TNAG-0243-FCO40-279-Conduct-of-Hong-Kong-commercial-relations-1973 — Page 132

CONFIDENTI AL

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MEMBERS OF THE COTTON TEXTILES COMMITTEE OF THE GENERAL AGREEMENT ON TARIFFS AND TRADE (GATT) AND HONG KONG'S REPRESENTATIVES ATTEND MEETINGS OF THIS COMMITTER AS MEMBERS OF THE UNITED KINGDOM DELE-

CATION. THEY HAVE AN OPPORTUNITY TO PRESENT HONG KONG'S VIEWS

INDEPENDENTLY BUT IN PRACTICE THE EXPRESSION OF CONFLICTING VIEWS

BY UNITED KINGDOM REPRESENTATIVES AND REPRESENTATIVES OF HONG KONG

IS AVOIDED. THESE ARRANGEMENTS REFLECT THE FACT THAT HONG KONG, BEING A DEPENDENT TERRITORY, IS NOT A SEPARATE MEMBER OF THE GATT,

AND IS REPRESENTED IN THE GATT BY THE UNITED KINGDOM DELEGATION. 4. IT FOLLOWS ALSO FROM THE CONSTITUTIONAL POSITION THAT, IN EXERCIS ING ANY AUTHORITY TO CONDUCT EXTERNAL RELATIONS THE GOVERNMENT OF HOB KONG ACT AS AGENTS OF HER MAJESTY'S GOVERNMENT AND THE RIGHTS WHICH

THEY THEREBY ACQUIRE AND THE OBLIGATIONS WHICH THEY THEREBY ACCEPT

ARE ACQUIRED AND ACCEPTED ON BEHALF OF HER MAJESTY'S GOVERNMENT. IT WOULD BE HER MAJESTY'S GOVERNMENT WHO WOULD BE CALLED TO ACCOUNT FOR

ANY DEFAULT ON THE PART OF THE GOVERNMENT OF HONG KONG AND HER

MAJESTY'S GOVERNMENT ALONE COULD SECURE REPARATION ON BEHALF OF THE

GOVERNMENT OF HONG FOR ANY DEFAULT BY A THIRD PARTY. HOWEVER, AS STATED IN MY PREDECESSOR'S SAVING DESPATCH NO 369 OF 31 JULY, 1969, HAVING REGARD TO THE CONSIDERABLE NUMBER OF TRADING ARRANGEMENTS

AND AGREEMENTS INTO WHICH HONG KONG ENTERS IN TERMS OF THE LTA I DO

NOT CONSIDER IT NECESSARY OR PRACTICABLE FOR THE TERMS OF EVERY SUCH

ARRANGEMENT OR AGREEMENT TO BE SCRUTINISED IN LONDON BEFORE IT IS

CONCLUDED AND CAN BE REGISTERED IF NECESSARY UNDER ARTICLE 132 OF

THE UNITED NATIONS CHARTER. PROVIDED, THEREFORE, THAT YOU ARE

SATISFIED THAT THE CONCLUSION OF ANY LTA ARRANGEMENT DOES NOT

JEOPARDISE THE INTERESTS OF HER MAJESTY'S GOVERNMENT OR COMMIT HER

MAJESTY'S GOVERNMENT TO UNDERTAKINGS FOR WHICH THEIR PRIOR AGREEMENT

SHOULD, IN YOUR VIEW, BE OBTAINED, I CONFIRM THAT THERE WILL BE NO OBJECTION TO THE INCLUSION IN THE PREAMBLE TO SUCH ARRANGEMENTS OF

A STATEMENT TO THE EFFECT THAT THE GOVERNMENT OF HONG KONG OR

ADMINISTRATIVE DEPARTMENT CONCERNED IS ACTING WITH THE AUTHORITY AND.

CONSENT OF HER MAJESTY'S GOVERNMENT.

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5. TURNING NOW TO NON-COTTON TEXTILES, IT IS NECESSARY TO DEVISE

CONFIDENTIAL

/ ARRANGEMENTS