(i) China has decided to try to force us to
accept a Macao position in Hong Kong,” If
this is so, she will continue to escalate Hong Kong disturbances to the point when,
in order to remain in Hong Kong, we must
capitulate to whatever demands are made, and,
in effect, accept Chinese domination of Hong Kong. (ii) China has decided to sacrifice the economic
benefits she derives from Hong Kong to Cultural Revolution "purity" of doctrine, and to drive us out
of Hong Kong completely.
(iii) China has made no basic policy decision, but is
trying to achieve some propaganda victory as the
price for calling-off the disturbances. Such
a propaganda gain could relate to the presence.
of American ships and troops from Vietnam on
leave in Hong Kong; or to labour reforms;
or
to the release from prosecution or imprisonment
of the
21
charged with or sentenced
5.
6.
for their role in the riots.
1.
Our aim must continue to be that of restoring order
and peace in Hong Kong.
firmness and restraint.
We have so far acted with both
But the police are now tired, and
it is clear that if disturbances continue we shall have to
use troops. This in itself may provoke Chinese escalation,
both in Hong Kong itself and in mainland China. We must therefore consider HMG's interests very carefully indeed.
aun
both
Λ
!
I convinced that a Macao solution would be unacceptable. It would be damaging to our international prestige (at a very Crucial
we face a number of problems) time when Gibraltar and Aden are presenting several problems). It would be intolerable for the Governor, and impossible in
1
/terms