TNAG-0462-FCO40-527-Entitlement-of-Hong-Kong-to-EEC-Generalised-Scheme-of-Prefer-1974 — Page 9

Mr Ingram

Cany

ideas on

Pl. copy t

сару

Mh. Goodfellow, AKIO)

Reference

para 10).

CC

Mr Abramson

CRE1

Mr Roberts

CRE 2

ра. Then pa. put 9/5.

Mr Russell ODA

Er Hart FCO

Mr Lodge CT

My Cook Ec$5 Miss Nicoll

PSD

We g

Yes

VISIT OF MA TRAN: GSP

INDUSTRIAL ITEMS

1.

Though Tran was personally very forthcoming at last Thursday's meeting, and is genuinely concerned to make improvements of substance to CSP it doesn't look es though we can exect much further softening of the Commission's proposals on industrial itens. *he document Tran brought with him contains the Commission's current proposals which are Virtually identical to those discussed at the meeting in Bruzsols in late March, except from the "Freeze"/15% concession on the level of the stricter butoirs for the supercompetitive.

The Superc mnetitive

2.

Tran's heart, one felt, was not in the proposal for tougher butoirs, but he clearly regards this as the minimum to get the Nine to accept the other changes. He accepts that the present butoira already do a good job in checking imports, and pointed to the low level of utilization of any quotas revealed in the

He turned the statin leul schedule for transmission to UNCTAD he brought alon.

en the question of increasing the supplementary same Argument neatly against un quotas.

3. He mentioned the interestin- prasibility of seeking voluntary restraint from Hong Kong and Yugoslavia on exports to areas of the Community liable to suffer genuine damage: presumably this would apply to min as well as preferential exports? He mentioned Ireland in particular; one has doubts whether longer markets could be tackled similarly. But this 18 a line of appr ech we should wish to encourage.

1. Tran reported that the Germans would wish to see the butoirs divided among member states on the ʼn rmal key. This would be much more threatening than a 10 but-ir Hong Kong and Yugoslavia could stand to lose up to three quarters of

We shall have to argue strongly against their preferential trade in some items. this.

وٹ

It is encouraging that the semi-sensitive list is to be free from the new but irs. Tran conrrmed that a we had supposed, re-imposition of duty on the itema planned to be rem ved from the sensitive list would follow the same procedures as on semi-sensit ve itema t present. ile remarked that figures he had showed that

enter over the ceiling the control was ineffective with larve amounts continuing t While nice to kno this does remove the objection to a closed system.

Over Tunel Tran spoke of reducing Romania's exclusions because of her apparent luck of competitiveness on many products on which she so far does not qualify for

6.

conecasions.

Hong Kon:

+

7. Tran was pessimistic about ding anything for Hong Kong in 1975; the French have closed the door in his face on footwear, dacting earlier hops, and he himself ruled out the possibility of movement on textiles. He foresaw a continuation in

He 1975 of the 1974 interim" regime, with perhaps a 5 increase in quotas. advanced the need to wait for the outcome of all the Mrk bilateral discussions before going forward on GSP improve cents.

"

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