TNAG-0300-FCO40-336-Entitlement-of-Hong-Kong-to-generalized-tariffs-preferences--1971 — Page 144

5.

The Administration's dilemma over its GPS

is understandable. A duty-free entry scheme (de-

and

te the exclusion of textiles,a¡£88‡¥£e£e£tiv safeguarded may well strike Congress as over-generous/when all

a fer the eulange rust. other major donors are or will be Operating duty- quota schemes. And yet, as you report, an Admin- istration scheme proposing quotas (even if duty- free quotas) could indeed encourage protection- ists in Congress to run amok.

6. Until the mixthamim shape and timing of US CPS legislation become clearer, I do not see what more can be done by way of lobbying the Ad- ministration on the subject of Hong Kong and pre-

A ferences. In the case of Hong Kong, the results of the Kenneậy Round-trip on textiles will no doubt have to be taken into consideration as

well.

when which you

commer

already

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