TNAG-1402-FCO40-1874-Future-of-Hong-Kong-continued-participation-in-the-General-A-1985 — Page 116

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DD 220100Z HONG KONG

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FM FCO 211630Z JUNE 85

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. 24 JUN 1985

LOISTRY

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TO IMMEDIATE HONG KONG, UKMIS GENEVA, UKREP BRUSSELS

TELEGRAM NUMBER 886 OF 21 JUNE

AND TO IMMEDIATE UKMIS GENEVA, UKREP BRUSSELS

INFO IMMEDIATE PEKING, BRUSSELS (FOR JONES), WASHINGTON

MIPT: JOINT LIAISON GROUP: HONG KONG'S FUTURE POSITION IN GATT, M

AND CCC

1.

FOLLOWING IS THE TEXT OF THE REVISED PAPER.

BEGINS

1. THE PURPOSE OF THIS PAPER IS TO EXPLAIN THE ARRANGEMENTS

WHICH THE BRITISH SIDE BELIEVE WOULD SECURE THE BEST POSSIBLE

BASIS FOR HONG KONG'S CONTINUING PARTICIPATION IN:

(I) THE GATT:

(II) THE MFA:

(III) THE CCC.

UP TO AND AFTER 1997.

THE BRITISH SIDE SUGGEST THAT THESE INTER-RELATED MATTERS BE

CONSIDERED TOGETHER.

HONG KONG AND THE GATT

2. HONG KONG'S PARTICIPATION IN THE GATT, THROUGH WHICH IT ENJOYS MOST FAVOURED NATION RIGHTS OF ACCESS FOR ITS GOODS HAS

BEEN A KEY ELEMENT IN ITS SUCCESS AS AN EXPORTER. DURING THE

SINO-BRITISH TALKS ON THE FUTURE OF HONG KONG, THE BRITISH AND CHINESE SIDES AGREED THAT ARRANGEMENTS WOULD NEED TO BE MADE TO

ENSURE THAT HONG KONG COULD CONTINUE TO BE EFFECTIVELY REPRESENTED AND ITS VIEWS EFFECTIVELY EXPRESSED WITHIN THE GATT.`

3. AS A REFLECTION OF THIS, SECTION VI OF ANNEX I TO THE

SINO-BRITISH JOINT DECLARATION ON THE QUESTION OF HONG KONG MAKES

PROVISION FOR THE FUTURE HONG KONG SPECIAL ADMINISTRATIVE REGION

(SAR) TO BE A SEPARATE CUSTOMS TERRITORY. IT ALSO PROVIDES FOR

THE SAR TO PARTICIPATE IN RELEVANT INTERNATIONAL ORGANISATIONS

AND INTERNATIONAL TRADE AGREEMENTS (INCLUDING PREFERENTIAL TRADE

1

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