TNAG-0138-FCO40-174-Conduct-of-Hong-Kong-commercial-relations-1969 — Page 103

on the Colony's, in any case pragmatic commercial policy, will not

tolerate a position in which UK trading interests may override

Hong Kong's. With this may go the argument that Hong Kong is

invariably the best judge of what is in the Colony's commercial

interest. If the Governor sustains these viewpoints and takes the

line he evidently took with Mr. Hughes he will, in effect, be asking

to be given the last word over commercial matters.

Eand

Thus at one end of the range of possibilities we may be

confronted with the demand that we acknowledge, whatever the

underlying constitutional position, the practical independence in

commercial matters of the Hong Kong Government together with the

paramountcy of the Colony's trading interests. At the other, we might

be pressed to spell out the agreed statement, probably so that it

leaves rather less room for UK intervention than at present.

the face of it we ourselves can hardly argue for a more restrictive

grad policy in future than the least liberal interpretation the statement

lower limit

can carry

A

The other end of the range of possibilities is,

therefore, more or less predetermined

because

And Hong Kong, of course,

know this. There are indeed some indications that they will seek

to elucidate the agreed statement rather than improve their position

lins by more extravagant demands. This might indicate not so much a

change of heart as of tactics.

With no more than these broad indications to go on it is

likely that the Governor will use arguments under one or more of the

following headings :

At one buve or another Hong Kong have uned argomenti agamit interfersuce the HM under all the foliaring headings: (a) Historical: the argument that it is established practice

(only recently varied) for Hong Kong to conduct her own

commercial affairs.

/ (b).

...