Mr Bottomley
Mr Logan
CONFIDENTIAL
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CALL BY AMBASSADOR KENNEDY ON THE PARLIAMENTARY UNDER
SECRETARY, 17 MAY
HONG KONG AND THE US GENERALISED PREFERENCE SCHEME
BACKGROUND
1.
It is important for Hong Kong to be accepted as a
beneficiary by all the major donors in the UNCTAD
Generalised Preference Scheme (GPS), since otherwise the
territory will be placed at a disadvantage compared with
her principal competitors.
The EEC has already decided
to include Hong Kong, and we are continuing to press the
Japanese to follow suit.
2.
The latest reports from the Embassy in Washington
indicate that (a) the prospect of securing the early
passage through Congress of the necessary legislation is
uncertain, and (b) there are deep differences within the
US Administration as to whether Hong Kong should be
admitted to the US scheme. While there are those in the
State Department who accept that Hong Kong should be given
every assistance to continue her economic expansion,
because of the political dangers attendant on any set back
to it, there are also influential forces, notably in the
Commerce Department, which view Hong Kong essentially as
a threat to US industry, and therefore as a competitor to
be hindered rather than helped.
!
13.
CONFIDENTIAL
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