from the report that there are no fresh

initiatives that we can take in present

circumstances that would make the problem of

Hong Kong less intractable in the longer term.

There can be no cl

cleancut, tidy solution to the

predicament facing us. Were we to attempt to

discuss it with the present Chinese regime we

could only expect hostility (even malevolence)

and a desire on their part to pay off old scores.

The Colony will remain, as the Chinese themselves

have put it, the crux of Sino-British relations.

Our presence there, despite the advantages they

derive, must be an irritant to them. But

efforts on our part to extricate ourselves

prematurely might well turn out to be a greater

irritant. For the present, I am sure that we

must continue to show firmly that we intend to

maintain our position, giving no indication

whatsoever that we might, in certain circumstances

contemplate premature withdrawal. Confidence

within Hong Kong is fragile and would not survive

the knowledge that we were considering possible

terms of withdrawal. Moreover any sign of

weakening resolve on our part would lead to

increasing Chinese pressure. It would be no

gain if, in an effort to mitigate the long-term

difficulties, we were to precipitate an immediate

catastrophe.

5. The emergence of a more pragmatic regime in

China would, of course, introduce a new dimension.

TOP SECRET

/If

Share This Page