TNAG-2468-FCO40-3592-Most-favoured-nation-status-for-China-Hong-Kong-interests-1992 — Page 151

CONFIDENTIAL

175435

ADVANCE Cury MDADAN 8469

CONFIDENTIAL

FM HONG KONG

TO IMMEDIATE FCO

TELNO 1816

OF 06110OZ JULY 92

AND TO IMMEDIATE WASHINGTON, PEKING

OUR TELNO 1812: CHINA'S MFN STATUS IN THE US: LEGCO MOTION

DEBATE

FURTHER TO OUR TUR, WE HAVE NOW RECEIVED THE EXACT WORDING OF UDHK'S AMENDMENT TO THE MOTION, WHICH READS AS FOLLOWS:

TO DELETE THE WORDS AFTER THE WORD 'COUNCIL' AND SUBSTITUTE THE FOLLOWING: ''BELIEVES THAT THE EXTENSION OF THE MOST FAVOURED NATION (MFN) STATUS FOR THE PEOPLE'S REPUBLIC OF CHINA (PRC) IS EXTREMELY IMPORTANT FOR PROMOTING THE DEVELOPMENT OF THE ECONOMY OF THE PRC AND HONG KONG: AND THEREFORE URGES THE HONG KONG GOVERNMENT TO STRESS TO THE UNITED STATES GOVERNMENT THE IMPORTANCE TO THE ECONOMY OF HONG KONG OF EXTENDING MEN STATUS TO THE PRC: AND AT THE SAME TIME THIS COUNCIL EXPRESSES IT HOPE THAT THE PRC GOVERNMENT WILL, ON ITS OWN INITIATIVE, IMPROVE HUMAN RIGHTS SO THAT MFN STATUS FOR THE PRC WILL BE ASSURED FOR THE LONG TERM.'

2 =

AS THE AMENDED MOTION REPRESENTS IN EFFECT A NEW MOTION AND AS IT DOES NOT CONTAIN THE MOST IMPORTANT REQUIREMENT THAT THE EXTENSION OF THE MFN TRADING STATUS FOR CHINA BY THE US SHOULD BE UNCONDITIONAL, OUR VIEW IS THAT THE OFFICIAL MEMBERS OF THE LEGISLATIVE COUNCIL SHOULD VOTE AGAINST IT. THE HKG HAVE CONSISTENTLY AND PUBLICLY SUPPORTED RENEWAL WITHOUT CONDITIONS ON THE GROUNDS THAT CONDITIONAL EXTENSION IS TANTAMOUNT TO GIVING NOTICE OF TERMINATION OF MEN AND WILL BE JUST AS DAMAGING AS OUTRIGHT DENIAL OF MFN STATUS.

FORD

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