SEGRET

The telegram also drew attention to an allegation in the protest note

from the Chinese Government about the "Enterprise" that Hong Kong served the U.S. as a "logistics centre for aggression sṇainet Vietnam" and asked the Governor of Hong Kong whether this allegation related to any U.S. activity in Hong Kong which could be regarded as an infringe- ment of the existing guideline barring the purchase of military sup-

plies there; and if so whether this point should also be taken up

with the Americana,

FLAG B...

224) would prefer not to pursue the question of reviewing the guidelines

In Washington telegram No. 2062 H.. Ambassador commented that he

for the time being. The Ambassader thought we could rely on the Americans to sympathise with and accept any changes and amendments which the circumstances of Sino-British relations or the security of

Hong Long appeared to necessitate. He drew attention to the variety of important ways in which we ourselves were dependent on the goodwill of the U.S. Navy and the use of their facilition. In a subsequent letter, H.K. Minister in Washington har made the point that it would

(240) be tactically preferable to tackle the Americans not on the basis of

Flag A

(217)

"a review of the guidelines" but in terms of a discussion of their application. The Minister also indicated that H.M. Embassy were in general accord with the views of the Governor of Hong Kong (paragraph

7 below). He also suggest

He also suggested that a further point not covered in C.0.

telegram No. 1252, the "bunoring" of vessel in Hong Kong harbour,

should be taken into consideration. This is in fact covered in the

guidelines, but might be reemphasised.

../ 5..

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