TNAG-0250-FCO40-286-Discussions-on-EEC-negotiations-between-officials-of-Hong-Ko-1970 — Page 215

NOTHING TO BE WRITTEN IN THIS MARGIN

W(B)L 51-7406

7

i

CONE IDENT ENL

This might, in

However they did not rule out the possibility

of Hong Kong retaliating.

fact, take the form of insuring that public

tenders are diverted away from British

industry and that some attempt is made to

run down Hong Kong's sterling balances.

At the same time it must be recognised that

Hong Kong's freedom to retaliate is severely

restricted both by her political, her

commercial, and her constitutional position.

CONFIDENTIAL