TNAG-2978-FCO40-1470-Trade-relations-between-Hong-Kong-and-the-UK-1982 — Page 25

CODE 17

Reference.

1

We very much hope it will be possible to eke out for a few more years the protection that the PAL patents provide, particularly against unrestrained imports of colour TVs from non-PAL countries such as Taiwan and S Korea. It is thus important that the PAL edifice should not be undermined and that we do what we can to shore it up until the UK consumer electronics industry can take full advantage of the new products expected to come forward in the mid 80's. All this was discussed at a helpful meeting discussion between Mr Nieduszynski (who is now on leave) and Mr Muir, Mr Neal and Mr Dunning on 27 May. Accordingly I now propose to send Mr Evans a suitably anodyne letter, a draft of which is attached. Indeed, I am of the opinion it is so anodyne that there is little point in involving the Foreign and Commonwealth Office, although we shall of course clear the letter with Ministers here. By sending the letter over my own signature I would hope that we could avoid escalating the matter unnecessarily.

5.

By way of background, I attach at Annex A some relevant statistics gathered together by Mr Phipps here on the Hong Kong colour TV industry's production-rates and expected exports as well as the anticipated size of the 1982 UK market for colour TVs.

A JP MACDONALD

Head/IT

R 527

29 Bressenden Place 213 5589

2 June 1982