ENG-1995 — Page 133

TRADE AND INDUSTRY

industrial estates in the New Territories: at Tai Po, Yuen Long and Tseung Kwan O, providing a total of 210 hectares of land.

External Commercial Relations

Hong Kong possesses full autonomy in the conduct of its external commercial relations. The Governor is entrusted with executive authority to conduct external relations on behalf of the territory, including the conclusion and implementation of trade agreements, whether bilateral or multilateral, with states, regions and inter- national organisations.

Within the context of the government's free trade policy, Hong Kong's commercial relations are designed to ensure that its trading rights in overseas markets are protected and its international obligations are fulfilled. The territory's success is reflected in the steady rise in the value and sophistication of its exports in recent

years.

World Trade Organisation (WTO)

The World Trade Organisation (WTO), successor to the General Agreement on Tariffs and Trade (GATT), came into effect on January 1, 1995. The WTO oversees the implementation of the multilateral rules and disciplines agreed to at the Uruguay Round of negotiations (UR) for trade-related intellectual property rights and the trade in goods and services. It also serves as a forum for multilateral trade negotiations. The multilateral trading system under the WTO remains the corner- stone of Hong Kong's external trade policy. Hong Kong supports a strong and credible multilateral trading system, to sustain global trade liberalisation and economic growth.

Hong Kong is a founding member of the WTO. This separate membership status will continue beyond 1997, reflecting Hong Kong's autonomy in the conduct of its external commercial relations as guaranteed under the Sino-British Joint Declara- tion on the Question of Hong Kong and the Basic Law of the Hong Kong Special Administrative Region.

Hong Kong participates actively in the work of the WTO to ensure proper and full implementation of the trade liberalisation commitments agreed at the UR, and to safeguard Hong Kong's trading interests. Hong Kong will continue to play an active role in WTO's future work programmes and meetings with a view to encouraging further global trade liberalisation.

Textiles

Bilateral agreements governing Hong Kong's textiles exports to Canada, the European Union (EU), Norway and the USA were negotiated under the Multi-Fibre Arrangement (MFA). The MFA was replaced by the WTO Agreement on Textiles and Clothing (ATC), when the latter came into effect on January 1, 1995. The ATC provides for the phased removal of quantitative restrictions on these products in 10 years' time. Hong Kong attaches great importance to the full and timely implementation of the ATC, and participates in the work of the Textiles Monitoring Body (TMB), which monitors the implementation of the ATC. The TMB's ruling in September 1995 against a USA trade restraint on Hong Kong exports of woven woollen shirts and blouses was a case in point. Hong Kong continues to work closely with other exporters of textiles and clothing in the International Textiles and

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