TNAG-0240-FCO40-276-Entitlement-of-Hong-Kong-to-generalised-tariffs-preferences--1970 — Page 22

Confidential

certificate of origin system owing to their heavy dependence on markets overseas. In any case, it would be to Japan's advantage, not disadvantage, to export goods through Hong Kong, say to the US market, because they would then count against the Hong Kong quota and not the Japanese quota. All in all, Mr. Dorward thought that the Japanese were very much scraping the bottom of the barrel in producing these reasons for not including Hong Kong in the generalised preferences scheme.

6.

I discussed this with Mr, Britten last night and Trade Policy Department are preparing a.telegram to go to Hong Kong seeking comments on Mr. Sato's remarks and .suggesting that our Embassy in Tokyo be given counter-

arguments to use with the Japanese.

•En Пай

E. O. Laird

Hong Kong Department 28 October, 1970.

п

M.ikaind..

Thank

Киінсе

K3570 En

TRAB 29/10

27/10

Confidential