TNAG-0384-FCO40-430-Trade-relations-between-Hong-Kong-and-the-EEC-1973 — Page 181

Mr K W Hazle

Trade Relations Dept

Reference.

HKK6/3

*76

responsibility

HONG KONG-EEC GSP: TEXTILES AND FOOTWEAR

1.

As I have explained to you I have not been able to look seriously this paper until now.

2.

I think it sets out the position admirably and is a useful draft.

3.

I agree with the omission of the two points mentioned in paragraph 2 of your minute.

4. My one criticism of the draft is that it does not bring out sufficiently the constitutional factor in any discrimination by HMG in respect of Hong Kong. We spoke about this and agreed this might be overcome by inserting the following after the first sentence in your second paragraph 6. This will come after your sentence "Hong Kong maintains that non-discrimination in the British market at least is absolutely vital to her interests! Then inserting "In Hong Kong it would certainly not be understood that the UK with its discriminatio constitutional/respect for Hong Kong should consider against here colony and at the same time give preference in two of hemajor export items to her competitors who mostly have no links whatsoever with any EEC country. Although officials in London consider the Hong Kong team may have been exaggerating the latter put it forward as their view that discrimination could be disastrous in economic terms."

5.

Paragraph 9.

Insert. After view, first line "for both constitutional and economic reasons, the essential

•

17 August 1973

M A Goodfellow

cc:

Mr Fairweather EID

Mr Sinclair

Legal Advisers

Hong Kong and Indian Ocean Department

(17293) 897465 400m 1/73 G.W.B.Ltd. Gp.863