C Lane Esq
FCO: Economic Advisers
WH 402
dti
the department for Enterprise
SB
Mr Kurren
2/12
M 3 J Mise Bouch
ms
Мив oalle
Whitney fr
ec HKD
121
Department of Trade and Industry
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071-215 (209
2003.
Your ref 9 November 1992
?
Date
Dear Chris,
CHINA/MFN:
78
Carrived 26/1)
LOBBYING A CLINTON ADMINISTRATION
We spoke on Wednesday about FCO telnò 1523 (China/MFN: Lobbying a Clinton Administration), and your concern that parts of it were inaccurate. I promised to put my views in writing.
2. My concerns lay with paragraphs 3 (third tiret) and 6. On the former, I said the suggestion that certain Chinese Provinces be excluded from any sanctions imposed by the new Administration ran counter to the position taken by the US (and the Commission) in the GATT Working Party (WP) on Chinese re-accession. One of the chief concerns of WP members was that the writ of the GATT (of which the MFN principle was a cornerstone) should run throughout the Chinese customs territory, including the Special Economic Zones and other areas where progress to a "Socalist market economy" was more advanced than others. It would be unwise (and pointless) to suggest that the US itself treat such areas differently.
3.
On para 6, I said Chinese re-accession should prevent other Contracting Parties from attaching conditions
their MFN treatment of China. Any particular conditions to be applied to China should be in the Protocol of Accession or the Report of the Working Party. At the same time, no one could guarantee that Congress would not pass GATT-incompatible legislation. If it did, China would be reliant on a Presidential veto. that, it could take a complaint to GATT.
4. I hope that this is helpful.
Your Leoné.
Geoff Hatherick
International Trade Policy Division Room 250
CC: Mr Fletcher ITP1
Mr Murray
OT2/2
Mr Impey Mr Young
ITP1 UKMis
Failing
Enterprise
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adme is
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