Hong Kong as a separate customs territory: Past, present and prospect

Abstract

This article reviews the journey of Hong Kong attaining and retaining the General Agreement on Tariffs and Trade (GATT) and the World Trade Organization (WTO) membership as a separate customs territory, and examines the present challenges for the Hong Kong Special Administrative Region (HKSAR) to maintain its status within the multilateral trade system. By exploring the related facts and laws, the article concludes that Hong Kong has been a separate customs territory member of the GATT and WTO by virtue of the multilateral trade rules, and other countries are not entitled to revoke the HKSAR's separate customs territory status through unilateral measures. Given the past journey and present challenges with the separate customs territory status of Hong Kong, the following prospects can be drawn. The HKSAR remains qualified to possess full autonomy when conducting external commercial relations. A malfunctioning Appellate Body of the Dispute Settlement Body (DSB) may be incapable to safeguard the interests of HKSAR as a separate customs territory.