Answer and explanation

Correct answer: D. a separate customs territory

Article 116 says the HKSAR is a separate customs territory and may participate in international trade organisations as such.
Answer: a separate customs territory.
Why not the others: a part of the mainland customs territory: it is separate. a duty-free zone with no customs: it keeps its own customs. a member of a customs union with Macao: no such union exists.

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Under Article 116, the… | Civil Service Recruitment: CRE and Basic Law Test (Hong Kong)