SECRET
that the best possible terms were not available for Hong Kong. If we were only negotiating with the Five we could probably get terms which left Hong Kong no worse off (and possibly
better off) than if we were to stay out. But the French
will be difficult to crack. The Hong Kong Government might
therefore be urged (a) to consider carefully the consequences
of paying the common external tariff on their exports to
Britain and what plans could be made to mitigate this and
(b) in the meantime to cultivate those members of the E.E.C. (especially Germany and the Netherlands) who are not ill disposed
towards the Colony.
ECONOMIC DEPARTMENT, COLONIAL OFFICE.
July, 1966.
SECRET
C.0./1076/66
Page 195Page 196
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