TNAG-0627-FCO40-775-Effect-of-GATT-Multi-Fibre-Arrangement-on-Hong-Kong-negotiat-1977 — Page 15

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

J.

ANIER A

The determination of · situation of "arket disruption", as referred to in this arrunge (cit, shall be based on the czistened of Jurious anna te donostic producers or actual threat thorvor. Such devage must actionstrably bo caused by the factors set out in phungropi. U below and not by factors such as technological. changes or changes in coubeye proerente viäen, urs instrumental in switches to Jike and/or directly competitive products and by the seae industry, or similar factors. The existence of drago small bo determined on the basis of an examÅDIG – tion of the appropriate factors inving a touring on the evolution of the state of the industry in question such as: turnover, market share, profits, cxport performance, employment, volut of disruptive and other imports, production, utilization of cuplcity, productivity and investments. No one or several of these factors can necessarily „ive decisive guidance.

II.

+

The factors causing, market disruption referred to in paragraph I above and which generally appear in co.bination are as follows:

(i) a sharp and substantial increase or iminent increase of imports of particular

products fron particul:r sources. such an iradnent increase shall be &

casurable one and shall not be determined to exist on the basis of allegation, conjecture or mure possibility arising, for example, from thi existence of production capacity in the exporting countries;

(ii) these products are offered at prices which gre substantially below those

prevailing for similar goods of comparable quality in the market of the importing cow.try. Such prices shell b. compared both with the price for the doustic product at comparable stage of comercial transaction, and with the prices which normally prevail for such products sold in the ordinary course of trede and under open market conditions by other exporting cowitzats in the importing country.

III. In considering questions of "arket disruption" secount shall be taken of the interests of the xporting country, especially in regard to its stage of development, the importance of the textile suctor to the economy, the employment situation, overall balance of trade in textiles, trade balance with the importing country concerned and overall balance of patients.

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