TNAG-2750-FCO40-3965-Most-favoured-nation-status-for-China-Hong-Kong-interests-1993 — Page 6

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150477

MDTTAN 4409

FURTHER EFFORTS WERE NEEDED TO EXPAND EXPORTS INTO CHINA.

EXPANDED TRADE PROMOTION WAS CRITICAL. THE U.S. ADMINISTRATION

WOULD ALSO CONSIDER REVIEWING ITS EXPORT CONTROL REGIME. THE

REGIME SHOULD PROTECT NATIONAL SECURITY INTERESTS, BUT QUOTE MANNER THAT DID NOT UNNECESSARILY ENCUMBER COMMERCIAL OBJECTIVES

UNQUOTE.

IN A

GREW BY

MS BARSHEVSKY NOTED THAT CHINA'S IMPORTS FROM THE U.S. 15 PER CENT LAST YEAR, BUT IMPORTS FROM THE EC GREW 26 PER CENT (AND FROM JAPAN 36 PER CENT). THESE DIFFERENCES AROSE IN PART FROM

CHINA'S QUOTE GREY MARKET UNQUOTE. THIS WAS A MARKET CHARACTERISED

BY ILLICIT BUSINESS PRACTICES WHICH DOMESTIC LEGISLATION MADE OFF.

LIMITS TO U.S COMPANIES.

MEN

3. A FEW CONGRESSMEN ARE STILL TRYING TO CHALLENGE THE PRESIDENT'S DECISION TO RENEW MFN. AS IN PREVIOUS YEARS, RREPRESENTATIVE SOLOMON HAS INTRODUCED A RESOLUTION DISAPPROVING MFN EXTENSION.

NO-ONE EXPECTS THE RESOLUTION TO GET MUCH SUPPORT THIS YEAR.

SIGNED S D PATTISON

YYYY

ΜΑΙΝ

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