TNAG-1148-FCO40-1428-Effect-on-Hong-Kong-of-the-Portuguese-and-Spanish-accession--1982 — Page 17

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complications but also because its level of industrial

development would have made it unacceptable to some

Member States as an Overseas Territory. This arrangement

had been acceptable for Hong Kong and had now worked

satisfactorily for ten years. For the UK, it would be

a serious matter if Macao was to receive better status

than Hong Kong. We would be concerned about a

Portuguese application for Overseas Territory status

for Macao. Perhaps in advance of putting any proposal

regarding Macao on the table in Brussels, the

Portuguese could advise us privately and let us have a

chance to comment? Had they been given any views by

the Chinese Government? Dr Marta replied that they had

consulted" both" ways but had not yet received an

answer. Overseas Territory status might be ideal for

Macao but not necessarily ideal for Portugal. Dr

Cascais asked how the UK had approached the Chinese at

the time of our own accession negotiations. Mr Hannay

explained that there had been no contacts with the

Chinese at that time, and no indication of their views.

At the time of British accession China did not

recognise nor have diplomatic relations with the

Community.

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