TNAG-1493-FCO40-2051-Future-of-Hong-Kong-General-Agreement-on-Tariffs-and-Trade-(-1986 — Page 133

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S 500

CONFIDENT AL

FM HONG KONG

TO IMMEDIATE FCO

TELNO 1571

OF 220555Z MAY 86

CONFIDENTIAL

HICK

1221

COPY

29 MAY 1985

INDEX

PA

ABIO

:

INFO IMMEDIATE PEKING, UKMIS GENEVA

UKMIS GENEVA PLEASE PASS A CORM TO GARTLAN

MIPT: HONG KONG AND GATT.

BEGINS:

HONG KONG IS DEEMED TO BE A CONTRACTING PARTY TO THE GATT BY

VIRTUE OF THE DECLARATION MADE BY HER MAJESTY'S GOVERNMENT (HMG)

TO THE DIRECTOR GENERAL OF THE GATT ON 23 APRIL 1986 UNDER THE

PROVISIONS OF ARTICLE XXVH(5)(C) OF THE GATT. THIS DECLARATION

FORMALLY STATED THAT HONG KONG POSSESSES FULL AUTONOMY PN THE

CONDUCT OF ITS EXTERNAL COMMERCIAL RELATIONS AND OF THE OTHER

MATTERS PROVIDED FOR.IN THE GATT.

2. THIS DECLARATION BY HMG IS RENFORCED BY A PARALLEL DECLARATION

BY THE CHINESE GOVERNMENT MADE ON THE SAME DAY THAT AS FROM 1 JULY

1997 THE HONG KONG SPECIAL ADMINISTRATIVE REGION WILL MEET THE

REQUIREMENTS FOR A CUSTOMS TERRITORY TO BE DEEMED TO BE A CONTRACTING PARTY AS PRESCRIBED IN GATT ARTICLE XXVII(5)(C), AND THEREFORE MAY, USING THE NAME 'HONG KONG, CHINA", CONTINUE TO BE

DEEMED TO BE A CONTRACTING PARTY TO THE GATT.

3. BY THESE DECLARATHONS THE BRITISH AND CHINESE GOVERNMENTS HAVE

TAKEN THE NECESSARY CONCRETE STEPS ENVISAGED IN PARAGRAPH 4(A) OF ANNEX IN TO THE JOINT DECLARATION TO SECURE THE HONG KONG SPECIAL ADMINISTRATIVE REGION'S RIGHTS AND OBLIGATIONS UNDER THE GATT AND

THE MFA IN CONTINUATION OF HONG KONG'S CURRENT STATUS.

4. AS HONG KONG HAS FOR SOME YEARS BEEN PLAYING AN AUTONOMOUS ROLE IN THE GATT AND THE MFA FROM WITHIN THE BRITISH DELEGATION THERE WILL BE LITTLE VARIATION OF SUBSTANCE IN OUR FUTURE ROLE ON BEING

DEEMED TO BE CONTRACTING PARTY TO THE GATT. ONE CHANGES THAT HONG KONG REPRESENTATIVES WILL NOW SPEAK IN HONG KONG'S NAME, RATHER THAN AS 'THE UNITED KINGDOM SPEAKHING FOR HONG KONG'. WITH THIS NEW STATUS, WE SHALL, OF COURSE, CONTINUE TO PLAY OUR FULL PART IN SUPPORT OF THE BASIC PRINCIPLES AND PURPOSES OF THE GATT AND IN DEFENCE OF HONG KONG'S RIGHTS THEREUNDER. THE OTHER DIFFERENCE WILL BE THAT WE SHOULD HAVE TO PAY OUR SHARE OF THE GATT BUDGET, WHICH PREVIOUSLY HAS BEEN PART OF THE UK'S CONTRIBUTION AND BORNE OUT OF UK FUNDS. FUNDS FOR THIS PURPOSE HAVE ALREADY BEEN VOTED BY THE

FINANCE COMMITTEE OF THIS COUNCIL.

15.

CONFIDENTIAL

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