TNAG-2112-FCO40-3011-International-Rights-and-Obligations-Sub-Group-of-the-Sino-B-1990 — Page 233

CONFIDENTIAL

135123

MDLIAN 8034

AND DURATION AS THE CONVENTION.

BENEFITS

4. ALL CUSTOMS TERRITORIES TO WHICH THE CONVENTION AND PROTOCOL APPLY BENEFIT FROM THE SIMPLIFIED CUSTOMS PROCEDURES, WHICH HELP TO STIMULATE TRADE BY ENSURING THE SMOOTH FLOW OF GOODS BETWEEN THOSE TERRITORIES.

PROPOSALS

5. THE BRITISH SIDE PROPOSES THAT THE CONVENTION, TOGETHER WITH ITS PROTOCOL, SHOULD CONTINUE TO APPLY TO THE HONG KONG SAR AFTER 30 JUNE 1997 IN ACCORDANCE WITH THE JOINT DECLARATION. TO ACHIEVE THIS RESULT THE ONLY ACTION REQUIRED WILL BE TO INCLUDE THE CONVENTION AND ITS PROTOCOL IN THE LIST OF TREATIES IN THE ANNEX TO THE SQUARE BRACKETS BEGIN EXCHANGE OF NOTES SQUARE BRACKETS CLOSE SQUARE-

ESS BRACKETS BEGIN PRC NOTE TO THE SECRETARY-GENERAL OF THE UNITED

MEETING OF THE NATIONS SQUARE BRACKETS ENDS AGREED AT THE JOINT LIAISON GROUP. UNDER THE SQUARE BRACKETS BEGIN EXCHANGE OF NOTES SQUARE BRACKETS ENDS SQUARE BRACKETS BEGIN PRC NOTE SQUARE- BRACKET ENDS ALL INTERNATIONAL RIGHTS AND OBLIGATIONS ARISING FROM THE INTERNATIONAL INSTRUMENTS ON THE ANNEXED LIST WHICH, ON 30 JUNE 1997, ARE VESTED IN OR INCUMBENT UPON THE UK GOVERNMENT AND APPLY TO HONG KONG, BE ASSUMED WITH EFFECT FROM 1 JULY 1997 BY THE GOVERNMENT OF THE PRC AND APPLY TO THE HONG KONG SAR OF THE PRC.

بد

DRAFT PAPER ENDS

WILSON

YYYY

MAIN

57

.HONG KONG AGREEMENT

(RESTRICTED)

LIMITED

HKD

HD/FED

RESEARCH (FE)

ADDITIONAL

3

DISTRIBUTION

60

PAGE

PUSD NEWS D

PS/MR MAUDE

PS/LORD BRABAZON

MR GILLMORE

MR MCLAREN

2

CONFIDENTIAL

MR WHOMERSLEY LEGAL ADVISERS

MS BARRETT LEGAL ADVISERS

MR FIFOOT LEGAL ADVISERS

NNNN