TNAG-0237-FCO40-273-Trade-relations-between-EEC-and-Hong-Kong-1990 — Page 40

CYPHER/CAT A

CONFIDENTIAL

PRIORITY UKDEL EEC BRUSSELS

TELEGRAM NO. 295

CONFIDENTIAL

[NEUTRAL]

51

TO FOREIGN AND COMMONWEALTH OFFICE

#2 JULY 1978

TOP COPT

HKK 6/6

60

ADDRESSED TO FOREIGN AND COMMONWEALTH OFFICE TELEGRAM NO. 295

CF 2 JULY 1978 REPEATED FOR INFORMATION ROUTINE TO BONN THE HAGUE

PARIS ROME UKKIS GENEVA HONG KONG AND SAVING TO BRUSSELS (FOR DODGE)

COTTON TEXTILES: HONG KONG/EEC,

56 HONG KONG TEL. NO. 421 HAS NOW BEEN REPEATED TO ME.

2. WE HAVE MADE SOME LOW LEVEL INQUIRIES WITH THE COMMISSION ABCUT

THEIR ATTITUDE TOWARDS THE SUPPLY OF BASIC INFORMATION. THE

OFFICIALS TO WHOM WE SPOKE SAID THAT, WHEREAS THE COMMISSION

WOULD BE PREPARED TO PROVIDE INFORMATION ON COMMUNITY IMPORTS

THEY WERE NOT WILLING TO PROVIDE THE INFORMATION ASKED FOR ON

COMMUNITY PRODUCTION AND CONSUMPTION LEVELS. THEY ALREADY PROVIDED

CERTAIN INFORMATION ON THESE TWO POINTS TO THE GATT, WHERE

IT WAS AVAILABLE TO HONG KONG, AND THEY DID NOT BELIEVE THAT

THE PROVISION OF FURTHER INFORMATION WOULD MATERIALLY ASSIST

THE PROPOSED NEGOTIATIONS.

3. IT IS CLEAR THAT THE COMMISSION ARE BEING FAR FROM HELPFUL.

HOWEVER I QUESTION WHETHER WE SHOULD RE INSTRUCTED TO MAKE

THE APPROACH SUGGESTED IN PARA 5 OF THE HONG KONG TELEGRAM UNDER

REFERENCE. WE HAVE ONLY VERY RECENTLY, ON YOUR INSTRUCTIONS

FORMALLY TOLD THE COMMISSION THAT THEY WOULD BE DEALING DIRECT

WITH HONG KONG IN THE NEGOTIATION OF THIS ARTICLE 4 AGREEMENT

AND THAT HMG HAD CONCEDED COMPLETE AUTONOMY ON THIS QUESTION

TO HONG KONG. IF WE NOW INTERVENED WE WOULD RISK CREATING

CONSIDERABLE CONFUSION IN THE COMMISSION AND THE COMMUNITY

AND THIS COULD GRAVELY COMPROMISE THE CREDIBILITY OF THE

HONG KONG COVERNMENT AS A NEGOTIATOR IN ITS OWN RIGHT. IN ANY

CASE I DO NOT BELIEVE THAT OUR INTERVENTION AT THIS STAGE

WOULD INDUCE THE COMMISSION TO CHANGE ITS ATTITUDE, WHICH IS

CLEARLY RELATED TO THE TACTICAL HANDLING OF THEIR FORTHCOMING

NEGOTIATIONS WITH HONG KONG.

LAST

REF

B

61

4. AS SEEN FROM THIS POST THE BEST THING WOULD BE THAT HONG

KONG SHOULD PURSUE THEIR REQUEST FOR BASIC INFORMATION BILATERALLY

WITH THE COMMISSION. THIS COULD EITHER BE DONE BY REPLYING

FORMALLY TO THE COMMISSION'S INVITATION AND STATING THAT ACCEPT-

ANCE OF THE OFFER OF NEGOTIATIONS WAS DEPENDENT ON THE PROVISION

OF CERTAIN BASIC INFORMATION; OR ALTERNATIVELY BY ACCEPTING

THE OFFER OF NEGOTIATIONS AND MAKING IT CLEAR, IMMEDIATELY

CONFIDENTIAL

*

/THESE NEGOTIATIONS