TNAG-0239-FCO40-275-Entitlement-of-Hong-Kong-to-generalised-tariffs-preferences--1970 — Page 90

We hope that Japan will not exclude Hong Kong from her ander Hot

ANCTAD Scheun

offer of generalised preferences. Japanese argue that

Hòng Kong is a dependent territory and therefore our

This is irrelevant in the context of

responsibility.

onomic devant pent the developing world. We recognise that Hong Kong is

competitive, in some products but this can be overcome

by the use of safeguard arrangements. Other developing

countries such as South Korea and Taiwan are no less

competitive; Hong Kong merely seeks avoidance of dis-

crimination. Hong Kong has a large trade deficit with

Japan and is her third largest customer. A decision by

Japan to exclude Hong Kong which encouraged others to

do likewise would have adverse effects on Hong Kong's

economy and thus on Japanese exports to Hong Kong. The

Secretary of State recently sent a message to the

Japanese Foreign Minister on these lines.

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