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7.

may seek

to

(ii) the Chinese side

argue that any question of privileges and immunities is a matter for them, drawing on Article 18 and Annex III to Basic Law. We intend to take the line that are concerned

only with the continued in accordance with JD 178.

such IROS are to be given

the

we

application of IROS

The question of how effect in the Hong Kong SAR is a separate matter.

On a practical matter we would be grateful if you could let us have a list of all the UK notifications under Article XI, section 43 of the Specialized Agencies Convention SO that we have a complete record of all the agencies to which the Convention currently applies in respect of Hong Kong. If you have it, we would also like a list of all the relevant PRC notifications. If there are differences we will, of course, need to take this into account in Our negotiations with the Chinese side. Our initial view, however,

however, is that we

is that we cannot reasonably expect the PRC to accord privileges and immunities to a поге extensive range of agencies in the Hong Kong SAR than they do to those in the rest of the PRC.

The Vienna Convention on Diplomatic Vienna Convention on Consular Relations

8.

Relations and the

There are, again, two points of particular nole :

no

(i) we have not included the Optional Protocols on Compulsory Settlement of Disputes in our proposal ds the PRC are not party to them and we see realistic prospect of persuading them to accept their continued application;

(ii) the note

at paragraph 6 (ii) above is also

relevant here.

The Vienna Convention on the Law of Treaties

9.

We have prepared the attached paper on this Convention but are no t optimistic as to the prospects of persuading the Chinese side to accept our proposal for continued application. We were, nevertheless, reluctant to let such an important treaty lapse without at least an attempt on our part. We have placed square brackets around the reference to the UK declaration and, subject to your views, are inclined to delete this sentence as, clearly it is ποτ something we can reasonably seek to preserve after 30

1997. We would, of course, welcome any comments you may have and, in particular, your views as to whether inclusion of this Convention is likely to bring with it any significant risks in the sense of focusing Chinese attention more closely on the legal nature of this exercise and, in particular, the

of Hồng Kong's

Our

June

bilateral agreements.

precise

nature

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