TNAG-1402-FCO40-1874-Future-of-Hong-Kong-continued-participation-in-the-General-A-1985 — Page 51

CONFIDENTIAL

Office of the United Kingdom Permanent Representative

to the European Community

Rond-Point Robert Schuman 6 1040 Brussels

Telephone 230.62.05

M.

A J Lane Esq

ITP Division

DTI

1 Victoria Street

London SW1

JJ

Your reference

Our reference

Date

121/393/1

1 July 1985

Y

HKV 0+0/24 нии ото

RECEIVEN

TRY

Dear Tony,

HONG KONG'S FUTURE POSITION IN THE GATT, MFA AND CCC

1. When we spoke on the telephone on 28 June, you suggested that we should take steps to inform Leslie Fielding of the proposals on this question to be put to the Chinese shortly. After clearing the lines with the FCO, I spoke to Leslie Fielding today.

2. Emphasising that I was doing so in strict confidence, I showed him the paper to be handed to the Chinese annexed to the submission to Ministers of last weekend (but did not of course leave it with him). I said that it was to be handed over in Peking shortly, in advance of the Sino-British Joint Liaison Group meeting on 22-25 July. If all went well, we would aim to take action in Geneva soon thereafter (para 7 of the paper).

3.

Fielding said that he entirely accepted the need for confidentiality; and saw the advantages for the UK and Hong Kong in taking early action in this way. He hoped that we would inform the Commission officially as soon as we were in a position to do so, so that they could consider the matter. At first sight, he foresaw no Community problems. (He commented that some member states might suggest that our proposed action could provoke an early Chinese application for reinstatement as a GATT Contracting Party; but the Chinese would no doubt do that in their own good time, irrespective of Hong Kong. Moreover, EC member states were not in general against China's reinstate- ment, provided that the terms were negotiated.)

substantive

4.

In view of the date of the UK/China meeting, any follow-up action in Brussels will probably need to await the end of the summer holiday period.

Yours ever.

Rosema

Spence

Rosemary Spencer

/cc

CONFIDENTIAL

46,