than one every two months and in addition that

they should not be followed by a major unit

within two weeks. He believes that this could

with

be arranged locally and agrees that Washington

that this is not the right time to revise the

guide lines formally.

(a)

The Governor says there is no basis for

the allegations that Hong Kong is being used

by U.S. as a logistics base and no revision

Im

on misiting pouchmes of guide line (2) is required.

*t

9. In sum the Governor believes that short of

a complete ban on U.S. naval visits tinkering

with the level of visits would be of no real

significance or assistance in the improvement.

of Sino British relations. It would only lead

to increased embarrassment with our relations

with the Americans.e believes that the

visits of nuclear powered ships can be covered

M

by an informal addition to the gui e lines(H. and that the "Enterprise" (be regarded as a very special case. The Governor appreciates that

there may be special considerations to be taken

into account in the next few weeks in view of

the current diplomatic offensive.

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