE MBANS OF ADDRESSING PRACTICES PROVIDED CERTAIN GUIDELINES WERE ADHERED TO.

UNFAIR

TRADING

TERMS,

"UNFORTUNATELY, THOSE GUIDELINES ARE COUCHED IN GENERAL AND IN THE URUGUAY ROUND OF GATT TALKS, HONG KONG TRIED HARD то GET THEM CLARIFIED AND MORE SPEICFIC.

"WE WORKED CLOSELY WITH OTHERS BUT ONLY PARTIALLY SUCCEEDED. THERE ARE STILL GREY AREAS AND WAYS TO BIAS THE IMPLEMENTATION IN FAVOUR OF PROTECTION WHILE REMAINING CONSISTENT WITH THE NEW MARRAKESH AGREEMENT."

MR JACKSON SAID THE WORRY WAS THAT NOT ONLY WAS ANTI-DUMPING SPREADING BUT ALSO ITS MISUSE, AND НЕ CITED TWO SIGNIFICANT CASES LEVELLED AGAINST HONG KONG AT PRESENT.

THESE ARE THE UNITED STATES CASE AGAINST IMPORTS OF HONG KONG MAN-MADE FIBRE SWEATERS AND THE EUROPEAN UNION ACTION AGAINST HONG KONG 3.5-INCH DISCS, HE SAID.

"IT IS OUR FIRM IMPRESSION FROM THESE CASES, AND FROM CASES WE SEE BEING PUT TO GATT DISPUTE SETTLEMENT PANELS, THAT ANTI-DUMPING MEASURES ARE BEING USED IN RESPONSE ΤΟ DOMESTIC PROTECTIONIST PRESSURE.

"ANTI-DUMPING IS BECOMING A MEANS TO IMPOSE SELECTIVE AND HIGH TARIFFS, THE VERY PHENOMENON THAT THE GATT WAS SET UP ΤΟ FIGHT AGAINST. IN SHORT, IT IS BECOMING SHEEP'S CLOTHING FOR PROTECTIONIST WOLVES.

-

MR JACKSON WARNED THAT PROTECTIONISTS WOULD NOT STOP THERE AND HE SAID TWO NEW POSSIBILITIES PRESENTED THEMSELVES GROWING CONCERN, IN DEVELOPED ECONOMIES PARTICULARLY, ABOUT ENVIRONMENT AND LABOUR STANDARDS.

"THEY ARE VALID CONCERNS. HONG KONG IS VERY FIRMLY COMMITTED TO PLAYING ITS PART TO RAISING STANDARDS ON BOTH FRONTS, HE SAID.

*

"IN A WORLD SUFFERING POVERTY AND ENVIRONMENTAL DEGRADATION

ON A FRIGHTENING SCALE, IT IS VITAL THAT WE WORK TOGETHER TO ENSURE THE MOST EFFICIENT USE OF RESOURCES, AND IMPROVEMENTS IN STANDARDS OF LIVING.

MR JACKSON POINTED OUT THAT FREE TRADE HAD PROVEN FOR HONG KONG TO BE THE BEST MEANS TO THOSE ENDS AND THAT THE MULTILATERAL TRADING SYSTEM HAD A VITAL PART TO PLAY IN THE PROCESS.

"THE PROTECTIONIST WAVING THE LABOUR RIGHTS OR ENVIRONMENTAL BANNER WILL DAMAGE THE CAUSES HE AFFECTS TO ESPOUSE IF HIS EFFORTS WEAKEN OR ABUSE THE RULES OF INTERNATIONAL TRADE, HE SAID.

MR JACKSON WARNED THERE WOULD BE OTHER AS YET UNFORESEEN FORMS THAT PROTECTION MIGHT TAKE.

/"CONCERN ABOUT