sel
Ed (2829)
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Mr
Moreton
•
915
Reference....
The directions for the special study on Hong Kong were:-
11
A further study should cover the implications of withdrawals as set out in (a) and (b) above for our interests and responsibilities in Hong Kong, with special reference to our trade, to the territory's importance vis-a-vis China and to the extent and timing of the weakening of our position as our lease of the New Territories draws near its term."
2. We now have to decide what to do with the
paper Mr. Carter has kindly produced. The
alternatives seem to be either to let Mr. Carter clear it with the Foreign Office in correspondence or to have a short meeting about it here. In either event, I imagine that we would want to circulate it
to the Working Party. Much of the content of the paper is already in Studies 7 and 13(a). The significant passages are, I think, the recollection of our statement to the Americans mentioned in
paragraph 17, and the hint in the last sentence of
paragraph 19 that we might have to provide some money for Hong Kong. This latter passage would, I think, need some expansion!
3.
Perhaps you would let me know what you would like me to do? I do not think that it is necessary for this paper to go to Ministers with the bundle which they will be getting next week, but it would nevertheless be useful for them to see if only in
summary.
ir A. Spening
Sir
Cu
(A.H. Reed)
14 March, 1967.
As I have already mentioned to Mr. Carter, I
think it would be worth while setting out the
economic consequences of a withdrawal from Hong
Kong. This could cover our own interests (trade,
visible and invisible, investment, dollar earning,
sterling balances, etc.) and also Chinese interests.
/The
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