TNAG-2207-FCO40-3164-Multiple-entry-visa-agreement-between-Hong-Kong-and-Japan-1990 — Page 26

CONFIDENTIAL

FM FCO

TO PRIORITY HONG KONG

TELNO 520

CONFIDENTIAL

ако 345/1

RECEIVED IN REGISTRY

1 8 APR 1990

DESK OFFICER

043464

MDLOAN 8003

REGISTRY

PA

Attiun Taken

INDEX

OF 08180OZ MARCH 90

INFO PRIORITY TOKYO, UKREP JLG HONG KONG

84 HKD 345/2 (16

YOUR TELNO 4262: HONG KONG/JAPAN: MULTIPLE ENTRY VISAS

1 THE POLITICAL COUNSELLOR AT THE JAPANESE EMBASSY CALLED ON

HKD YESTERDAY TO HAND OVER REVISED DRAFTS OF THE

·

JAPANESE NOTE VERBALE AND THE ASSOCIATED SIDE LETTER (SEE MIFT).

2.

SPEAKING ON INSTRUCTIONS, MIZUTANI SAID THAT

THE JAPANESE GOVERNMENT COULD

NOT AGREE TO THE OMISSION OF ANY REFERENCE TO A TERMINATION DATE. THEY ACCEPTED THAT THE ARRANGEMENTS SHOULD BE

REVIEWED BUT COULD NOT ACCEPT A FORMAL COMMITMENT TO HAVE COMPLETED THE REVIEW BEFORE 30 JUNE 1994 (PARAGRAPH 5 OF THE DRAFT NOTE VERBALE).

TURNING TO THE JAPANESE SIDE LETTER, MITZUTANI MADE THE FOLLOWING POINTS:

3.

(I) THE JAPANESE GOVERNMENT WISHED TO RETAIN THEIR ORIGINAL PROPOSALS CONCERNING LENGTH OF SERVICE (3 YEARS' CONSECUTIVE EMPLOYMENT WITH A GIVEN COMPANY) AND LEVEL OF CAPITALISATION CONE BILLION YEN), ALTHOUGH BOTH REQUIREMENTS COULD BE LOOKED AT AGAIN ONCE THEY HAD SEEN HOW THE ARRANGEMENTS WORKED IN PRACTICE. (II) THE JAPANESE GOVERNMENT WOULD ALSO PREFER TO STICK TO THEIR

ORIGINAL PROPOSAL REGARDING THE LEVEL OF TURNOVER ON BUSINESS

WITH JAPAN (AT LEAST 100 MILLION YEN RATHER THAN 50 MILLION YEN).

(III) THE JAPANESE GOVERNMENT WISHED TO RETAIN THEIR REQUIREMENT

THAT A JAPANESE COMPANY INVESTING IN A HONG KONG COMPANY SHOULD

BE LISTED ON THE JAPANESE STOCK EXCHANGE.

(IV) THEY WOULD PREFER TO OMIT THE REFERENCE TO MEMBERSHIP OF WELL-ESTABLISHED TRADE ORGANISATIONS IN HONG KONG SINCE THE

JAPANESE SIDE WOULD NOT NECESSARILY HAVE ACCESS TO THE

INFORMATION REQUIRED TO MAKE THIS JUDGMENT.

4.

MIZUTANI ALSO HANDED OVER A DRAFT EXCHANGE OF NOTES BETWEEN HMG AND THE JAPANESE GOVERNMENT DELETING THE REFERENCE TO HONG

KONG IN THE 1957 UK/JAPAN AGREEMENT (A COPY OF WHICH IS BEING

PAGE

1

CONFIDENTIAL