TNAG-2468-FCO40-3592-Most-favoured-nation-status-for-China-Hong-Kong-interests-1992 — Page 143

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FROM: P F Ricketts

Hong Kong Dept

DATE: 7 July 1992

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HONG KONG: CHINA'S MOST FAVOURED NATION (MFN) STATUS : LEGCO

DEBATE

35

Problem

1. There is a LegCo debate on 8 July on a motion supporting unconditional renewal of MFN status. How should Hong Kong Government (HKG) officials vote on the UDHK's amending motion, which introduces a link to progress on human rights in China?

Recommendation

2. On balance, that HKG should vote against the

amendment. I submit a draft telegram. This will need to be despatched this evening 7 July.

Background and Argument

3.

The US President has to renew China's MFN status in early June each year.

Since 1989, Congress has tried to overturn his decision, or failing that, to attach conditions to the renewal. far the President has been able to muster enough votes in the

CONFIDENTIAL

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