TNAG-1169-FCO40-1449-Future-of-Hong-Kong-1982 — Page 80

CONFIDENTIAL

6. ACCORDING TO KRENZLER THE COMMISSION RESPONDED TO DORWARD'S APPEALS FOR FLEXIBILITY WITH GREAT FIRMNESS, SAYING THAT THE COUNCIL HAD GIVEN THEM VIRTUALLY NO ROOM FOR MANDEUVRE ON HONG KONG. DORWARD SAID THAT HE WOULD APPEAL FOR HELP IN GERMANY AND THE UK. KRENZLER ASKED THAT DORWARD'S INTERLOCUTORS IN LONDON SHOULD REINFORCE THE COMMISSION'S FIRM LINE.

7. KRENZLER ALSO COMMENTED THAT DORWARD SEEMED TO BELIEVE THAT THE GROWTH RATES DECIDED BY THE COUNCIL FOR THE GLOBAL CEILINGS WOULD BE THOSE APPLIED TO HONG KONG WHEREAS OF CAUSE THEY WOULD BE MUCH LOWER TO TAKE ACCOUNT OF THE POLICY OF DIFFERENTIATION. ON OP, KRENZLER THOUGHT THAT IT SHOULD NOT BE PRESENTED TO HONG KONG AS LINKED TO THE CUTBACKS,

BUT SIMPLY AS AN AREA WHERE THE COMMUNITY COULD GIVE SOMETHING NEW. AND THERE WAS OF COURSE NO QUESTION OF FORCING HONG KONG

TO ACCEPT OF QUOTAS.

8. IT WOULD BE HELPFUL TO BE AUTHORISED TO TELL KRENZLER OF THE MAIN LINES OF DORWARDS DISCUSSIONS ON TEXTILES ON LONDON.

FCO ADVANCE TO:-

KINCHEN ECD(E) SPIVEY

FCO

CAB

DOI

HARDING LOWNE BRYANT CT DÍV MANZIE

DOT

<<

WOODMAN NEAL ITP DIV GRAY PS/MFT

FCO PASS SAVING TO BONN WASHINGTON UKMIS GENEVA

BUTLER

'FRAME EXTERNAL

ECD (E)

WED

SED

HK & GD

SEAD

FED

[ADVANCED & REPEATED AS REQUESTED]

2

CONFIDENTIAL