TNAG-0046-FCO40-82-Britain-s-entry-into-EEC-effect-on-trade-with-Hong-Kong-1967 — Page 135

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Hong Kong generally.

The question of quantitative restric-

tions which is of much greater importance to Hong Kong

not arise quite so automatically.

data

may

In the absence of any agree-

ment on a common commercial policy within the Community,

quantitative restrictions are a matter for individual Member

States, although they do in practice consult the European

Commission in advance of making any new decisions.

There is

thus no reason why we should ourselves raise the question of

quantitative restrictions on Hong Kong cotton textiles with the

Six, and it would probably be tactically advantageous to leave

it for them to raise the matter with us if they wish.

11.

Against this background, we shall not be able to say very

much more to the Hong Kong Delegation at the next round of

consultations;

but we could perhaps expand a little on what we

said last time as follows, We could take formal note of their

wish that Hong Kong's present access rights to the markets of

the U.K. and the Six should be unimpaired by British entry into

the Community (paragraph 8(a) above); but we must not of

course imply that this is an essential Commonwealth interest

which has to be safeguarded.

As regards paragraph 8(b), we

should press the Hong Kong officials for their assessment of

how they think the common external tariff will bear on differ-

ent categories of textile exports. We could point out that

£15.4m. worth of her total textile exports to us of £40.8m. are

of items on which the common external tariff is between 2% and

4% As regards (c) and (d) of paragraph 8, we could press

rather more strongly on Hong Kong officials the idea that the

best line in negotiations with the Six would be to say nothing

at all about Hong Kong's textile exports to us. If Hong Kong

thinking has continued to develop on the same lincs as before,

they are likely to be sympathetic to this approach.

HONG KONG'S OTHER EXPORTS

12.

At the last round of talks, although Hong Kong officials

argued that the application of the common external tariff to

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/Hong Kong

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