XN000022-1994-10-15 — Page 4

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SATURDAY, OCTOBER 15, 1994

Q: (INAUDIBLE ....

CS:

NEW AIRPORT FINANCING)

OF

WELL OBVIOUSLY THE LONGER WE DO NOT HAVE AN AGREEMENT WITH THE CHINESE ON THE FINANCING OF THE AIRPORT AND THE AIRPORT RAILWAY, THE MORE RISK THERE IS OF DELAY. OUR COMMITMENT UNDER THE MEMORANDUM UNDERSTANDING SIGNED WITH THE CHINESE ON THE FINANCING OF THE AIRPORT IS TO COMPLETE AS MUCH AS POSSIBLE OF THE AIRPORT AND THE AIRPORT RAILWAY BEFORE 1997 AND THIS WE ARE FULLY COMMITTED TO AND CURRENTLY DOING. WE ARE MAKING EXTREMELY GOOD PROGRESS BUT CLEARLY IF WE CAN REACH AGREEMENT, THEN WORK CAN PROCEED FASTER. WE HAVE BEEN VERY ENCOURAGED BY THE FACT THAT EXPERTS ON BOTH SIDES ARE CONTINUING THEIR TALKS AND I AM PERSONALLY VERY OPTIMISTIC THAT SHORTLY WE WILL HAVE AN AGREEMENT.

Q: (INAUDIBLE

CANADA'S POSITION ON HUMAN RIGHTS IN CHINA)

CS: I DO NOT GET THE IMPRESSION THAT YOUR GOVERNMENT IS GOING TO PUT ECONOMIC CONSIDERATIONS ABOVE HUMAN RIGHTS CONSIDERATIONS. I THINK I AGREE WITH YOUR PRIME MINISTER THAT OF COURSE, WE ALL CARE ABOUT HUMAN RIGHTS, I THINK THERE IS NO COUNTRY, NO TERRITORY IN THE WORLD WHO CARES MORE ABOUT HUMAN RIGHTS THAN HONG KONG, GIVEN THAT CHINA IS GOING TO BE OUR SOVEREIGN POWER AFTER 1997, BUT WE DO NOT BELIEVE THAT THE WAY TO SEE IMPROVEMENTS, TO SECURE IMPROVEMENTS IN HUMAN RIGHTS IS THROUGH TRADE SANCTIONS. WE BELIEVE THAT THE TWO SHOULD BE KEPT APART, AND INDEED THAT WAS THE MESSAGE THAT I GAVE TO THE AMERICAN ADMINISTRATION OFFICIALS WHEN IN APRIL I WENT ON A LOBBYING EXERCISE ON THE MFN, PRESIDENT CLINTON. I HAD A CLEAR IMPRESSION AND A CLEAR MESSAGE BOTH FROM DISCUSSIONS WITH YOUR PRIME MINISTER AND WITH OTHER MINISTERS THAT THEY CONTINUE TO CARE ABOUT HUMAN RIGHTS. OF COURSE THEY WISH ALSO TO BE IN A POSITION TO EXPLOIT THE UNLIMITED ECONOMIC OPPORTUNITIES IN HONG KONG AND THAT THEY WILL CONTINUE TO INDICATE THEIR CHINESE COUNTERPART THEIR INTEREST IN SEEING HONG KONG MAINTAIN ITS CURRENT SYSTEMS, ITS CURRENT WAY OF LIFE, OR CREDIBLE LEGISLATURE, INDEPENDENT JUDICIARY, THE RULE OF LAW AND ALL THAT AFFECTS HUMAN RIGHTS.

Q: ON THE AIRPORT ISSUE, YOU SAID YOU EXPECT AN WHAT IS THE TIME FRAME THAT THEY GAVE?

AGREEMENT

TO

SHORTLY.

CS: I THINK SHORTLY. I WOULD NOT LIKE TO PUT A TIME FRAME TO IT.

Q: (IN CANTONESE) MRS CHAN, YOU JUST MENTIONED DURING YOUR SPEECH THAT HONG KONG HAS VERY SOUND COMMERCIAL LAWS, WHICH PROVIDE EFFECTIVE ENFORCEMENT OF CONTRACTS AND PROTECTION OF PRICES, DO YOU CONSIDER THE CT-9 CONTROVERSY AN COUNTER-EXAMPLE TO THAT? ALSO, IS THE GOVERNMENT GOING TO SHOULDER LEGAL RESPONSIBILITY?

/CS: