TNAG-0045-FCO40-81-Britain-s-entry-into-EEC-effect-on-trade-with-Hong-Kong-1967 — Page 6

CONFIDENTIAL

BRITAIN AND THE EEC

Draft Brief for Consultations with Hong Kong Officials

beginning in London on 10 July 1967

Objective

The object of these consultations is to discuss with

Hong Kong officials the steps which we might take in negotiations with the Community to safeguard Hong Kong's essential interests. These talks will be entirely without

commitment. The final decision on the safeguards which we

would try to secure for Hong Kong rests with the British Government and must be taken in the context of our overall

negotiating position and tactics.

2. In the previous negotiations no agreement was reached on Hong Kong. Nor has any policy decision been taken on what our negotiating objectives for Hong Kong should be this time. In these circumstances, we cannot make proposals to Hong Kong officials or comment definitively on suggestions which they make. We can however refer to the latest British position on Hong Kong in the previous negotiations and sound the Hong Kong officials on their views as to whether we should begin again where we left off. Should they make alternative suggestions, we should limit ourselves to elucidating them; obtaining an indication of the importance which Hong Kong attaches to them; and asking what arguments we might reasonably

Our aim should in any use in support of them with the Six.

case be to avoid agreeing with the Hong Kong officials the opening position we intended to adopt with the Six.

The Effect on Hong Kong of British Entry into the EEC without safeguards

3. Hong Kong's domestic exports in 1966 totalled £358 million, having more than doubled in value since 1960 (see Annex A). Her principal markets in 1966 were the U.S.A. (£127 million or

CONFIDENTIAL

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