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Reference.
Affairs Department said on 15 November: "It is hard to find a place that can completely replace Hong Kong". Taiwan has large economic and commercial interests in Hong Kong and will continue to do so even if by 1997 direct trade with the mainland is allowed, and it no longer has all to be channelled through Hong Kong. A statute governing relations with Hong Kong and Macao after their reversion is being drafted, and a first draft is due in January. This will cover many practical aspects of the relationship (immigration, aviation, maritime and postal activities for
example). Hong Kong and Macao will be treated differently from the rest of the mainland.
5. The Taiwan authorities are also beginning to consider what sort of political contact they should have with the SAR, and what preparations should be made for this. Taiwan has recently decided to allow Hong Kong members of China's "parliamentary" bodies, the NPC and CPPCC, to visit Taiwan as well as senior officials from Chinese-run companies in Hong Kong, all of which had been previously forbidden. a breakthrough came on this front when Dorothy Liu visited Taiwan in June, becoming the first Hong Kong member of one of these bodies to visit Taiwan. According to United Daily News of 14 November which reported this relaxation, Taiwan was now actively exploring ways to improve its political contacts with Hong Kong. In the past these had been virtually taboo because of Chinese strictness and the difficult attitude of the British in Hong Kong, but Taiwan had been making great efforts and China was not as strict as before and, as a result, things were looking a little better on this front.
RF Wye
Far Eastern Section
Research & Analysis Dept OAB 2/125 210 6219/6216
3 December 1993
CC Mr Begbie FED
Mr Bunten Planners
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