TNAG-1402-FCO40-1874-Future-of-Hong-Kong-continued-participation-in-the-General-A-1985 — Page 80

(C) PARAGRAPH 14. AS WITH THE GATT, WE ARE PROPOSING TO CHANGE THE NATURE OF HONG KONG'S PARTICIPATION IN THE CCC. WE THEREFORE SUGGEST THAT THE WORDS CONTINUING PARTICIPATION IN THE LAST SENTENCE SHOULD BE REPLACED BY ''SEPARATE MEMBERSHIP.''

(D) PARAGRAPH 17. WE ASSUME THE PARAGRAPH SHOULD END**

OF THE CCC.'!

.....

2. WITH REFERENCE TO UKMIS GENEVA TUR, WHILE WE NOTE THE GATT SECRETARIAT VIEW THAT, ONCE DEEMED TO BE A CONTRACTING PARTY, HONG KONG WILL AUTOMATICALLY ACCEDE TO THE MTC CODES TO WHICH THE UK HAS ACCEDED ON ITS BEHALF, WE DO NOT CONSIDER THAT IT IS NECESSARY TO MAKE SPECIFIC REFERENCE TO MTN CODES IN THE JLG PAPER OR THE DRAFT DECLARATIONS. IN PARTICULAR, WE WOULD NOT WISH TO ADD TO THE DRAFT HONG KONG DECLARATION THE WORDS PROPOSED IN PARAGRAPH 3, AS THIS COULD BE SEEN AS RESTRICTING HONG KONG'S FREEDOM TO PARTICIPATE IN, FOR EXAMPLE, THE CIVIL AIRCRAFT AGREEMENT IN THE FUTURE, SHOULD WE EVER WISH TO DO SO.

WE ALSO DO NOT CONSIDER IT NECESSARY TO REFER IN THE HONG KONG DECLARATION TO PARTICIPATION IN THE CURRENT MEA, AS PROPOSED IN

PARAGRAPH 6.

3. WE AGREE HOWEVER, WITH THE POINTS IN PARAGRAPHS 4 AND 5 OF

UKMIS GENEVA TUR.

4. WITH REFERENCE TO PARAGRAPH ONE OF YOUR FIRST TUR, WE ARE NOT CLEAR EXACTLY WHAT LEGAL QUESTION OR ISSUE YOU HAVE FOUND IT NECESSARY TO REFER TO THE LAW OFFICERS, AND WOULD BE GRATEFUL TO SEE THE TEXT OF YOUR INSTRUCTIONS. OUR VIEWS HAVE OF COURSE

BEEN MADE CLEAR IN OUR TELNO 1000.,

YOUDE

HONG KONG AGREEMENT

78

LIMITED

HD/HKD

HD/FED

HD/PLANNING STAFF

HD/PUSD

DEP HD/PUSD

RESEARCH DEPT (MR WALKER)

PS

PS/R LUCE

PS/PUS

SIR W HARDING

MR WILSON

SIR J FREELAND

MR J CROWLEY, PUSD

COPIES TO:(VIA ADR)

YR ROBERTS, NEWS DEPT

MR FIFOOT, LEGAL ADVISERS

KR KARTIN, ASST STAFF CABINET

MR KALLABY

OFFICE CABINET OFFICE KR D B C CHRISTOPHER. CABINET OFF.

SIR P CRADDOCK, No. 10 DOWNING ST.

CONFIDENTIAL